What is Dealer Cash and how should I figure it into my purchasing decision?
Dealer Cash is an incentive paid to a dealer by a manufacturer for selling a certain model. The incentive is meant to encourage dealers to offer that model at a lower price, thus stimulating sales. This money is typically paid to the dealer when the dealer purchases the designated model from the manufacturer, when the dealer sells a vehicle of that model, or when the dealer achieves a specified overall sales volume for that model.
Please note that individual dealers have the option to pass on all, a portion or none of this incentive to consumers. The pass-through rates for Dealer Cash are reflected in our True Market Value® (TMV®) pricing, so the TMV® price should continue to be your target when negotiating a purchase, even when the model is supported by Dealer Cash. In these cases, you may find that the TMV® base price for the vehicle is actually lower than the invoice price.
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