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10/28/09

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November 2, 2009

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Car Counselor Offers Advice: ‘Tell Your Story’

By Jeffrey Bellant

COLUMBUS, Ohio – The National Independent Automobile Dealers Association and Columbus Fair Auto Auction hosted dozens of lenders and dealers at a seminar designed to stimulate used-car sales.

Keith Whann, NIADA’s general counsel, led the Oct. 16 seminar called The Car Counselor’s TARP – Together Automotive Retailing Prospers – focusing on a variety of topics from online advertising to the NIADA’s new certified preowned program for independent dealers.

More important than the information, though, was the networking opportunity the event provided.

“We needed to put lenders and dealers together,” Whann said.

Dozens of finance companies set up stations in the lanes of Columbus Fair Auto Auction and met with dealers during breaks in the program.

The representatives included local banks, national finance companies, floor planners and service contract providers.

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Brad LeBlanc, dealer consultant for Alpha Omega Group LLC., in West Chester, Ohio, signed up a dealer onsite.

LeBlanc markets F&I products to dealers and connects them with finance sources.

One piece of advice Whann shared at the seminar was dealers need a business plan and the ability to sell themselves to finance sources.

“You’ve got to be able to tell your story,” Whann said, “and it better be written down.”

Creditors want to work with dealers who use the right practices and procedures.

More importantly, they want to know that those practices and procedures are put down in writing.

Whann also unveiled the NIADA’s new, free certified vehicle program exclusively for its members.

The program, developed with NAC, allows dealers to offer consumers a certified vehicle featuring no deductibles, free towing, roadside assistance, alternative transportation and other benefits.

Depending on the vehicle, the dealer may offer a comprehensive three-month, six-month or 12-month warranty.

Whann helped develop the program and gave it a seal of approval in the compliance department.

NIADA CEO Mike Linn said developing the program took time.

“Keith and I have been talking about a CPO program for years,” he said.

“But we wanted the right program.”

He said a solid dependable warranty was key to any NIADA certification.

NIADA ultimately partnered with NAC because of its 25-year reputation of reliability, Linn said.

Photo By Jeffrey Bellant DEAL MAKER: Brad LeBlanc, left, a dealer consultant with Alpha Omega Group in West Chester, Ohio, discusses a plan to offer financing for an Indiana dealer during a recent dealer seminar at Columbus Fair Auto Auction.

Bill Spares Some Auto Finance, But Threat Remains

By Ted Craig

Some auto finance activity has been exempted, for now, from the proposed Consumer Financial Protection Agency, but plenty of dealership activity may still fall under this jurisdiction.

An amendment by Rep. John Campbell (R.-Calif.) excluded certain finance activity from the bill offering the framework for the agency. It exempts most traditional finance, according to Keith Whann, general counsel for the National Independent Automobile Dealers Association.

Buy-here, pay-here remains another matter. In-house finance could fall within the agency’s scope, as related finance companies might.

“I can’t answer that yet,” Whann said.

Manufacturers’ captive finance companies are covered by the proposed agency. Dealer captives may be as well, he said.

The entire process has a long way to go. The Senate still needs to offer its own version of the legislation.

The NIADA is taking an active role in trying to shape the legislation. The association hired new lobbyists to help with this effort.

Whann said need to stay on top of this legislation.

Ken Shilson, founder of the National Alliance of Buy-Here, Pay-Here Dealers, said legislators are targeting dealer finance along with payday loans and other segments.

“We’re going to be under attack next year,” Shilson said. “They believe it’s the mortgage industry all over again.”

IN THIS ISSUE • Consultant sees great opportunity in buy-here, pay-here. – Page 3

• Higher income groups are shopping for cars again. – Page 8

• State association avoids massive hike in bond requirement. – Page 6

• Special section covers the latest offering for in-house finance. – Page 19

Q:

HOW DO YOU SELL HARDER

WITHOUT HARD SELLING?

Find the answer on the back cover.

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10/27/09

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USED CAR NEWS

3

VICTIM OF ECONOMY

Few Consumers Show Up for NIADA’s First Public Education Event Whann explained industry terms, such “upside down” and “F & I,” so consumers understand when jargon is used.

He also encouraged consumers to attend public sales at auto auctions like Columbus Fair to get a better understanding of the market and car values.

Whann pointed out several online sources where consumers can get information “It was an on the process, inexperiment. I cluding his own Web thought there site. would be 500 “Get information people here” where the industry – Mike Linn does,” he said.

Those who showed up to the Whann explained that conevent – “Keith Whann’s Car Buy- sumers should avoid a dealer ing is Fun” – got a comprehensive who doesn’t allow a test drive or lesson on the used-car industry doesn’t display the Federal Trade and the car-buying process.

Commission sticker on a car.

Whann, NIADA’s general He also explained that dealer counsel, covered a wide range of requests to copy a driver’s license topics, from where to buy to or check insurance are requirehow to buy a car. ments under the law.

“You need to know what you can They does not mean a dealer is and cannot afford,” Whann said. trying to steal information from He also said customers have to the customer. know what their needs are when Whann spent time with atdetermining what type of vehi- tendees answering questions afcle to purchase and whether to ter the presentation. buy new or used.

Mary and Donald Palmer of

By Jeffrey Bellant

COLUMBUS, Ohio – The National Independent Automobile Dealers Association’s first-ever consumer event will likely be its last after a poor turnout at Columbus Fair Auto Auction.

“It was an experiment,” said NIADA CEO Mike Linn. “I thought there would be 500 people here.”

Photo by Jeffrey Bellant ASK THE CAR COUNSELOR: Columbus, Ohio, residents Donald and Mary Palmer, from left, ask Keith Whann questions about buying a used car. Whann held a seminar on that subject recently during a special event hosted

by Columbus Fair Auto Auction .

Columbus enjoyed the session.

“I got a lot of education here,” Mary Palmer said. “I feel like I can make a better (car-buying) decision.

“It was very helpful.”

Donald Palmer said the explanation about the different add-on products dealers offer – and how to decide which are best for him – was also good information.

The Palmers were aware of Columbus Fair Auto Auction, but were first-time visitors. They did learn the auction runs a weekly repo sale open to the public.

Tim Swift, chairman of the NIADA’s board of directors, said the poor turnout could just be bad timing.

Buying a car may be low on the priority list for consumers in

this time of struggling economy and high unemployment.

Linn questioned whether the local media did enough to make people aware of the event. But he also acknowledged that NIADA should focus its resources on dealer-oriented events, which is its strength.

The consumer session was the second part of a two-day event at the auction.

OPPORTUNITY KNOCKS

Analyst Predicts Growth, Bright Future for In-House Financing

By Jeffrey Bellant

LAS VEGAS – The buyhere, pay-here market has held up well in the recession and could enter a boom era.

That’s the optimistic view of Chris Leedom, chairman of the Leedom Group 15th Annual BuyHere, Pay-Here National Convention.

“This is the most opportunistic landscape in two decades,” Leedom told the event’s attendees.

“The market has held up well.”

However, the business has changed drastically since the 1990s when more than 300 national finance companies were doing business with buy-here, pay-here dealers.

Leedom said the current market is more like 1987, when only a handful of lenders were involved with this market.

He said between 3,000

and 3,500 independent dealers left the business in the past year.

“That means that 10 percent of your competition has probably gone away,” Leedom said.

Some dealers lost floor planning. The hardest hit group focused on subprime and lost their retail finance sources.

“I would not (dive) into that pool now,” he said.

Leedom said dealers need to keep focused on three key areas for success in the coming year: staffing, operational strategy and financial condition.

Staffing is critical at this time. Leedom said it’s better to increase the talent level rather than decrease body count.

“Now is a great time to upgrade,” Leedom said.

“Right size your business – don’t downsize.”

A dealer should look at

WWW.USEDCARNEWS.COM

his operational strategy and ask if he is winning in his market.

Dealers should also make sure they are as strong as they can be financially by cutting debt.

Too much debt, at best, limits a dealer’s business and, at worst, can kill it, Leedom said.

One way dealers can gain an advantage is through selling additional products and financial services.

Other important moves for dealers is to protect their portfolios to maintain liquidity, protect their staffs and understand industry benchmarks and operate within them.

Leedom said dealers should be careful about changing what they do best.

“Do not experiment,” he said. “Stick to the basics.

“Not too many businesses in America are positioned for growth.”

Photo by Jeffrey Bellant GROWTH: Chris Leedom said smart dealers can thrive in the buy-here, pay-here market as it offers more growth opportunities than it has in decades. He presented his thoughts during a conference in Las Vegas recently.

November 2, 2009

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USED CAR NEWS

November 2, 2009

M I L E STO N E S James H. “Jim” Wheatley, a member of the National Auto Auction Association Hall of Fame, died Oct. 18 in Harrisonburg, Va. He was 75.

Wheatley’s automotive career spanned more than 50 years.

Wheatley volunteered on numerous NAAA committees since joining the association in 1970. He served as president from 1987-1988 and later took on the role of association secretary.

Wheatley’s lasting legacy is the Warren

Young Sr. Scholastic Foundation. Jim, with his wife, Barbara and fellow members Henry and Patty Stanley, were vital in establishing NAAA’s education fund.

Don Elliott, who served as chairman of the fundraising committee, said one of Wheatley’s biggest achievments was his work on the education fund.

“For just this one success, the memory of Jim Wheatley and his tireless efforts will forever be attached,” he said.

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Wheatley remained as general manager with Barbara as assistant general manager and he earned several awards.

Manheim’s Mike Broe, executive vice president of U.S. operations, praised Wheatley’s contribution to Manheim.

“During his many years at Manheim Harrisonburg, Jim’s vision, commitment and dedication to his team, to his community, and especially to NAAA were an inspiration,” he said.

Wheatley served as president of the Southern Auto Auction Association, director of the Virginia Independent Automobile Dealer Association. He was a member of both the Maryland and Pennsylvania IADAs. The Wheatleys also owned and operated the Wheatley Motor Car Co., launched in 1987.

Tim Swift, owner of Corry Auto Dealers Exchange, said Wheatley’s involvement speaks for itself.

“What can you say about the guy? Probably one of the most active guys in the industry,” Swift said. “The guy knew the true meaning of the words give back.”

He is survived by his wife; two sons and daughters-in-law; a daughter and son-in-law; and nine grandchildren.

PAGE 18

Published By General Media LLC USED CAR NEWS (ISSN 1555-7413)

is published at 24114 Harper, St. Clair Shores, MI 48080 Phone: 586-772-5200 or 800-794-0760 Fax: 586-772-9400 www.usedcarnews.com Charles M. Thomas Founder (1947-2002) Lynda R. Thomas, Publisher Colleen Fitzgerald, General Manager Editorial: Ted Craig, Managing Editor Reporters: Jeffrey Bellant, Julie Dawso, David Piestrzynski Editorial Intern: Valbona Kociaj Columnist: Tony Moorby Advertising Account Managers: Shannon Colby, Pam McNamara Classifieds: Marie Hingst Marketing: Megan Frump, Marketing Coordinator

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by Myles Mellor

10/26/09

4:35 PM

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USED CAR NEWS

November 2, 2009

TRENDS

Data Vital for Buy-Here, Pay-Here

By Jeffrey Bellant

LAS VEGAS – Buy-here, pay-here dealers must pay attention to trends in their sales and analyze their businesses to succeed in this market.

Consultant Chuck Bonanno discussed buy-here, pay-here trends during the Leedom Group 15th Annual Buy-Here, PayHere National Convention Oct. 12-14.

Bonanno said dealers overrate the number of units sold as a measure of success.

Volume is important, but many car dealers who move tons of metal wind up going out of business, Bonanno said.

Increasing sales too quickly can hurt a buyhere, pay-here operation because the business is so capital-intensive. “I need to budget my sales,� he said, “I need to forecast how many sales I have the capital resources to fund. “That becomes the goal.

Once I know that, then I know how (everything

Photo by Jeffrey Bellant TRENDSETTER: Chuck Bonanno discusses trends in the buy-here, pay-here industry during the recent Leedom Group 15th Annual Buy-Here, Pay-Here National Convention in Las Vegas .

else) fits into place.�

Too many cars at one time simply take up space.

It makes it harder for customers to choose and ties up a dealer’s money.

Paying attention to numbers and data on a regular basis can save a dealer

from problems later. “You want to know if you’re doing well or (doing poorly) as the game is being played, don’t you?�

Bonanno said. “That’s how you can make adjustments.�

Continued on page 7

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November 2, 2009

WE THINK IT MIGHT BE TIME FOR YOU TO TURN THAT AGED INVENTORY

New Fees Help Combat Fraud

By Ted Craig

California added yet another requirem e n t for car dealers, b u t eliminated l a n guage Bill f r o m Dohring the new law that would have required a $100,000 independent dealer bond.

An early version of the so-called California Car Buyers’ Protection Act called for a dealer bond of $100,000 for independents and $250,000 for franchise dealers. Both currently pay $50,000.

The end effect on the law as passed is dealers must pay outstanding liens on traded-in vehicles before they trade or sell the vehicle, and payment must occur within 21 days.

An extra $25 was tacked onto dealers’ original license application fees and renewal fees.

That money goes directly to the Department of Motor Vehicles’ Division of Investigations, said Bill Dohring, lobbyist for the Independent Automobile Dealers Association of California.

Dohring said the association pushed hard for earmarking the money to root out problem dealers.

“You’re really after a small number of dealers,” he said.

Dealers dodged a bullet , Dohring said, but California legislators continue adding restrictions.

