How to Sell Cars on Consignment

Video Transcript

"Many dealerships have gotten away from consignments because of liability issues. And there are dealerships today, independent lots that specialize in consignment and I always recommend that you check out those independent dealers through the Better Business Bureau to make sure there are no complaints against them. But most of them are licensed, insuranced and bonded so that they can sell your vehicle for you. And the trick is knowing what your terms are with the consignment dealer. How much do you need to have out of the vehicle? How much will they keep above and beyond the sale? And if you have a payoff on your vehicle, making sure that loan is going to be paid off. You're basically putting your vehicle in the hands of a third party to sell your car. Their job will be to market, advertise it, to do the negotiation for you. If there's trade in involved they'll keep the vehicle in trade. And it takes you out of the process of having to negotiate on the price of the car. And in many cases consignment lots are in a high traffic area where they have great exposure. Better exposure than you or I would have parking it in our front yard."