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Car Dealership Admin Fees Explained

Know How You Can Negotiate to Get the Best Possible Car Deal

If you just purchased a car from a dealership, you may have noticed an extra charge on your bill for an “admin fee.” The fee can range from a few hundred dollars to over a thousand, which can be a source of frustration for many car buyers. Kids Car Donations is here to explain what admin fees are, why dealerships charge them, and how you can negotiate to get the best possible deal.

 

What Are Admin Fees?

Admin fees, also known as document fees or processing fees, are charges that dealerships add to the sale prices of cars. These fees are intended to cover the cost of processing the paperwork involved in the sale, including preparing the sales contract, registering the car with the DMV, and financing or insurance paperwork.

 

Why Do Dealerships Charge Admin Fees?

Dealerships argue that admin fees are necessary to cover administrative costs so they can stay competitive with other dealerships in their area. Some dealerships also claim that admin fees are a way to ensure that all customers are treated fairly since the fee is a standard charge that is applied to every sale.

However, critics of admin fees argue that they are simply a way for dealerships to increase their profits without increasing the prices of the cars they’re selling. They point out that the cost of processing paperwork is already factored into the price of the car and that admin fees are essentially “hidden” charges that can catch buyers off guard.

 

How Much Are Admin Fees?

While the admin fees charged by dealerships vary widely, they typically range from $100 to $500. Some dealerships, however, have been known to charge admin fees as high as $1,000 or more.

 

How Can You Negotiate Admin Fees?

If you’re buying a car from a dealership, know that admin fees are negotiable. You can try to negotiate the fee down or ask the dealership to waive it. One strategy is asking the dealership to include the admin fee in the car’s sale price rather than charging it separately. This can make the fee more palatable and easier to negotiate.

Another strategy is to research and find out what other dealerships in the area are charging for their admin fees. If you can show the dealership that other dealers are charging less, they may be willing to lower their fees for you.

Finally, be prepared to walk away if the dealership is unwilling to negotiate on the admin fee. There are plenty of other dealerships out there that may be more willing to work with you.

 

Want to Free Up Space in Your Garage After Buying a New Car?

If your garage space isn’t enough to accommodate two vehicles — your old ride and the one you just bought — the most sensible option is to dispose of the old one. Consider donating it to us at Kids Car Donations so we can give it a new and worthy purpose — that of providing vital assistance to destitute children in your community who are grappling with serious health conditions and saving the lives of those who are critically ill.

We’ll auction off your donated auto and use the proceeds to support the critical pediatric programs and services of our charity partners. These IRS-certified 501(c)(3) nonprofit organizations cater to youth from low-income families who are stricken with life-threatening diseases and life-limiting disabilities. They use the funding we give them to provide their beneficiaries with free treatments and therapies, emotional support, and access to social services and educational resources.

We will remove your unwanted vehicle quickly wherever you had it parked or stored anywhere in the country at no cost to you. Moreover, we will provide you with the chance to substantially reduce your tax bill by way of the top tax deduction that you will be entitled to claim in the next tax season.

However, the best part about making a charitable contribution to us is the priceless joy of knowing that you’ll be making a difference in the lives of suffering children in your community.

We accept not just cars but nearly all other types of vehicles whether in good working condition or not.

If you want to know more about our program, including our quick and easy donation process, head over to our FAQs page. You can also call us anytime through our toll-free hotline at 866-634-8395 or leave us a message here. We’ll gladly get back to you as soon as possible.

Help Restore the Health of Ailing Kids | Kids Car Donations
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Help Restore the Health of Ailing Kids Today!

If you want to reach out to those who are too young to help themselves, you can do that with your car donation. We will use your gift to help restore the health of hurting youngsters in your community. Call Kids Car Donations at 866-634-8395 or fill out our secure online donation form now!

 

Last Updated: October 5th, 2023