How much is dealer cost?
Lead Lap
Joined: Jul 2006
Posts: 531
Likes: 2
From: CA
that's all fine. But i still like to call it all "BS" fees. Just my preference.
If you see the itemized cost, you'd understand. PDI fee for example.... is ridiculous.
remember, dealerships survive on many other things besides vehicle sales. And most people pay over invoice. so chillout a little.
If you see the itemized cost, you'd understand. PDI fee for example.... is ridiculous.
remember, dealerships survive on many other things besides vehicle sales. And most people pay over invoice. so chillout a little.
Time is money. The bank processing fee I just paid for my car probably covers 90 minutes of the dealership's time (not just the time I spent face-to-face with Mr. Finance). Assuming raw labor cost of running a dealership is $250 - $300/hr, as a consumer I can understand the fee. I may not like it but its justified.
The cost of doing business.
Rookie
Joined: Dec 2004
Posts: 52
Likes: 2
I think the problem with these fees is that many dealerships bring it up as a "surprise!" right before closing, and I think that's why people consider them "BS" fees. The last two cars I've purchased, my salespeople clearly outlined a document processing fee that they would be charging. I, of course, took that into account when negotiating the price of the car, and didn't consider these "BS".
I also helped a friend purchase a Hyundai, and during the entire course of negotiations, no mention was made of a $199 document processing fee, a $199 VIN etching fee and an advertising fee. It was after he'd agreed to purchase the car that these fees magically appeared, and they refused to budge saying that these fees were part of their policy. No, I don't begrudge a dealership for trying to make money -- we live in a capitalist society, and it is what it is. But it leaves a bad taste in one's mouth to find these fees just prior to signing.
I also helped a friend purchase a Hyundai, and during the entire course of negotiations, no mention was made of a $199 document processing fee, a $199 VIN etching fee and an advertising fee. It was after he'd agreed to purchase the car that these fees magically appeared, and they refused to budge saying that these fees were part of their policy. No, I don't begrudge a dealership for trying to make money -- we live in a capitalist society, and it is what it is. But it leaves a bad taste in one's mouth to find these fees just prior to signing.
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MJA1951
GS - 4th Gen (2013-2020)
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Dec 27, 2012 07:02 AM
