Automotive

Buying new car - dealer "sneaky" fees

  • Last Updated:
  • Feb 28th, 2018 9:23 pm
[OP]
Newbie
Feb 25, 2018
89 posts
25 upvotes

Buying new car - dealer "sneaky" fees

So I am looking at buying a new vehicle and after looking at some models through AutoTrader (to simply see what is out there), I noticed that some dealerships had additional fees. One dealer had $899 for administrative paperwork, etc, plus glass etching, full detailing (it's a new car!!!!) and all season floor mats!

Now, I understand that I can refuse to pay for the glass etching, detailing and mats (negotiate them out of the deal) but what about the usual $399-499 admin fees? I mean, what are they actually spending here to get the paperwork done? $10 for paper, printer ink and a staple? I'm being serious, is this a fee that I can negotiate out of?

My plan is to first come to an agreement on the vehicle price then opt out of the fees. But I wanted to know if there were some actual fees there that they do indeed pay for.

Thanks
20 replies
Sr. Member
Nov 11, 2013
923 posts
1035 upvotes
Calgary
Every brand will have a admin fee, best you can do is to negotiate it off the msrp. Dealerships still have overhead costs and staff to pay. I don’t agree with the extra fees on top of the admin fee that they are trying to get away with now like mandatory window etch, all weather mats, tire warranty etc. I would refuse to pay for those.
Deal Addict
Nov 8, 2005
2477 posts
1186 upvotes
Just find a price after taxes and everything that you are comfortable paying for the vehicle and any add-ons you want. Let the dealer figure out how they want to break it down.
Sr. Member
User avatar
Jun 20, 2015
647 posts
174 upvotes
Place
Always ask for what includes in that hefty admin fee and they must disclose it.

HST + Licensing is extra.
Good luck!
Deal Addict
Jan 31, 2007
2873 posts
2444 upvotes
Richmond Hill
I really have issue with "mandatory window etch"
Just a money grappling BS
******************************************************
Bright side of RFD: Often find good deal
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Deal Addict
User avatar
Nov 10, 2015
2243 posts
856 upvotes
Monte Creek, BC
tim-x wrote: Just find a price after taxes and everything that you are comfortable paying for the vehicle and any add-ons you want. Let the dealer figure out how they want to break it down.
This.
All you want to know is the price you end up paying. Tell the dealer to give you the price you need to put on the cheque and he can break it down any way he damn well wants afterwards.
The price you pay is the only thing that's important.
No political content in signatures (Who did I offend?)
Deal Addict
Jan 8, 2007
2821 posts
1348 upvotes
Calgary
iWatchTV wrote: So I am looking at buying a new vehicle and after looking at some models through AutoTrader (to simply see what is out there), I noticed that some dealerships had additional fees. One dealer had $899 for administrative paperwork, etc, plus glass etching, full detailing (it's a new car!!!!) and all season floor mats!

Now, I understand that I can refuse to pay for the glass etching, detailing and mats (negotiate them out of the deal) but what about the usual $399-499 admin fees? I mean, what are they actually spending here to get the paperwork done? $10 for paper, printer ink and a staple? I'm being serious, is this a fee that I can negotiate out of?

My plan is to first come to an agreement on the vehicle price then opt out of the fees. But I wanted to know if there were some actual fees there that they do indeed pay for.

Thanks
As others have pointed out negotiate the total price of the vehicle. Until we have legislation in this country about all in pricing, dealers are set to show pricing however they want. Some dealer can show you a lower admin fee, but give you less of a discount than a dealer with higher admin who is willing to drop more on the price. So all in price is key when comparing between dealerships.
Deal Fanatic
User avatar
Aug 27, 2014
6145 posts
2476 upvotes
Canuckland
Just ask for the on the road price, no stealership fees.

