Experience haggling with Processing fees? - Page 2 - Toyota Yaris Forums

RedRide · 02-15-2010, 12:35 AM

You are missing the point.
You are negotiating a price fror a care that you actually want and was shown by the salesman.

You just don't let on to the salesman that you really want it which would include not test driving it at this point.

It's buyer's market and you have to let the salesman know that you know it.

why? · 02-17-2010, 10:14 AM

uh, not quite. 99% of the vehicles that get test driven do not get purchased.

A test drive is just the first step, like going into a clothing store and trying clothes on, it doesn't mean you are going to buy them.

RedRide · 02-17-2010, 01:02 PM

Quote:

Originally Posted by why?

uh, not quite. 99% of the vehicles that get test driven do not get purchased.

A test drive is just the first step, like going into a clothing store and trying clothes on, it doesn't mean you are going to buy them.

Perhps, although I don't know where you got that figure.

On of the first thing any sales person wiil do is to to try and get you into the car for a test drive. They don't do this just to put miles on a new car. From experience, they know that once someone test drives a car, they are more likely to buy it.

Granted, there are those who just have a passing interest in a car and test drive it . I have done that. However, how many negoshiate before test driving?

When I bought my Yasis, I was constantly bombarded by "lets take it for a ride". However, I kept resisting until he wittled the price down and removed all the exra charges to my liking. He knew that was the only way to get me into the car.

DevilGirl · 02-17-2010, 02:39 PM

Quote:

Originally Posted by RedRide

Perhps, although I don't know where you got that figure.

On of the first thing any sales person wiil do is to to try and get you into the car for a test drive. They don't do this just to put miles on a new car. From experience, they know that once someone test drives a car, they are more likely to buy it.

Granted, there are those who just have a passing interest in a car and test drive it . I have done that. However, how many negoshiate before test driving?

When I bought my Yasis, I was constantly bombarded by "lets take it for a ride". However, I kept resisting until he wittled the price down and removed all the exra charges to my liking. He knew that was the only way to get me into the car.

The problem I see with that theory though is that I don't want to waste my time negotiating with the dealer over the price of a car that I may not be that interested in, which I wouldn't know until after I took it for a drive. There have been numerous cars/trucks/SUV's that I thought I wanted, but after driving them, I decided they weren't right for me.

By your theory, I should have spent hours negotiating with the dealer about a car that I would end up not liking anyway... Major waste of time IMHO.

why? · 02-18-2010, 08:58 PM

Quote:

Originally Posted by RedRide

Perhps, although I don't know where you got that figure.

On of the first thing any sales person wiil do is to to try and get you into the car for a test drive. They don't do this just to put miles on a new car. From experience, they know that once someone test drives a car, they are more likely to buy it.

Granted, there are those who just have a passing interest in a car and test drive it . I have done that. However, how many negoshiate before test driving?

When I bought my Yasis, I was constantly bombarded by "lets take it for a ride". However, I kept resisting until he wittled the price down and removed all the exra charges to my liking. He knew that was the only way to get me into the car.

The number is from experience and some observations. I worked at a dealership. They keep numbers on how many people walk through the door compared to how many people buy. Almost everyone that walks through the door tests drives at least one or two cars. I believe average sales is around 10% of that.

A salesperson wants to get you in a car first because they know there is no chance of getting anything done before that. Almost no one wants to negotiate for something they don't know.

The majority of people walking into a dealership have no idea what they want, or just a basic idea, like better gas mileage or such. They don't know which car they want, most couldn't even name most of the car models beyond Camry.

