A list of Fees at a Car dealership that are, and are not negotiable
When purchasing a car from a dealership, many fees are negotiable, while others are not. Here's a breakdown of negotiable and non-negotiable fees:
Negotiable Fees:
Documentation Fee (Doc Fee): Also known as a "doc fee" or "dealer fee," this is a charge for processing paperwork related to the sale. Doc fees can vary widely between dealerships and are often negotiable.
Dealer Preparation Fee: Some dealerships charge a fee for preparing the vehicle for sale, which may include tasks such as cleaning, detailing, and inspecting the car. This fee is negotiable, and you can ask to have it waived or reduced.
Advertising Fee: Dealerships sometimes add an advertising fee to cover the cost of promoting their inventory. This fee can be negotiable, especially if you're able to show that you found the car through your own research rather than the dealership's advertising efforts.
Delivery Fee: If the dealership is delivering the car to your location, they may charge a delivery fee. This fee is negotiable, especially if you're willing to pick up the car yourself or arrange your own transportation.
Non-Negotiable Fees:
Sales Tax: Sales tax is imposed by the state or local government on the purchase of goods and services, including cars. The dealership has no control over sales tax, and it must be paid according to the applicable tax rate in your area.
Title and Registration Fees: These fees cover the cost of transferring the title and registering the vehicle with the state's Department of Motor Vehicles (DMV). They are set by the state and are non-negotiable.
Destination Fee: The destination fee, also known as the delivery fee or freight charge, covers the cost of transporting the vehicle from the manufacturer to the dealership. This fee is set by the manufacturer and is non-negotiable.
Licensing Fees: Licensing fees are charged by the state to issue license plates and registration documents for the vehicle. Like title and registration fees, they are set by the state and are non-negotiable.
Government Fees and Taxes: In addition to sales tax, other government fees and taxes may apply, such as tire disposal fees or environmental fees. These fees are non-negotiable and must be paid according to local regulations.
While some fees at a car dealership are non-negotiable, there is often room for negotiation on others, especially those related to dealer-specific charges. It's essential to review the itemized breakdown of fees and ask questions about any charges you're unsure about before finalizing the purchase.
