BMW Luxury Touring Community banner

1 - 7 of 7 Posts

·
Registered
Joined
·
2 Posts
Discussion Starter #1
Good evening, I need some advice with issue I encountered when buying a car from dealer. I have never bought a vehicle form a dealer, all cars I ever bought were private party deals.
Briefly, I was looking for specific model/make around $11K, that I found at a dealership. They are Chevy dealers; the car in question is used VW they took on trade. Sticker price was $11.999. They agreed on 11.500 before taxes/government fees. The agreement was verbal – over the phone. The car is 160 miles away from my home in Maryland – I travel there for work related purpose once in a week and the dealership is across the street from my job site. I had conference call with “business manager” and my salesman in the same day, where I was informed of financing terms and they took downpayment of $1500 (from my Visa card). I was told I would be getting paperwork with Fedex overnuight that I should sign ASAP and send back. Well, the papers just came (not overnight, but 2 days later). The sale price is listed $11.909, nit $11.500 as agreed. Therer is also $200 “dealer fee”, that was never mentioned. I understand $120 title fee is legit, but not sure about $254 “temp’ tag electronic license”. There are other charges, which I don’t feel justified. Basically my question is about those charges. The only thing I agreed over the phone was GAP insurance that I was told was mandatory if I wanted financing. I doubt that was mandatory at all. Attached snapshoot of the sale’s contract page. Let me know what do you think what is BS and what not.
 

Attachments

·
Premium Member
Joined
·
2,946 Posts
Cancel the "deal" and dispute the charge with your credit card company.

I had a similar event happen years ago at the dealer. They took a check and then gave me the "agreement". It was very different.

I asked them to return the check after not being able to see the manager.
They refused.

I tore up the agreement and called my bank on Monday morning and placed a stop payment on the check.

The dealer is now out of business.
 

·
Old Slow Guy in A Fast Car
Joined
·
8,601 Posts
The only charge different is the base price.
Dealer processing is for the dealer to do the paperwork. It is a little high compared to here in Texas (less then $100. here). TT&L is the bulk of the rest of the charges again compared to Texas it is high but that charge is different State to State. I assume you choose the "Gap" insurance.


I would contact them about the base price difference. Bottom line is if you like the car & can live with the price being $400+- higher (If they will not change it) then buy it. All other charges are normal for a dealer, but if not As Paul said call your CC company to stop the charges.
 

·
Registered
Joined
·
717 Posts
Agree, cancel the deal and dispute the charge as not agreed upon. Tell the CC company you feel it was a ripoff. You were at a disadvantage from the beginning because it wasn't face to face negotiations.

I sold Toyotas for a short time. A short time because I basically couldn't lie to people as I was ordered to do by the sales managers.

EVERY charge is negotiable. They will tell you they can't do anything with the documentation fee or some other fees, they'll say that it's mandatory or give you some other B.S. term.

You are better off figuring what is the bottom line that you can spend and tell them you need to be at $XX,XXX OUT THE DOOR PRICE. And stick to that. They will tell you your price is too low. Stay firm. But, there is the risk that your price really may be too low. If so, one key that your price is too low is that they will try to steer you to a lower price vehicle. You gotta stay firm, and you gotta be willing to walk out the door, giving them your contact info. I know we all have busy lives where time is scarce, and no one except maybe a retired person wants to spend 3 days buying a car, but that's what it takes sometimes. You just might get a phone call in two days asking you to come back in. You gotta say that if you do, you still need YOUR price. Make them agree before you return.

And it's true that the best time to shop is the end of the month. A salesman may start calling back people he didn't close a deal with for that month in the last week of the month. Everyone- the salesmen, and the sales manager gets graded on one thing and one thing only- how many vehicles they sold in that month. One month I was seeing some crazy low price deals being OK'D by the sales manager and I didn't know what was going on. It turns out that Toyota was running a contest for NY area sales managers. Whoever sold the most cars would get a Caribbean vacation for them and their family. Guess what? My manager won! So, sales managers not only lie to the public and their own salesmen, they will also screw their own dealership out of profits for their own benefit.
 

·
Registered
Joined
·
1,563 Posts
I would walk, maybe even run from these folks!

I know last car I bought they had all kinds of charges they said everybody pays but they pretty much all seemed negotiable. They had a $200 tire warranty, $400 admin fee, and then various warranties and services they wanted to sell before the sale went through. I remember telling them I was ready to leave and they said something about about a legal obligation to offer this crap, I highly doubt the truth of this claim and even if required there was no need for wasting as much of my time as they did when told right off the bat I was not buying any extras they where selling.

Gerhard
 

·
Registered
Joined
·
717 Posts
I would walk, maybe even run from these folks!

I know last car I bought they had all kinds of charges they said everybody pays but they pretty much all seemed negotiable. They had a $200 tire warranty, $400 admin fee, and then various warranties and services they wanted to sell before the sale went through. I remember telling them I was ready to leave and they said something about about a legal obligation to offer this crap, I highly doubt the truth of this claim and even if required there was no need for wasting as much of my time as they did when told right off the bat I was not buying any extras they where selling.

Gerhard
They may be correct. When I was a car salesman I purchased two vehicles from my dealership. I did have to sit at the finance office where they offer these add-on things to a buyer. I had told the finance manager I didn't want ANYTHING extra, but he still had to read me a list of what was offered and I said "No" when he was finished and I left the office.

The "legal obligation" mumbo jumbo is probably just meant to protect them from later being sued by someone who had their car stolen and then accusing them of not offering some product that would have either prevented the theft or assisted in recovering a stolen car. ( Lo-Jack, window etching, etc ) This may not be the case everywhere, but I was in NJ just across the river from NYC, where you get sued for just looking at someone wrong.
 

·
Registered
Joined
·
1,162 Posts
The only thing I agreed over the phone was GAP insurance that I was told was mandatory if I wanted financing.
GAP insurance may be required by a specific lender. But there's no reason you couldn't shop for financing with better terms.

There is a technique most dealers use to pad their profits: pre-printed fees on various forms. It's a well known fact that most people will not try to negotiate a fee that is printed as part of the form. They just assume that it is required. As others have mentioned everything is negotiable including those bogus fees. Unless you are talking about a Tesla or some such high demand vehicle use your power to drive the deal. You really are in the driver's seat.
 
1 - 7 of 7 Posts
Top