VPP Plan C Pricing Question - Dealer Doc Fee?
#1
VPP Pricing Question - Dealer Doc Fee?
I placed an order for a 2007 G35S 6MT w/prem (only) with my local dealership back in late March and just got the call today that my car's about 4-5 days from delivery. Back when I placed the order I negotiated a price of $500 over invoice (actually $320 + a $180 doc fee: same difference to me), but then a friend of a friend set me up with a VPP Plan C number about a week afterwards. I went back to the dealership they said fine, we'll give you the VPP pricing. I'm sure it's a good deal for them; my understanding is that even though my cost is lower, Nissan contributes a delivery fee of several hundred dollars.
Today the dealership sent me the new sales order and they're trying to include that $180 doc fee (which is paid to them, not any unit of government - I asked during the original negotiations) in the total price. They're putting it directly on the sales order, not on the VPP Dealership Participation agreement. This fee is totally unacceptable to me, but before I take action I'd like to hear from other forum members, especially people who've used VPP (as buyers or dealers). Anyone else had a dealer try to add a fee like this to an order, especially a VPP deal? Would you confront the dealer about this now, or at delivery (maybe with a check that's $180 less than they're asking)? If I refuse delivery over this fee (which I'm prepared to do - I WANT this car, but I don't NEED it, and there are plenty of other dealerships who'll honor VPP now), what are my odds of getting my $500 deposit back?
Thanks for your thoughts!
Today the dealership sent me the new sales order and they're trying to include that $180 doc fee (which is paid to them, not any unit of government - I asked during the original negotiations) in the total price. They're putting it directly on the sales order, not on the VPP Dealership Participation agreement. This fee is totally unacceptable to me, but before I take action I'd like to hear from other forum members, especially people who've used VPP (as buyers or dealers). Anyone else had a dealer try to add a fee like this to an order, especially a VPP deal? Would you confront the dealer about this now, or at delivery (maybe with a check that's $180 less than they're asking)? If I refuse delivery over this fee (which I'm prepared to do - I WANT this car, but I don't NEED it, and there are plenty of other dealerships who'll honor VPP now), what are my odds of getting my $500 deposit back?
Thanks for your thoughts!
Last edited by Sideshow7208; 05-15-2007 at 02:49 PM.
#3
#5
I paid almost $200 for the doc fee in my VPP purchase. I know how you feel about not wanting to pay for it, but most dealers actually have it printed on the paperwork already. Just make sure they don't talk you into any other added fees like prep packages, extended warranties, or wheel warranties.
#6
Update
Thanks very much to those who've responded.
I called the dealership this morning and told them I was willing to pay the VPP price, not the VPP price plus $180. I subsequently spoke with both the sales manager and the owner, their story is that they are required BY LAW to charge everyone that $180 doc fee. Yet when asked they cannot tell me WHICH law requires them to do so. Because there isn't one. I've read the applicable law, paragraph 13.2(a) of Michigan's Motor Vehicle Sales Finance Act. All it says is that the cash price of the vehicle may include a documentary preparation fee and it caps that fee, but nowhere does it say the dealer MUST apply a doc fee, nor that the fee must be the same for everyone. Yet they insist on blaming this fee on "THE LAW"; they won't stop being deceptive in the face of evidence to the contrary.
The dealer is now saying they're just going to return my deposit rather than drop the doc fee. They may be bluffing (they've sure spent a lot of time talking with someone to whom they aren't going to sell a car...), but maybe not. Looks like I'm going to have to shop my VPP number around to other dealerships and find one who won't spring a doc fee on me right before delivery.
