Do Car Dealers Abuse Doc Fees?

Do Car Dealers Abuse Doc Fees?

All car dealers charge some sort of processing fee, title fee, notary fee as well as registration fee. These fees are generally refereed to as “doc fees.” All of these fees are legitimate. The car dealers are given the job of transferring titles, assigning liens, coping with registrations, plates, etc. Unfortunately, there are a few car dealers who take benefit of this and then use it as a means to grab extra profit. Some states, not every, set a maximum amount an automobile dealer may charge for several fees, but each state differs. Some car dealers will charge the maximum allowed on each deal whether every one of the fees apply to see your face deal.

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Paperwork charges can add approximately $900 in approximately 30 states without set fees or fee caps. “Doc fees” now average $400-$700 in those states vs under $200 5 years ago. In some states, fees could be subject to sales tax too! To be certain you aren’t getting ripped-off You can examine with your state’s DMV office or perhaps your local title and licensing agency to ascertain if there’s any limit on “doc fees” locally. By doing this you can preserve your car dealer honest should they attempt to overcharge yourself on “doc fees.”

Just remember, car dealers must pay people to do this paperwork, and some from it may be time consuming and expensive. Therefore they have entitlement to cover their expenses during these matters as long as they don’t abuse the privilege.

The conclusion here is that some car dealers want to make extra gain overcharging you on “doc fees.” This is not new by the way! Don’t be afraid to question the automobile dealer if you think the “doc fees” are excessive.

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