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Dealer Reserve

Definition for new zealand automotive professionals.

Dealer reserve is the markup a dealership adds to the buy rate (the interest rate offered by the lender) when arranging vehicle financing for a customer. It is one of the largest components of back-end gross profit and a critical F&I performance metric.

New Zealand Context

In the new zealand dealer market, dealer reserve operates within the context of Consumer Guarantees Act (CGA) and Fair Trading Act. Dealerships running Pentana, Titan DMS, Autobase encounter dealer reserve in their daily workflow. DealerInt captures the decision layer around dealer reserve that your DMS wasn't designed to track.

Related

US Definition · NZ Glossary

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