- Should I pay dealer doc fees?
- Why do dealers charge a doc fee?
- What should you not say to a car salesman?
- What dealership fees should I not pay?
- What are the hidden fees when buying a car?
- Do dealerships like cash buyers?
- How much should you pay off MSRP?
- What is a reasonable dealer doc fee?
- Are doc fees legit?
- Can dealer fees be waived?
- What dealer fees are legitimate?
- What fees do dealers charge on used cars?
- How do you avoid dealer fees?
Should I pay dealer doc fees?
Documentation fee: Dealerships charge car buyers a documentation fee, or “doc fee,” to cover the cost of preparing and filing the sales contract and other paperwork.
In some states, the doc fee is limited by state law.
Dealerships may sell a vehicle at an attractive price but then add a high doc fee to the contract..
Why do dealers charge a doc fee?
A doc fee — also called a document or documentation fee — is a fee charged by car dealerships to process a vehicle’s paperwork. Essentially, a doc fee covers the cost of all the dealership’s back-office employees, from the people who handle the money to the employees who deal with the title, registration and the DMV.
What should you not say to a car salesman?
10 Things You Should Never Say to a Car Salesman“I really love this car” You can love that car — just don’t tell the salesman. … “I don’t know that much about cars” … “My trade-in is outside” … “I don’t want to get taken to the cleaners” … “My credit isn’t that good” … “I’m paying cash” … “I need to buy a car today” … “I need a monthly payment under $350”More items…•
What dealership fees should I not pay?
Unavoidable FeesConveyance or documentation fee: This covers the cost of the dealer handling the paperwork. … State sales tax: Unless you live in a state where there is no sales tax, you need to pay it. … Title and registration fee: Not only is it hard to get out of this one, but it’s not worthwhile to do so.
What are the hidden fees when buying a car?
At some dealerships, the out-the-door costs are abbreviated as “TTL fees” or tax, title and license. This means that, in addition to the price of the car, you typically have to pay the following costs: State and local sales tax. Department of Motor Vehicles title and registration fees.
Do dealerships like cash buyers?
These days, most dealers won’t even touch your money, let alone give you a better deal for paying cash rather than financing. … The reality is that there are no special deals for cash at large dealerships, and even the smaller dealerships are becoming less interested in “doing a deal for cash”.
How much should you pay off MSRP?
If you purchase a vehicle at invoice prices – with a $3000 difference – the dealer makes $3000 on the vehicle. Many dealers will easily settle for a $1500 to $2500 profit.
What is a reasonable dealer doc fee?
Most dealerships charge anywhere from $50 to $500 and the fee is normally not brought to your attention until right before you sign the paperwork for your vehicle. Documentation fees (or doc fees) vary from state-to-state and some states have a maximum limit a dealer is allowed to charge.
Are doc fees legit?
A “Doc Fee” is a fee charged by a dealership that supposedly covers the cost of paperwork involving in selling you a car. At a certain level, this is legit. … It also includes a mark-up, or a profit, for the dealership. And in some cases, that mark-up is huge.
Can dealer fees be waived?
Insist on some of these being waived (like the delivery charge if it’s on top of a destination charge), and cutting down other fees like the preparation charge. The advertising fee is non-negotiable for you, so don’t pay it under any circumstances.
What dealer fees are legitimate?
The fees usually range between $100 and $400 and a couple of examples are TDA (Toyota Dealer Advertising Fee) and MACO (Market Area Co-op Advertising Fee). One important note: In order for these fees to be legitimate, they MUST BE listed on the vehicle invoice.
What fees do dealers charge on used cars?
Many dealerships will roll sales tax into the title and registration fees we discussed earlier into one TT&L (tax, title and license) fee. Some dealers say to expect to pay between 8% and 10% of the sales price in taxes and fees. This rule of thumb applies to new and used cars.
How do you avoid dealer fees?
But don’t despair – there are a few things that you can do to avoid dealer fees when buying a used car! The first way to fight back is by thoroughly reviewing the fine print. Ask the dealer for a line by line itemization of what the doc fee pays for in addition to what is already written.