Documentation Fee for new car seems too high.

[ironk]

I posted the following in the Nissan forum, but then i found this thread. Here is what I am getting:


New 2007 Nissan Versa 1.8S Sedan Automatic + Power Package (power windows, locks, ABS).

Edmunds.com link.

Dealer Price: 14,500
Rebate: -500
Subtotal: 14,000

Now, we have the rest of the fees:

Tax: $700 (I am not sure how they calculate tax, is it after rebate and after doc fee or before?).

Documentation Fee: $444 <<----What the hell??

License and Fees: $94

I know that doc fees vary from state to state (maybe dealer to dealer too??), some even have laws. I live in MA, so what should i be realisticly be paying for doc fee? Is $444 too much, if so, how far can i haggle to lower it or elimnate it even? Thanks.

 

[George P Burdell]

Also known as the Because-we-can fee

 

[Linux23]

do not pay those dealer pure profit fee. if necessary threaten to take your business to another dealer.

 

[Colt45]

tell them to eat it, or shove it.

 

[jiggahertz]

I've never heard of a documentation fee. Are you sure it's not a destination fee?

 

[ironk]

Nah, destination fee is included in the invoice price, iirc. The doc fee is something else...not sure what. Do they use like gold ink and paper? Wait, isn't everything done electronically nowadays anyways?

Either way, i am wondering what a fair fee is for registration, license and "doc" fee. Should i say that I will pay them $120 for all those combined? Is that a fair price?

 

[rh71]

<div class="FTQUOTE"><begin quote>Originally posted by: ironk
Nah, destination fee is included in the invoice price, iirc. </end quote></div>
From what I've ever seen, destination fee is always at the end of the sticker, calculated after MSRP. I don't think it's part of the invoice the dealers get.

Anyway, if it's just one of those fees dealers stick you with, haggle down the overall price some more to cover for it. Basically ask them to eat it, or something else at a similar cost.

 

[BoomerD]

Doc fee is usually negotiable...IF they want to sell the car. AFAIC, the paperwork is part of the costs of doing business...they can eat it...some will, others won't.

 

[Genx87]

Yeah that is ridiculous. I'd walk on something like that.

 

[chin311]

whats the end result OP?

i just bought the exact same car...in silver.

 

[ironk]

dunno yet I have to call, trying to figure out if i should say outright that i won't pay it or pay someting...how much did you pay and what state are you located?

 

[JeffreyLebowski]

HAHAHA, Texas law limits the doc fee to $50.

 

[ironk]

keep laughing...at least we don't get burnt by the heat up here. Either way, we all get burnt: money or heat. Oh wait, we also get frozen in the winter, so i guess Texas has an edge.

 

[brtspears2]

Tell the dealer to drop a 4 in that doc fee. $44 bucks sounds reasonable.

 

[ViviTheMage]

sounds like a nifty way to say commission fee, btw shoulda put this in the garage.

 

[realEZE]

Also known as "Administration Fee" in some parts. Basically extra money in dealership's pocket.

It's all negotiable.

 

[FoBoT]

http://forums.anandtech.com/ca...tid=85&flcache=2571829

 

[ironk]

what the?? There is a forum called the Garage? when did that happen?

 

[EagleKeeper]

Dealer sends a runner to the DMV to process registration and title paperwork for 20-30 vehicles every few days.

Pays said person $15/hr for 4 hours work.
Depending on the DMV, person gets 4-6 vehicles done per hour.

Charges the sucker $$$ for paperwork fees that cost the dealer at max $20 in labor/overhead costs.

Sucker pays the fees because the dealer states that it is required.

Profit for the dealer ($$$-$20)/sucker

 

[dud]

You are getting off cheap!

My wife and I are looking for a new car. The doc fees (here in Florida are $250 and the "Dealer Fee" is $600!

I am passing on every dealer who tries to pass off these "pure profit" fees to me.

 

[ironk]

Well, i called and they said that the $444 is non-negotiable. I looked at quotes from other dealers, and the total car price is coming out to about the same from them too. Some are adding the fee into the invoice, while others are putting it in the "doc fee".

Guess there isn't a point in arguing if I can't find a cheaper one.

 

[compuwiz1]

A $400+ doc fee is rediculous. This is coming from someone in the business. The standard doc fee in Ca. is $55 on purchases and $45 on leases. I even have to pay it when I buy a car. $55 is not a horendous amount of money, so nobody quibbles over it. We use it for defraying certain costs, such as shortages on taxes, underestimated license fees, high trade payoffs, etc.

$55= reasonable
$444 = rape

The problem is, if nobody elsewhere is going to sell you the car any cheaper, then not much you can do about it.

 

[ElFenix]

dealers have to make their money somehow. if they're all the same price who cares what they call it?

 

[Regs]

Arent new cars registered for 5 years now?

So 50-60 dollars x 5 is 250-300 dollars right there. Some states you pay for inspection every year (Like PA).

 

[dud]

ironk,

"Guess there isn't a point in arguing if I can't find a cheaper one."

I am in the same boat. I read in this forum where someone (from my area) said that all the dealers that sell Hondas rape their customers with this fee. That being said all I care about is getting a fair deal. If they lower their price enough then I will swallow it. If they do not then I will either go elsewhere, perhaps another city or to another manufacturer. Honda would just lose another customer.