Sunday, May 26, 2013

Avoid Dealer Advertising and Delivery Fees to Save Big Buying a Car

You already know that dealers will try to hit you with thousands of dollars in fees when you negotiate the price of a new car. What you may not know is that some fees are completely optional, and can be removed if you push back. the "Dealer Prep," "Advertising," and "Delivery" fees, to name a few, are all prime examples.

Over at US News Money, Gary Foreman explains that these are just a few of the fees you can avoid if you insist they either be removed outright or trimmed because you know what they really are. Like many charges by car dealers, they're tacked on in the hopes you just assume they're appropriate and don't question them:

Delivery charge. Since Henry Ford and the Model T, manufacturers have been levying charges to ship cars from the assembly plant to the dealership. Many buyers view the destination fee as a reasonable charge. In fact, it's listed on the window sticker and included in the invoice price of a car.

However, some dealers have started tacking on a delivery fee above-and-beyond the destination charge – essentially charging you twice for shipping.

There's no reason you should have to pay twice to have the vehicle transported to your dealership, and it's completely reasonable to insist that at least one of those fees has to go. In fact, many dealers will waive one of them when the haggling gets heavy anyway. He goes on to explain how many dealers try to hit your with an "Advertising" fee not once, but twice:

Advertising fee. To help pay for advertising auto manufacturers add a charge to each car they deliver to the dealer. (That charge is included in the invoice price to the dealer.)

But, once again, some dealers will try to get customers to pay twice: first, as part of the invoice, and then again as a separate fee when the purchase is finalized. Be vigilant, and if you see a duplicate fee, ask the dealer remove it.

As for the "Dealer Prep" fee? It's essentially a price to make sure that the car is ready to drive when it's put up for sale on the lot. If the vehicle is new, the only thing the deal does—if they even do it at all—is check the fluids and the tires, then wash the car down. That's it. If you're buying used however, the fee may be more substantial, and make more sense—but it does give you leeway to make sure they put in some elbow grease into making your used car look as good as new before you sign on the dotted line.

Hit the link below to see some more areas you might be able to save some money the next time you buy a new car.

7 Car Dealership Fees and Services to Avoid | US News Money

Photo by Alden Jewell.


View the original article here

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