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Dealing with Dealerships mystery "fees"

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Old 06-28-2006, 09:11 AM
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Originally Posted by S L I C K
The $31,803 was before TTL, just so there's no confusion.
I suspect it was also before some "dealer fees" or other add-ons.

Did you finance through the dealer?

How much $ was the sales tax and what is the rate (%) of sales tax where you bought it?

If the $31,803 was truly Out The Door except for tax, tag, license for a new (not demo) TL with Navi, you stole it. That's more than $1,000 below "invoice" for a hot-selling car in its class.

However, if you financed it through the dealer and/or bought an extended warranty, they may have made enough on that end to let the car go for less than usual.
Old 06-28-2006, 07:37 PM
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Originally Posted by Xpditor
I suspect it was also before some "dealer fees" or other add-ons.

Did you finance through the dealer?

How much $ was the sales tax and what is the rate (%) of sales tax where you bought it?

If the $31,803 was truly Out The Door except for tax, tag, license for a new (not demo) TL with Navi, you stole it. That's more than $1,000 below "invoice" for a hot-selling car in its class.

However, if you financed it through the dealer and/or bought an extended warranty, they may have made enough on that end to let the car go for less than usual.
Quick Price Breakdown:

2005 Acura TL 5-Speed Automatic w/ Navigation

$31,803 ( Negotiated Price )
+ $545 ( Destination )
+ $152 ( Documentation Fee )
+ $246 ( DMV Fee )
+ $7.50 ( Tire Tax )
+ $1,908 ( 6% Tax )
= $34,662 ( OTD Price )

Was the Documentation Fee / DMV Fee too much or about right ( just so I know for my 2007 Acura TL purchase )?
Old 06-28-2006, 10:29 PM
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Originally Posted by S L I C K
Quick Price Breakdown:

2005 Acura TL 5-Speed Automatic w/ Navigation

$31,803 ( Negotiated Price )
+ $545 ( Destination )
+ $152 ( Documentation Fee )
+ $246 ( DMV Fee )
+ $7.50 ( Tire Tax )
+ $1,908 ( 6% Tax )
= $34,662 ( OTD Price )

Was the Documentation Fee / DMV Fee too much or about right ( just so I know for my 2007 Acura TL purchase )?
Well, it's a very good price. It's actually $32,500 after adding the freight and "Documentation Fee". That fee is an invention of dealers just to increase their profit. It varies from dealer to dealer and many don't charge any at all. I don't pay it. I just make them cross it off the order form.

As for the "DMV Fee", if all of it goes to the state for your tag transfer, it's a legitimate charge. If it exceeds the cost of your actual transfer, then it also is an invention of the dealer to boost his profit. I can't tell because each state and jurisdiction is different. Where I am, it would be about $30.

If you can get that price again, even with the fantasy fees, it's one of the best I've seen on this site.

As I've mentioned before, if you finance through the dealer and/or get an extended warranty, they can make enough off those to sell you the car closer to their cost. Timing is also everything. Eg: end of the month; end of the year. Often, the dealers are trying to meet a goal at those times.

I am confidant that Anthony will walk you through those mine fields and get you a good deal.
Old 06-28-2006, 10:55 PM
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Originally Posted by Xpditor
Well, it's a very good price. It's actually $32,500 after adding the freight and "Documentation Fee". That fee is an invention of dealers just to increase their profit. It varies from dealer to dealer and many don't charge any at all. I don't pay it. I just make them cross it off the order form.

As for the "DMV Fee", if all of it goes to the state for your tag transfer, it's a legitimate charge. If it exceeds the cost of your actual transfer, then it also is an invention of the dealer to boost his profit. I can't tell because each state and jurisdiction is different. Where I am, it would be about $30.

If you can get that price again, even with the fantasy fees, it's one of the best I've seen on this site.

As I've mentioned before, if you finance through the dealer and/or get an extended warranty, they can make enough off those to sell you the car closer to their cost. Timing is also everything. Eg: end of the month; end of the year. Often, the dealers are trying to meet a goal at those times.

I am confidant that Anthony will walk you through those mine fields and get you a good deal.
So I should try to get the Documentation Fee crossed off of my order form? You only paid $30 for the DMV Fee? That's crazy if you did! Also, how would I check what I should pay for the DMV Fee? Thanks for informing me about these Fantasy Fees. I really appreciate it. I always thought they were just the usual fees that everyone paid. If Anthony can get me a great deal w/o a lot of hassle and hidden fees, I'll be a 2007 Acura TL owner this fall.
Old 06-29-2006, 08:23 AM
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Originally Posted by S L I C K
So I should try to get the Documentation Fee crossed off of my order form? You only paid $30 for the DMV Fee? That's crazy if you did! Also, how would I check what I should pay for the DMV Fee? Thanks for informing me about these Fantasy Fees. I really appreciate it. I always thought they were just the usual fees that everyone paid. If Anthony can get me a great deal w/o a lot of hassle and hidden fees, I'll be a 2007 Acura TL owner this fall.
My own preference and one that I tell the dealer up front, is that they include ALL such profit-boosting fees when giving me a quote. The only thing I expect to be additional is the sales tax and the cost of transfering the registration/title.

To me, it is deceptive to quote a price, agree on it, and then start packing on "fantasy fees". Just include them from the beginning. Adding fees after the price is agreed to, in my opinion, defeats the spirit of the Monroney legislation which requires a Manfacturer's Suggested Retail Price (MSRP) to be posted on all new cars by the factory. This law came about because of unethical practices of dealers that had become commonplace.

These fees are not required, are not uniform, and subject to the whim of the dealer.

Unfortunately, these "dealer fees" or "document fees" have started to become common because of dealer competition. It allows dealers to "low-ball" a shopper with an unrealistic price quote while they are shopping around and then raise it when they come in to buy the car. They count on customers to assume it's just a normal fee that everyone pays. I have seen the fee as high as $995. It is not a fixed amount between dealers and it makes comparative shopping complicated. It is designed to do so.

It should not be a problem for an ethical dealer like DCH Montclair Acura, if you ask them to include any such fees in the price they quote you. They can then separate the amounts on the order form if they feel they HAVE to do it that way as long as the total you pay, including fees, equals the price quoted.

I should note that the salesperson has no control over how these fees are listed. That is established by dealership policy. But, as in any contract, you can make any changes that both of you agree to.

I don't know where you live and where your vehicle is registered. In Florida, an annual registration is about $50 depending on the weight of the vehicle. If you already have a license plate, transfering it to a new car is less than that. Some states have a registration fee combined with a personal propery tax. That raises the registration cost depending on the value of the car. You can find out what your state/county charges by calling the Revenue Collector's Office for your jurisdiction. Often this information is online.

These comments are generic to all dealerships. I know Montclair to be very helpful and I am sure will work with you through these confusing issues. As someone once said, "An informed consumer is our best customer."

Good luck.
Old 06-29-2006, 10:53 AM
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In MD all dealers charge $100 fee, shown as a separate line item on the invoice. I negotiated $33k, including this fee, but without taxes and tags. Total was $34950 or so. Could get it cheaper, if I picked a car from the delaer stock instead os factory ordering it.
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