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A m e r i C r e d i t C o r p. reported results for the quarter that ended Sept.

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Originations were $229 million, compared to $579 million for the same quarter a year before.

But that's up from originations of $175 million in the prior quarter.

“With ample liquidity, sufficient warehouse capacity and an improving capital markets environment, we are wellpositioned to rebuild loan origination levels,” said

AmeriCredit CEO Dan Berce.

Berce said the company saw a moderation in the rate of deterioration in credit performance this past quarter, another encouraging sign.

Annualized net chargeoffs totaled 8.4 percent of average finance receivables for the quartercompared to 7.3 percent a year ago.

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USED CAR NEWS

November 2, 2009

Trends – Continued from page 5 Dealers must be flexible, so that if something isn’t working, they can change course, he said.

All dealers have different markets or business models, so it may be unfair to compare one dealer’s delinquency rate with another dealer in a different market.

Bonanno said he’d rather know if a dealer’s delinquency rate is trending down or up. If it’s trending up, it needs to be fixed.

Another mistake buyhere, pay-here dealers make is keeping margins

too low. Retailers in the business must make sure they mark up the prices of their cars to cover overhead and expenses, such as repossessions, bad debt and charge-offs.

Pay attention to collections, repo numbers and delinquencies, Bonanno said. Also watch cash collections and charge-offs. “If I lower my chargeoff rate and increase my cash collection rate, nothing but good things can happen,� Bonanno said.

Dealers should also limit the range of prices to about five.

“Keep the price point simple,� he said. “This is a very simple business with a very simple customer.�

Customers only care about down payment and monthly payment. Bonanno recommends that in this economy, 20 percent of net pay should be a customer’s maximum payment.

Typical buy-here, payhere customers – excluding tax season – will have two weeks pay for a down payment. Down payments should only be lowered if volume is way down, Bonanno said.

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USED CAR NEWS

November 2, 2009

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By Ted Craig

There are signs consumers are shopping for more higher end vehicles, which may reflect growing consumer confidence.

Swapalease.com, a Web site that helps consumers transfer leases, reported increased searches for SUVs in September.

That’s normal as cold weather starts setting in, said Art Spinella, president of CNW Marketing Research.

What indicates more of a trend is a CarMax Inc. report that more visitors to its Web site are looking for sports cars, such as the

Chevrolet Corvette or BMW M3.

These are typically secondary cars and increased interest in them does indicate growing confidence among upper income buyers, Spinella said. “Certain segments do have more confidence,� he said.

The stock market rally drives optimism among this group. But high unemployment has the opposite effect at the other end of the spectrum.

Lower income groups, the average used-car buyers, feel more downbeat now than a year ago, Spinella said.

Steve Hall, CEO of Dallas-based subprime dealer groups Driversselect, has seen his average amount financed grow to $20,000 from $17,000.

More Driversselect customers are opting for a used entry-level luxury car rather than a new vehicle. “They’re placing more importance on value,�

Hall said.

Jim Bennett sells lowend luxury units at his store, Good Stuff Auto in Santa Rosa, Calif. That is, when he can get them. “I’ve got a half dozen people who want cars and I can’t find cars,� he said.

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November 2, 2009

HIGHER PRICES AHEAD

Massive Discounts Marked for Extinction Under New Structure DETROIT (AP) _ When Rebbie Lewis McGowen decided to replace her 2000 Dodge Stratus sedan with a new loaded-out Jeep Grand Cherokee, she was amazed that her favorite dealer agreed to a price that was about the same as she paid for a similar Jeep nine years earlier.

“That’s why I jumped on it the first day I saw it,” said McGowen, 61, who got the silver sport utility vehicle from River Oaks Chrysler Jeep in Houston for about $34,000, $7,000 less than the sticker price.

Like many U.S. buyers, she took advantage of a depressed auto industry, one that in recent years has had too many factories churning out too many cars and trucks for too few buyers, forcing big discounts.

Although sticker prices have risen, actual sales prices aren’t a whole lot different than they were nine years ago.

So far this year, average sale prices actually have dropped by about $800 to $25,586, according to J.D.

Power and Associates.

But industry analysts don’t expect that trend to continue much longer.

General Motors Co. and Chrysler Group LLC came out of bankruptcy protection with far fewer factories, and Ford Motor Co. for the past few years has been closing plants to align its output with demand.

Analysts say that with the industry’s massive restructuring, the big discounts that American consumers have gotten used to could go away as auto sales recover from the worst slump in more than a quarter-century.

“I just think it happened to be this point in time that I was able to make such a deal,” McGowen said. “Next year, when the 2010s come out, it’s not going to be the same situation.”

Growth in rebates, lowinterest loans and other incentives may be starting to slow, reports the Edmunds.com automotive Web site. Across the industry, the average incentive per vehicle dropped

from $2,869 in June to $2,735 in July.

But that could be an anomaly driven by increased demand from the government’s Cash for Clunkers program, which expired in September.

July’s figure is still $90 higher than the same month last year, according to Edmunds.

In addition to the restructuring, all of the Detroit Three are trying to develop better cars, ones that are so stylish, efficient, safe and reliable that people will pay more for them, similar to what Toyota Motor Co. and Honda have already accomplished in the U.S. market.

At Ford, the only one of the Detroit Three to evade bankruptcy court, getting more money per car is part of a strategy to return to profitability, Chief Financial Officer Lewis Booth said recently.

“We’ve all got to learn to flex the revenue muscle,” said Booth, who adds that Ford’s actual sale prices are up this year, even in a down market.

“It’s driven by our new products, and that’s why we’re getting improved transaction prices. We’re getting a mixture of reduced incentives and higher value from the customer.

“We’re selling more higher-service cars, more options, and all of those are good for profits and revenue.”

So far, the strategy for Ford is starting to work, as it has on some hotter models for the other Detroit automakers.

All say they want to take advantage of their global engineering operations to cut costs and roll out new models faster, because fresher models generally sell for better prices.

While industry analysts concede that automakers have reduced factory capacity, they say competition is only going to increase, and some question whether the discounts for consumers really will disappear.

Korean automaker Hyundai Motor Co., with the Hyundai and Kia brands, is gaining market share

with new products and low prices, and it won’t be long until Indian and Chinese automakers enter the U.S. market with lowercost cars.

Erich Merkle, president of the industry consulting firm autoconomy.com in Grand Rapids, Mich., sees the industry having some success in getting higher prices simply because it won’t be making too many vehicles for the market when demand returns during the next couple of years.

“But the competitive piece is still going to make any kind of real pricing power very elusive,” he said.

In the short term, Edmunds CEO Jeremy Anwyl sees prices rising in the fall, but then sales may drop and car companies will be forced to jack up incentives.

Still, as sales recover in future years, the automakers will try to raise prices, he said.

“I think the chances of it sticking are probably less than even,” Anwyl said. “A lot of it is going to have to

do with the economy at large.”

Increased government safety and fuel-economy requirements will drive up automakers’ costs as well, taking away some of the profit from increased prices, said Anwyl. Plus, other automakers, such as Toyota, Hyundai, BMW and Honda, have expanded U.S. factory capacity as the Detroit Three have pulled back, he said.

Regardless of whether the price increases stick, Merkle says consumers will get more for their money as automakers try to one-up each other on quality and refinement. As the Detroit Three’s cars get better, Honda and Toyota may have to respond by increasing their incentives or lowering prices, he said.

“For the first time, you have automakers like Honda and Toyota that really aren’t used to playing defense, they are going to have to start learning how,” he said.

“Just when I think it can’t get any more competitive, it does.”

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USED CAR NEWS

November 2, 2009

RETAIL MARKETS COLORADO

Jim Timerman, owner, Universe Auto LLC, Colorado Springs, Colo.: “I have been in business for 12 years. We keep a newer inventory, within six years of brand new. We keep about 50 vehicles on the lot. This was the same as last year. I keep the same amount of cars even though business is horrible.

“I think the independent car dealers have had a really tough time this year, very much so. I think it is coming from the fact that the federal government did not take into consideration everything. From Cash for Clunkers to the bailout money for the banks. I think the fact that people do not have money is keeping them from coming in and buying.

“I have mostly trucks and SUV’s. The SUV and truck market is probably 85 percent of my business.

For financing, I use banks, credit unions, special finance, all of the above.

“I buy the cars myself. I mostly buy in southern California and Arizona.

There is a limited amount of cars so the cars are worth more money. So the dealers have to pay more money. The value of the same car as last year is going to cost more today.

“I keep mostly imports, probably 85 percent are imports and 15 percent domestic.

“I advertise everywhere – Autotrader.com, Craigslist, about all the Web sites. We get some business through our own Web site. Not as much as we would like, but some.

“The average selling price of our cars is about $10,000.

“The last car I sold was a 2004 Nissan Frontier. It had about 70,000 miles on it and sold for about $14,000.”

MISSISSIPPI

Brett Denley, general manager, Southern Auto Credit, Grenada, Miss.: “Southern Auto Credit has been here for at least six years. I have been here for just a couple of months.

“Sales have been pretty slow. We keep $7,000-andlower priced cars. But we

Compiled By Valbona Kociaj

keep a few nicer pieces.

“We keep Grand Prixes, Impalas, Grand Ams, Buick LaSabres. We don’t keep any trucks. We just keep cars, from compact to full size. Right now we have about 35 cars on the lot. This is lower than last year. This is my second month here and I came from a new-car store and I am not used to the secondary finance just yet.

“I think what’s mostly keeping consumers from buying down here in Mississippi is that they don’t have enough for the down payment. The average selling price for our cars is $7,500.

“I get probably 10 people a week approved, and everybody wants to pay $500 down. It is going to take generally from $1,200 to $1,500 to put somebody in a car.

“The two owners and I split the buying of vehicles. We get some of them from Internet auctions and some from other auctions and another portion are trade-ins from local dealerships.

“We have mostly domestic cars. It’s probably 90

percent domestic and 10 percent foreign.

“We advertise in local magazines, local radio and local television. We have a Web site, but we don’t do any sales from the Web site.

“The prices at the auctions are going up. Black Book is supposed to be the true guide, but the auction is way off. That’s been hurting because a lot of our lenders are basing their values off of Black Book. But vehicles are bringing 5 to 15 percent over what the Black Book values are.

“The last car I sold was a 2005 Pontiac Grand Am, sold it for $5,785 with 116,000 miles.”

NEVADA

David Balsom, president, Nevada Auto Exchange, Las Vegas: “I have been in business for over 30 years. I keep late model cars on my lot.

I usually keep about 30-35 cars. The number is the same as this time last year, but the number of cars is down from two years ago.

“Sales are down this year. This year they are

down because of the bank situation. Last year they were down because of the elections and the gas prices. This year the banks need to lighten up on the money and unemployment is also a factor.

“Sales were down about 50 percent last year compared to two years ago.

This year they are up about 10 percent from last year. Unemployment and the banks are keeping the consumers from buying.

The banks are being tightfisted.

“I keep a little bit of everything. There probably is a 50-50 mix of cars and trucks.

“For financing, I use only credit unions. And some floor planning for wholesale.

“I get the cars at auctions and new dealer trade-ins. I buy the vehicles myself.

“I probably have an even mix of domestic and imports. Probably 50-50.

“I do some advertising, mostly on the Internet, but I don’t have my own Web site.

“The average selling price for my cars is proba-

bly $12,000.

“Prices seem to be coming down at the auctions.

“I think that a nice clean front line car always seems to bring good money. Cars that need any kind of work or announcement bring no business at all.

“I would say that dealers need to find a good auction that works for them.

“I find that the public is being pickier than they have ever been. They want nicer cars and would rather pay more money to get one.

“Financing is the key to making a sale right now.

“I think that auctions need to work more with the independent dealers.

They need to be more sales friendly, because I think that the independent dealers are the major purchasers of the cars at the auctions.

“I think that the auctions need to go back to what their roots were.

“The last car that I sold was a 2008 Toyota Highlander (two-wheel-drive) we sold for $17,400. It had 23,000 miles.”

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UCN_13

10/27/09

4:50 PM

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USED CAR NEWS

November 2, 2009 •

WHOLESALE MARKETS CALIFORNIA

Justin Soghomonian, vice president, All Valley Dealer Auto Auction, North Hollywood, Calif.: “As of six months ago, we added a Tuesday auction to our already existing Friday auction . Sales are going good. This time last year we were not doing so well.

“We have two lanes and on Tuesday we run 150 to 200 units and Fridays we run 350 to 400 units. This time last year we only had the Friday auction. We ran about 280 to 300 units.

“It is not like sales are amazing this year, but they are definitely better than last year.

“We have over 200 dealers coming into the sales.

They are mostly from the Los Angeles area. A couple of them come from Oregon, Arizona and Nevada. The number of dealers has grown from last year.

“We get a mix of dealers coming in, some are struggling and some are doing really good. Most of our cars are from fleet lease, some are repossessions

and dealer consignments.

They are doing well. Our sales are about 60 percent.

I would have to look up the average price of our vehicles, but probably around $10,000. Cars are doing better this year, price wise, than last year.

SUVs are definitely doing better.

“Some of the higher end models are harder to sell.

“We only run two lanes so when we ran a really big sale on Fridays, it was tough to have everyone stay for such a long period of time, usually over three and a half hours. So the Tuesday sale brought in more crowds. And in my opinion the cars ranging from $2,000 to $8,000 do so much better on Tuesdays.”

