BROKERS

Brokers usually have a lot full of cherry picked cars. Brokers buy sell and trade all sorts of vehicles to other dealers and retail buyers like yourself. In a sense brokers are wildcatters making money every which way they can. Brokers want a piece of the action and has their hand in the pot.

Both new and used car dealers broker from the back door. Brokers can offer add-ons like extended warranties, maintenance packages, window etching or tint. Brokers are like independent sales people who may sell all brands.

Traditional brokers usually work locally and have a network of prearranged dealers who will give low prices to the brokers customers. Traditional brokers make most of their money from dealers. Some brokers charge you a fee in addition.

Traditional brokers passed around through family members or from coworker to coworker may have an excellent reputation. They may be worthwhile because of the low prices and convenience offered. Our Federal Trade Commission is in favor of brokers creating good and fair competition.

In states where the dealers had the legislature outlaw brokering the brokers are paying an advertising fee instead. New Internet Brokers do little. They are not human. There is no human contact. The new broker types are sales funnels pouring you into a dealer offering a seemingly low price.

You are still at the dealer’s mercy with only the implication of a low price. So in the end you’re subjecting yourself to almost the same hocus-pocus as if you just walked in the dealership.

Brokers may earn a few hundred to a few thousand dollars per transaction. New Internet Brokers have been whittled down by powerfully controlling dealers in different states to be an contract sales arms of the dealers.

TRADITIONAL BROKERS

NEW INTERNET BROKERS

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