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Amy Taggart

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"Tax Season" Also Equals "Down Payment Season"

It's been a while since I've posted anything here on DrivingSales -- it's taken me this long to recover from NADA enough to write anything worth sharing here! And in the meantime, we've moved on to that other big part of Q1 for auto dealers, Tax Season.

For most of us who have to file a tax return, "tax season" means pain and suffering.

But for a lot of consumers, it's the one time of the year when they know they're going to have a big chunk of change to put down on getting into a car -- their tax refund.

And we write about this every year because it's important every year.  Car dealers plan inventory and staffing around this 5th "season" to take advantage of this influx of cash into the car-buying market.

According to the National Retail Federation's 2012 Tax Return Survey results, just released last week, 12.3% of the consumers expecting a refund were planning for a major purchase, such as a car.

The best quote in the release:

"For some, tax season is a way to reward themselves, for others it is the perfect opportunity to get ahead on their bills or other expenses," said Pam Goodfellow, Consumer Insights Director, BIGinsight. "Whatever the decision, many consumers this year are looking forward to taking back some of their hard-earned money from Uncle Sam."

Sounds good to us.

These are exactly the kinds of folks that we see coming through our network of auto finance sites -- people looking for financing to go with that down payment from the IRS.

And we've gotten the jump in website traffic in the past few weeks to show that this is going to be a banner year for auto dealers who know how to take advantage of our auto finance leads. Check out our free Volume Estimator to see what the traffic looks like in your area and how we can help.

In the meantime, we'll just leave you with one question: what is your dealership doing to make hay while the tax season sun shines? 

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