Finance Manage Admits Yo-Yo Financing to Stop Consumers from Shopping Around

Yo-Yo financing occurs when the dealer sells a vehicle, then unwinds the deal days or weeks later, telling the consumer that they could not get them financed. This article, written by a Finance Manager at a Georgia dealership for a dealer-industry magazine, shows their true motivation – to take a consumer “off the market” and stop them from shopping somewhere else. “Run Spot, Run: Many stores spot-deliver vehicles based on credit scores and deal structure for the sake of time. The goal is to take the customer out of the market as soon as possible to seal the deal, so the customer is asked to sign an immediate delivery agreement form outlining the deal. We can always re-contract if needed, right?”