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Car Dealer Profits

Samuel A. Kiburz Mar 14, 2022
chart shows car dealer profits over the years

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I am reminded of this chart every time I drive by a car lot. Before the pandemic, financing and insurance profits made up 70% of the dealer’s profits. Now, due to price appreciation of their inventory, that percentage has changed. However, the dollar profits from financing and insurance continue to increase. Car dealers have become more like finance and insurance companies.

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