Glossary of Terms

Glossary of Terms

3 on the tree ─ Old 3-spe

ed column shift.4 on the floor ─ Standard 4-speed.5,6 ─ Slang used by loan company as a code to remind the loan officer to use furniture (Sticks) for collateral on down payment loan. Like the kids’ counting chant; 5, 6, pick up sticks. Pick up sticks on a UCC collateral form.Advance the clock ─ This used to happen a lot in Northern states when Canadian residents came to the United States to buy cars. The tariff was much lower on vehicles going into Canada with 750 or more miles, so dealers just put the cars on the hoist in drive with the engine running, and waited for the desired mileage to hit; then the Canadian customer came in for delivery.ACV ─ Actual cash value – what the vehicle really goes in the books for. Wholesale; not what book value says.A.G. ─ Attorney General.App ─ Credit application.Available sales manager (page) ─ When this page goes out, the desk needs a closer to go in on a deal, and if not a page for the salesperson’s closer by name, it probably means to send a closer behind another closer who’s having trouble. It’s like yelling “hey Rube” at a circus.Back end profit ─ The profit created by the finance manager (business manager); sources include finance, insurance, extended warranties, etc.

Back of book ─ Generally a reference to a vehicle that has a value less than the used car guide’s “suggested wholesale value.”

BDC ─ Business development center (phone room).

Beater ─ Auction piece – not worth taking in trade.

Bird dog ─ Someone who sends in a customer and generally

receives a reward.

Book – book out ─ Book is what the used car guide in the area says the wholesale and retail values are. I.e. wholesale book may be $20,000, but the true value (ACV) may be $16,000.

Bubble ─ Used when we let a customer leave with an idea that he will get a deal much better than we actually can do. When he returns, we have to “burst his bubble” and get him to accept reality!

Bullpen ─ Where fresh trades are placed to await for clearance of funds, contracts and titles.

Bump ─ An increase in payment or price.

Buried ─ A customer who owes much more on his trade-in than it’s worth. If they’re really out of line, we say, “They have to ‘dig up’ to be buried!”

Business manager ─ Title used to professionalize and disguise the finance manager. Finance is a word not allowed in the sales transaction. Instead we use “carry a balance” or similar word whenever possible.

Butternose the trade ─ Leave the trade-in out of the picture because the customer owes too much to get out of it; with the idea of letting it go back to the bank as a repossession.

Buy rate ─ The interest rate the bank charges the dealership. The dealer may then increase this rate to the customer and receive the difference as profit. Normally the dealer may raise this rate up to three percent over the buy rate; if the customer holds still for it.

Cherry ─ Perfect car – hardly broken in.

Cherry picker ─ Salesperson who sits back and waits for “select” ups and only takes one when it looks ideal; such as the elderly couple in a several year-old car.

Chisler ─ A customer who negotiates beyond reason for every last dollar.

Chute ─ Another term for the auto auction.

Clock ─ Odometer reading.

Close ─ To negotiate a deal until the customer buys it. The deal is done (closed).

Closer ─ The assistant manager or sales manager who negotiates for the “house.”

C-note ─ One hundred dollars.

Co-jock ─ Cosigner or co-maker.

Credit bandit ─ Customer with really bad credit.

Curbing ─ Salesperson is selling his personal vehicle to a dealer’s customer.

Dealer trade ─ Where dealers swap new, untitled vehicles to assist one another. Each dealer pays the others' exact invoice amount.

Demo ─ Demonstrator or demonstration. A “demo” drive, or if a manager is supplied a company car as a perc, he or she has a “demo.”

Desk ─ Person in charge of the deal (sales manager).

Downer ─ Same as sewered.

Downstroke ─ Amount of cash available for the down payment.

Eyeball ─ A vehicle with a beautiful appearance – a showpiece.

F & I ─ Finance and insurance.

F & I guy ─ Person who handles finance and insurance.

Finance reserve ─ Potential profit made by raising the interest rate the customer will pay over the dealer’s “buy rate.” This difference is paid to the dealer in stages, as the finance interest is earned while the rest is held in reserve by the bank in case the contract becomes prepaid, in which case the dealer’s participation ends.

