ACV (Actual Cash Value)

Actual Cash Value (ACV) is the fair market value of a vehicle at a specific point in time. It accounts for the vehicle's year, make, model, mileage, condition, trim level, and regional market demand. ACV is distinct from retail value; it reflects what a vehicle is actually worth in a dealer-to-dealer or wholesale context, not what a consumer might pay on a retail lot.

ACV is the foundation of nearly every financial decision in the used vehicle business. Trade-in appraisals, auction bids, insurance total-loss settlements, and floor plan valuations all hinge on an accurate ACV.