New car dealer fees

#1

I am purchasing a new Holda Fit. The dealer is trying to charge for “pre-delivery inspection”, “conveyance” and “document” fees. Are these garbage fees or legitimate fees? Can they be negotiated or declined?

#2

Everything can be negotiated. Suggest that they start the negation process over from the start and tell them you don’t car how they put the numbers on the invoice, but you want your car for $X.XX including taxes paper work charges etc. That includes all fees charges etc. If they don’t like it, then go to another dealer. Don’t get hung up on how they claim they are coming up with the numbers, you don’t really care do you. You just want that final number. Anytime they try to change that or

#3

Depending on what kind of deal you negotiated that may be the only place where they are making money. Keep in mind that the Fit is in high demand and if you don’t buy it, there will be 10 people who will. Now if you were buying an F-350 you could probably get most of the extra fees dropped. But with a car that’s in demand don’t count on much.

#4

It depends what the terms mean. If the document fees are the registration and title fees, then you should pay for them. If conveyance means the shipping cost, they you should pay for that, too. Inspection should be part of the normal process that every car receives, and I don’t think you should pay extra for that. Did you ask the dealer what the terms mean? It’s their invoice; they should know.

#5

Pre-delivery inspection is something that the manufacturer compensates the dealership for doing. You should not be paying that fee.

Documentary fees are allowable, but the amount is probably regulated. Your state’s DMV should be able to tell you what fees are allowable for documentation.

Conveyance fee? If that is for delivery, that item is already listed on the window sticker, and is part of the sticker price. I suggest that you ask for a definition of “conveyance fee”, as it could indicate something other than vehicle delivery.

#6

Disclaimer: I’m a former car salesperson.

The dealer will charge for anything he thinks you will pay for. That’s his job. It’s how he makes extra profit. None of the charges you mention is anything but profit. You don’t need to pay any of them, and you should refuse.

It’s a game. They try to get as much of your money as they can. They’re highly trained to do this, and they’re very good at it.

Your job is to spend as little of your money as necessary. Don’t pay any of these bogus fees. They are nothing but profit for the dealer.

Just say, “No.” They will argue. They may threaten. Just say, “No.”

It’s your money. They’re not doing you a favor selling you a car, you’re doing them a favor buying one. YOU should be in charge, but they are trained to make you think THEY are in charge.

Turn the tables and keep your hard-earned money.

#7

Tell them the total amount you will pay for the car, everything included. They can lower the car price to fit what you will pay. It should be a buyer’s market. All you have to do is prove it.

#8

All that matters is the total amount you’re paying to the dealer (not counting any taxes or fees that go to the government). They can break that amount into any categories and fees they’d like, but that’s not your concern.

#9

All that matters is the total amount you’re paying to the dealer (not counting any taxes or fees that go to the government).

I would not isolate those taxes and fees. While the dealer can’t really change them, the buyer should know what the buyer’s total cost is going to be and not be surprised at the last moment with additional cost. I strongly suggest that the buyer should work towards only one number and that is the total he or she will be paying.

It is also a good idea to consider the payment amounts and the term of the payments.  Remember you can go outside the dealer and often get better financing than the dealer will offer.  If at all possible try not to go into debt for your car.  That alone will save you a great deal.