Flake ─ Someone with bad credit.

Fleet (sarcastic) ─ Full List (price) Each and Every Time!

Fleet department ─ Generally just one person who works with business accounts; or anyone they can get.

Flip ─ Another word for turn or turn-over.

Float ─ When a dealer sells a vehicle and gets paid for it by cash or on a finance contract, but does not pay it off at the bank that handles his flooring “floorplan.” This is a dangerous practice and generally indicates a big problem at that dealership.

Floor check ─ Inventory checks of a dealer’s “floorplan” done by the bank at random to make certain that any unaccounted for vehicles are paid off to keep a dealer “in trust.” If a dealer has sold vehicles that he has not paid for, he is “floating” and may likely be immediately shut down.

Floorplan ─ New and used vehicles that are available for sale on a dealer’s lot and that his bank advances the money for him to operate with. The bank holds the titles for collateral. Most dealers need this line of credit in order to stock enough product to keep them in business.

Floor whore ─ A salesperson who spends all their time “grabbing ups” and who never follows up or prospects for business.

Fluff & buff ─ Detail of a vehicle. Clean and wax.

Four square ─ Basic structure of initial offer.

FNG ─ F*#king new guy.

A Franklin ─ A $100 dollar bill.

Front end profit ─ The profit made on the selling of the vehicle and added accessories sold by the sales department.

Geesel ─ One thousand dollars.

Geitas ─ Money.

Get ready ─ Place where sold vehicles are cleaned and “prepped” for delivery.

Going for the throat ─ After a trial close (see testing the water); if the buyer seems receptive, then life a wolf, we tear out the jugular!

Got the blinders on ─ Customer’s excitement where they can only see the good parts; like blinders on the sides of their eyes.

A Grant ─ A $50 dollar bill.

Grape ─ Person who is easy to “pick their pocket.”

Gray market car ─ Brought in to the United States outside of regular importing channels, i.e. factory, to avoid tax and tariffs. These are difficult to license! This happened primarily with Mercedes and other expensive imports years ago.

Grinder ─ Standard transmission.

Gross ─ The gross profit on which you receive a commission.

Guts ─ Vehicle’s interior. Interior fabric choice; leather or cloth.

Gypsy ─ An ethnic group or wholesaler, generally from Romania. Entire families (tribes) work in teams; all in the wholesale car business. Almost a generic term.

Hammer the check ─ When the salesman is sent to the customer’s bank to get cash for the down payment check. Done mostly when the manager feels the customer may “come out of the ether,” and when he does he may stop payment on the amount to try and negotiate further.

Heat & ice ─ Heater; from the days where manufacturers built cars for the Southern states without heaters and for the Northern states without air conditioning to keep costs down.

Hit ─ A trial close.

Hit figure ─ The starting offer on the trade allowance (low).

Hold check ─ The customer writes a check that the dealer holds for an advance date for deposit when the funds will be covered.

Holdback ─ An amount added into a dealer’s invoice to indicate a higher “cost.” This holdback is then automatically deposited into the dealer’s account (by the manufacturer) the minute an RDR (retail delivery report) is entered in the computer.

A Hole in the roof ─ Moon roof or sunroof.

Home run ─ Huge profit – all there was!

Hunskee ─ One hundred dollars.

Ice ─ Air conditioning.

Ink ─ get the ink ─ Signed contract.

Invoice ─ The amount a dealer pays the manufacturer for the vehicle, but not necessarily the true cost. Dealer incentives plus holdback will still come back to the dealer.

Jack (Jack-off) ─ Someone wasting your time.

Jonesin’ ─ High on drugs or adrenalin.

Keeper ─ In reference to a trade-in that the used car manager will keep on the lot for retail sale.

Kick the trade ─ Try to work a deal without the trade-in, because he either wants too much or he’s buried. Note: Convince him to buy now and sell the trade himself.

Kiss the paper ─ Dealer guaranteeing the finance contract to the bank. If the customer defaults, the dealer pays off.

Knock ─ A decrease in value, payment or price.

