Miscellaneous Charges
09-19-2002, 08:33 PM
#1
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Miscellaneous Charges
I was looking over my order form and going over the prices.
Besides the base price including options, the dealer has tagged on the following charges:
1. Processing Fee $199.50
2. Business Tax, Chapter 387 0.2% $58.39
3. Local Option Tax $36.00
4. State Sales Tax $2340.31
5. State License and Title $67.00
I know the State Sales Tax and State License and Title are part of every car that I've bought, but this will be my first car purchase in Tennessee.
I've never heard of a Processing Fee, Business Tax, or a Local Option Tax. Are these charges legit or is the dealer trying to gouge me?
I live in TN and I don't really know the laws here.
Besides the base price including options, the dealer has tagged on the following charges:
1. Processing Fee $199.50
2. Business Tax, Chapter 387 0.2% $58.39
3. Local Option Tax $36.00
4. State Sales Tax $2340.31
5. State License and Title $67.00
I know the State Sales Tax and State License and Title are part of every car that I've bought, but this will be my first car purchase in Tennessee.
I've never heard of a Processing Fee, Business Tax, or a Local Option Tax. Are these charges legit or is the dealer trying to gouge me?
I live in TN and I don't really know the laws here.
09-20-2002, 05:03 AM
#3
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Re: Miscellaneous Charges
You should pay tax, tags, and title (aside from the agreed upon final price of the vehicle).
You should not have to pay for Processing Fees (or Admin fees). These are junk fees dealers always slap on. The justification is the paper work and other admin stuff. If you don't ask, it will just be there, but the dealer knows it's a junk fee, so if you push hard enough you shouldn't have to pay it. I have purchased three vehicles from dealerships prior to the new Z, and not once have I ever paid the "Processing Fee", though they try and slap it on every time. It's usually the first item they take off when you start to haggle between dealerships. The money they make is in the kickbacks (which isn't an issue with the Z yet since there is no inventory really), but if they think they can convince you of other ways to pay more for the product, then they certainly will try.
You should not have to pay for Processing Fees (or Admin fees). These are junk fees dealers always slap on. The justification is the paper work and other admin stuff. If you don't ask, it will just be there, but the dealer knows it's a junk fee, so if you push hard enough you shouldn't have to pay it. I have purchased three vehicles from dealerships prior to the new Z, and not once have I ever paid the "Processing Fee", though they try and slap it on every time. It's usually the first item they take off when you start to haggle between dealerships. The money they make is in the kickbacks (which isn't an issue with the Z yet since there is no inventory really), but if they think they can convince you of other ways to pay more for the product, then they certainly will try.
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