Radio and television programs are filled with advertisements from car dealerships promising that if you give them your “clunker” or your “lemon” that you will be given thousands of dollars to spend on a new car in return. These advertisements often go so far as to tell you to push, pull, or drag your “clunker” or your “lemon” into the dealership for the transaction. Is this possible? Is a “clunker” or a “lemon” that needs to be pushed, pulled, or dragged into the car dealership really worth thousands of dollars to spend on a new car? The answer is no.Car dealerships get any money they offer to you, often through lending. When car dealerships get the money they offer back through financing, it is referred to as “dealer participation.”Here’s how it works: The purchaser comes to the car dealership thinking the car dealership must be used to obtain funding for the car and will help obtain a good rate for the car. What most buyers do not know is that the car dealership has made arrangements with financing companies to offer financing for their cars. These arrangements allow the car dealership to increase interest rates over the what the banks are willing to offer. The car dealership keeps the difference between the two rates, costing the purchaser a substantial amount of money.Don’t bother pushing, pulling, or dragging your “clunker” or “lemon” into the dealership looking for the deal of a lifetime. Having your loan in place before you walk into a dealership can help you save a tremendous amount of money in the long run. Many websites offer tools that can help you find the best car rates out there. In addition, a good place to start would be Capital One’s auto loan website, where they share tips and strategies on saving money when purchasing a vehicle. Capital One even offers a car buyers guide, downloadable from there website.