RedRide · 02-19-2010, 02:03 AM

Quote:

A salesperson wants to get you in a car first because they know there is no chance of getting anything done before that. Almost no one wants to negotiate for something they don't know

Exactly. They want you into the car first as they know once you test drive it, they can get "things done" They want the upper hand.

specialeducator · 02-21-2010, 06:25 AM

As I previously posted, I suggest test driving at a separate visit with the intention of entering no negotiation during that visit. This also makes buying through an internet transaction (as my wife did with her '10 Yaris 3 door).

t2mike2 · 02-23-2010, 09:57 PM

Actually the processing fees ARE just there to rip you off. The dealer does NOT need them. The invoice price is rarely the price the dealer pays as rebates often accompany the purchase of the vehicle from toyota.

I bought my yaris brand new from carmax. As you all know THEY set the price. OUT THE DOOR it was less than invoice price. I couldn't talk my dealer down to within 300 of that price however... until i told them i was going to car max. Then they could magically beat it... All of a sudden their "necessary" dealer fee wasn't so necessary.

Don't pay more than invoice, period. You simply do not have too.
~mike~

specialeducator · 02-24-2010, 07:28 PM

My wife ended up getting her 3 door through internet pricing $200 less OTD than Carmax, but the closer distance was an important factor too.

pawsplus · 03-03-2010, 03:22 PM

IMO you should research the particular car online first (not just generally but THAT car with THOSE options that you are actually looking at). Email the dealership and ask about cars w/ those options. In my case, I wanted a 5-speed 3dr w/ NO options but the least they had was one w/ the convenience package and the weather package. I priced it out on Edmunds--MSRP and invoice. I then decided what I would be willing to pay ($800 below invoice). Don't worry about adding charges or whatever. THIS is the price you are willing to pay OUT THE DOOR.

I went in and stuck to my guns. They messed me about a good bit, but I refused to deal. I finally wrote my final offer ($13,000) down on a piece of paper w/ my phone number and email and left.

The next day the sales guy emailed me with an offer in writing that was actually LOWER than my bottom line ($12,768). It had language like, "The manager says he'll try to get this price for you," etc. I sat on it. 3 hours later an other email arrives from the manager offering me $500 "last chance" offer off the last documented offer I had received.

So I wrote back saying that was fine -- I would take it for $12,268 (the salesman's offer minus the last chance offer). They were all, "OH, we didn't mean that!" I was all, "too bad--it's an offer."

I had to go to the customer service VP and the general manager, but I got it for that -- which was $800 less than I'd been willing to pay 3 days earlier. ;)

MORAL OF STORY: Get to your number, STICK TO IT, and NEVER, EVER buy the same day you go in to drive the car. :)

eht13 · 03-03-2010, 04:17 PM

Just to clarify, when "processing fees" are being discussed here, are they basically the same thing as what is often called "delivery" or "destination and handling" fees, or something else?

pawsplus · 03-03-2010, 04:33 PM

I believe those are different, EXTRA add-ons they try to convince you they "have" to charge you. Just get a bottom-line out-the-door number and don't budge. :)

STC · 04-21-2010, 04:27 PM

Huh? Other processing fees? More processing fees? The 'Documentation Fee' is really the processing fee. Don't want to pay this processing fee twice. You also want to avoid any dealer preparation fee... This is a scam! Avoid paying at all costs.

There are the certain fees that are unavoidable, though. Those being...
1. Destination charge
2. Title and Registration
3. Documentation fee, and
4. State Sales Tax

That is all that you should pay... period! And if, the dealer adds something else? Then question the sales person and dealership.

I paid all these unavoidable fees! The documentation fee is a modest charge for processing documents establishing the registration and title. This fee should be around $50 to $100. Anything over you should question. I paid the high end... $100.

The dealership did slip in a $5.00 State Tire Tax on my purchase. Now I have to look at PA State Law and see if this is kosher! I might of been taken?

Cheers...

bkrownd · 04-21-2010, 04:51 PM

Quote:

Originally Posted by STC

The dealership did slip in a $5.00 State Tire Tax on my purchase. Now I have to look at PA State Law and see if this is kosher! I might of been taken?

