Car Dealerships' Junk Fees

[Tex Koder]

A small step in the right direction..

Wonder how the dealerships will try to scoot around this...

 

[gotnitro]

I can tell you exactly why they target Military. Most military young men/women do not have any credit and are HAPPY with whatever they can get, PLUS they have a government income. They are considered GMD's (get me done) AKA RATS, and those banks will finance any extended warranties tacked on. When a woman comes in with her son, its game on for a car dealer! They are typically called LD's (Lay Downs). I sold cars for many years when I was younger, I know all when it comes to a stealership. I was in the box, (finance) on the podium, (closing Manager) ETC.

 

[Greengaunja]

I can tell you exactly why they target Military. Most military young men/women do not have any credit and are HAPPY with whatever they can get, PLUS they have a government income. They are considered GMD's (get me done) AKA RATS, and those banks will finance any extended warranties tacked on. When a woman comes in with her son, its game on for a car dealer! They are typically called LD's (Lay Downs). I sold cars for many years when I was younger, I know all when it comes to a stealership. I was in the box, (finance) on the podium, (closing Manager) ETC.

No different north of the border either. Last summer I bought my first foreign(Mazda) after years of the GMC line die hard loyalty. What I did noticed is there was a night and day difference in warranty sales. I'm used to GM's 5 year bumper to bumper and extensions so imagine how overwhelmed I was to see separate warranties for electronics, rims, protective coatings in addition to the drivetrain? I like my smaller CX3 GT. Efficient, capable, just enough room for me and the kids, perfect for service calls and best of all, great mileage. But when sales for warranties get like that, it makes me question the quality and your own faith in your product.

 

[KnowAir]

While I'm not a fan of big brother in general, nor any overreaching..I think what the stealerships do as standard practice is deplorable. Such as selling my 20 something year old daughter a 3 year old car as "certified" pre owned and supplying just one key fob and telling her it's $500 for another. Or 3 months after buying the car, in a snow storm, every warning light and bell starts going off at once while driving to work at 6AM. She now lives 2.5 hours from the dealer she bought it from, they tell her they'll send a tow truck to haul it back at her expense, then evaluate it. Well, the car is still under a bumper to bumper factory warranty. So I tell her to bring it to the local Hyundai dealer, they looked at it and said someone has installed and removed a remote starter..harness under dash has been cut up.. needs a harness. Selling stealership looks at photos from the other dealer and suggests maybe someone tried to steal the car.. maybe, but we live very rural, she now lives even more rural. Highly unlikely. Took alot of screaming, threatening, ect..but they finally paid the other dealer to repair the car. Oh, and by the way, they suckered her into the extended warranty too..then STILL gave her a hard time. Limey bastards!! I could never work in sales, I wouldn't make a dime,LOL. "Uh, you really don't need this or that.."

No different north of the border either. Last summer I bought my first foreign(Mazda) after years of the GMC line die hard loyalty. What I did noticed is there was a night and day difference in warranty sales. I'm used to GM's 5 year bumper to bumper and extensions so imagine how overwhelmed I was to see separate warranties for electronics, rims, protective coatings in addition to the drivetrain? I like my smaller CX3 GT. Efficient, capable, just enough room for me and the kids, perfect for service calls and best of all, great mileage. But when sales for warranties get like that, it makes me question the quality and your own faith in your product.

Must be different in the Great White North, down here GM only offers 3/36 last I heard. Although it's been a few years since I looked, may have changed. I don't look at new any more, can't afford to. Bought one new vehicle in my 52 years, never again. Even if I had the scratch, no thanks.

 

[SirCrashALot]

Just this week Tesla made the news for practices like this in Europe. Which obviously is illegal over here. Sellers need to specify all added costs and include them in the final consumer price. No hidden surprises.

 

[Ron Burgandy]

Government to the rescue
I feel safer already

 

[KnowAir]

Government to the rescue
I feel safer already

Yeah, and we know they'll have to create a whole new department and budget for that..

 

[Tex Koder]

Government to the rescue
I feel safer already

I'm Sure there's some loophole(s) written in the Bill before it's passed into Law
or that it WILL have some special loopholeS for Mega dealerships Once they Lube*** the palms of some Con-gressmen/Con-gresswomen...





























***

 

[LazloZ28]

Sounds like she still bought the car though. If people would just tell them to pound sand and walk away they would stop doing it.

 

[slick2500]

I can't watch the video so what's the skinny on this?

 

[Tex Koder]

I can't watch the video so what's the skinny on this?

 

[KnowAir]

I'm Sure there's some loophole(s) written in the Bill before it's passed into Law
or that it WILL have some special loopholeS for Mega dealerships Once they Lube*** the palms of some Con-gressmen/Con-gresswomen...





























***

You know it! Money goes to money..it'll never change. So, a car's sticker price goes from say $34,999.99 to $39,999.99..plus tax, which is ironically the most offensive add on of all IMO, tax!! I mean really..tax when we earn, tax when we spend, tax when we sell.. leeches.

 

[SrC]

I'm Sure there's some loophole(s) written in the Bill before it's passed into Law
or that it WILL have some special loopholeS for Mega dealerships Once they Lube*** the palms of some Con-gressmen/Con-gresswomen...





























***

+1

Beat me to the punch line. It always looks too good to be true. These Mfrs. lobby gov'ts all day long. Read between the LINES.

