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Discussion Starter · #1 ·
I live in Maryland and it seems most dealers here are charging a $299 documentation or processing fee. I know Maryland caps it at $300. Is this something that all dealers charge?
 

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Exactly what are "documentation fees"? What exactly does this charge cover?

There's usually a separate fee (also with a surcharge tacked on) for title and registration, and an acquisition fee if you're leasing. So what's this "documentation fee'.

Thanks!
 

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Exactly what are "documentation fees"? What exactly does this charge cover?
There's usually a separate fee (also with a surcharge tacked on) for title and registration, and an acquisition fee if you're leasing. So what's this "documentation fee'.
Some states have the fee capped, NY is $70, some haven't.
Wherever it is not capped, some part of the fee goes to the back-room people to do documentation, a courier to fill papers in DMV, etc. But most of it, and I mean $200+ fees, is just a pure profit, a compensation for lower vehicle price.
 

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I had a $150 doc fee. They took $100 off the MSRP of the car though so it was almost a wash. Not worth haggling over $50 on a car purchase.

Edit: The State of Washington. Not sure if we have any cap laws.
 

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I live in Maryland and it seems most dealers here are charging a $299 documentation or processing fee. I know Maryland caps it at $300. Is this something that all dealers charge?

I'm in Ohio. Mine was $250, because that's the max allowed in Ohio.
 

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Some states have the fee capped, NY is $70, some haven't.
Wherever it is not capped, some part of the fee goes to the back-room people to do documentation, a courier to fill papers in DMV, etc. But most of it, and I mean $200+ fees, is just a pure profit, a compensation for lower vehicle price.
NY state is $70 or just NYC?

I've seen some really 'creative' interpretations of Doc Fees on the part of dealers here.
 

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One Houston dealer, Gilman Honda, is tacking on $1000 as a Market Adjustment Fee. Plus they have another 2K in dealer options. They did a similar markup when the Fit came out. Out front tonight they had no EXs, about six LXs.
 

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Discussion Starter · #10 ·
So far I have found one dealer who will not charge the fee, and another who will charge $299. Both will give me invoice which is $25,996 which includes destination. The one dealer will charge $349 for splash guards and wheel locks, which is crazy high. However that price is still the lowest I have found, considering the splash guards are included, and I do want them. So that would be a $370 discount from MSRP from the one dealer, and $420 discount from the other.
 

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So far I have found one dealer who will not charge the fee, and another who will charge $299. Both will give me invoice which is $25,996 which includes destination. The one dealer will charge $349 for splash guards and wheel locks, which is crazy high. However that price is still the lowest I have found, considering the splash guards are included, and I do want them. So that would be a $370 discount from MSRP from the one dealer, and $420 discount from the other.
$349 for splash guards? I paid $161.88 for front and back with installation cost in Sport Honda, from where I bought mine. Which dealer did you go to?
 

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I live in NY, but am buying a car PA as I found what I was looking for, YAY!

There was a dealer up here who quoted me MSRP with $97.50 in fees.

The dealer I'm working with in PA took $200 off of MSRP because I inquired via internet. On the P.O. though I see $133 documentation fee, $23 encumbrance fee??, $10 plate fee (must be for temp tags?), and a $5 tire fee. The fees they are charging total $171 saving me only $29 instead of $200 off of MSRP. Still better than nothing though I guess.
 

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Local dealers in my area charge $429.75 for doc fee, but as part of the negotiation I asked them to include it in the price for the car, keep in mind they did markup the car by $1,500 so I said if you want to sell me the HR-V do a $1,500 reduction and I don't want to pay the fee either or no deal, and they agreed. Anyway I haven't been able to buy because they don't have modern steel LX's so i'm still waiting for them to arrive.
 

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I did find this for encumbrance fee:

I live in NY, but am buying a car PA as I found what I was looking for, YAY!

There was a dealer up here who quoted me MSRP with $97.50 in fees.

The dealer I'm working with in PA took $200 off of MSRP because I inquired via internet. On the P.O. though I see $133 documentation fee, $23 encumbrance fee??, $10 plate fee (must be for temp tags?), and a $5 tire fee. The fees they are charging total $171 saving me only $29 instead of $200 off of MSRP. Still better than nothing though I guess.
https://au.answers.yahoo.com/question/index?qid=20090308190317AAx8a1o
 

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Discussion Starter · #18 · (Edited)
$349 for splash guards? I paid $161.88 for front and back with installation cost in Sport Honda, from where I bought mine. Which dealer did you go to?
I agree they are ripping me off on that, but that is still the best price so far considering that the splash guards and wheel locks are included in the price. End price would be $370 discount from MSRP and no other fees than tax, title, tags. I asked for invoice price and they will do that, but are charging for the two accessories. I am not done my search yet though....
 

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If a dealer insists on a doc fee of more than about $150-$200 , then always insist on a discount off MSRP equal to the inflation. In some states, a dealer will argue that the dealer fee must be paid by everyone to be fair, under law (Alabama). And most dealers in Alabama now want north of $400-$600. Florida has a similar. Attack the fee on the price, not on the line item where they want to put it.
 

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My fees in Texas in case anyone else is curious beforehand.

Vehicle subtotal - 22990.00
Tax (6.25%) - 1436.88
Dealer inventory tax - 55.96
Doc fee - $125.00
State inspection fee - $23.75
Deputy service fee - 5.00
License fee - 57.75
Title fee - 33.00
Road & Bridge fee - 10.00
Total due - 24737.34
 
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