Lay down ─ One who “flops over” on the first “pencil” and buys whatever we present to him.

Lessee ─ Person who leases.

Lessor ─ Lease company.

Liner ─ Salesperson who is “on the line” (selling).

Loaded ─ A vehicle with most all equipment/options.

Lookie-Loo ─ Someone who just always seems to “just be looking” and can’t decide.

Lot attendant (porter) ─ All-around “gopher” to shuttle vehicles; basically used by the sales manager to do all the “grunt” jobs around

the sales department; wash cars for delivery, run errands, pick up lunch, etc.

Lot lizard ─ Lot attendant. Referred to as a “porter” in many stores.

Maven ─ Yiddish term to describe their custom of bringing along an advisor for negotiating and moral support (third base coach).

Mooch ─ A detestable individual who keeps negotiating for trivial amounts.

Mouse House ─ The old term for the finance company who made “down payment” loans to buyers. The words “mouse ‘em” meant to procure the money required by the bank by having the customer “secretly” borrow it. Collateral for the loan was often their furniture and belongings (sticks). Also called the trap, as in mousetrap.

Mr. Brown (page) ─ Pages like this were often a signal to the sales staff that a call was coming in on a special number. This was a number only used for ads such as; “Call Mr. Brown for a free credit check.” Customers calling for Mr. Brown would be answered only by certain people who specialized in credit challenged customers.

Mr. and Mrs. Gross ─ A couple driving in who look like they will be easy and solid buyers, and who will produce a large gross profit.

M.S.O. – Manufacturers statement of origin ─ The vehicle’s “birth certificate.”

Mullet ─ A low on the food chain buyer – bad credit.

Music ─ Stereo.

Net-net ─ The dealer’s true cost of a vehicle; invoice minus “holdback,” minus factory incentives.

Nickel ─ Five hundred dollars.

Note ─ Seldom used anymore, but was a promissory note used when a check was not available, and redemption by the customer had to be made before payments began. Also references a check.

Odo ─ Odometer reading.

One legger ─ Person whose spouse is not there, but will be involved in the buying decision.

Open floor ─ Situation where salespeople are free to come in to work when they are off shift. Those scheduled need to be there, but the sales are “open” to other salesmen as well.

Pack ─ An amount added to the invoice or cost of a vehicle on which the dealer will not pay a commission. Example: If a vehicle cost is $20,000.00 and there is a pack of $600.00, it means that the salesperson will be paid on profits over $20,600.00. There is zero commission paid on the first $600.00 of profit.

Qualify ─ To ask enough questions to determine a customer’s needs and wants, and to ascertain what it will take to sell him a vehicle.

Pencil ─ The offer from the “desk” to the buyer.

Pickie ─ A pickup payment to be made before the regular payments begin; generally secured by a “hold check” and used for additional down payment.

Pink slip ─ The title to the vehicle. The term often used by managers in other states, but originated in California, as that was the color of their titles. Managers in other states adopted it to “sound cool.” As in, “get the pink.”

Plain Jane ─ Stripped car – see Sally Rand.

Potlot ─ Used car lot with cheap “beater” cars.

Pounder ─ Big swat, a large profit. Better than average gross profit.

Pulling my chain ─ See Jack.

Queege ─ Small dollar amount.

Rattle can ─ A spray can with either paint or clear lacquer to improve the appearance of a car or cover up mistakes, flaws and damage.

RDR ─ Retail delivery report. Note: Sent to the manufacturer. Triggers the warranty (new only).

Reader ─ A check or promissory note.

Recourse ─ Done when the dealer has so much potential profit in a sale that he guarantees the bank the customer will make the payments, or the dealer will pay off the contract after the bank repossess the vehicle and returns it to the dealer. Recourse can be partial (certain amount of payments) or full; the entire length of the contract. This was used mainly by the really “fast track” operators where the bank would fund anything the dealer wrote. Such high volume operations didn’t have time to discuss each contract; they just “rolled” anything; called “kissing the paper.”

Red guts ─ Red interior.

Reg (registration) ─ A document to show where the vehicle is licensed and titled. Includes address, county and state.

Ring ─ Auto auction.

