By Jillian Palmer - September 11, 2012
Street Money and Cash in Deal are figures that give you and idea of how much money you have at risk when selling the vehicle and throughout the loan. The Cash in Deal is your initial investment in the car or the money you have at risk on the street. Cash in Deal consists of money put into the vehicle for purchase and repairs as well as the cost of products sold at point of sale less the down payment received from your customer.
Street Money is a changing figure as loan payments are made. This will reflect the current amount of money you still have at risk at any given time. The calculation varies depending on your interest method and type of company (Sales or Finance). To calculate Street Money for each scenario use the following formulas:
Add-On Interest (Sales Companies)
Cash In Deal – Total Payments + Balance Remaining + Interest Income
Simple Interest (Sales Companies)
Cash in Deal – Amount Financed + Principal Balance
Add-On and Simple Interest (Finance Companies)
Proceed Amount + Discount Earned – Principal Collected
ABCoA is a Software-as-a-Service company dedicated to the subprime industry. Our cloud-native ecosystem handles every part of business operations - improving productivity, security and accuracy, while consolidating vendors and reducing costs.
Since 1983, ABCoA has helped buy here pay here used car dealerships and subprime finance companies eliminate duplication, remain compliant, and achieve success with complete, customer-driven software and dependable support. Customers properly using Deal Pack have never lost an IRS audit.
Recently awarded Top Online Accounting Software for Deal Pack, ABCoA continuously elevates the standard for software in the subprime industry and helps customers grow through our commitment to quality, innovation, and service. Headquartered in Jacksonville, Florida with employees across four states, we remain family-owned and operated.
To learn more about ABCoA, visit www.abcoa.com.
Request a Demo