Hey All,

I recently went to a dealership in northern NJ to buy a new 2017 Honda Fit. This was my second time going to a dealer and talking numbers. Their numbers were much better than the first place I went to and we were able to negotiate more to where I wanted to be. I just wanted to find out if I got totally ripped off or not. Please see the details below:

2017 Honda Fit EX CVT (non leather)
Total price of Vehicle.........18,956.89
State Sales Tax..................1,682.42 (NY state tax rate)
Registration Fee................300.00
Online Processing Fee......770.00
Documents Fee.................289.00
TOTAL................................21,236.01

If this is in fact a bad deal does anyone know of a way to rescind this offer and get my deposit back?

Thanks!

 

The total vehicle price is legit for a 2017 with that trim grade. The taxes and registration fees seem normal too.

I've never heard of an "online processing fee" though. Seems questionable. What's it supposed to cover?

 

I assume you didn't actually sign any paperwork? If you put a deposit down with credit card and tell them you changed your mind and refund your deposit. If not call your credit card company and ask for assistance retrieving your money.

 

Sounds fishy to me.

 

Yeah that online processing fee sounds like complete BS.

 

Fitfam, it looks like you have no trade involved which is an ideal situation on which to go Internet shopping. First off, it appears you'll be registering the car in NY state. Why? You claim to be from Old Bridge. If you are indeed registering the car in NJ then the registration fees are overstated, the doc fees are in line and the 'online processing' fee is bogus. If you are going to register the car in NY state, then the registration fees are overstated. Plates, registration, title and any county surcharges shouldn't exceed $150. New York also caps doc fees at $75. Again Internet processing is bogus. Assuming you have no trade I would try and pull out of the deal and go Internet shopping. Honda makes it easy in that they have a single model and trim level. Simply write to the sales departments for several dealers indicating your desire to buy in 7 days or less and that you want a 2017 Fit EX Cvt, color _____. Tell them where you will be registering the car and ask them for only one thing... an out the door price inclusive of all fees and taxes. Then go buy from the dealer offering the best price. Of course, trades make that issue more complicated and forget about all the 'dealer added' extras... they are added fluff without any tangible benefits. Always forget about line item costs and concentrate only on the bottom line.

 

IN NJ, dealers are required to collect 5 years of registration fees for cars that are registered 'in state', aren't they? @ $115 a year.

 

Carbuff the simple answer is 'no'. You have a 5 year inspection, but a one year registration when you buy and register a car in NJ. The typical fees for a new car in NJ are title: $60 if no lien, $85 if lien, and first year registration, varies by weight but the Fit would be $59. Total $119 if no lien, $144 if lien.

 

Yeah, the thing that jumped out to me is the "On-Line Processing Fee".

Dealerships are there to sell you a vehicle, processing the deal, is kind of what they do. And "On-Line"? Usually means computerized or easier....

Why they would charge you upwards of $800 to process...ANYTHING...is hard for me to fathom.
I would of said I'd like to save the money and process it myself.

I don't think your overall purchase is egregiously out of line. But I really, really don't like that fee.

 

tell them to take off the online processing fee or no deal.

 

What he said ^^

 

Concur 100%. Dealerships are in the business to sell vehicles. Processing paperwork is part of that process. I always refuse to pay any add-on for Dealer Documentation or Processing. State licensing is bad enough. The $770 & $289 should come off.
Good luck!

 

Online processing fee = dealer markup.

When I went shopping for my 2016 LX last year, I started by getting a baseline price from the Costco buying program. Then I emailed each Honda dealer with a 50 mi. radius and asked them to give me their best price.

One Honda dealer about 50 mi. away gave me a low price but insisted on throwing in car mats at $150 which raised their price above the others. They said they never lost a sale because of the mats. I said, here's your first (yeah, right) and refused their offer.

Went without another dealer that was closer. What I learned about that experience is that some online quotes included a destination fee while others didn't. That fee was not cheap - about $800 if memory serves - so I had to read all the fine print to get to the real price.

 

Fees and whatever else really doesn't matter unless one is trying to say "I paid this". All that matters is the out the door price. I could care less how creative they are with their accounting as long as my final price out the door is cheaper. Just shop out the door to compare apples to apples

 

honda has a bunch of fits in inventory in the USA so yah, i think the price is too high.

dat 770 online fee.. wtf is dat? tell dem to take dat out, car should be no more than $18000 unless you got some dealer options, no other fees besides doc and title, tax.

 

honda has a bunch of fits in inventory in the USA so yah, i think the price is too high.

dat 770 online fee.. wtf is dat? tell dem to take dat out, car should be no more than $18000, no other fees besides doc and title.

 

Years ago, I was looking for a Toyota and saw the item "ADP" on the sticker.

Guess what it meant, "Additional Dealer Profit".

Get your deal cancelled. Imagine how these SOB's would screw you on service.

 

Yeah, I've seen that too. Have to give them points for brazen honesty at least.