OHIO

Amos Watson, general manager, Complete Auto Auction, Marysville, Ohio: “Sales are going fine, it’s hard to find cars right now. I definitely attribute that to the Cash for Clunkers program. It took a lot of used cars off the market.

“We have two lanes and we run anywhere from 50 to 250 vehicles. It is probably 25 percent less than this time last year. Again, this is because we cannot find cars.

“As far as Black Book value, our sales are at about 101 percent of the Black Book value of the car. We sell about 98 percent of the vehicles we show. The sales are about the same as last year. I might even say that sales are a little bit better than last year.

“We have somewhere between 20 to 30 dealers coming to our auctions.

The number of dealers is the same as last year.

Mostly the dealers are coming from the central Ohio area or the tri-state area – Ohio, Indiana, Kentucky.

“We deal primary with Honda repossessions and Honda lease returns.

Right now about 70 percent of what we are doing is repossessions. The sales for lease returns are about the same at 98 percent.

Right now the dealers are scraping to find cars. It is very competitive out

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“The average sales price for our units is about $15,000.

“This is up from last year. Last year we were selling vehicles for around the $12,500 mark.

“As far as a certain unit doing better according to Black Book values, any Honda brand we were getting over 100 percent.

This is for Hondas such as Accords and Pilots.

“January, when the next big schedule of lease returns arrive, it is my understanding that there will be a downpour of Honda Accords.”

SOUTH CAROLINA

Tommy R. Rogers, general manager, Carolina Auto Auction Inc., Williamston, SC: “We do three large promotional sales a year, and Oct. 22 was the third one we typically do. We call it our Oktoberfest Celebration. We join it with our big golf tournament we do every year.

“We had fantastic sales Oct. 22. We are seeing increases in sales percentages of up to 12 percent a

week.

“When it comes down to it, I think these guys need inventory.

“Even though we have fewer cars to offer we are selling a higher percentage of them, mainly because of the depleted inventory dealers have on their lot.

“We have eight lanes.

We average 1,250 vehicles a week. Oct. 22, we were right at 1,700.

“This time last year we were actually down on consigned units, but up on sold units.

“I would rather not say what my sales percentages are, but they are strong.

“We typically have 730 dealers here per week. We get dealers from Georgia, South Carolina, North Carolina and Tennessee..

But, basically, we’ll get dealers from all over.

“At this point, dealers need inventory and they are buying, but at the same time the economy is still in a slowdown and they are also seeing it on their lots.

“We do get repossessions. On a weekly basis, we are running cars for

CitiFinancial, Triad and other finance companies.

“I would say as many as 25 percent of our sales could be repossessions on any given week.

“We do a powersports sale once a month, and we also do a salvage and mechanical disabled vehicles every other week.

“We run about 85 units of salvage and mechanically disabled units.

“We have about a high 80-percent range of sale on those.

“We will run some highline units here. We do not have a specific highline lane here but basically we will sell them if we have them.

“Our average vehicle is about $6,800. This is about the same as last year.

“Trucks and SUVs are doing very well right now.

“As it is getting closer to tax season a lot of dealers are looking for that $3,000 to $5,000 vehicle.

“If we have them, we will sell them.

“No particular vehicle is doing bad right now.

There are no other trends that we are seeing.”

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10/28/09

2:10 PM

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USED CAR NEWS

November 2, 2009

COMPILED BY JEFFREY BELLANT

HARRISBURG AUTO AUCTION RAISES CASH FOR UNITED WAY

Photo Courtesy of Harrisburg Auto Auction LARGE CHECK: GE representative Gregg Lameka, left, accepts a check for the “Race to Give” fundraiser from Harrisburg Auto Auction owner Chip Hoynitski and general manager Lynn Weaver.

Harrisburg Auto Auction and its dealers raised more than $10,000 this summer for GE Remarketing’s “Race to Give” program for the United Way’s National Campaign.

During July, August and September, dealers had the opportunity to buy 50/50 tickets , purchase baked goods or contribute cash to the fundraiser.

Chip Hoynitski, owner of the Mechanicsburg, Pa.-based auction, and general manager Lynn Weaver, presented a check for $10,110 to Gregg Lameka, a GE Remarketing representative, on Sept. 24.

To date, GE Remarketing and its auction partners across the country have raised nearly $50,000 for the United Way.

EVENT HELPS CHARITY GROUP Charleston Auto Auction held its “Dealer Stimulus Promotion,” which culminated in the first ever “Crash for Cash Dealer Demolition Derby” on Oct. 8.

The event was sponsored by the National Kidney Foundation of South Carolina, and included two special sales featuring NKF-donated vehicles.

“The only words to describe this event are that it was literally a smashing success,” said Chris Wise, national remarketing manager for Charleston Auto Auction. “When everything was said and done - and the smoke had cleared -we raised almost $17,000 for the National Kidney Foundation of South Carolina.”

Wise said the donations came from proceeds of NKF-donated vehicles, as well as from cash donations and collections taken during the demolition derby.

“The dealers and participants in the demolition derby were very generous in their support of the National Kidney Foundation,” Wise said. “Even our auctioneers and ringmen entered a car in the derby…won…then donated their winning prize money back to the NKF. It was a special gesture on their part, one that the auction and our customers ap-

preciated.”

Wise said many of the vehicles crashed during the derby were also sold for scrap and that money was donated to NKF as well.

The “Crash for Cash Dealer Demolition Derby” attracted over 1,000 spectators, who watched 16 demolition derby entrants compete for over $5,000 in cash prizes. Dealers were encouraged to bring their families and co-workers, and everyone was treated to an outstanding barbecue dinner with all the fixings and plenty of cold beverages to boot.

The exhibit included many vendors and sponsors of Charleston Auto Auction who displayed their goods and services in the midway section of the event.

There was also a booth that allowed everyone to smash a car with a sledge hammer for $1 per hit. All money went to the National Kidney Foundation.

We invite news items and top-quality photos from our readers to be considered for inclusion in “Around the Block.” Please include the name of a contact person and a telephone number.

Send items and photos to: Jeffrey Bellant Mail: Used Car News, 24114 Harper Ave., St. Clair Shores, MI 48080. Fax: (586) 772-9400 e-mail: jeff@usedcarnews.com

UCN_15

10/27/09

5:18 PM

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USED CAR NEWS

November 2, 2009

TRUE COST OF INCENTIVES (TCI) ----*TMV values do not include options

SEPTEMBER, 2008

TCI $818 Avg Equipped New TMV $19,752 Years Old Avg Base Trade-in TMV 1 $11,672 2 $10,015 3 $8,506

SEPTEMBER, 2009

COMPACT CAR

$1,398 $19,629 Avg Base Trade-in TMV $10,720 $9,537 $8,056

MIDSIZE CAR

TCI $1,515 Avg Equipped New TMV $24,485 Years Old Avg Base Trade-in TMV 1 $14,713 2 $12,767 3 $11,560

$2,421 $24,076 Avg Base Trade-in TMV $14,024 $12,693 $11,042

LARGE CAR

TCI $2,660 Avg Equipped New TMV $26,926 Years Old Avg Base Trade-in TMV 1 $15,277 2 $12,725 3 $10,772

$4,048 $29,271 Avg Base Trade-in TMV $13,526 $12,464 $11,350

SPORT CAR

TCI $1,504 Avg Equipped New TMV $35,092 Years Old Avg Base Trade-in TMV 1 $16,754 2 $14,542 3 $12,103

$2,448 $34,738 Avg Base Trade-in TMV $17,968 $14,558 $12,701

LUXURY CAR

TCI $3,233 Avg Equipped New TMV $40,188 Years Old Avg Base Trade-in TMV 1 $24,835 2 $19,221 3 $14,974 TCI $2,143 Avg Equipped New TMV $22,183 Years Old Avg Base Trade-in TMV 1 $14,578 2 $11,822 3 $10,535 TCI $5,953 Avg Equipped New TMV $31,989 Years Old Avg Base Trade-in TMV 1 $17,322 2 $14,620 3 $12,394 TCI $2,943 Avg Equipped New TMV $23,538 Years Old Avg Base Trade-in TMV 1 $14,768 2 $12,874 3 $11,057 TCI Avg Equipped New TMV Years Old 1 2 3

$4,027 $39,874 Avg Base Trade-in TMV $25,943 $22,469 $17,614

COMPACT PICKUP

$2,847 $24,662 Avg Base Trade-in TMV $14,685 $14,523 $11,389

FULLSIZE PICKUP

$4,295 $32,991 Avg Base Trade-in TMV $21,886 $18,525 $16,489

COMPACT SUV

$2,947 $27,617 Avg Base Trade-in TMV $16,424 $13,491 $11,572

TCI $5,166 Avg Equipped New TMV $37,741 Years Old Avg Base Trade-in TMV 1 $20,012 2 $14,706 3 $13,820 TCI $4,283 Avg Equipped New TMV $49,721 Years Old Avg Base Trade-in TMV 1 $30,344 2 $23,658 3 $19,172 TCI $4,141 Avg Equipped New TMV $27,329 Years Old Avg Base Trade-in TMV 1 $14,317 2 $12,479 3 $9,934 TCI $2,888 Avg Equipped New TMV $25,531 Years Old Avg Base Trade-in TMV 1 $15,005 2 $11,968 3 $9,133

$1,764 $25,446 Avg Base Trade-in TMV $15,642 $14,519 $11,924

MIDSIZE SUV

$2,248 $27,981 Avg Base Trade-in TMV $18,107 $16,353 $14,826

LARGE SUV

$5,677 $40,263 Avg Base Trade-in TMV $25,095 $23,093 $15,297

LUXURY SUV

$3,472 $48,209 Avg Base Trade-in TMV $33,001 $28,174 $22,272

MINIVAN

$1,624 $28,013 Avg Base Trade-in TMV $15,754 $14,106 $12,945

VAN

$2,138 $27,390 Avg Base Trade-in TMV $14,678 $11,574 $9,353

% CHANGE'08-'09 70.90% -0.62% -8.16% -4.77% -5.29% 59.80% -1.67% -4.68% -0.57% -4.49% 52.18% 8.71% -11.46% -2.05% 5.37% 62.77% -1.01% 7.25% 0.11% 4.94% 24.56% -0.78% 4.46% 16.90% 17.63% 32.85% 11.18% 0.73% 22.85% 8.11% -27.85% 3.13% 26.35% 26.71% 33.04% -40.06% 8.11% 5.92% 12.78% 7.84% -23.72% 1.32% 10.25% 21.21% 28.12% 9.89% 6.68% 25.40% 57.03% 10.69% -18.94% -3.04% 8.76% 19.09% 16.17% -60.78% 2.50% 10.04% 13.04% 30.31%

10 D

-25.97% 7.28% -2.18% -3.29% 2.41%

Edmunds.com's monthly True Cost of Incentives (TCI) report takes into account all of the manufacturers' various United States incentives programs, including subvented interest rates and lease programs as well as cash rebates to consumers and dealers. To ensure the greatest possible accuracy, Edmunds.com bases its calculations on sales volume, including the mix of vehicle makes and models for each month, as well as on the proportion of vehicles for which each type of incentive was used. TCI data (and other Edmunds.com data products) can be viewed industrywide, import vs. domestic, by country of origin, by make, by model and by segment. True Market Value (TMV) is the transaction price for vehicles.

1998

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A N N I V E R S A RY

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PRIME NLINE 2008

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UCN_16

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USED CAR NEWS

November 2, 2009

ACTUAL WHOLESALE AND PROJECTED RESIDUAL VALUES October 2009

Source: Black Book

2007

2006

Domestic Cars

Oct-08 Apr-09 Oct-09

Import Cars

Oct-08 Apr-09 Oct-09

Cadillac DTS 4D Sedan Lincoln Town Car Executive 4D Sedan Chrysler 300 Touring 4D Sedan Ford Mustang Base 2D Coupe Buick LaCrosse CX 4D Sedan Chevrolet Impala LS 4D Sedan Pontiac G6 Base 4D Sedan 4 Cyl Chrysler Sebring Base 4D Sedan Saturn Ion 2 4D Sedan Chevrolet Cobalt LS 4D Sedan Ford Taurus SE 4D Sedan

$21,450 $15,700 $15,300 $12,950 $12,400 $11,500 $10,900 $11,200 $9,600 $9,400 $9,150

Projected Figures

Oct-10

Oct-11

Domestic Cars

Oct-11

Import Cars

$18,250 $13,500 $13,050 $10,750 $10,550 $8,900 $8,100 $8,200 $7,400 $7,100 $7,550

$19,400 $13,600 $13,450 $11,300 $10,600 $8,900 $8,450 $7,800 $7,050 $6,650 $6,550

$15,250 $10,350 $10,900 $9,250 $8,300 $6,950 $6,500 $6,150 $5,650 $5,350 $5,250

Lexus LS 460 Base 4D Sedan BMW 3-Series 335i 4D Sedan Mercedes-Benz E Class E350 4D Sedan Lexus ES 350 4D Sedan Acura TL Base 4D Sedan Toyota Camry LE 4D Sedan Volkswagen Jetta Base 4D Sedan Nissan Altima S 4D Sedan Honda Accord LX 4D Sedan Nissan Altima Base 4D Sedan Toyota Corolla LE 4D Sedan Hyundai Sonata GLS 4D Sedan Nissan Sentra Base 4D Sedan Mitsubishi Galant ES 4D Sedan

$47,500 $40,600 $29,700 $25,700 $31,700 $25,200 $25,600 $23,600 $23,600 $20,100 $15,650 $12,850 $14,850 $11,600 $14,900 $12,700 $14,800 $12,600 $14,200 $12,000 $12,550 $9,550 $11,350 $8,500 $11,400 $9,000 $11,100 $8,500

