Dealership Fees???

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Jul 23, 2006 | 11:52 AM
  #1  
I just ordered my mini – but I am still finalizing the paperwork.My question is: What fees did your dealership tack on when you purchased your mini?I’d like to know what is “normal” and what I can argue about.
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Jul 23, 2006 | 12:05 PM
  #2  
MINI in Portland told me they only charged a couple hundred for prep and detailing at the dealership. That was it.

That was a few months back.

dan
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Jul 23, 2006 | 12:09 PM
  #3  
At Road show in Memphis there was a $249 "documentation fee" and a $52 Memphis tax. They said both were non-negotiable. Since I had no intention of paying more that MSRP including everything, I asked for a $350 discount off MSRP to cover the "fees". They gave it to me.

If you are finalizing the paperwork you're a bit behind in finding out what fees they are going to spring on you at signing.
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Jul 23, 2006 | 12:13 PM
  #4  
hummm...why is a car guy's worst enemy in the signature?



low flying bombers...
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Jul 23, 2006 | 12:20 PM
  #5  
At Hank Aaron in GA there was a $300 documentation fee (which is such BS, I mean I would change professions if I could earn $300 for some paper & 5 minutes of typing) but they said it was non-negotiable

There was also a $500 dealer prep fee which I talked down to $0
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Jul 23, 2006 | 12:43 PM
  #6  
Quote: At Hank Aaron in GA there was a $300 documentation fee (which is such BS, I mean I would change professions if I could earn $300 for some paper & 5 minutes of typing) but they said it was non-negotiable

There was also a $500 dealer prep fee which I talked down to $0
Usually, the documentation fee is for the cost of submitting the documentation on the car sale to the local department of motor vehicles to complete the registration/title transfer process. If you are purchasing from an out-of-state dealer (e.g. the dealer you are buying from is not located in your state of residence), there is no title transfer being done by the dealer and you should be able to negotiate the fee down to $0 as well. Just keep asking the question what are you getting done by the dealer for the documentation fee.... Preparing the bill of sale is not worth $300.

If the dealer won't budge on the documentation fee, then ask for a reduction in the sales price to cover the documentation fee, since they really are not doing anything for the fee (if it is an out-of-state sale).
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Jul 23, 2006 | 12:45 PM
  #7  
I was from AL buying in GA but they wouldn't budge on the documentation fee. But I got the Dealer prep ($500 carwashing ) fee down to nothing so I let it go
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Jul 23, 2006 | 12:53 PM
  #8  
these earlier posts are correct. the "documentation fee" is nonsense, since the dealer cannot "sell" the car to you without completing a contract, etc. this is just a way to pad profit, virtually all car delerships (of any manufacturer) do this, particularly high fees in some eastern/western states, (CT where i buy is quite high). the dealer also has onlie tie-ins to most DMV's, and plates already on hand, (part of the business), so anything more than a VERY modest charge for handling the registration is also a moneymaker. "dealer prep" is an ABSOLUTE NO-- this is included in manufacturing/distribution costs, remember-- you already paid for "transportation," and prep is part of that. "dealer prep" went the way of the do-do bird a LONG time ago-- anyone insisting on that, you should take your business elsewhere, they are just treating you like a fool. there is no reason that you should have to "negotiate" these fees away. if the dealer is going to give you a discount, then give you one-- eliminating unwarranted fees-- just because you are not stupid-- you shouldn't be walking away "satisfied" that you got a "discount."
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Jul 23, 2006 | 01:20 PM
  #9  
One more data point on "documentation" fees - in many states (at least in California), the AAA will do the registration/title transfer for its members for FREE. If AAA will do the work for free, it must not be costing them much to start with.... So, $300 for documentation seems a bit much.
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Jul 23, 2006 | 01:33 PM
  #10  
The only fees I paid was the $45 for the registration for my plates. Since you are already shelling out atleast the MSRP (if not more.....), you should take it up with your dealer about the reasons for the $300 documentation fee.

Our MA coordinated with our insurance company, BMW Finance and the local DMV for all the documentation and all I paid extra was the $45 for DMW.
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Jul 23, 2006 | 02:15 PM
  #11  
$249 "Documentation Fee" at Mini of Charleston. :(
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Jul 23, 2006 | 02:30 PM
  #12  
I'm in Illinoios and looking at my invoice, Document service fee of $57.33, that's all.
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Jul 23, 2006 | 02:45 PM
  #13  
Doc fees are pure dealer profit.
Salesmen look bad if they don't include them.

