B.S. Dealer fees?

Discussion in 'The Perfect Line and Other Riding Myths' started by KillerDyller, Oct 1, 2013.

  1. KillerDyller

    KillerDyller Adventurer

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    Hey all. So I passed the B.R.C. this past weekend so now I'm buckling down to buy a bike. A dealer here in the state has a new XT250 for $3499 (2012 model). I thought that sounded like a sweet deal so I called em up. The out the door price wound up to be $4400. They had an extra 800 bucks worth of freight and preparation and documentation, which sounded like a load of shit to me. I offered the 3499 plus tax but they wouldn't budge. Is this something everyone pays when they buy a new bike from a dealer? Or they just trying to shaft me?
    #1
  2. klaviator

    klaviator Long timer

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    Most dealers seem to charge these fees these days. Some OEMs (Honda) are charging these fees to the dealers.

    Some dealers don't.

    [​IMG]
    #2
  3. JTucker

    JTucker Long timer

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    We don't charge anything other than tax, title if needed but a lot of dealers do. It's funny the OEMs don't figure their delivery charge or PDI into the cost even though the dealer gets charged for it.
    #3
  4. CloneBoy

    CloneBoy Future Adventurer

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    Find another dealer man, there are a bunch out there that would LOVE to sell a 2 year old NEW bike for the 3499 plus tax
    #4
  5. corndog67

    corndog67 Banned

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    I went to look at a Grom. $2999 plus fees. How much out the door? $4400. Its a very popular bike. Well, for that $700 bonus package you just awarded yourself, you can fuckin' keep it, I don't want it that bad.
    #5
  6. BillMoore

    BillMoore Been here awhile

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    I got my leftover 2012 for a little over $1000 under MSRP including all setup fees, and out the door (with WA state's high sales tax and license fee) was right at $400 under MSRP ($5960 out the door)... And got the 60 month 0% interest, no downpayment financing from Suzuki - can't beat free money, I'll keep my savings in the bank thank you very much!
    #6
  7. Barry

    Barry Just Beastly

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    Ignore fees, deal with 1 number only... the out the door price. Removes confusion and ambiguity.
    #7
  8. DAKEZ

    DAKEZ Long timer

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    So called Bullshit fees are not new and are not necessarily bullshit.

    Here, have a look at an old Triumph price list and see how a recommended set-up fee is given. It has always been an add-on to the MSRP. Always.

    [​IMG]
    #8
  9. grelcar

    grelcar Been here awhile

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    I looked at a new Harley Road King at a dealer when the 2009 models first came out. If I remember correctly they wanted MSRP + destination + $695 setup fee + a $895 acquisition fee + a $495 processing fee + tax and registration. I told the sales rep he was too far off to even begin negotiating and walked out. He told me those fees applied to all new models, even Sportsters. If people are willing to pay those fees they would be fools not to try to charge them.
    #9
  10. k-moe

    k-moe Long timer

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    If you don't like paying fees to dealers.....buy used from a private party :deal
    #10
  11. DudeClone

    DudeClone Long timer

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    fees are fees. some dealers charge more or less. if you live in an area with little dealer choice it could be difficult to get a deal. but if any dealer competition is out your way chances are you can strike a good deal with one, if patient and informed :)
    #11
  12. Albie

    Albie Kool Aid poisoner

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    I don't pay those bogus fees. Pays to shop around and find a legitimate dealer.
    #12
  13. JDK111

    JDK111 Been here awhile

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    Write your offer on the back of your personal business card and leave it with the salesman (if you don't have one - get some).
    It's very surprising how often you'll get called back later.


    ..... and it's even sweeter when you get one of these call backs and can say 'sorry, already purchased one at xyz'.
    #13
  14. SilkMoneyLove

    SilkMoneyLove Long timer

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    I pay the fees, but I make sure to ask some questions and see how sharp we can get the pencil on those numbers.

    Usually it is some mix like "dealer set up fee $400, bike discount of $350 off MSRP..." so, I net out a few bucks above MSRP but not much for an Out the Door number.

    The salesguy can get you a deal if you let them work on the numbers.

    Demanding to get X bike for $3500 is easy for them to say yes to, but then they add on dealer set up, freight, PDI, Document Fee, Title Charge and on and on until they get a number you don't like :lol3

    As always, if the numbers get beyond your comfort zone, walk. Tell them you have to think about it and walk. I have only had to do that once. They were trying to charge me a Finance Charge because I was under 25 (whatever excuse they could find to try and get another $450 out of me). I walked as I don't like being lied to.
    #14
  15. ttpete

    ttpete Rectum Non Bustibus

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    $400 is outrageous for a setup fee. How long does it take to uncrate it, install the front wheel, check tire pressure, maybe fill the battery, and give it a wash and wipe down?

    Around here, the documentation is all in one multi part state form. They type the figures in and the flunky takes it and the MSO to the DMV, drops it off, and picks it all up that afternoon. The dealer keeps his copies, the customer gets his that also has a registration slip, and the temporary paper plate in the back is torn out and taped to the bike. The dealer gets the metal plate in a few days and the customer comes by and picks it up. $50 should cover that.

    As far as financing goes, get it from someone other than the dealer's company if you can. It's common for a finance company to give the dealer a kickback that varies according to the interest rate that the customer is willing to pay. Just another way to get hosed.
    #15
  16. cliffy109

    cliffy109 Long timer

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    Fees are only BS if they don't tell you about them ahead of time. If they are hiding them and springing it at the last moment, it is total BS. Any good consumer asks what fees are involved and you make an offer based on what the value of the bike is in your local marketplace. If the bike is high in demand and there are no other dealers nearby, then the fees end up reflecting what the market will bear. If demand is low or supply is high, fees will evaporate quickly if you ask.

    You can't blame a dealer for trying though. Margins are VERY tight in a bike dealership. They just need to be honest and respectful about extra fees.
    #16
  17. SilkMoneyLove

    SilkMoneyLove Long timer

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    You are not adding in the days the shop is open to receive the crated bike. The days the paperwork flunky is busy cleaning the floor because no bikes sold that day and so on to keep the dealer light on for that time that you need X service done and you want to get back on the road ASAP but want a competent mechanic to do it. I also get my first service done at the dealer. For a few hundred $ my warranty is safe and the dealer will back me up should the rod decide to leave the case or valves decide to drop loose. Is $400 for set up outrageous? Is a $300 first service outrageous? Not to me.

    Everybody wants good service, not everyone is willing to pay for it, but I am. If I couldn't afford the $400 set up fee, I wouldn't buy the new bike.

    That said, if my front wheel falls off, I am kicking someone's azz :lol3
    #17
  18. ttpete

    ttpete Rectum Non Bustibus

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    Being a "competent mechanic" myself, I do all my own service. I bought a new crated bike once. Had it busted out of the crate and on the road in an hour. It's wrong to charge customers for downtime that's not their fault. If you don't have enough business, you need to get off your butt and look for it.

    My local dealer sells the big 3 and handles bikes, PWC, snow machines and generators. He's always busy.
    #18
  19. Albie

    Albie Kool Aid poisoner

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    You're a greedy dealers wet dream. :rofl
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  20. High Country Herb

    High Country Herb Adventure Connoiseur

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    That's pretty much what I did. After figuring all the fees, the price was way out of budget so I walked out, leaving my name and number. They said they would call if a used one came through the shop. A month or so later, they called to see if I was still interested in the bike now that it had 3800 miles of test rides on it. I got it for more than $2000 less, with a full 3-year warranty.
    #20