They always try to be sneaky
Deal Addict
Dec 13, 2005
1674 posts
268 upvotes
redblack wrote: Every brand will have a admin fee, best you can do is to negotiate it off the msrp. Dealerships still have overhead costs and staff to pay. I don’t agree with the extra fees on top of the admin fee that they are trying to get away with now like mandatory window etch, all weather mats, tire warranty etc. I would refuse to pay for those.
Not true,I just purchased a Honda Clarity and the 1st thing I ask is if there is Admin Fee and my dealer told me there is none
Sr. Member
Nov 29, 2011
931 posts
1133 upvotes
RedStrikeCa wrote: The worst dealer fee is "Fuel surcharge" , which I was charged on a pure electric vehicle. On top of that, the dealer delivered the car to me with 0% charge. They also offered me free oil changes for 1 year which doesn't even apply to my car.
0% charge? wowza... how were you able to get anywhere?
Deal Guru
Mar 22, 2004
13702 posts
4230 upvotes
RFD
tim-x wrote: Just find a price after taxes and everything that you are comfortable paying for the vehicle and any add-ons you want. Let the dealer figure out how they want to break it down.
Agreed, negotiate with OTD/OTR price and nothing else matters to you.
Deal Guru
Dec 11, 2008
10116 posts
1537 upvotes
I hate the admin fees/extras so when we were dealing with this agent (we did not like) we wanted the $999 admin fee/extras gone. He said not to worry about that and just focus on final price (as others have said). So we asked for $999 to be removed on top of a discount for negotiating and he did not budge, so we left.

Went to another dealer, there was no admin fee and no pressure, we asked for $1500 off, they gave us $1000 take it or leave it (in a friendly way of course) and we bought it. Such a happy experience.

I don't need to pad someone's quotas on the admin fees and extras.
Deal Addict
Dec 20, 2015
3474 posts
1792 upvotes
Toronto, ON
RedStrikeCa wrote: It was pretty frustrating. I waited 2 hours to sign the final paperwork, then find out the car has 0% charge. I ordered window tinting so they probably (barely) made it there and back after PDI. Luckily they had a charging station at the dealer. I waited 45 minutes in the car while it charged to get 20 km (10%) range then drove to an Ikea for free fast charging (80% charge in 30 minutes).
Did you at least take the free oil change? lol please do spill which dealership it was so we can all be aware and stay away.
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Member
Mar 1, 2011
437 posts
108 upvotes
Stoney Creek
I have never paid for or ever been asked to pay an admin fee by Ford.
Deal Addict
Mar 20, 2005
2267 posts
656 upvotes
Maple
All depends were you go.

When I purchased my ram in 2017 the dealer was awesome.

They had a 25% factory rebate. I went in with all invoice pricing from unhaggle? And the dealer gave me that price without issue and even applied an employee discount code to the invoice price....and of course applied the 25% factory rebate.

When signing the paperwork I saw a 299 admin fee, I asked about it but decided to not press the issue.

If a dealer is more than fair to you through the entire process, then a small " tip " in the form of the admin does not bother me. They never once tried to take me as a fool or Rob Mr once.

Btw the dealer is hunt Chrysler in Milton.
[OP]
Newbie
Feb 25, 2018
89 posts
25 upvotes
tim-x wrote: Just find a price after taxes and everything that you are comfortable paying for the vehicle and any add-ons you want. Let the dealer figure out how they want to break it down.
Good point. I'll have a price in mind and use that.
Thanks!
Deal Addict
User avatar
Jun 29, 2010
1290 posts
465 upvotes
BigBacala wrote: I have never paid for or ever been asked to pay an admin fee by Ford.
I wasn't last time either - but I went to a small dealership about 40km out of the city where they have to compete with the bigger dealers,
so they were not including anything like etching, or nitrogen in the tires, or any other crap like that.
Deal Addict
User avatar
May 6, 2010
3006 posts
375 upvotes
Markham
It's also on the leasing as well. We managed to get it removed, at the beginning of the lease but was left in at the buyout 4 years down the road. Smiling Face With Horns
Deal Guru
Aug 14, 2007
11074 posts
2161 upvotes
Toronto
RedStrikeCa wrote: The worst dealer fee is "Fuel surcharge" , which I was charged on a pure electric vehicle. On top of that, the dealer delivered the car to me with 0% charge. They also offered me free oil changes for 1 year which doesn't even apply to my car.
I would have walked away from that dealership if they were adding fees that weren’t applicable to the vehicle or services that also were not applicable.
Deal Addict
User avatar
Sep 30, 2007
1538 posts
1584 upvotes
Toronto
And all these idiots are wondering, why people love Tesla business model.
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