However, if you don't negotiate with them until the end when they show up, and you're willing to walk away since they weren't included 'til the end, then salesmen will find a way to reduce the cost of other components the same amount as the doc fee.

Worked for me, when I was willing to walk in Oct '04.
-Ed
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Jul 23, 2006 | 03:49 PM
  #14  
While the car is on order - I have yet to sign anything. So if they charge too much extra in fees and will not negotiate I plan to switch dealerships. I am going to make my purchase official Monday - as long as the fees seem reasonable.

And Stormy, my parrot in my sig, automatically lunges at and attempts to kill anything that I pay too much attention . . . so I'm glad he won't be able to see me waxing my car for hours outside . He doesn't realize that he is merely 400grams - he thinks he is an eagle or something.
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Jul 23, 2006 | 03:57 PM
  #15  
a couple of cars ago I was looking on a Ford dealer's lot outside of Boston and every car had the official Ford invoice glued to the window, and next to that each car had an additional official looking invoice nicely done by this dealer...this dealer invoice on each car was for $1500 and had the title: A.D.M.U.

After much persistant questioning by me, the salesguy reluctantly explained what the ADMU was....it stands for additional dealer mark-up....really!....so, I left there in a hurry
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Jul 23, 2006 | 04:01 PM
  #16  
Quote: a couple of cars ago I was looking on a Ford dealer's lot outside of Boston and every car had the official Ford invoice glued to the window, and next to that each car had an additional official looking invoice nicely done by this dealer...this dealer invoice on each car was for $1500 and had the title: A.D.M.U.

After much persistant questioning by me, the salesguy reluctantly explained what the ADMU was....it stands for additional dealer mark-up....really!....so, I left there in a hurry
Depending on the car, $1,500 over dealer invoice might not be bad.... A SVT Mustang anyone???? Unfortunately, invariably, the desirable cars don't get the discount treatment....
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Jul 23, 2006 | 05:03 PM
  #17  
I got my car at MSRP and left it at that. That's it. NO FEES. NOTHING. Zip. Zero. Zilch.
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Jul 23, 2006 | 05:23 PM
  #18  
I had to pay Dest & Handling, that was it. MINI of Peabody was very firm on not budging on their prices since they knew if I didn't want to pay MSRP, the next person would and take up that slot.
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Jul 23, 2006 | 06:21 PM
  #19  
Up in the Vancouver (B.C.) area both dealers charge a $395 documentation fee. I ended up buying my MCS through a broker and paid $0 documentation fee.
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Jul 23, 2006 | 07:45 PM
  #20  
Mini of the Woodlands just charges MSRP plus a $50 fee. I think that's fairly reasonable... However, the other MINI dealer in Houston, Momentum MINI, charges a $497 dealer fee... they try to play it off as getting a loaner car, etc, but (hopefully) I don't plan on having my car at the dealership that much. I will arrange other forms of transportation thank you very much!
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Jul 23, 2006 | 08:48 PM
  #21  
I think that anything over a $100, To cover registering the car, is unreasonable.
Most dealers are going to make at least 2 to 5 percent on the sale, based on msrp.
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Jul 23, 2006 | 09:50 PM
  #22  
Quote: I think that anything over a $100, To cover registering the car, is unreasonable.
Most dealers are going to make at least 2 [Emphasis added.] to 5 percent on the sale, based on msrp.
How do you get to the 2 percent number? Even just the car without any options would result in ~5% margin (with a sell price at MSRP).
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Jul 24, 2006 | 06:45 AM
  #23  
Quote: I'm in Illinoios and looking at my invoice, Document service fee of $57.33, that's all.
Yep same here!
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Jul 24, 2006 | 06:45 AM
  #24  
Plenty of dealer profit is built into the MSRP.
Doc fees are just one more level of negotiation that the buyer must address to keep from being screwed as much.
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Jul 24, 2006 | 08:25 AM
  #25  
Quote: How do you get to the 2 percent number? Even just the car without any options would result in ~5% margin (with a sell price at MSRP).
Not just talking Mini here but other dealerships in general.
Some Cars can fetch 10% or more, gives alot of dealers room to haggle the price below MSRP.
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