I wouldn't consider it worth my $$$ time to even begin to "research" a $5 fee, but YMMV

STC · 04-21-2010, 05:26 PM

Quote:

Originally Posted by bkrownd

I wouldn't consider it worth my $$$ time to even begin to "research" a $5 fee, but YMMV

I hear you!

DevilGirl · 04-22-2010, 08:28 AM

As far as I remember, that "tire tax" is generally to recycle used tires... Not for buying a car with new tires on it... I could be wrong though... PA is weird...

STC · 04-22-2010, 12:51 PM

Quote:

Originally Posted by DevilGirl

As far as I remember, that "tire tax" is generally to recycle used tires... Not for buying a car with new tires on it... I could be wrong though... PA is weird...

Yeah! I thought the tire tax was for recycled tires? I should find out, but as pointed out... is this worth the time? It's only $5 bucks.

nemelek · 04-22-2010, 04:01 PM

It's only 5 bucks. Worth fighting for. Probably not. However, 5 bucks here, 5 bucks there and soon a person is living pay check to pay check. I once had a dealer tell me that it's only 50 bucks on a difference in price. I responded "If it's only 50 than you pay it". He eventually did.

02-17-2010, 10:14 AM	#20
why? Only Happy When it Rains View User's Garage Drives: Yaris LB Join Date: Jan 2006 Location: harnett county NC Posts: 4,097	uh, not quite. 99% of the vehicles that get test driven do not get purchased. A test drive is just the first step, like going into a clothing store and trying clothes on, it doesn't mean you are going to buy them. __________________ Colin Chapman disciple

04-21-2010, 04:27 PM	#31
STC "LibertyRides!" View User's Garage Drives: 2010 Yaris 3Dr LB \| 2020 Stang Join Date: Mar 2010 Location: State College, PA, USA Posts: 576	Huh? Other processing fees? More processing fees? The 'Documentation Fee' is really the processing fee. Don't want to pay this processing fee twice. You also want to avoid any dealer preparation fee... This is a scam! Avoid paying at all costs. There are the certain fees that are unavoidable, though. Those being... 1. Destination charge 2. Title and Registration 3. Documentation fee, and 4. State Sales Tax That is all that you should pay... period! And if, the dealer adds something else? Then question the sales person and dealership. I paid all these unavoidable fees! The documentation fee is a modest charge for processing documents establishing the registration and title. This fee should be around $50 to $100. Anything over you should question. I paid the high end... $100. The dealership did slip in a $5.00 State Tire Tax on my purchase. Now I have to look at PA State Law and see if this is kosher! I might of been taken? Cheers... __________________ ~ Mark ~ 2010 Yaris 3-Dr Liftback, 5-Speed Manual, P185/60R 15, Bayou Blue Pearl I Love my YARIS - (Click below to see Gaslog): Most miles Tank: 538 tank/10.148 gal = 53.015 MPG / Most MPG: 54.95 MPG (ethanol) 425 tank/7.73 gal "The evils of government are directly proportional to the tolerance of the people." -- Frank Kent

04-22-2010, 08:28 AM	#34
DevilGirl Drives: 09 3dr LB MT Join Date: Aug 2009 Location: Lehigh Valley, PA Posts: 681	As far as I remember, that "tire tax" is generally to recycle used tires... Not for buying a car with new tires on it... I could be wrong though... PA is weird... __________________ 2009 3dr LB MT Meteorite Metalic. Car bought 8/7/09. Now over 89k miles of trouble free driving, other than user error!!

04-22-2010, 04:01 PM	#36
nemelek DWEED Drives: 3DR 2008 Metorite Metalic Join Date: Oct 2008 Location: Arizona Posts: 1,161	It's only 5 bucks. Worth fighting for. Probably not. However, 5 bucks here, 5 bucks there and soon a person is living pay check to pay check. I once had a dealer tell me that it's only 50 bucks on a difference in price. I responded "If it's only 50 than you pay it". He eventually did. __________________ Making a decision without following it with an action is still a fantasy.