$43,000 $25,800 $25,400 $23,000 $21,800 $13,250 $13,000 $12,400 $12,100 $11,700 $10,100 $9,000 $8,950 $8,300

$32,600 $26,500 $21,700 $18,400 $17,750 $14,700 $19,450 $16,250 $16,600 $13,600 $10,850 $9,550 $9,450 $8,150 $9,200 $7,850 $10,050 $8,750 $8,375 $7,375 $8,050 $6,900 $6,800 $5,300 $6,400 $5,425 $6,550 $5,525

Cadillac Escalade Base 4D Utility AWD BMW X3 4D SAV 3.0si Chevrolet Tahoe LS 4D Utility 4WD Cadillac SRX 4D Utility AWD V6 Toyota 4Runner SR5 4D Utility 4X4 V6 Honda Odyssey EX Wagon Toyota Tacoma Base Access Cab 4X4 V6 Jeep Wrangler Sahara 2D Utility 4WD Nissan Murano SL 4D Utility Honda Pilot LX 4D Utility 4X4 Ford Explorer XLT 4D Utility 4WD Chevrolet Silverado 1500 LT Ext Cab 4D Ford F150 XLT Supercab Chevrolet Colorado LT Crew Cab 4WD Z85 Jeep Grand Cherokee Laredo 4D Utility 4WD Honda CR-V LX 4D Utility at Ford Escape XLT 4D Utility 4WD Chevrolet Trailblazer LS 4D Utility 4WD Saturn VUE Base 4D Utility FWD V6 Dodge Dakota SLT Club Cab Chevrolet Equinox LS 4D Utility FWD Mitsubishi Outlander LS 4D Utility

$30,800 $25,950 $20,175 $19,100 $17,050 $17,300 $17,050 $15,850 $16,600 $14,900 $13,925 $13,850 $13,025 $16,400 $13,100 $14,600 $13,775 $12,175 $12,650 $10,600 $10,600 $11,500

$35,200 $24,300 $23,575 $20,400 $19,800 $19,000 $18,050 $17,850 $17,300 $16,500 $15,850 $15,550 $15,375 $15,000 $14,600 $14,200 $14,000 $12,900 $11,450 $11,375 $11,300 $10,700

$27,100 $23,500 $19,900 $17,300 $18,650 $14,950 $15,600 $13,100 $17,300 $14,850 $14,300 $12,300 $15,650 $14,000 $13,800 $12,300 $14,200 $12,700 $12,750 $10,850 $12,575 $9,175 $13,375 $11,425 $12,000 $10,525 $12,800 $11,800 $12,175 $9,625 $11,250 $9,750 $10,900 $9,250 $9,850 $8,700 $9,100 $8,000 $9,500 $7,850 $9,000 $7,200 $8,150 $7,050

Trucks

Oct-08 Apr-09 Oct-09 $33,200 $22,800 $22,575 $21,000 $18,400 $15,450 $17,850 $15,250 $16,100 $15,100 $14,725 $14,450 $14,275 $14,900 $13,150 $13,700 $12,000 $12,475 $10,200 $9,625 $10,400 $10,200

Oct-10

Oct-10

$12,650 $8,450 $9,250 $7,850 $6,800 $5,450 $5,200 $4,800 $4,800 $4,250 $4,200

Oct-11

Cadillac DTS 4D Sedan Chrysler 300 Touring 4D Sedan Lincoln Town Car Executive 4D Sedan Ford Mustang Base 2D Coupe Buick LaCrosse CX 4D Sedan Chevrolet Impala LS 4D Sedan Pontiac G6 Base 4D Sedan 4 Cyl Saturn Ion 2 4D Sedan Chevrolet Cobalt LS 4D Sedan Ford Taurus SE 4D Sedan Dodge Stratus SXT 4D Sedan

Chrysler 300 Touring 4D Sedan Cadillac DeVille Base 4D Sedan Ford Mustang Base 2D Coupe Lincoln Town Car Executive 4D Sedan Buick LaCrosse CX 4D Sedan Chevrolet Impala LS 4D Sedan Saturn Ion 2 4D Sedan Pontiac Grand Am SE 4D Sedan Ford Taurus SE 4D Sedan Chevrolet Cavalier LS 4D Sedan Dodge Stratus SXT 4D Sedan

Projected Figures

Oct-10

$15,450 $11,550 $10,200 $9,850 $8,900 $7,100 $6,850 $6,050 $5,400 $5,350 $4,900

$12,650 $9,250 $8,450 $7,850 $6,800 $5,450 $5,200 $4,800 $4,250 $4,200 $3,650

$10,350 $7,700 $6,750 $6,550 $5,450 $4,300 $4,000 $4,000 $3,350 $3,350 $2,850

Lexus LS 430 4D Sedan Mercedes-Benz E Class E350 4D Sedan BMW 3-Series 330i 4D Sedan Acura TL 4D Sedan Lexus ES 330 4D Sedan Volkswagen Jetta Base 4D Sedan 2.0T Honda Accord LX 4D Sedan Toyota Camry LE 4D Sedan Nissan Altima S 4D Sedan Nissan Altima Base 4D Sedan Toyota Corolla LE 4D Sedan Hyundai Sonata GLS 4D Sedan V6 Mitsubishi Galant ES 4D Sedan Nissan Sentra Base 4D Sedan

$28,000 $22,400 $22,000 $19,800 $19,000 $15,350 $13,200 $12,600 $12,200 $11,500 $11,100 $9,950 $9,400 $8,300

$23,800 $24,900 $19,200 $20,000 $19,200 $19,100 $16,500 $18,000 $16,700 $16,600 $11,700 $13,200 $10,800 $10,500 $9,950 $10,200 $10,100 $9,650 $9,400 $8,950 $8,250 $8,800 $7,350 $7,900 $6,900 $6,850 $5,900 $6,150

$20,000 $14,700 $14,450 $13,600 $13,350 $9,500 $8,700 $8,400 $7,750 $7,125 $6,900 $6,100 $5,475 $4,100

$16,400 $12,100 $12,200 $11,000 $10,750 $8,100 $7,500 $7,100 $6,350 $5,725 $5,900 $4,850 $4,700 $3,650

Cadillac Escalade Base 4D Utility AWD BMW X3 4D SAV 3.0i Toyota 4Runner SR5 4D Utility 4X4 V6 Chevrolet Tahoe LS 4D Utility 4WD Toyota Tacoma Base Access Cab 4X4 V6 Cadillac SRX 4D Utility AWD V6 Nissan Murano SL 4D Utility Honda Odyssey EX Wagon Jeep Wrangler Sport 2D Utility 4WD Honda Pilot LX 4D Utility 4X4 Chevrolet Colorado LT Crew Cab 4WD Z85 Ford Explorer XLT 4D Utility 4WD Ford F150 XLT Supercab Jeep Grand Cherokee Laredo 4D Utility 4WD Chevrolet Silverado 1500 LS Ext Cab 4D Honda CR-V LX 4D Utility at Ford Escape XLT 4D Utility 4WD Chevrolet Trailblazer LS 4D Utility 4WD Dodge Dakota SLT Club Cab Saturn VUE 4D Utility FWD V6 Chevrolet Equinox LS 4D Utility FWD Dodge Grand Caravan SE Wagon

$20,200 $20,200 $15,325 $13,975 $15,100 $15,200 $14,700 $15,200 $13,100 $12,900 $14,800 $11,325 $11,275 $11,375 $10,425 $12,550 $11,975 $9,725 $9,125 $10,950 $8,550 $8,325

$20,700 $18,400 $16,775 $15,075 $15,650 $15,400 $14,500 $13,200 $11,550 $12,600 $13,000 $12,000 $11,675 $11,350 $10,875 $11,000 $9,600 $9,925 $8,250 $8,900 $8,175 $6,675

$22,400 $18,600 $17,775 $17,175 $16,350 $16,100 $15,500 $15,400 $14,150 $13,600 $13,300 $13,075 $12,425 $12,350 $11,775 $11,200 $11,125 $11,100 $9,575 $9,550 $9,300 $7,675

$16,500 $16,100 $14,850 $13,850 $14,000 $12,100 $12,100 $11,100 $11,125 $10,800 $11,500 $9,100 $10,550 $9,750 $10,150 $9,400 $9,150 $8,500 $7,800 $7,175 $7,200 $6,650

$14,000 $13,500 $12,400 $10,875 $12,325 $9,800 $10,850 $9,500 $9,925 $9,000 $10,350 $7,325 $9,475 $8,150 $8,800 $8,200 $7,700 $7,650 $6,800 $6,275 $5,800 $5,750

Oct-10

Trucks

Oct-08 Apr-09 Oct-09

Oct-08 Apr-09 Oct-09

Oct-11

Import Cars

Oct-08 Apr-09 Oct-09

Trucks

Oct-08 Apr-09 Oct-09

Lexus LS 430 4D Sedan Mercedes-Benz E Class E320 4D Sedan BMW 3-Series 330i 4D Sedan Acura TL 4D Sedan Lexus ES 330 4D Sedan Honda Accord LX 4D Sedan Toyota Camry LE 4D Sedan Nissan Altima S 4D Sedan Volkswagen Jetta GLS 4D Sedan Nissan Altima Base 4D Sedan Toyota Corolla LE 4D Sedan Mitsubishi Galant ES 4D Sedan Nissan Sentra Base 4D Sedan Hyundai Sonata GLS 4D Sedan V6

$23,600 $20,200 $19,300 $15,200 $17,700 $15,100 $16,800 $13,900 $15,800 $13,700 $11,650 $9,300 $11,000 $8,650 $10,500 $9,000 $11,300 $7,750 $9,800 $8,300 $9,800 $7,250 $7,800 $5,500 $6,700 $4,700 $6,550 $4,450

$21,500 $15,800 $15,200 $14,800 $13,900 $9,000 $8,900 $8,600 $8,200 $7,900 $7,600 $5,550 $4,950 $4,450

$16,400 $12,100 $12,200 $11,000 $10,750 $7,500 $7,300 $6,350 $6,350 $5,725 $5,900 $4,525 $3,650 $3,800

Cadillac Escalade Base 4D Utility AWD Toyota Tacoma Base Access Cab 4X4 V6 BMW X3 4D SAV 3.0i Toyota 4Runner SR5 4D Utility 4X4 V6 Chevrolet Tahoe LS 4D Utility 4WD Nissan Murano SL 4D Utility Cadillac SRX 4D Utility AWD V6 Honda Odyssey EX Wagon Jeep Wrangler Sport 2D Utility 4WD Chevrolet Colorado LS Crew Cab 4WD Z85 Ford F150 XLT Supercab Honda Pilot LX 4D Utility 4X4 Jeep Grand Cherokee Laredo 4D Utility 4WD Chevrolet Silverado 1500 Base Ext Cab 4D Honda CR-V LX 4D Utility at Ford Explorer XLT 4D Utility 4WD Dodge Dakota SLT Club Cab Chevrolet Blazer LS 4D Utility 4WD Ford Escape XLT 4D Utility FWD Chevrolet Equinox LS 4D Utility FWD Saturn VUE 4D Utility FWD at Mitsubishi Outlander LS 4D Utility

$16,250 $13,825 $17,400 $13,425 $12,175 $13,000 $12,800 $12,500 $10,975 $13,650 $9,800 $10,400 $10,025 $8,500 $11,200 $9,025 $7,700 $8,850 $9,800 $7,250 $7,700 $7,500

$18,875 $15,025 $14,600 $14,575 $14,075 $13,400 $12,500 $12,100 $12,000 $11,525 $10,600 $10,150 $10,050 $9,300 $9,200 $9,125 $7,900 $7,575 $7,525 $7,075 $6,200 $6,100

$13,950 $11,650 $12,300 $11,050 $13,100 $10,900 $12,400 $10,850 $10,875 $9,300 $10,300 $9,250 $10,000 $8,200 $9,200 $8,100 $10,100 $9,025 $10,700 $9,375 $9,475 $8,450 $8,050 $6,850 $8,275 $6,725 $7,900 $6,850 $8,100 $7,050 $7,300 $6,025 $6,725 $5,750 $5,825 $5,075 $6,750 $5,325 $5,800 $4,625 $4,575 $3,775 $5,150 $4,200

Oct-08 Apr-09 Oct-09

Oct-08 Apr-09 Oct-09 $16,900 $14,575 $14,600 $13,875 $12,775 $12,500 $12,000 $10,550 $10,000 $11,850 $10,350 $9,700 $9,725 $9,150 $9,650 $8,625 $7,250 $7,725 $7,400 $6,650 $5,850 $6,200

$7,700 $6,550 $6,600 $6,750 $5,450 $5,950 $4,000 $3,400 $3,250 $3,000 $2,850

Domestic Cars

$9,600 $8,750 $8,450 $8,300 $7,550 $6,450 $5,100 $4,450 $4,250 $3,950 $3,850

Trucks

Oct-08 Apr-09 Oct-09

Oct-11

$9,950 $9,750 $8,050 $8,600 $7,500 $7,300 $5,550 $4,950 $5,000 $4,450 $4,750

Import Cars

Oct-11

$15,050 $11,500 $10,600 $9,350 $8,950 $7,400 $6,800 $6,450 $5,900 $6,200 $5,900

Oct-10

Oct-10

Oct-11

Oct-11

2004

Oct-08 Apr-09 Oct-09 $12,100 $12,250 $10,250 $10,500 $9,300 $9,250 $7,550 $6,700 $6,300 $5,850 $6,250

