"Dealer Fees"
#41
Team Owner
The two fees that some dealers try to pull are a dealer advertising and Doc fee. They always pull this after you and sales guy/manager agree on the price.
They claim that they have to pay a fee for national or regional advertising. After I get done laughing I say how come you do not add a fee for garbage removal, lawn care, snow removal. That’s right there figured into to the price we negotiated, what you pay is your problem not mine, remove or I walk!
The doc fee is normally at the bottom of the contact and the box is preprinted with the amount. Now a $50 or close no big deal, but some of those doc fees go into the multi hundreds. I will pay a small fee if I have a great deal working.
In my state that fee is bullch*T anyway as all big dealers have a computer tied in to State Motor Vehicle and can do the whole document thing in about 5 minutes of banging on the keyboard. Anything over a $50 I cross it out and initial it as I sign the contract. A fee for new plates is legal as that rip off goes to the state and the dealer has nothing to do with it!
They claim that they have to pay a fee for national or regional advertising. After I get done laughing I say how come you do not add a fee for garbage removal, lawn care, snow removal. That’s right there figured into to the price we negotiated, what you pay is your problem not mine, remove or I walk!
The doc fee is normally at the bottom of the contact and the box is preprinted with the amount. Now a $50 or close no big deal, but some of those doc fees go into the multi hundreds. I will pay a small fee if I have a great deal working.
In my state that fee is bullch*T anyway as all big dealers have a computer tied in to State Motor Vehicle and can do the whole document thing in about 5 minutes of banging on the keyboard. Anything over a $50 I cross it out and initial it as I sign the contract. A fee for new plates is legal as that rip off goes to the state and the dealer has nothing to do with it!
#42
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In Florida I think they try and get around the "DOC Fee" limitations by calling it a "Dealer Fee" For example, I saw a car listed at a Mercedes dealer that said " Price does not include $799 dealer fee". Later that week, I saw a Chevy dealer that was advertising, " And we only charge a $99.00 dealer fee"
A hundred bucs is one thing, but when they try and screw you to the tune of $800 its time to be prepared to leave.
A hundred bucs is one thing, but when they try and screw you to the tune of $800 its time to be prepared to leave.
Last edited by CMC1998; 08-06-2012 at 02:47 PM.
#43
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As some have said already, it doesn't really matter how they do the paperwork as long as the "out the door" "bottom line" is what was agreed upon. I do this for a living and always make sure those numbers are what is important. Whether I have a DOC fee or not will not change the final number, it just breaks down into different spots on the paperwork. Always negotiate the out the door price(and before trade).
#44
Racer
Illinois has a "doc fee" law. I believe for 2012 they raised the maximum to $161.50. It stipulates that the dealership can charge from $0 - $161.50 for doc fees, but that it has to be the same for all customers. In other words, buying a car in IL means there will always be a doc fee with a car purchase, new or used. The best you can expect to do is negotiate a good OTD price which is all that matters anyway.
#45
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St. Jude Donor '06
When I made my last purchase (not a 'Vette) they insisted on an extra $50 fee. After going back and forth with no apparent solution they called in the salesperson and I negotiated in a full set of all-weather floor mats (which I wanted anyway and were worth more than fifty bucks to me) in exchange for paying the $50 fee. If that hadn't worked, I would have walked and probably ended up not having to pay the $50 but I needed the mats.
#46
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St. Jude Donor '06
Illinois has a "doc fee" law. I believe for 2012 they raised the maximum to $161.50. It stipulates that the dealership can charge from $0 - $161.50 for doc fees, but that it has to be the same for all customers. In other words, buying a car in IL means there will always be a doc fee with a car purchase, new or used. The best you can expect to do is negotiate a good OTD price which is all that matters anyway.
As you say, a savvy buyer can still just negotiate the total OTD price which really makes the fee moot. But by passing the ridiculous law the politicians can convince the gullible that they are protecting them, and therefore deserve their votes.
The problem with people believing that they are being protected by the government - especially the gullible ones - is that they become much more gullible and so likely get taken even more often because they let their guard down.
There is excellent logic behind "caveat emptor" or "let the buyer beware" and the further we stray from that principle the worse off we will be.
Last edited by C-INRED; 08-06-2012 at 03:44 PM.
#47
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#48
Race Director
THIS is all that matters...Don't just throw away a deal because you thump your chest and say no admon fee for me by george. You have to see all the picture.....You have to look at all the angles of the deal and look at the OTD price before you decide...
I've purchased 12 new cars from a dealer that always charges a fee...but the rest of the deal more than makes up for it, time after time after time..
#49
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I placed my order with Ken here on the forum back in june , no fees, in fact he is including the dealer incentives that recently came out lowering the price another 1500 bucks..Last week I saw there's a credit union incentive which lowers the price another 500 bucks so at this point I'm two grand below the agreed price...can't beat that ....time to buy some accessories
That's a good one.
#50
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St. Jude Donor '12
Yet another scam by dealers to fleece people. The price is the price. Not: the price is the price and then we'll add in some extra money for ourselves just because we can.
If you buy from a dealer, agree to an out-the-door bottom line price that goes to the dealer (tax and title go elsewhere). If they try to jack you on the fee, walk.
If you buy from a dealer, agree to an out-the-door bottom line price that goes to the dealer (tax and title go elsewhere). If they try to jack you on the fee, walk.
#51
As strange as it seems, you can get the $500 credit union incentive from certain dealers without using the credit union to finance the car. I got this discount and used the GM 0% financing.
#52
Instructor
Always go into the deal know how much you can and will finance, get pre-approved, how much your payment will be at what ever interest rate credit union offers if financing for said amount. If it used, in Arizona 98% change they got it at auction. Old guy trading this in is bunk. Example: I trade my Vette in and dealer says not worth more than 10k then week later they have it on their lot for 20k, I am not happy anymore with the trade, so goes to auction, another dealer buys it sells it for 20k everyone happy. your dealer gets on auction and gets a different one for 10k. They all work together in an independent way.
$2000 in fees means the actual car price is less.
All a game.
#55
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St. Jude Donor '06-'07-'08-'09-'10-'11-'12-'13-'14-'15- '16-'17-‘18-‘19-'20-'21
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#56
Le Mans Master
Compare 'out the door' prices (including taxes, any fees no matter what they are called, extra delivery charges or fees to get your car home, etc.) from as many dealers as you want. Then buy the car with the lowest OTD price.
#57
Le Mans Master
Mike, screw worrying about add-on fees. Look for the lowest price OTD from several dealers, no matter what is included in that price. When you do that, everyone (especially the smiling buyer) is happy.
#58
I don't think that anyone wants to deny a dealer or any business a profit. The issue is how ethical you are in conducting that business. Slippy in extra fees in the contract, lying to the customer and other various shady dealer/business practices is where we really have an issue.
#59
Le Mans Master
If the dealer tells you up front he will charge a 'fee' of x dollars, where is that lying to a customer, slipping in extra fees, or being unethical or shady?
It may be nuts on the dealer's part, but none of what you say is true.
If you don't like the dealer's price, you walk.
#60
Advanced
When I was in the auto business we charged a $17 doc fee and took a lot of grief over it. Yes it went to profit but it is not much money. I always ask about dealer fees before even beginning negotiations so I know there will be no surprises later.