Roach ─ Bad car.

Roll ─ Delivery of a vehicle.

Rolled around by a two-bitter ─ Shopped to other dealers for higher bid by a wholesaler.

Roof ─ Sunroof or moon roof.

Rotation ─ Term for method of taking ups. Rotation means taking customers in turn, and rotating to the back of the sales line.

Rubber ─ Tires.

Sally Rand ─ A very basic auto – no extras, no add-ons. Note: Sally Rand was an early burlesque dancer and actress who had been accused of dancing nude; thus the other term, stripper.

Scratch a reader ─ Write a check.

Sewered ─ Down in the dumps. Bad attitude.

Sheep ─ Customer who is all too willing to follow to the slaughter.

Shop ─ Service department.

Shut ─ Slang to close, or complete the sale.

Shutter ─ Closer.

Skate ─ Skater ─ A salesperson who jumps in front of another salesperson.

Slammer ─ A closer.

Sled ─ A car of marginal value.

Slider ─ Power moon or sun roof.

Snakes ─ Anything that is not completely understood or properly explained that could go wrong if discovered by the customer.

S.O.T. or sold out of trust ─ Where a dealer has sold a vehicle and not paid it off on his floorplan. This is also called “running a float” and is a very serious problem that will have a bank shut down the operation.

Special finance ─ A separate department in the dealership whose people only deal with credit challenged customers. They specialize and become an indispensable asset to a dealer whose regular finance managers don’t want to endure the enormous work necessary to babysit these lengthy transactions.

Spin the clock ─ Roll back the odometer to decrease the indicated mileage (illegal). Many odometers could not easily be set back, so they spun them ahead to go all the way around and back to zero.

Straight sell ─ Where the salesperson works the entire transaction with instructions from the manager. If additional help to close the sale is required, the manager goes out as a courtesy.

Sticks ─ Furniture – sometimes used for collateral when customer obtains financing for their down payment.

Still in the crate ─ The old “woody” station wagon.

Straw purchase ─ Person buying the vehicle for someone else; mostly because of the actual recipient’s credit.

Stripper ─ Stripped model – no extra equipment.

Strokes ─ Monthly payments (make the strokes).

Switch ─ Where it is necessary to lead or force the customer to select a vehicle different from the one he initially wanted to purchase.

System ─ We all have a system, but in the car business it refers to the liner-closer (system house) operations.

Swat ─ Same as pounder. Big gross profit.

Tags ─ Current registration and expiration.

Taillights ─ The old saying is that “the deal is never done until you see taillights.” The last thing you see as the customer drives over the curb!

Technician ─ Auto mechanic.

Testing the water ─ Attempting a huge profit offer, but doing so lightly to take the buyer’s temperature. Like sticking only your big toe in the bathtub.

T.O. ─ Turn or turn over, as in hand off the customer to another salesperson or T.O. to the manager.

Trade ─ Car being traded in.

Trade allowance ─ The figure shown as the amount deducted for the trade-in from the agreed upon purchase price.

Trap ─ Finance Company (see Mouse House).

Trial close ─ See testing the water.

Tunes ─ Radio.

Turd ─ See “Beater.”

Turn ─ To “turn over” the customer to another salesperson.

Two-bitter ─ Old term for a wholesaler from years back who would pick up a car from one lot and go to other dealers to see if he could sell it for at least two bits (twenty five dollars) profit.

Under the ether ─ Customer is excited about purchasing the new vehicle; like having the anesthesiologist applying the “feel good” medicine.

Up ─ Customer – (up to bat).

Up money ─ In reference to a vehicle that is calculated to bring more than suggested “book” value.

Upside-down ─ When a customer owes more on his trade than its’ actual cash value (ACV).

Warranty clerk (or accessories manager or chemicals manager) ─ This term changes dramatically, but it is a person who your customers will meet prior to your introducing them to the finance or business manager. This person may spend a couple of minutes discussing the purchase, but their “job” is to sell undercoating, paint sealant, and all other accessories on a vehicle.

Write-up ─ Offer.

W.T. (wretched turd) ─ Bad trade.

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