Projected Figures

Oct-10

$17,950 $13,650 $12,600 $11,550 $10,800 $9,750 $9,500 $8,550 $8,150 $7,650 $7,550

2005 Domestic Cars

Oct-08 Apr-09 Oct-09

Oct-10

Oct-10

$6,200 $5,150 $5,350 $5,550 $4,250 $4,500 $3,250 $2,700 $2,550 $2,350 $2,150

$13,200 $9,850 $10,150 $8,800 $8,600 $6,300 $6,100 $5,650 $4,950 $4,975 $5,050 $3,675 $3,250 $3,200

Oct-11

Lincoln Town Car Executive 4D Sedan Cadillac DeVille Base 4D Sedan Ford Mustang Base 2D Coupe Chevrolet Impala LS 4D Sedan Chrysler 300M Base 4D Sedan Saturn Ion 2 4D Sedan Pontiac Grand Am SE 4D Sedan Ford Taurus SE 4D Sedan Chevrolet Cavalier LS 4D Sedan Ford Taurus LX 4D Sedan Dodge Intrepid SE 4D Sedan Lexus LS 430 4D Sedan Mercedes-Benz E Class E320 4D Sedan BMW 3-Series 330i 4D Sedan Acura TL 4D Sedan Lexus ES 330 4D Sedan Honda Accord LX 4D Sedan Toyota Camry LE 4D Sedan Nissan Altima S 4D Sedan Volkswagen Jetta GLS 4D Sedan Toyota Corolla LE 4D Sedan Nissan Altima Base 4D Sedan Mitsubishi Galant ES 4D Sedan Nissan Sentra Base 4D Sedan Hyundai Sonata Base 4D Sedan V6 Cadillac Escalade Base 4D Utility AWD Toyota Tacoma Base Xtra Cab 4X4 V6 BMW X3 4D SAV 3.0i Toyota 4Runner SR5 4D Utility 4X4 V6 Nissan Murano SL 4D Utility Chevrolet Tahoe LS 4D Utility 4WD Jeep Wrangler Sport 2D Utility 4WD Cadillac SRX 4D Utility AWD V6 Ford F150 XLT Supercab Honda Odyssey EX Wagon Chevrolet Silverado 1500 Base Ext Cab 4D Honda Pilot LX 4D Utility 4X4 Ford Explorer XLT 4D Utility 4WD Honda CR-V LX 4D Utility at Jeep Grand Cherokee Laredo 4D Utility 4WD Dodge Dakota SLT Club Cab Ford Escape XLT 4D Utility FWD Chevrolet Blazer LS 4D Utility 4WD Dodge Grand Caravan SE Wagon Mitsubishi Outlander LS 4D Utility Saturn VUE 4D Utility FWD at Ford Freestar Vans S 4D Wagon

Projected Figures $5,550 $5,150 $3,950 $4,500 $3,850 $3,250 $2,700 $2,550 $2,350 $2,450 $1,850

Oct-11

$8,900 $10,200 $6,950 $7,800 $7,950 $6,400 $5,600 $5,100 $4,850 $4,600 $4,350

$7,500 $7,950 $5,500 $6,100 $5,850 $4,700 $4,050 $4,050 $3,650 $3,650 $3,300

$7,150 $7,100 $5,450 $5,400 $5,150 $4,250 $3,650 $3,550 $3,200 $3,150 $2,550

$19,800 $16,400 $14,600 $14,200 $13,000 $10,200 $9,550 $9,200 $9,200 $8,550 $8,500 $6,200 $5,250 $4,750

$16,800 $13,400 $12,700 $11,500 $11,300 $8,000 $7,550 $8,000 $6,250 $6,300 $7,300 $4,600 $3,800 $3,350

$18,500 $13,800 $12,900 $12,000 $11,500 $7,800 $7,750 $6,800 $6,750 $6,500 $6,100 $4,375 $4,050 $3,300

$13,200 $9,850 $10,150 $8,800 $8,600 $6,500 $6,100 $5,675 $4,800 $5,050 $4,975 $3,725 $3,350 $2,500

$10,400 $8,000 $8,200 $7,000 $6,850 $5,400 $5,100 $5,100 $3,750 $4,300 $4,450 $2,925 $2,925 $2,050

$14,200 $12,375 $15,200 $11,225 $11,300 $10,550 $10,175 $10,600 $8,350 $10,550 $7,850 $8,500 $7,700 $9,800 $7,875 $6,750 $8,725 $6,475 $5,675 $6,300 $6,250 $4,300

$13,800 $12,675 $12,400 $11,625 $10,800 $10,000 $9,000 $9,400 $8,800 $8,800 $7,850 $7,700 $6,900 $8,100 $7,500 $6,375 $6,225 $5,650 $4,425 $5,200 $4,375 $3,750

$14,875 $13,050 $12,800 $12,275 $11,300 $11,000 $10,650 $10,100 $9,150 $8,600 $8,000 $7,750 $7,625 $7,550 $7,425 $7,075 $6,225 $5,225 $5,125 $5,100 $4,675 $3,700

$11,550 $10,475 $10,800 $10,850 $9,075 $9,300 $8,900 $8,400 $8,050 $7,075 $6,975 $5,650 $6,000 $6,550 $6,550 $5,250 $5,325 $4,450 $4,350 $4,150 $3,600 $3,050

$9,850 $9,000 $8,900 $8,950 $7,950 $7,550 $7,875 $7,000 $7,175 $6,050 $6,275 $4,700 $5,050 $5,400 $5,250 $4,675 $4,275 $3,875 $3,775 $3,400 $3,000 $2,500

Oct-10

Oct-10

$4,350 $4,100 $3,050 $3,250 $3,200 $2,650 $2,100 $2,000 $1,800 $1,900 $1,450

Oct-11

Oct-11

10/27/09

4:22 PM

Page 1

USED CAR NEWS

November 2, 2009

â&#x20AC;˘

17

CLASSIFIEDS

Advertisers are solely responsible for content of classified advertisements. To place an ad, or for more information, call the Classified Department: 800-794-0760 AFTERMARKET PRODUCTS

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UCN_17

7KH )UDQFKLVH :LWKRXW 7KH )DFWRU\ %8< %/8(

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Call Paul Cantin,508-493-2797 or big@paulcantin.com CHICAGO Based Wholesale - rep,experienced, will travel IL, IN, MI, WI. Tom, 773-593-4578 chgotom@gmail.com DEALER SERVICES

Â&#x160;

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ZZZ 7KULIW\&DU6DOHV FRP IUDQFKLVH

Š 2009 Thrifty Car Sales, Inc. Thrifty Car Sales is a trademark of Thrifty, Inc. All rights reserved. 5310 E. 31st Street, Tulsa, OK 74135. This advertisement is not an offer to sell in any registration state until the offering has been exempted from the requirements of registration or declared effective by such state. NEW YORK: This advertisement is not an offering. An offering can only be made by a prospectus filed first with the Department of Law of the State of New York. Such filing does not constitute approval by the Department of Law. MNREG#F-5378.

BUYERS WHOLESALE BUYER -REP 30 yrs exp. South Fl based.

Will travel, references avail.

Call Michael P. 954-445-6589 Buy, Sell, pre-check your Vehicles at FL Auto Auctions.

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Call Steve 561-262-3008 or 866-716-2886.

References Avail. STEKRA@AOL.COM

AIR BAGS Foreign & Domestic All Makes & Models â&#x20AC;˘ Buy & Sell We Ship Daily Anywhere in the Continental United States

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Block test kits also available. www.RxAuto.com 866-780-9038 ATTN: NEW TO THE MARKET! 3/3 VSC starting @ $55; GAP 125% starts @ $119.

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www.YourCarLot.com FACILITIES FOR SALE

MOVE TO FLORIDA. Used car lot BHPH with strong book.

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Great location.

Includes much,much more. 863-453-7673

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CURRENTLY LICENSED IN: IA, IL, IN, KS, MI, MN, MO, NE, OH, PA, SD, and WI PH: 888.874.7579 FAX: 763.559.7549 WEB: www.securityal.com FACILITIES FOR SALE Used Car Lot For Sale, Est 25 years. Showroom, Bays, Lifts, Turnkey. $550,000.

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VEHICLES WANTED

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VEHICLES WANTED AUTO WHOLESALERS. We need inventory. Successful Used Car Dealer, 30 years in business, central MA area, seeks successful wholesale buyers. Consign your vehicles here or sell them to us. Call Frank or Jack, 508-853-9254

303-287-9797

YOU CAN PLACE YOUR AD IN THIS SECTION FOR AS LITTLE AS $50!

Place a 4 line ad today and it will appear in 4 issues for a total cost of $50.00 - $12 for each additional line

Call Marie Hingst today 800-794-0760 Email: marie@ usedcarnews.com or Fax: 586-772-9400

ALL CLASSIFIED ADS APPEAR ONLINE AT WWW.USEDCARNEWS.COM

UCN_18

10/27/09

18

•

5:35 PM

Page 1

USED CAR NEWS

November 2, 2009

Disconnected Jottings From Tony Moorby...

An old Chinese proverb suggests that it is better to light a candle than curse the darkness. How often we struggle with what we have, than do something to improve it. An obvious reference to education, I think.

I was at the Tennessee Motor Ve h i c l e Commission’s most rec e n t meeting this week and the subject of education came up at the end of their formal agenda.

Now, these are all very intelligent and well-meaning people, but they seem to be a little disinterested in a subject that deserves more attention.

The commission is currently made up of new car dealers, I think four consumers and an executive director, an ex-new-car dealer. These members are invited to the commission by gubernatorial nomination; an honor, indeed. The nominations are, by Tennessee regulation, submitted to the governor by

the executive director of the Tennessee Automotive Association, the NADA affiliate for our state. It’s pretty much a ‘rubber stamp’ from there. Unfortunately, there’s ne’er a used-car dealer, wholesaler or auction operator in sight. Purely in terms of economic impact, there’s an imbalance here.

For the last two years, the Tennessee Independent Automobile Dealers Association’s executive director has tried to get pre-licensing education in place before a dealer gets a license.

Georgia has it, the Carolinas have it, Florida, Mississippi and so on.

There’s not even a requirement that new-car dealers have to undergo these rigors on the assumption that sufficient training will be given to new hires by their employers. Existing dealers would be “grandfathered” in without need for any courses to renew a license.

There’s a supreme irony here. The commission is overloaded with complaints from consumers and other dealers, both new and used.

Complaints about conduct, advertising practices,

scams, and misunderstandings, all needing adjudication by these folks. At the current rate of progress, the commission will be mired in these cases at an increasing rate. And too many of these cases are spawned from mere ignorance of the laws and regulations of the state. It strikes me that, over time, the state may enjoy an economic advantage and save some money if they supported this effort as better-educated dealers would make fewer mistakes or be more keenly aware of the penalties for malpractice.

It stands to reason, at least to me, that people willing to go through the tests of education will make better and more-determined dealers when they’re finished, even perhaps well educated enough to get through tough times. All you need right now is a few dollars, a meager facility, a phone and you’re off to the races, with the ability to fleece as many unwary consumers as may beat a path to your door.

The amount of economic damage one could inflict on a consumer is outrageous, let alone potentially dangerous. One of my daughters, a

hairdresser and beautician, had to have at least 1,500 hours of education, costing with accommodation about $13,000, before being examined by various state boards of control and being let loose on the population.

Heaven forefend she should break someone’s nail!

On the subject of fees for this program, there exists a certain cynicism about how they’d be paid, to whom and how much. There’s an assumption that someone’s up to a ‘get-rich-quick’ scheme.

The Tennesee IADA’s position is that they could conduct the courses (like many other states) or the courses could be given by technical colleges or the like, where the state could earn the revenues. I know that the association has already invested about $7,500 of its own money, believing in the veracity of this endeavor.

Strangely enough, this could be enacted into legislation without the necessity of support from the Motor Vehicle Commission, but it would sure put some grease under the skids in the legislature if there was livid and glowing evidence of their

whole-hearted backing. All the commission has to do is call their counterparts in neighboring states for a quick education.

Some in the legislature

think that we shouldn’t have any barriers whatsoever, to getting into business in this state. I’m a conservative but that smacks of a bunch of twad-

AUCTION CALENDAR

Advertisers are solely responsible for content of classified advertisements. To place an ad, or for more information, call the Classified Department: 800-794-0760

NOVEMBER 3 Manheim Georgia, Atlanta, GA *S Manheim Arena, Bolingbrook, IL *S NOVEMBER 4 Manheim Dallas, Dallas, TX * S Southern Auto Auction, E. Windsor, CT *S NOVEMBER 5 Manheim Gr. Nevada, Las Vegas, NV +S NOVEMBER 6 Manheim Gr. Nevada, Las Vegas, NV *S Manheim Pennsylvania, Manheim, PA+S NOVEMBER 10 Manheim Orlando, Winter Garden, FL *S ADESA Kansas City, Belton, MO *S ADESA Minneapolis, Dayton, MN *S NOVEMBER 11 Greensboro Auto Auction, Greensboro, NC *S Columbus Fair Auto Auction, Columbus, OH *S Manheim South Seattle, Kent, WA *S

NOVEMBER 13 Manheim Pennsylvania, Manheim, PA+S NOVEMBER 17 Manheim Georgia, Atlanta, GA *S Manheim Arena Illinois, Bolingbrook, IL * S Manheim Colorado, Commerce City, CO* S NOVEMBER 18 Manheim Dallas, Dallas, TX * S ADESA Phoenix, Chandler, AZ * S Southern Auto Auction, E. Windsor, CT *S NOVEMBER 19 Manheim Houston Hobby, Houston, TX * S NOVEMBER 20 Manheim Gr. Nevada, Las Vegas, NV *S Manheim Pennsylvania, Manheim, PA+S NOVEMBER 24 Manheim Orlando, Winter Garden, FL *S * - Open S - Simulcast + - Closed

C R O S S WO R D

by Myles Mellor

Across 1. _____ Firedome 6. _____ Gazelle 11. Knowledgeable about (2 words) 12. Old Dodge model 13. Hyundai GLS, SE or Touring 15. Atlanta’s state 18. Compact crossover SUV from Honda 19. Car whose name comes from a French word meaning chivalrous 21. Advertised charge for a product (2 wds.)

