So you've learned how to buy a car at the best possible price and think that guarantees you a good deal. Well think again! Did you know that a majority of a car dealer's profit comes from the Finance Office (or F&I Department)? Dealerships want you to think the hard part is over and that it's time to let your guard down. But as you're getting ready to sign for your new car, the Finance Manager will smoothly convince you that you need expensive add-ons and extras.
The image below shows how much the Finance Department really makes off everything they sell you. Note: these high numbers aren't even the total price you pay, they only represent dealer profit!
Average Car Dealer Profit for Add-on's & Extras
But not to worry, you don't really need most of these items. Here's a breakdown of what these items really cost the dealer and what you can do to save yourself money.
Breakdown of Add-ons & Extras in the F&I Dept.
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Edits by: BFS