The most confusing part of purchasing a car at a dealership is dealing with your trade. It’s sometimes hard to get a valid response to the query, “What are you giving me for my trade-in?”
Most of the time, it?s not a scheme by the dealership to be mislead consumers. The reality is that the true value a dealer places in a trade in is much lower than customers want to hear.
Actual cash value and trade-in allowance are the major factors and mean completely different things most of the time. The number the customer sees is always trade allowance, and sometimes that number is also cash value. It is often, though.
Actual cash value (ACV) is nothing more than exactly what it says. It is the replacement cost for that particular vehicle. If the customer were to take their vehicle to a dealers? auto auction, the ACV will be … Read More