What is a Dealer Plate?

Posted on October 10, 2012 by Aaron

You’ve seen them on the road before, the infamous dealer plate. You know, those license plates with “DEALER” plastered on them. But what do they mean, and why do so many people have them on their vehicles? Are they the privileged few that receive special privileges and treatment? Or perhaps the better question to ask, are they drug dealers?

Explaining the Dealer Plate

Well, to answer the last question, no, they are not a drug dealer. At least that is not what they are attempting to advertize. These unique license plates belong to those who either own or represent a car dealer and dealership. A dealer plate provides these car dealers with certain privileges (which we’ll discuss momentarily), that are not given to the general public.

The dealer plate provides the car dealer with a few privileges that most of us “commoners” are not awarded. First, the plate is interchangeable, meaning the car dealer can use the same plate on one car, get out of that vehicle, and drive off in another vehicle, using the one plate. Unlike traditional license plates issued by the DMV, a dealer plate is not connected to one specific vehicle.

Access to Dealer Auctions

Another benefit awarded to those who possess a dealer plate is the ability to attend dealer-only auto auctions. You may be familiar with police and public auto auctions, but there is another world of auto auctions that you may be unaware of: dealer auctions. With a dealer plate, the car dealer can attend these auctions (which are closed to the public) and can save hundreds, if not thousands, of dollars on vehicles. How are these dealers saving so much money at auction?

When you attend a dealer auction, you are surrounded by people whom all possess a dealer plate, and in turn, a dealer license. All who attend a dealer auction are there to buy vehicles to add to their inventory and sell to the general public. At a public or police auto auctions, people bid on vehicles that they intend to own, meaning they’re willing to invest more at the auction to purchase the vehicles they desire. At a dealer auction, everyone bidding on the auction’s vehicles has one desire: make money, and quickly. Most of these dealers set limits for themselves to ensure they make as much profit as possible when they “flip” the vehicle.

What are you waiting for?

Now that you know what a dealer plate is and what it can do for you, what are you waiting for? Visit MyAutoLicense.com today to get set up with your very own dealer license and dealer plate!