 

[Greengaunja]

While I'm not a fan of big brother in general, nor any overreaching..I think what the stealerships do as standard practice is deplorable. Such as selling my 20 something year old daughter a 3 year old car as "certified" pre owned and supplying just one key fob and telling her it's $500 for another. Or 3 months after buying the car, in a snow storm, every warning light and bell starts going off at once while driving to work at 6AM. She now lives 2.5 hours from the dealer she bought it from, they tell her they'll send a tow truck to haul it back at her expense, then evaluate it. Well, the car is still under a bumper to bumper factory warranty. So I tell her to bring it to the local Hyundai dealer, they looked at it and said someone has installed and removed a remote starter..harness under dash has been cut up.. needs a harness. Selling stealership looks at photos from the other dealer and suggests maybe someone tried to steal the car.. maybe, but we live very rural, she now lives even more rural. Highly unlikely. Took alot of screaming, threatening, ect..but they finally paid the other dealer to repair the car. Oh, and by the way, they suckered her into the extended warranty too..then STILL gave her a hard time. Limey bastards!! I could never work in sales, I wouldn't make a dime,LOL. "Uh, you really don't need this or that.."

Must be different in the Great White North, down here GM only offers 3/36 last I heard. Although it's been a few years since I looked, may have changed. I don't look at new any more, can't afford to. Bought one new vehicle in my 52 years, never again. Even if I had the scratch, no thanks.

Last new vehicle I bought was my 2010 Canyon crew 4x4. Came with 5 year bumper and I bought a 1 year extension. It may have changed since then. Another thing, I purposely DIDNT buy a Sierra for one reason. A $1700 freight surcharge. I couldn't figure out that one. $1700 to transport it to a dealer less than 5 minutes(10 mins from my house even) from the factory it rolled out of? Salesman said it was to level the playing field for other dealers. And I was like, "if I have to pay for freight, there is gonna be a freight" and settled for the Canyon built in Louisiana(I think).

 

[slick2500]

You know it! Money goes to money..it'll never change. So, a car's sticker price goes from say $34,999.99 to $39,999.99..plus tax, which is ironically the most offensive add on of all IMO, tax!! I mean really..tax when we earn, tax when we spend, tax when we sell.. leeches.

Speaking of taxes. Why is it that when you buy a car from a dealer the taxes aren't included in the purchase price like every other item sold on the planet? This has always been my biggest pet peeve when it comes to buying a car. The fiddlesticking taxes should be paid on the spot at the dealer and added onto any financing. I should not have to pay sales tax at a later date. I understand it not being included under a private sale as that is a completely different scenario.

 

[gotnitro]

Speaking of taxes. Why is it that when you buy a car from a dealer the taxes aren't included in the purchase price like every other item sold on the planet? This has always been my biggest pet peeve when it comes to buying a car. The fiddlesticking taxes should be paid on the spot at the dealer and added onto any financing. I should not have to pay sales tax at a later date. I understand it not being included under a private sale as that is a completely different scenario.

By me you pay tax by county at the time of signing. It’s all state by state tax laws.

 

[jkflow]

I know to avoid those dealers that already advertise a price with that lists your own money, to make the price look better than others.
Notice that little 'Your cash' $2500 discount subtracted from the price?

Most do advertise tax/title/ ' dealer fee etc. , believe its a state law.

No, not planning on a Mustang, just an example.

If you use a 3rd party, i.e. if your bank offers for instance, you can avoid some of the dealer and documentation fees.

 

[KnowAir]

Speaking of taxes. Why is it that when you buy a car from a dealer the taxes aren't included in the purchase price like every other item sold on the planet? This has always been my biggest pet peeve when it comes to buying a car. The fiddlesticking taxes should be paid on the spot at the dealer and added onto any financing. I should not have to pay sales tax at a later date. I understand it not being included under a private sale as that is a completely different scenario.

Actually here in NY it is included, state law I believe. All fees and taxes are due at signing/delivery I'm pretty sure. Which is good and bad I suppose. Paying interest on taxes is a nut punch, but coming up with $3-5k afterwards could be tough too..especially for anyone living paycheck to paycheck.

 

[Greengaunja]

Speaking of taxes. Why is it that when you buy a car from a dealer the taxes aren't included in the purchase price like every other item sold on the planet? This has always been my biggest pet peeve when it comes to buying a car. The fiddlesticking taxes should be paid on the spot at the dealer and added onto any financing. I should not have to pay sales tax at a later date. I understand it not being included under a private sale as that is a completely different scenario.

This one is easy at least. Because the tax isn't the same. Two people going into the
same dealership on the same day, buying the same model with the same trim package likely won't be paying the same price. Sure there is a sticker price but that has room to come down. How much it comes down depends on several factors. Has the dealership already covered their monthly quotas, good or bad day for the salesman, purchasing multiple vehicles at the same time, or are you paying with a sack of cash? I want to see listed clear breakdowns of the price with no surpriss by time you sit down and get ready to sign off. Also it makes the price look cheaper than it is.

 

[gotnitro]

This one is easy at least. Because the tax isn't the same. Two people going into the
same dealership on the same day, buying the same model with the same trim package likely won't be paying the same price. Sure there is a sticker price but that has room to come down. How much it comes down depends on several factors. Has the dealership already covered their monthly quotas, good or bad day for the salesman, purchasing multiple vehicles at the same time, or are you paying with a sack of cash? I want to see listed clear breakdowns of the price with no surpriss by time you sit down and get ready to sign off. Also it makes the price look cheaper than it is.

You have:

Invoice which still reflects 2% called "hold back" and another $3-500 in advertising fees. Yes, YOU pay for car commercials.

Under that is under dealer cost. Keep in mind, it doesn't matter when, where, time of year, time of day, which day of the month it is, they still have a net cost. If it's a dealer that has a floor plan and pays JUICE on inventory, they will be more aggressive than the dealer that can buy all its own units. BUT, end of the day, it comes down to how bad they want to move a unit and cost is still cost.