I called the dealership this morning and told them I was willing to pay the VPP price, not the VPP price plus $180. I subsequently spoke with both the sales manager and the owner, their story is that they are required BY LAW to charge everyone that $180 doc fee. Yet when asked they cannot tell me WHICH law requires them to do so. Because there isn't one. I've read the applicable law, paragraph 13.2(a) of Michigan's Motor Vehicle Sales Finance Act. All it says is that the cash price of the vehicle may include a documentary preparation fee and it caps that fee, but nowhere does it say the dealer MUST apply a doc fee, nor that the fee must be the same for everyone. Yet they insist on blaming this fee on "THE LAW"; they won't stop being deceptive in the face of evidence to the contrary.
The dealer is now saying they're just going to return my deposit rather than drop the doc fee. They may be bluffing (they've sure spent a lot of time talking with someone to whom they aren't going to sell a car...), but maybe not. Looks like I'm going to have to shop my VPP number around to other dealerships and find one who won't spring a doc fee on me right before delivery.
#7
Trending Topics
#8
There are several different VPP plans. I'm elligible for plan C since I have a friend who works at Nissan headquarters in Tennessee. Plans A and B are for Nissan employees and their family members, respectively . VPP may also be available for employees of Nissan suppliers and other businesses. I suggest checking out the VPP website for details: http://www.insidenissan.com/vpp/nissan/index.html
#10
You're gonna get hit with the doc fee (up to a max depending on state) no matter which dealer you go to. From what I've seen, some people are successful in negotiating a better deal than VPP-C, but no one has done better than VPP-A. The key difference between plans are the discount rate and the 2.5% delievery fee.
If you're only getting the VPP-C, try negotiating a better deal first. If you manage to somehow get VPP-A, just pay the doc fee with a smile!
If you're only getting the VPP-C, try negotiating a better deal first. If you manage to somehow get VPP-A, just pay the doc fee with a smile!
#11
#13
#14
I thought I'd wrap this up for the benefit of other readers.
I talked to a rep from the Michigan Auto Dealers Assoication and he verified that there's no law that requires dealers to charge a doc fee or sets the amount. But, their lawyers advise that if a dealer charges a doc fee he charges everyone the same amount in order to avoid possible discrimination lawsuits. Given the litiguous nature of American society, and after consulting a friend who is an attorney, I decided that the dealer was probably just applying their policy rather than trying to nail me with another charge at delivery (disclaimer: this is my opinion, not legal advice). So, I went ahead, paid the $180 doc fee, and bought the vehicle; see https://g35driver.com/forums/new-members-check/158523-new-g-town.html for my new owner thread w/pics. Had the sales manager and owner explained that policy rather than going with the red-flag-raising "it's the law" I probably would have been an easier sell. I guess most people must not challenge it like I did.
Anyway, I must tip my hat to the lobbyists at the MADA for getting the Michigan legislature to write an extra $180 of profit into every one of their dealers' VPP sales, and I'm sure many (if not most) of their negotiated ones!
I talked to a rep from the Michigan Auto Dealers Assoication and he verified that there's no law that requires dealers to charge a doc fee or sets the amount. But, their lawyers advise that if a dealer charges a doc fee he charges everyone the same amount in order to avoid possible discrimination lawsuits. Given the litiguous nature of American society, and after consulting a friend who is an attorney, I decided that the dealer was probably just applying their policy rather than trying to nail me with another charge at delivery (disclaimer: this is my opinion, not legal advice). So, I went ahead, paid the $180 doc fee, and bought the vehicle; see https://g35driver.com/forums/new-members-check/158523-new-g-town.html for my new owner thread w/pics. Had the sales manager and owner explained that policy rather than going with the red-flag-raising "it's the law" I probably would have been an easier sell. I guess most people must not challenge it like I did.
Anyway, I must tip my hat to the lobbyists at the MADA for getting the Michigan legislature to write an extra $180 of profit into every one of their dealers' VPP sales, and I'm sure many (if not most) of their negotiated ones!
Last edited by Sideshow7208; 05-29-2007 at 11:59 PM.
Thread
Thread Starter
Forum
Replies
Last Post
joedaddy1
Engine, Drivetrain & Forced-Induction
0
07-28-2015 02:58 PM