2. Dealer Prep Fee
This fee is similar to the Document Fee, and it covers the cost of preparing your car for sale. Since they are responsible for detailing your vehicle and removing any previous owner's possessions from the car, most dealerships won’t let you do this for yourself before picking up your car.
3. End of Month Fees
There are dealerships that will try to tack on extra fees at the end of the month (or even the beginning) to make their sales quota for the quarter. They often offer promotional financing or sell existing inventory below cost, so avoid dealers at this time if you can.
4. Unwanted Add-Ons
A car dealer may try to sneak some extra charges onto your final bill. You can avoid this problem by saying “no” to all of the extras, including things like an extended warranty or VIN etching on your windows.
5. Window Sticker Fees
This fee is simply a ripoff, so it should be avoided. The window sticker is the official price tag of a car, and it should never be altered or removed before your purchase.
6. Inappropriate Fees
If you are being charged for anything that was not previously discussed with you, then this is an inappropriate fee. Dealers have been known to charge customers for items like VIN etching, car washes or other services that they did not ask for.
7. Destination Fees
This fee is used to cover the cost of transporting your car from the dealer’s lot to their warehouse before it gets delivered to you. It is usually between $50-$100, but it likely won't be included in your purchase quote.
8. Inspection and Processing Fees
The inspection and processing fee is a little-known extra fee that most dealers won’t mention, but it can increase the cost of your vehicle by as much as $600 depending on the dealership. This money goes to the bank that provides financing for your car.
9. Finance Fees at the Dealership
Many dealerships will say that they don’t charge processing fees, but if you take a look at your paperwork, you’ll see that there is still an extra fee for financing through the dealership itself. The key to avoiding this fee is to get pre-approved or pre-qualified for financing before you make your way to the dealer.
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