23. In reserve 25. Africa, abbr.

27. Word used before a vowel 28. ______ Spitfire 31. Dolphins’ home 32. Spurs city initials 33. ______ Alpine 35. Last word of a car and a Clint Eastwood movie 38. Foolish talk 40. Excalibur ____ 44. Spray again 48. Scandinavian country 50. Expression of relief

Answers from the 10/19/09 puzzle

51. ____ Country Club 8 52. VW model Down 1. ______ Demon 2. Former Formula 1 Champion, John ____ 3. Choose, a car for example 4. Back __ back 5. “The loneliest number” 7. Many, many years 8. Civic competitor 9. Finish

10.

14.

16.

17.

19.

20.

21.

22.

24.

26.

29.

30.

Volvo rival Used car home Oldest off-road vehicle brand Nissan’s luxury car Shines Things on rings Grand prix car Upholstery problem “Gunsmoke” bartender Alfa Romeo is part of this group Saturn model Great conductor

Answers to this puzzle in the 11/16/09 issue. Call 1.800.794.0760 for a FREE subscription.

34.

36.

37.

39.

41.

42.

43.

45.

46.

47.

49.

Bird that mimics Genetics lab study Halloween mo.

Press guy Furthermore VW coupe convertible Control Break bread ___ Beta Kappa Note, abbr.

Greeting

UCN_19 REVISED

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USED CAR NEWS

Buy-Here, Pay-Here

November 2, 2009

•

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!"#$%&'&( )*#$%&'& Spotlight Issue

The page number of each advertisement is provided first, followed by the page number of the company-provided advertorial article.

Auto Manager.......................................................................................... 23, 25 Automotive Finance Corporation ............................................................ 26, 29 Autosave .................................................................................................. 26, 26 CalAmp Data Com ................................................................................... 23, 23 Car Financial Services, INC...................................................................... 22, 22 Elcometer ................................................................................................ 29, 29 Frazer Computing ................................................................................... 28, 28 Goldstar .................................................................................................. 25, 24 IMetrik ..................................................................................................... 20, 20 LMN & Associates (On Time) ................................................................... 29, 19

SKY Watch GPS Eight Years in the GPS Industry SKYWatch GPS, after eight years in the payment protection industry, is proud to announce the release of its second generation of GPS. According to Patricia Blanke, President and CEO, the release of this new unit will change the GPS options for the most important factor in the industry.

“Our main focus has been and always will be the buy-here, pay-here dealers,” Blanke emphasized. “During the last year as the whole auto industry struggled, we were right there sweating along with our customers. Our prayers, good wishes and a word of encouragement meant more to us than making a quick dollar.”

Blanke continued, “Our relationships mean the world to us, and we changed our business to accommodate our buy-here, payhere customers and help them through these tough times.”

The new unit will be tailored for those customers who need to be able to locate their assets without paying excessive fees for airtime and locates.

At SKYWatch, an “on demand” subscription plan is now available.

In this changing industry, SKYWatch stays strong and steady with superior service, products and customer service.

For more information please call SKYWatch GPS at 800-501-5200, or visit www.skywatchgps.com .

Northland................................................................................................. 24, 25 Passtime................................................................................................... 21, 22 Payteck Technologies............................................................................... 27, 27 Results at Last (Auto Raptor)................................................................... 30, 30 SKYWATCH ............................................................................................... 29, 19 Tax Refund Services ................................................................................. 30, 30 United Acceptance................................................................................... 19, 20 Vehicle Acceptance .................................................................................. 28, 28 Warranty Administration Services........................................................... 24, 25 Dealer Financing Market Has Powerful Ally A successful midwest company has figured out the subprime industry.

“We’ve changed the face of used car buying,” said Don Elleman, president of LMN & Assoc. “We are the premier distributor of the most complete payment protection system available.”

“We’ve always known that dealers who self-finance have made money, but they needed the assurance they could get deeper into the car market.”

OnTime’s device was the technology Elleman needed to help dealers secure payment “Customers make their payment or they don’t drive,” says Elleman.

In 2000, Elleman teamed with OnTime, the only patented starter interrupt device on the market. It turns

credit challenged customers into paying customers. Together with his son Chris, Elleman has stayed ahead of ever changing needs of the automotive industry. Chris serves as national technical support and lead consultant on the corporate technical board.

“We are seeing our dealers evolve from traditional buy-here, pay-here operations to more sophisticated businesses, providing better cars and improved loan administration,” said Elleman.

LMN has invested heavily in product development and a Web site. Partnering with online credit card services helps dealers lower administration costs.

LMN provides real solutions to real problems. Call 816-898-8295 or visit www.lmnassociates.com.

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USED CAR NEWS

Introducing iMetrik-Collect United Acceptance, Inc. iMetrik Solutions Inc. a global leader tor of collection risk. in embedded wireless solutions, an“Collection managers are challenged Unlike any other Company nounced it is broadening its sub-prime to reduce operating costs, maximize auto finance portfolio with the introduction of “iMetrik-collect”.

This enhanced solution enables lenders to significantly reduce collections costs by managing their accounts more efficiently, which can increase payments and help lower their remarketing costs. “iMetrik-collect” offers auto finance companies and buy-here, pay-here car dealerships the ability to track their collateral by utilizing the latest version of the “iMetrik-collect” web-based software and GPS modems running on iMetrik’s wireless network. “iMetrik-collect” provides an ondemand, Loan Collection & Recovery (LCR) solution that integrates GPS, wireless data communications, and a standard web browser software or application integration using XML and web services interface into a solution that helps manage loan servicing, collection, and asset recovery. “iMETRIK-collect” now offers lenders an enhanced user interface with improved grouping and scheduling views and data integration capabilities allowing for more information at the lender’s fingertips.

Additionally, the new system features network registration data to ensure connection is stable with the collateral eliminating the need to send time consuming daily locate commands.

The system features a power loss alert which is a critical alarm when the power supply is suddenly removed by tampering with the device, an early indica-

efficiencies and minimize charge-offs,” said Guy Chevrette, CEO, iMetrik Solutions. “iMetrik-collect helps remove the complexity by providing a single interface to help deliver the latest tools and technology to manage the collection and recovery process, ultimately resulting in better business results for lenders, borrowers and service partners.” iMetrik Solutions Inc. is a global leader in embedded wireless solutions that enables companies to reduce cost and increase control of remote assets.

The company designs and manufactures compact devices with more processing power and faster wireless connectivity.

Customers access the company’s solutions through Internet-based web applications and reports using an open standards architecture, which easily integrates customer information systems for ease of usage and instant data access.

The company acts as a wireless carrier or mobile virtual network operator (MVNO) to complete its end-to-end quality delivery model. iMetrik provides logistic support, customer care, installation and wireless network monitoring and tracking. iMetrik was named one of the top 100 machine-to-machine (M2M) technology providers of importance and influence for 2009 by M2M magazine and was the winner of the 2009 Global Telecoms Business (GTB) award for Business Service Innovation.

United Acceptance, Inc., (UAI) was formed in September 1991 in Atlanta, Georgia, for the purpose of purchasing automobile installment sales contracts (bulk receivables) from used car dealerships that have a buy-here, pay-here operation as well as captive and independent automobile finance companies.

UAI is a nationwide cash flow solution provider servicing dealers by providing a local presence and outstanding customer service. UAI has the staying power to fit your current and future needs.

Under today’s current economic challenges we have found strong value in providing face to face interaction with our dealers to fully understand their growing needs.

We have seen an industry trend where inventory prices are higher, coupled with a significant slowdown in the point of sale financing market. This tightening has challenged dealers to extend their terms to fit the needs of the market and has increased the importance of products that protect their assets (SID, GPS, insurance tracking systems).

One of the biggest challenges today is trying to change with the industry and finding the capital to do

it. UAI understands this trend and is here to help with your cash flow needs. We are able to provide outstanding customer service to both dealers and customers.

We have partnered with dealers and finance companies in 39 states.

If you have a need for capital, please call us today for a free quote.

We have local representation that can consult with you to find a solution for getting the capital that you need.

Lastly, we are the industry leader in buy here pay here financing.

Outstanding customer service,

excellent staying power, local representation with strong buy-here, pay-here experience, very competitive pricing, and strong management are just a few reasons why you should partner with United Acceptance, Inc. There is no other company like United Acceptance, Inc. and you will understand why after becoming our partner.

Please contact Doug Pitcher, National Sales Manager to find out more about our programs at 888951-9512 Ext. 1856.

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USED CAR NEWS

CAR Financial Has a Program Technology Provides Solution To This Troubled Economy To Meet All Your Needs CAPITAL

While the recent turmoil in the capital markets has made access to capital more difficult for the buy-here, payhere industry, CAR Financial Services, Inc. (“CAR”) wants dealers to know that we continue to be well positioned to support our dealers’ short and long term capital needs. Our focus has been specific to the buy-here, pay-here marketplace, and we have a comprehensive suite of services designed to support our dealers, through the infusion of capital.

Whether you are new to the buy-here, pay-here business or you are looking to expand your current buy-here, pay-here operations, CAR Financial Services can design a program to meet your capital and cash flow needs!

EXPERIENCE

We have a proven track record of over 20 years in this industry and we can help you survive these difficult economic times by customizing a purchase/service program that meets your needs. We provide quality service through a single dealer point of contact located near your dealership. This point of contact understands your day to day business and can structure a program designed to meet your long term goals and objectives.

PERFORMANCE

With the exodus of many lenders who provided capital to this industry the last 2-3 years, we at CAR believe that the buy-here, pay-here industry is poised to return to a more profitable level through the adaptation of a more traditional deal structure. Today we see better underwriting, a more compliant deal structure (in regards to down payment and term) and increased demand for capital in the surviving businesses.

The return to the more traditional buy-here, pay-here model, one which is priced more consistently with the risk associated with our target consumers will be a primary component in the future success of this market segment and the companies within it.

Whether purchasing a stream of payments, purchasing all or part of your accounts outright, or simply servicing your buy-here, pay-here accounts, we are interested in working with you to meet your dealership needs.

CAR services both independent automotive dealers and automotive subprime financial organizations.

CAR operates in 45 states and is continually evolving our programs to meet the ever changing needs of those we serve.

Our strengths lie with our experienced and professional employees, our dedication to technology and a tradition of over 25 years of quality service

In today’s economy, with rising unemployment rates and falling credit scores, where does a buy-here, pay-here dealer turn to help manage all these factors and still be successful? One place you might not think to look is Payment Assurance Technology. That’s right, technology. And while that may not seem like the answer you were looking for, solutions like Payment Assurance Technology could be exactly what you need to keep your business profitable during difficult times.

Pa s s T i m e U S A , a Pa y m e n t Assurance Technology company, has been providing products and solutions to the Subprime Automotive Market for nearly two decades. As a key contributor to the industry, PassTime USA understands the major factors that contribute to success in the buy-here, pay-here marketplace.

“Payment Assurance Solutions are about reducing risk,” says Stan Schwarz, founder and CEO of PassTime USA. “When lending to subprime customers, risk is the biggest factor. If you can adequately manage risk, you are going to be successful and that’s what payment assurance devices are all about.”

As an innovator in the industry, with products like the PassTime Plus and PassTime Elite, PassTime USA supplies collection tools to buy-here, pay-here Dealers nationwide to help

them successfully minimize their risk. PassTime USA understands the buy-here, pay-here arena and their products and services are specifically designed to move your dealership in the right direction.

So, just how do these Payment Assurance Solutions help lenders be successful? Essentially, they are collection tools that help reduce defaults and delinquencies on vehicle loans.

When a Payment Assurance Device is used as a condition of the loan, the risk of that customer defaulting (on the loan) drops significantly. The by-product of reduced delinquencies and late payments is another key factor to success: cash flow. Payment Assurance Devices have been shown to help increase cash flow for lenders because more consumers pay, and pay on time.

Technology might not be your first thought in finding solutions in uncertain times, but improved delinquencies and additional cash flow can be just what a buy-here, pay-here dealer needs to weather the storm.

For additional information on how PassTime can create successful business solutions for your dealership please contact PassTime at info@passtimeusa.com or 877-PASSTIME.

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USED CAR NEWS

Buy-Here, Pay-Here

CalAmp Offers Technology to Protect Mobile Assets With today’s economy stretching consumers to the default point, buy-here, pay-here dealers and auto finance companies need better ways to protect their investments. One method that’s proving its worth combines automated payment reminders, around-the-clock GPS satellite tracking, starter-disable, and Internet monitoring/control of assets.

