Dealer Fees and Charges FAQ
Clear Answers About Dealer Fees and Charges
A surprise is great on your birthday and terrible on a price sheet. This page covers car dealer fees and charges in plain language, so you know what to expect before you talk numbers on your next Hyundai.
- Government agencies, the manufacturer, and the dealership each set different charges.
- An itemized, out-the-door quote in writing makes prices easy to compare.
- You can say no to optional add-ons.
What are dealer fees?
They’re costs added on top of a vehicle’s price. Some come from the government, like sales tax, title, and registration. Some come from the manufacturer, like the destination charge. Others come from the dealership, like a doc fee or add-ons. Knowing who sets each one makes the paperwork easy to read.
What is a doc fee?
A doc fee, short for documentation fee, covers the paperwork a dealership handles for your sale. In Indiana, the Secretary of State’s Auto Dealer Services Division says the fee must be in the advertised sale price. It also has to show up as its own line on the bill of sale.
Are taxes, title, and registration dealer fees?
They’re government charges. The state sets them, and the dealership collects them during the sale and passes them along. Dealer-set charges and add-ons are where two quotes can differ.
What is a destination charge?
The destination charge, sometimes called a destination fee, is what the manufacturer charges the dealer to ship a new vehicle from the plant. Federal law puts it on the window sticker of every new vehicle, so you can find it there.
What is the out-the-door price?
Out-the-door price is the total you’ll pay before financing. It covers the vehicle price, taxes, and every fee. The FTC suggests settling on this number first. Do it before you talk financing or monthly payments.
What are dealer add-ons, and do I have to buy them?
Add-ons are optional extras like gap coverage, window etching, extended warranties, and service contracts. They aren’t free, and you can say no. If you’re financing, the FTC says to find out what each one adds to your payment and your loan total.
What are prep, processing, and conveyance fees?
You may see charges with names like these on a quote. Labels differ from one dealership to the next, so ask what each charge covers. Then ask if it’s already counted in the advertised price.
Can I negotiate dealer fees?
Tax, title, and registration are fixed. Dealer-set charges and add-ons are worth a conversation. Find out which fees are required and which are optional. If a charge looks new to you, ask what it covers. You can also ask whether the doc fee is the same for every customer.
Should the advertised price include fees?
The FTC has warned dealer groups that an advertised price needs to match the total price, including required fees. Indiana requires doc fees to be part of that price. If a listing looks low, ask what’s left out.
How much are dealer fees on a used car?
The amount depends on the dealership and the vehicle. Tax, title, and registration come from the state. Doc fees are set by the dealer. Some dealers also add charges for inspection or reconditioning on used vehicles. Ask if those costs are already in the listed price.
How can I see every charge before I visit?
Request an itemized out-the-door quote in writing. It should list the vehicle price, each fee, taxes, and any add-ons. Read it line by line and flag anything unfamiliar. The FTC also says not to rush the final paperwork, even when it’s on a tablet.
Ask About Dealer Fees and Charges at Ray Skillman Avon Hyundai
At Ray Skillman Avon Hyundai, we want you to feel good about every line on your paperwork. Ask us for an itemized, out-the-door quote on any new or pre-owned Hyundai, and our team will go through each charge with you. Have questions before you visit? Reach out online or by phone, or stop in and see us. We treat you better, and that includes clear answers about price.