Georgia dealer wants to add $499 documentation fee? Isn't that against the law in Georgia?

775

Asked by Kevin Oct 28, 2016 at 03:41 PM about the Ford Explorer

Question type: Shopping & Pricing

They sent me a buyers order with an out the door price on a used car. It had a
$499 document fee added on top of the ad price. They wouldn't budge so I'm
calling the Georgia Office of Consumer Protection.

22 Answers

If if is a government mandated fee in Georgia then you are stuck but that smells like a fee the dealer wants to charge you for filling out the sales paper work. I think you are on the right track.

6 people found this helpful.

I would call the DMV in Georgia.

6 people found this helpful.
Best Answer Mark helpful
470

These fees are voluntary. Usually dealers charge $50 to $100 but $499 is a rip off. There is nothing the State can do about it, these are fees the business is stating it will charge and it is legal, but very greedy.

6 people found this helpful.

It takes the dealer 20 minutes or so to fill out the paper work. I would tell them no deal, they probably will take the fee off just like all the other ripoffs they try like undercoating, extended warranties and paint sealant.

5 people found this helpful.
775

Not in Georgia! It's against the law to add any fee above the advertised price no matter what the fine print says. Only valid tax levied by the state. Read up in it here: http://consumer.ga.gov/uploads/Auto_Informer_-Issue_12_- _2013-11-14.pdf

28 people found this helpful.
775

They can ad optional stuff that you agree to but not any BS fees to pump up a low advertised price, it's fraud! Imagine a grocery store charging you $20 for a bag or a restaurant adding $10 to put your food on a plate. Prices should include everything but sales tax.

7 people found this helpful.
101,335

You're getting screwed by this dealer. Walk away from this deal asap.

6 people found this helpful.
775

I spoke with a Consumer Fraud Investigator at Georgia OCP, they are going to handle this one!!! The salesman and his manager will probably get fired and the dealer fined.

12 people found this helpful.
2,950

As a former Georgia used car dealer, I have to tell you that there's not a thing you can do about it. If you don't want the deal, you're not obligated, but if you buy the car, you will pay the fee.

4 people found this helpful.
775

Well, according to the Georgia investigator, the dealer will be heavily fined. That's what consumers can do about it! There are plenty of dealers who abide by the law. The one I was dealing with will be fined and audited and forced to refund fraudulent fees they scammed from customers. NO, I won't pay the damn bullshit fee! Not in Georgia at least.

16 people found this helpful.
100

I was a new car salesman for over ten years. Dealer documentation fees are perfectly legal, and whoever told you that the dealer would be fined doesn't know what he's talking about. If you don't want to pay the fee, don't buy the car. I don't see the problem.

2 people found this helpful.
775

You former car salesmen don't realize is that in GEORGIA the laws changed a few years ago. Read up on it and quit trying to say it's still legal to add on fees! http://atlanta.cbslocal.com/2014/03/22/paying-dealer-fees-not- so-fast/

10 people found this helpful.
50

I know this is an old thread but I just encountered this. Car was listed for $8000. Dealer tried to give me a buyer order for $10,500. Included $950 "reconditioning fee" and $798 doc fee. I told them to forget it. I didn't realize at the time that it was illegal. The problem is that most people don't know it's illegal in Georgia. I'll make a call to the consumer protection division.

5 people found this helpful.
210

It's not illegal for a car dealer to charge a doc fee. It's illegal for them NOT TO INCLUDE IT IN THE ADVERTISED PRICE. They cannot tack it on to that price at the closing table. Neither can they add after market items that are ALREADY ON THE CAR to the advertised price. All of that pricing MUST BE INCLUDED in the advertised purchase price according to Georgia law. So to the idiot car dealers who say it's perfectly legal to charge a doc or a dealer fee in Georgia. Yep it is. But you damn sure better make sure it's IN your advertised price because it's illegal for you to add it on top. And putting a disclaimer won't help you either. So if you want to charge $10,500 for a $8000 car, you better ADVERTISE the purchase price of the car as $10,500.

21 people found this helpful.
80

While dealer fees in GA are not illegal, tacking them on to the advertised price of the car is illegal. The Georgia Department of Law Investigates this type of fraud. For more free info on illegal dealer fees and permissible charges, see the Sleuth For The Truth blog on Car Dealers and illegal dealer fees in Georgia http://sleuthforthetruth.com/car-dealers-illegal-dealer-fees-georgia/

6 people found this helpful.
2,025

Ha! That's nothing. I have a Nissan dealer in Richmond Virginia tell me I had to pay $2495 for the Nissan CPO Warranty + $798 Admin fee + $498 something.... most dealers around the country charge $495 to $995. Where we are in NY State, it's $75 - more than fair.

1 people found this helpful.
80

It's against GA LAW to add any extras to the published price except for the ad valorem tax,the $18 title fee, the car tag fee and the $3 Lemon Law Fee. Watch out for non governmental add ons that thy claim they must add on for safety or company policy. If you need proof of the law or how to get the dealer to comply. see The Blog below on GA Car Dealers and Illegal dealer fees. Includes where to go for to shut them down. http://sleuthforthetruth.com/car-dealers-illegal-dealer-fees-georgia/.

2 people found this helpful.
60

It's a fact that dealer DOC fees, adminstrative fees, etc are in fact PROFIT pumps. If a dealer is asking for more than $100, negotiate the difference in a lowered sale price or walk away. if the dealer can't make money or is losing a little bit of money on the deal that's their fault for not buying the car right and for holding it too long and not knowing the market conditions at the time. I spent 20 plus years selling cars and I can tell you the dealers don't care about you. South people are there for one reason the stuff is much money in their pocket as possible. Carpet get smart with dealers and to tell them no deal. Walk away. And if you have to travel to a state where they don't charge more than $100 for a dealer fee.

6 people found this helpful.

So I have a question..if its advertised on their site with the price crossed through ( like call for sales price ), is this a way for them to get around having to include it, or must they include it in whatever the lower price is as well? Thanks! Ill use this as an example..

40

For Georgia Dealers, if they include a price it must include all dealer fees, processing fees, extra titling fees, document fees etc. (but does not need to include government fees such as the $18 title fee, $3 Lemon Law fee or ad valorem tax) But if there is no advertised price (hard to believe the crossed out MSRP is the only price listed) then there's no issue here. With no stated price, there's no deceptive practices relating to price. But if there is a price, even "a special viewing price for select customers" this too needs to include all dealer fees. For more info, call the Georgia Department of Law 404-651-8600 which enforces the laws against illegal dealer fees and deceptive advertising. See below for my blog which also has links to the rules on dealer fees. http://sleuthforthetruth.com/car-dealers-illegal-dealer-fees-georgia/

4 people found this helpful.

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