“CalAmp/Aercept offers the option of integrating one or all of these features in a premium, customized service that allows lenders to deliver payment reminders to borrowers, see where their vehicles are and repossess them when necessary,” said Kevin Christensen, CalAmp’s Senior Director of Business Development and Marketing and PATA board member.

However, cautions Christensen, there are so many late payment quick fixes and pseudo solutions these days, it’s “lender beware”.

What should a lender look for in a financed-vehicle protection system?

Here are Christensen’s top five tips: 1. Find an experienced, dependable partner that designs, develops, builds and stands behind the entire product – hardware, software, Web application, and the critical 24/7/365 customer service. Does yours?

2. Ask about quality – is your vendor ISO 9001 certified? Does the hardware meet Society of Automotive Engineers (SAE) requirements?

3. A Web-based service is only as reliable as the host. Where are the network operations center servers located? Are there back-ups?

4. Just what does 24/7/365 service mean – a voice-mail/e-mail “I’ll get back to you” system? Or a live, specially trained service technician on the other end of the phone?

5. Canada and Mexico are only a “skip” away. Does the service provide full North America coverage?

Specializing in wireless data technology since 1981, publicly traded CalAmp, through its Aercept Group, pioneered the development of GPS-based asset protection services for the vehicle finance market. CalAmp was also the first to combine GPS tracking, starter interrupt and automated payment reminders in an innovative, effective approach to loan risk reduction. For more information, visit www.aercept. com, or call 888-823-7237.

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Buy-Here, Pay-Here

November 2, 2009

Go the Distance in Vehicle Protection

Executive Director of Sales,

Vehicle Service Contracts

GoldStar GPS

Exclusive Solution Deluxe Solution Trusted Solution •

TM

TM

Warranty Administration Services, Inc. is offering solutions you can depend on.

Give us a call today!

877-554-9863

x

GoldStar GPS Protects Your Future

By Mark Behnke

Now Available through W.A.S.

TM

USED CAR NEWS

175

W.A.S. Sales Support Team 877-554-9863 x 175 | sales@WASeasy.com Vehicle Service Contracts are administrated by Warranty Administration Solutions, Inc. This information is for marketing purposes only. Please refer to the specific Vehicle Service Contract for complete terms and conditions.

Successful dealers have discovered the best way to enhance their collection and recovery process is by utilizing GoldStar GPS Tracking devices on all vehicles, regardless of the circumstances of the deal. When a customer fails to perform, reacting immediately and having a rapid recovery are essential. With a GoldStar GPS tracking device the average cost of recovery is the cost of the tow. Since the consumer does not have the opportunity to damage the vehicle before recovery, reconditioning costs are significantly reduced. But don’t take our word for it; listen to what some of our dealers have to say: “My use of GoldStar GPS soulutions has reduced my skip rate by at least 40% across the board. Their GPS solution has also streamlined the collection process for my company, eliminating the stress and added expense of tracking down the vehicle the “old fashioned” way. It gives me the peace of mind to know that I am in control of my assets the moment they leave my properties.

We have been using GoldStar GPS for many years now, and GoldStar GPS has been a valuable business partner, said Bill Ezzell, owner, Mr. Bill Motor Company, Arlington, TX. Bill is referring to utilizing the entire GoldStar feature set, taking control of the collection and recovery process right from the beginning of the loan. Setting a Geo Fence on all of the devices alerts

the dealership to potential skips the moment they occur, providing the opportunity to prevent the skip before it is too late. Free Daily Auto Reports identify the location of every device without any action required by the dealership. The combined use of these features automates loan performance monitoring and provides complete control of the collection and recovery process.

Another successful dealer, Wayne Reid, owner of Reid Automotive in Irving, TX says, “I am no longer chasing after cars and my customers are paying on time. For most of my second chance financing customers, I am the first person that they have ever paid on time. For the customers who are slow to pay, repos only take minutes instead of weeks. It has made managing my accounts must easier,” Reducing the recovery time is one of the most important aspects of the process. This is the key to controlling the cost factor of reconditioning and getting the vehicle ready to sell.

Again – don’t take our word for it, these comments are just a few of the success stories our dealers have to share. Make sure your GPS provider has your best interest in mind, and they are continually reinvesting into their products for your future. Join these and many other successful dealers and utilize GoldStar GPS to take complete control of your recovery process. The best time to plant a shade tree was 20 years ago – the best time to implement the usage of GPS technologies to protect your future is NOW!

Ren’T’Own®/ Lease’T’Own™ Income Flow (Increasing Fleet by 10 Cars per Month) wn™ O ’ T ’ e s a e $131,430 ’Own®/L T ’ n e R h t i w e of Incom w o l F y l $91,280 Month

If you started RTO/LTO® today, you could be pulling in $51,000 + per month in just 12 months!

Incr & y d a e t S

easing

$51,140

Unpredictable Retail Car Sales RTO/LTO® Monthly Income At 12 Months

RTO/LTO® Monthly Income At 24 Months

RTO/LTO® Monthly Income At 36 Months

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November 2, 2009

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Ren’T’Own®/Lease’T’Own™ The Time is NOW! Repossessions, Delinquent Payers, Tax Burdens, Customer Bankruptcies...

Do these situations sound painfully familiar? Ren’T’Own®/Lease’T’Own™ overcomes these issues! With RTO/ LTO®, you remain the titled owner of the vehicle. The customer makes payments towards ownership but does not actually assume any ownership rights until the lease agreement has been completed and the customer opts to act on the purchase option(s). This puts you in the driver’s seat!

If the customer is late on a payment – recover your property! If the customer doesn’t keep primary insurance in force – recover your property! No repossession paperwork because you are 100% owner of the vehicle! Being titled owner of the vehicle also gives you the best defense against customer bankruptcy and provides several tax advantages such as depreciation and paying income tax on revenue as it’s earned. Have we piqued your interest yet? Here’s something else to think about.

In running a dealership, you can only cut your expenses so far. After that, you have to raise your profits in order to succeed. RTO/LTO® provides dealers with higher profits than wholesale, retail, or buy-here, pay-here. Most importantly, it provides dealers with a steady flow of monthly income. We’ll show you how to turn a $5,000 wholesale vehicle into $7,000 PROFIT! Ren’T’Own®/Lease’T’Own™ offers digital GPS devices and the pro-

tection of KAP Engine & Transmission warranties.

Recommended software business systems providers are also available through Northland. This total business model has a proven track record founded on almost 20 years of experience, success, and service. We encourage you to view our website at www. northlanddealers.com or contact us at 800-879-3433 for more information!

The Ren’T’Own®/Lease’T’Own™ business model was founded in 1990

by Allen Lentsch, Executive Director of the Northland Independent Dealer Association.

RELIABILITY The Industry Leader in GPS Tracking Solutions

Ren’T’Own®/Lease’T’Own™ is being used by dealer s in 48 states. We have done the legal research to develop the Ren’T’Own®/Lease’T’Own™ contract and Northland will stand behind those contracts if they would ever be challenged. In addition, Northland has an outstanding reputation in the automotive community and provides superior customer service to our dealers.

If what you’re doing today isn’t taking your business where you want it to be – why not try adding something different? The time has never been better to add Ren’T’Own®/Lease’T’Own™ to your business strategy!

W.A.S. Offers More Coverage Options Warranty Administration Services, Inc. (W.A.S.), a known name in the vehicle product warranty industry since 1999, has expanded its offerings to include Vehicle Service Contracts.

By continuing to go the distance in vehicle protection, W.A.S. is providing the selling dealer with more coverage options for their inventory. All W.A.S. coverage options continue to be backed by an “A” rated insurance carrier.

Looking for dependable answers to offer your customers? W.A.S. has added three vehicle service contracts to its line-up. Exclusive Solution™, Deluxe Solution™, and Trusted Solution™ will provide the peace of

mind that your drivers deserve.

Let W.A.S. be your sole provider for vehicle protection!

For new and used cars or the “out of the ordinary” vehicle in your inventory, W.A.S. has something that will fit your needs.

Looking to increase sales and profits?

Check out our website, view our products and request information by visiting www.WASeasy.com (Seller password: was43f ) or calling 877.554.9863 x175.

Sign up and start selling today!

Potential profits are just down the road…

DMS Reports Bad PaysTo Credit Bureaus If there’s a word to sum up this year’s used vehicles sales it would be “credit.” Lack of credit is the reason for lackluster auto sales.

A major challenge in this tough economic environment is ensuring buy-here, pay-here customers perform on their current obligations.

Dealers must do anything to maximize the probability of receiving payments.

An enticement for customers to make payments on time is when they know that you are reporting their payment histories back to credit bureaus.

Many buy-here, pay-here dealers do not have reporting capability, and many of their savvy customers know this. Those customers pay their debts

to creditors that report to the bureaus.

Credit reporting is a rather tedious task. Off the shelf products require too much manual entry.

The DMS you use daily for your buyhere, pay-here payment tracking is the natural choice to do this tedious task.

The more automation the DMS vendor provides in making the task easier, the less headache you will have every month when it’s time to report back.

Ask your DMS vendor if they support a Metro 2 format reporting. Make sure their solution takes advantage of years of information you have on your buyhere, pay-here customers so that you don’t have to become a Metro 2 expert.

For more information, visit www.AutoManager.com.

866-655-8825 • www.GoldStarGPS.com

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TACKLE SLOW CA$H FLOW With the right team behind you, tackling slow cash flow is easy. AFC offers a variety of flexible floorplan options at competitive rates and terms.

AutoSave™ Warranty Program Reaches Industry Milestone Wixom, MI. (October 2009) - The Autosave warranty program, the first and original 5 year / 100,000 mile product warranty company, has announced an industry milestone of 12,000 dealers currently enrolled in its programs!

We’ve got money to lend and we want to work with YOU! Explore the power of AFC and call or visit us online today to find out how floorplanning your inventory purchases with us should be an integral part of your game plan.

1-888-3-FLOOR-5 1-888-335-6675 All California transactions are through AFC Cal, LLC. California loans will be made pursuant to Department of Corporations California Finance Lenders License.

USED CAR NEWS

President Paul Pawlusiak in making this announcement, stated “The Autosave programs have experienced exceptional growth throughout the United States and Canada in 2008 and 2009.” He goes on to add, “Our unique combination of fair pricing structure combined with value for the dollar on contract terms, especially in this present automotive economic environment, has fueled sales and makes Autosave the industry leader in our segment.”

The largest contributor to the exceptional growth that Autosave is currently experiencing is the colossal increase of franchised dealers joining the program.

In the high tech world of auto sales, dealers in the United States and Canada have applauded the Autosave program’s addition of one and three-year coverages through the E-contracting format.

E-contract speeds up the entire process at time of delivery and diminishes costly errors. It eliminates the need to rewrite contracts, translating into bet-

ter productivity when dealers utilize the Autosave E-contracting programs!

Pawlusiak concludes by saying, “The Autosave programs are positioned to once again step to the forefront in assisting all of our dealers in delivering more units in real time right now, instead of waiting for the economy to turnaround.”

Autosave presently enlists over 280 independent agents throughout the United States & Canada in marketing its programs, as well as the AppOne funding platform to their network of over 12,000 dealers.

Autosave continues to offer the Dealer Cash Back Program where qualified participants from eligible Autosave dealers will receive a cash reward on a monthly basis for their continued support of the Autosave warranty programs.

Autosave’s corporate headquarters is based in Wixom, Michigan. Our professional staff handles dealer relations, program development, agent certification training, claims administration, customer satisfaction and maintains our total commitment to continuing the trust and confidence already established with over 12,000 dealers in North America.

To join our family of dealers just call dealer relations toll free at 800-684-1175.

Get started down the road to increased traffic, sales and profit for your dealership and its future.

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Dealers all over the country are watching with great interest the development of the starter interrupt device market. There are all kinds of equipment available to do almost anything you want it to. What’s important is finding the one that works for your operation with the solutions you want at the lowest possible cost that will last the longest amount of time.

As a dealer, it is important to investigate all the options for the perfect fit in your organization. Your counterpart from across town that you respect might suggest a product that does not meet your requirements.

It’s important to investigate the technology thoroughly - it is going to be much more widely used in the future. The starter interrupt market will grow to a point that almost all dealers will be using a system of some sort in the future.

This is merely a reflection of history. Let’s look at a few facts.

Payroll expenses are going to go up due to health care, social security. Dealerships will have fewer employees in the future.

Therefore, they need to use tools and systems that are less demanding on administration and staffing and provide proven financial results.

In the future, dealers will want fewer staff, less office equipment and low cost Internet solutions.

Internet advertising is here to stay. Customers will search the Internet rather than read classified advertising. It’s not unheard of for a customer to know what vehicle he wants, how many are available within 200 miles of his home, as well as the market price. When he comes in to see you he already has a short list of dealers to work with in his purchase decision. That’s the good news.

The bad news is the customer also already knows how much he is willing to pay for that vehicle. He wants you to

give him a lower price, and a lower down payment.

This customer also has a high probability of a tarnished credit history. So here’s the story – a customer wants a lower price, has a smaller down payment, and a poor credit record. He wants a car today, you have less staff to manage collections, and payroll is due on Friday.

So what is the dealer to do in order to survive in today’s market place? Obviously cut expenses where it makes sense.

Select a starter interrupt manufacturer that has been in the business for longer than a couple of years. Make sure the manufacturer has the technical knowledge and staff to solve your business problems in a timely professional manner.

Most systems today are very complex and involve not just hardware, but also website interaction with this new exotic equipment.