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02-15-2010, 12:35 AM	#19
RedRide Drives: '09 Yaris carmine red 2d HB Join Date: Jun 2009 Location: Middletown, NY Posts: 1,501	You are missing the point. You are negotiating a price fror a care that you actually want and was shown by the salesman. You just don't let on to the salesman that you really want it which would include not test driving it at this point. It's buyer's market and you have to let the salesman know that you know it.

02-21-2010, 06:25 AM	#25
specialeducator Drives: 2008 Yaris sedan Join Date: Oct 2008 Location: Harrisonburg, VA Posts: 163	As I previously posted, I suggest test driving at a separate visit with the intention of entering no negotiation during that visit. This also makes buying through an internet transaction (as my wife did with her '10 Yaris 3 door).

02-23-2010, 09:57 PM	#26
t2mike2 Drives: '10 Yaris 3 DR - Carmine Red Join Date: Jan 2010 Location: Lorton VA Posts: 10	Actually the processing fees ARE just there to rip you off. The dealer does NOT need them. The invoice price is rarely the price the dealer pays as rebates often accompany the purchase of the vehicle from toyota. I bought my yaris brand new from carmax. As you all know THEY set the price. OUT THE DOOR it was less than invoice price. I couldn't talk my dealer down to within 300 of that price however... until i told them i was going to car max. Then they could magically beat it... All of a sudden their "necessary" dealer fee wasn't so necessary. Don't pay more than invoice, period. You simply do not have too. ~mike~

02-24-2010, 07:28 PM	#27
specialeducator Drives: 2008 Yaris sedan Join Date: Oct 2008 Location: Harrisonburg, VA Posts: 163	My wife ended up getting her 3 door through internet pricing $200 less OTD than Carmax, but the closer distance was an important factor too.

03-03-2010, 03:22 PM	#28
pawsplus Drives: 2010 Yaris 3-door liftback Join Date: Mar 2010 Location: Columbia, TN Posts: 41	IMO you should research the particular car online first (not just generally but THAT car with THOSE options that you are actually looking at). Email the dealership and ask about cars w/ those options. In my case, I wanted a 5-speed 3dr w/ NO options but the least they had was one w/ the convenience package and the weather package. I priced it out on Edmunds--MSRP and invoice. I then decided what I would be willing to pay ($800 below invoice). Don't worry about adding charges or whatever. THIS is the price you are willing to pay OUT THE DOOR. I went in and stuck to my guns. They messed me about a good bit, but I refused to deal. I finally wrote my final offer ($13,000) down on a piece of paper w/ my phone number and email and left. The next day the sales guy emailed me with an offer in writing that was actually LOWER than my bottom line ($12,768). It had language like, "The manager says he'll try to get this price for you," etc. I sat on it. 3 hours later an other email arrives from the manager offering me $500 "last chance" offer off the last documented offer I had received. So I wrote back saying that was fine -- I would take it for $12,268 (the salesman's offer minus the last chance offer). They were all, "OH, we didn't mean that!" I was all, "too bad--it's an offer." I had to go to the customer service VP and the general manager, but I got it for that -- which was $800 less than I'd been willing to pay 3 days earlier. ;) MORAL OF STORY: Get to your number, STICK TO IT, and NEVER, EVER buy the same day you go in to drive the car. :)

03-03-2010, 04:17 PM	#29
eht13 Drives: . Join Date: Dec 2008 Location: . Posts: 363	Just to clarify, when "processing fees" are being discussed here, are they basically the same thing as what is often called "delivery" or "destination and handling" fees, or something else?

03-03-2010, 04:33 PM	#30
pawsplus Drives: 2010 Yaris 3-door liftback Join Date: Mar 2010 Location: Columbia, TN Posts: 41	I believe those are different, EXTRA add-ons they try to convince you they "have" to charge you. Just get a bottom-line out-the-door number and don't budge. :)