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Holdback what is it
Holdback: What it is and what it means
Holdback is a specific percentage of the car's price that is credited to the dealer's account periodically by the manufacturer and reduces his cost by 2-3%. As you can see, 3% on a $20,000 car is substantial - $600. The dealer could sell you the car at his invoice and still have $300 to $600 profit in the deal. Remember this when you are getting down to the final price.