The PayTeck Company’s wireless products offer many advantages over other systems in the marketplace. Just to mention a few: Automatic Text messages: Notify customer about payment that is due or late. Scheduled shut off: Allows the dealers to shut vehicles late at night rather during the day. Tow Alarm, email: sent to dealership when vehicle is being towed to a police impound lot. Low Battery alert: sends an email to the dealership when batteries run low.

If you don’t have these features, your system is obsolete and you will want to compare it to Payteck.

With the WebTeckPlus you have strong security for your operation and need fewer staff operate the system. Want a list of references? Email us at payteck@payteck.cc. Just ask for references, or better yet call 1-800-880-3081 and ask for a demo!

Don’t Miss A Beat Sign up for Used Car News’ Newsletters today!

Get the most up-to-date industry news delivered right to your e-mail.

Log onto www.usedcarnews.com today and start receiving our newsletter tomorrow!

November 2, 2009

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!"#$#%$&'()*+$#,#*+- #*).*%/! )* 0112334

NEW

In Addition to Our Other Proven Starter Interrupt Systems

PAYTECK has the key to your success.

NEW APP

Double systems for maximum protection.

Install and operate two systems on one website.

Pooled hits with purchase Real Time asset protection No monthly fees Scheduled starter interrupts are possible 24/7 All digital design Easy to use Web site Tow Alarm™ Heartbeat Stop Log

PayTeck provides you the ability to use the WebTeckPlus or the new PayTeck GPS on the same web site.

PayTeck provides you the ability to select the system that’s right for your customer.

Real time protection for your portfolio.

Call now for a demo 800-880-3081

The PayTeck Mission At PayTeck, we have dedicated all resources to meeting the company mission to serve the automotive dealer. PayTeck is quality, value and service that you can trust and depend on for years to come!

Innovative Credit Solutions for High Risk Sales 6801 Engle Road, Suite B

Cleveland, Ohio 44130 -7947

(800) 880-3081

www.payteck.cc

!"#$#%$&'()*+$#,#*+- #*).*%/! )* 011233 5 !"#$#%$&'()*+$#,#*+- #*).*%/! )* 011233 5 !"#$#%$&'()*+$#,#*+- #*).*%/! )* 011233

PayTeck Offers Advantages Over Competitors

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Frazer Dedicated to Customer Support Frazer Computing has provided a software solution for the day-to-day operations of used car dealerships for over 20 years.

While the development and enhancement of their easyto-use software is Frazer’s primary mission, neither would be possible without the dedicated staff supporting Frazer customers each day.

Frazer support is available free of charge with the program.

When a dealer calls Frazer for assistance, they hear the friendly voice of a welltrained support representative rather than that of an automated system.

Support staff welcome any challenge and are more than happy to instruct dealers on how to use or find features of the program about which they have questions.

The secret to Frazer’s outstanding customer service lies in an atmosphere of continuous learning.

Frazer employees work to-

gether to learn the program inside and out, as well as cultivate ways to improve and update the software.

They take pride in their work and this shines through over the phone as they assist dealers with their needs.

Frazer’s business continues to grow while commitment to their customers remains a core focus.

Frazer is currently the dealer management software of choice for over 5,200 car dealers, with over 1,500 dealers selecting Frazer in the past year.

To find out how many dealers are using Frazer in your state and to become one of them, check out www.frazer.biz and click on “We’re in Your State.”

Buy-Here, Pay-Here Still Works With Higher Inventory Costs

By Jonathan Neubauer, CEO Vehicle Acceptance Corporation

The shortage of used cars is apparent; this lack of supply is driving up the costs for dealers who are acquiring vehicles.

Wholesale prices at auction have hit historically high levels.

How do you continue to succeed as a used car dealer when wholesale prices rise? Do you sit on the sidelines, waiting until prices come back down?

Absolutely not!

Stick to the buy-here, payhere model and seize the opportunity. Buy-here, pay-here allows you to make credit decisions, restructure your deals as necessary, and adapt your pricing to market conditions.

You can still do deals even when many lenders aren’t lending.

The only real problem with rising costs is that the customer’s down payment did not go up proportionally with the cost of inventory, so the difference must now be financed.

The buy-here, pay-here dealer ends up with more “cash on the street”; this means more money is needed to do the same number of deals.

There is an easy way to mitigate this need for more working capital. The Vehicle Acceptance Corporation Cash Advance program allows the dealer to

get cash up front for a portion of the payments made by the customer over a period of time.

This program can greatly reduce the cash needed at the point of sale to get the deal done. More deals can get off the lot with the same amount of money out of the dealer’s pocket with the Cash Advance program.

In buy-here, pay-here, you the dealer are in the financing business. Use your own capital or a floor plan to stock your lot, stick to the buy-here, pay-here model to place the customer

in the vehicle, and use Vehicle Acceptance Corporation as your source of extra cash and collections services.

VAC has provided buy-here, pay-here dealers with cash and collections since 1989 and understands the business.

VAC services and capital are available in most states thru 5 regional offices. Visit www.

VACorp.com or call 1-800-3803882 for more information.

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USED CAR NEWS

Elcometer Makes Debut At Aftermarket Show Elcometer will be at booth #12234 at the Specialty Equipment Marketing Association Show in Las Vegas this year.

We will be displaying the 311 Milgage and our full line of automotive refinish equipment with onsite demonstrations.

The new Elcometer Waterborne Paint Booth Inspection Kit is going to be highlighted in the New Products Showcase, a must have for any body shop.

You can keep up with the latest on Elcometer products and show schedules by logging on to http:// paintteststore.com/store/blog. Please

November 2, 2009

29

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stop by our booth to say hello.

It will be a great opportunity to become more familiar with our equipment, and the people behind it.

4HE (I ,INE

/UR TOUGH ACCURATE GAUGES HAVE LONG BEEN INDISPENSABLE TO DEALERS 4HE (I ,INE HELPS THEM LOCATE BODYWORK OVERPAINT AND PREVIOUS DAMAGE ON STEEL AND ALUMINUM 7HICH SAVES THEM A WHOLE LOT OF MONEY !ND WHEN ALL IS SAID AND DONE ALLOWS THEM TO BREATHE IN THE SWEET HEADY SMELL OF SUCCESS

AFC a Leading Capital Funding Source Automotive Finance Corporation (AFC) is a leading capital funding source for the used car industry. Founded in 1987 and based out of Carmel, Indiana, AFC is committed to the success of our customers, our employees, and our company.* With more than 80 strategically located branch offices servicing dealers at more than 700 auctions throughout North America, AFC offers outstanding customer service and solutions to the independent dealerâ&#x20AC;&#x2122;s unique business needs.

AFC Products & Services include: Flexible Floorplanning - designed specifically to meet the needs of wholesale or retail dealerships, rental operators and salvage dealers.

Vehicle Inventory Protection (VIP) â&#x20AC;&#x201C; The VIP product can cover vehicle inventories on which AFC is providing

â&#x20AC;˘

floorplan financing.

Xpress Pay â&#x20AC;&#x201C; Save time and money in managing your AFC account by signing up for our free, online payment system, Xpress Pay allows you to make payments from your PC, view payment history, correspond with our customer service department by e-mail.

AFCDealer.com â&#x20AC;&#x201C; Check out AFCâ&#x20AC;&#x2122;s official website today! 24/7 access to manage your AFC account, locate AFC branch offices and AFC approved auctions. For more information or to apply online, go to www.afcdealer.com or call us, 1-888-3-FLOOR-5. *All California transactions are through AFC Cal, LLC. California loans will be made pursuant to Department of Corporations California Finance Lenders License.

www.lmnassociates.com

WWW MILGAGE COM %LCOMETER GAUGES ARE APPROVED IN &ORD

#HRYSLER '- "-7 -ERCEDES *AGUAR

AND ,EXUS EQUIPMENT PROGRAMS

%LCOMETER )NC \ 2OCHESTER )NDUSTRIAL $RIVE \ 2OCHESTER (ILLS -) \ \ 3INCE

Locate In Canada, US and Mexico.

DOES YOUR CASH FLOW NEED TO BE SAFE, SECURE AND ON TIME? WHO With more than 60 years combined experience, our Leadership Team is recognized as the premier â&#x20AC;&#x153;On Timeâ&#x20AC;? sales and marketing distributorship. Our philosophy is a partnership with you that offers Comprehensive Automotive Financial Solutions.

Lowest Failure Rate.

Unlimited Locates.

â&#x20AC;&#x153;Our knowledge of the subprime market has changed the way loans are administered; providing funding for people in need while protecting those who serve them,â&#x20AC;? says Don Elleman, President LMN & Associates.

18 Month Warranty.

WHAT Our solution will help you secure 95% to 98% of your customerâ&#x20AC;&#x2122;s payments. More of your potential customers will qualify for special financing. Working with you and your financial lenders we will customize a program that meets both your needs.

Easy To Use.

HOW LMN & Associates has invested heavily in cutting edge technology and interactive web based solutions for a comprehensive approach to collection control. We have a time proven working model with several hundred Independent Dealers and financial lenders.

We offer the ideal template for a successful buy-here, pay-here operation. We will work with all starter interrupt/gps systems to administer your payments 24/7/365.

Safe, Secure and On Time!

LMN & Associates

The premier distributor for On Time Payment Protection System

816-898-8295 â&#x20AC;˘ www.lmnassociates.com

5 Great Reasons To Check Us Out.

1-800-501-5200 skywatchgps.com

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AutoRaptor Helps Dealers Make More Deals

NEED LARGE DOWN PAYMENTS? This Tax Max Marketing Program INCREASES down payments by capturing your customer’s tax refund check!

• • • • •

Bring W2s and Drive Out Today Refunds Approaching $10,000 NO Dealership Liability Fast and Easy for Dealerships Ability to Print Check at Dealership in Minutes • Use Program to Collect on Past Due Receivables

• Cash Flow Positive Program • Dealer Can Earn Up to $99 for Processing Each Return • Average Refund Last Year was $3,900 • 4th Quarter Program...

MOVE CARS NOW!

Follow up. Follow up.

Follow up.

AutoRaptor makes it so easy; it’s little wonder that used auto dealerships across the country have come to rely on the comprehensive, streamlined abilities of this unique sales solution.

Whether owner/manager or front-line sales, staff can quickly respond to the many Internet inquiries that represent potential customers.

With the industry-intuitive features of AutoRaptor, used car dealerships are accomplishing more with less these days—the smartest, quickest route to a higher R.O.I. “It’s exceedingly rare, especially in the car business, that something that is this affordable is also the best. Yet, in AutoRaptor, not only do you have the most cost effective automotive specific CRM system on the market, you also have the best.

“I used Reynolds, ACT, and ADP and spent six figures on long-term contracts.

I’ve used numerous less expensive proprietary CRM systems for years, which probably cost me far more.

“Without fail the available CRM systems are confusing, unwieldy, and in the long term expensive. Now there is a real viable option: AutoRaptor is web based, accessible anywhere, anytime; easy, even the most technologically challenged salesman can use it with ease; and my most essential tool for driving my business forward.

We don’t lose leads, ever!

“I am a skeptic of the greatest kind for any vendor that costs me money, because I believe I can do it better myself.

“Unequivocally, you get far more than you pay for with

AutoRaptor, and I am not interested in operating a car dealership without it,” said Mike Foster, Auto-Matic Inc. Quincy, Ma. It only takes a phone call to 888-421-6533 or go to AutoRaptor.com and request information to increase your profitability.

TRS Tax Max Speeds Refunds, Helps Sell Cars With the crunch in today’s credit markets, car dealers are looking for new ways to increase profits. Dealers employing Tax Refund Service’s (TRS) Tax Max Program have seen their profits grow since 1995.

The TRS Tax Max Program allows you to convert a customer’s W-2 forms into cash.

The key to the program though is for the automotive dealer to understand why this is important.

There is a lot of “free money” out there for your customers.

You only get one chance each year to capitalize on this. The rule of thumb is that a family with two children making $16,000 a year will get half its income back in a refund.

That’s $8,000.

Most of that refund comes from the Earned Income Tax Credit, which does not phase out until more than $40,000 a year. Customers know this money is coming. In fact, they are already planning how they are going to use it.

The successful dealerworks their way into that existing mind-frame.

With processing times under 10 minutes, you will actually be faster than the national tax chains.

Customers can sit in a tax office waiting area for up to 2

hours. Your customers don’t have to deal with that hassle.

Plus,with the lower prices at TRS Tax Max, obtaining their tax refund through a dealer is a win-win for the customer.

Benefits to the dealer include: • Earning up to $99 for processing each return; • Zero IRS liability for the dealership; • On-site check printing. Print your own money…legally; • 6- to 8-minute processing; • Confirmed funding in 20-45 minutes; • Refunds up to $8,000 for BHPH/special finance customers; • 24-hour online refund status; • Large down payments; • Collections, collections, collections!

Tax season actually began in October for many dealers. The customer’s tax refund checks beginprinting in January.

One of the most important features of the TRS Tax Max Program is that the dealer is only expected to perform a minimum amount of data entry. No actual tax experience is needed to run the program from your dealership.

For more information or to sign up now, visit www.trstaxmax.com.

You can also call 866-6424107.

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©2009 Manheim. All rights reserved.

Q:WITHOUT HOW DO YOU SELL HARDER

HARD SELLING?

A:

LET THE BUYERS COME TO YOU. Move up to the big time when you sell your vehicles online with Manheim.com. m. ek.

Here, your vehicles will be seen by more than 900,000 dealer visits each week.

Learn more at 1.800.377.4343 or visit Manheim.com/sell.