Automotive

Kia Lease up-front fees

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  • Aug 10th, 2019 6:18 am
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Member
Dec 11, 2007
432 posts
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Markham

Kia Lease up-front fees

Hi,

I’m trying to negotiate a lease on a Kia vehicle. The dealer mentioned a fee called PPSA. I googled it and seems like a legitimate government fee in Ontario. The amount the dealer said for the PPSA fee was around $100, which seems higher than what I’ve seen online. Anyone know if there is a standard amount for this fee or does it vary?
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Deal Expert
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Jul 30, 2007
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Toronto
lien registration .. if you are financing or leasing. $100 is double of the normal amount. No standard set amount. Dealer is scamming you on this item, that is, it's legit but charging you an extra $50 easily.
Member
Dec 11, 2007
432 posts
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Markham
booblehead wrote: lien registration .. if you are financing or leasing. $100 is double of the normal amount. No standard set amount. Dealer is scamming you on this item, that is, it's legit but charging you an extra $50 easily.
Thanks for the info. Is there a reference I can provide which shows the true amount?
Deal Expert
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Jul 30, 2007
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No regulated fee for this. If the dealer is being honest, then the typical amount should be between $45 - $60 range. $100 is simply abusive, IMO.
Banned
Aug 3, 2005
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narmak wrote: Thanks for the info. Is there a reference I can provide which shows the true amount?
Not that i can find...but its usually easy...just say "If you do not knock off $50 for the PPSA fee, please cancel this transaction immediately"

The fee will be $50 or $0 before you can finish your sentence.
Deal Expert
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Jul 30, 2007
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^ yup. or you can charge me $100 for ppsa but I want $50 back in prepaid gas card. Smiling Face With Open Mouth And Smiling Eyes
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Sep 9, 2012
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Oakville, ON
narmak wrote: Hi,

I’m trying to negotiate a lease on a Kia vehicle. The dealer mentioned a fee called PPSA. I googled it and seems like a legitimate government fee in Ontario. The amount the dealer said for the PPSA fee was around $100, which seems higher than what I’ve seen online. Anyone know if there is a standard amount for this fee or does it vary?
The actual Ontario Government Fee for registering a lien under the PPSA is $8 per year, so a 3 yr lease/loan would be $24, or $32 for 4 yrs, etc.

Whether lenders do the paperwork themselves or they they have a 3rd party service do the work a typical processing fee would be in the range of $25 to $50 at most.

Some lenders just charge a flat fee of $50 and they make a little more on shorter terms and a little less in longer terms.

So a PPSA fee of $100 seems pretty high.

Is the $100 being quoted as a placeholder on a draft bill of sale? Or is the $100 being quoted as the final figure in the final bill of sale?

Who is the lender?

Edited to add that it’s probably Kia Canada. They’re pretty new to financing in Canada and they seem to have some terms and conditions that are a little bit beyond the industry norm.

It now looks like they’re charging an unusually high PPSA Fee compared to other lenders.

Call their Customer Service line (866) 250-3151 to confirm if that’s what they’re really charging or if the dealer is pulling it out of the air.
Deal Addict
Jul 22, 2019
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Every fee they charge is abuse. Like the $1800 PDI lol.
Deal Expert
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Jul 30, 2007
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Mercedes charges $49 + taxes
BMW charges $57 + taxes
Audi charges $58 + taxes
Member
Dec 11, 2007
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Markham
CanadianLurker wrote: The actual Ontario Government Fee for registering a lien under the PPSA is $8 per year, so a 3 yr lease/loan would be $24, or $32 for 4 yrs, etc.

Whether lenders do the paperwork themselves or they they have a 3rd party service do the work a typical processing fee would be in the range of $25 to $50 at most.

Some lenders just charge a flat fee of $50 and they make a little more on shorter terms and a little less in longer terms.

So a PPSA fee of $100 seems pretty high.

Is the $100 being quoted as a placeholder on a draft bill of sale? Or is the $100 being quoted as the final figure in the final bill of sale?

Who is the lender?

Edited to add that it’s probably Kia Canada. They’re pretty new to financing in Canada and they seem to have some terms and conditions that are a little bit beyond the industry norm.

It now looks like they’re charging an unusually high PPSA Fee compared to other lenders.

Call their Customer Service line (866) 250-3151 to confirm if that’s what they’re really charging or if the dealer is pulling it out of the air.

Thank you very much for the info. Unfortunately, after I spoke to an agent on the Kia website chat, she said they can’t provide me the fee amount and that it would be determined by the dealer.
Deal Expert
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Jul 30, 2007
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ppsa is normally set by dealer. As I was saying earlier, it all comes down to how honest is your dealer.
Member
Dec 11, 2007
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Markham
booblehead wrote: ppsa is normally set by dealer. As I was saying earlier, it all comes down to how honest is your dealer.
Yea I’ll see what the other dealer says about their PPSA fee when I go there. Maybe it might be lower/higher. I have only spoken to just one so far. I’ll report back when I find out.
Banned
Aug 3, 2005
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Also, regardless of lease or finance, you should always negotiate on the final "out the door price"...this way you wont care or be bothered by these silly fees.
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while you are at it, you should also find out their license admin fee too. That is, dealer having to send someone to the Min. Transport to get your new car register and transfer old plate over or getting new one and all ... dealers can charge in the range of $30 - $150 these days.
Member
Dec 11, 2007
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Markham
The other dealer said the same thing ($100) and that it's non negotiable.
Deal Expert
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Jul 30, 2007
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So just make your offer $50 less otr
Member
Dec 11, 2007
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Yep I did. We worked something out so the deal is done. Thanks guys for the help!
Deal Addict
Oct 17, 2010
1982 posts
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South Western Ontari…
narmak wrote: Yep I did. We worked something out so the deal is done. Thanks guys for the help!
What did you lease telluride?

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