Used car "admin fees"

Author
Discussion

CAPP0

Original Poster:

19,577 posts

203 months

Saturday 23rd July 2016
quotequote all
Dipping my toe back in the used car market for the first time in about 5 years and I see loads of dealer ads which say words to the effect of "price shown is subject to an admin fee of £xxx", usually about £195. WTF is that all about then? I have to pay them to sell me a car?

Magic919

14,126 posts

201 months

Saturday 23rd July 2016
quotequote all
Yes.

k-ink

9,070 posts

179 months

Saturday 23rd July 2016
quotequote all
You don't have to pay it. Make them an offer and be prepared to walk away. Don't ask for a discount. Don't ask for their best price. Just make a firm bid and leave it at that. Obviously it will help if you are a cash buyer with no px. I've bought some mint cars over the years and never paid full price.

POORCARDEALER

8,524 posts

241 months

Saturday 23rd July 2016
quotequote all
CAPP0 said:
Dipping my toe back in the used car market for the first time in about 5 years and I see loads of dealer ads which say words to the effect of "price shown is subject to an admin fee of £xxx", usually about £195. WTF is that all about then? I have to pay them to sell me a car?
Plenty of garages dont

Rusty569

206 posts

107 months

Saturday 23rd July 2016
quotequote all
After agreeing a deal I was happy woth for my latest car they they (Evans Halshaw - never again awful experience getting the car prepped as agreed) tried to hit me with a £195 admin charge.

I laughed and said well if thats the case my PX is subject to a £195 fee to cover my costs and time, the salesman told me it was an unavoidable cost so I stood up and started walking towards the door...it suddenly became an avoidable cost.

datum77

470 posts

121 months

Saturday 23rd July 2016
quotequote all
Anyone who deals with car dealers that insist on charging you some fee or other on top of the advertised price deserves to be "taken for a very long ride". These fees are a confidence trick that OUGHT to be outlawed. The airlines were forced to stop doing it, but the Advertising Standards Authority, who are meant to oversee and rule on these sorts of tricks, do absolutely nothing. (I have complained to the ASA on more than a couple of occasions about it and had my letters ignored).

If you deal with a company that adds one or more of these fees to the cost of the vehicle - my advice is to insist that they remove them, and if they don't, then walk away. You are NOT paying the advertised price. That is wrong. You don't reach the end of the checkout at Tesco's and they tell you that there is a "handling fee" to pay, do you?.

This self-same trick is practised by ticket selling websites, and I have complained to the ASA again in the same vein as above. And, again, been ignored.

A very snidy way to carry out business.

dudleybloke

19,805 posts

186 months

Saturday 23rd July 2016
quotequote all
Tell them its OK but you will charge them a £1000 admin fee for signing the paperwork.

spookly

4,018 posts

95 months

Saturday 23rd July 2016
quotequote all
Just add it on to the asking price. It let's them advertise at an artificially low price to make it look a better deal, albeit by a small amount.

Just offer what you want to pay, and walk if you can't agree a deal.... as you'd normally do when buying a car.

WaferThinHam

1,680 posts

130 months

Saturday 23rd July 2016
quotequote all
Tell them to get stuffed. You'll buy from elsewhere if they don't remove it. Business is business.

daemon

35,795 posts

197 months

Saturday 23rd July 2016
quotequote all
k-ink said:
You don't have to pay it. Make them an offer and be prepared to walk away. Don't ask for a discount. Don't ask for their best price. Just make a firm bid and leave it at that. Obviously it will help if you are a cash buyer with no px. I've bought some mint cars over the years and never paid full price.
These days that makes you their worst kind of customer - no commission on the finance and no profit on your trade in

93DW

1,284 posts

103 months

Saturday 23rd July 2016
quotequote all
Some of these replies are amusing, Some of you have been watching too much Wheeler Dealers!

The dealer I work for has a £99 fee which is for a mechanical inspection by the AA, which every sale is subject to. To make it crystal clear we even put it at the bottom of every in advert an in capital letters as well so it stands out from the rest of the advert. Would any of you say that's unfair?

dacouch

1,172 posts

129 months

Saturday 23rd July 2016
quotequote all
Rusty569 said:
After agreeing a deal I was happy woth for my latest car they they (Evans Halshaw - never again awful experience getting the car prepped as agreed) tried to hit me with a £195 admin charge.

I laughed and said well if thats the case my PX is subject to a £195 fee to cover my costs and time, the salesman told me it was an unavoidable cost so I stood up and started walking towards the door...it suddenly became an avoidable cost.
I thought the price signs on Evans Halshaw cars said (In very small writing) that the admin fee is optional

daemon

35,795 posts

197 months

Saturday 23rd July 2016
quotequote all
93DW said:
Some of these replies are amusing, Some of you have been watching too much Wheeler Dealers!

The dealer I work for has a £99 fee which is for a mechanical inspection by the AA, which every sale is subject to. To make it crystal clear we even put it at the bottom of every in advert an in capital letters as well so it stands out from the rest of the advert. Would any of you say that's unfair?
If a dealer wants to spend £95 on an AA inspection as part of their prep then thats their perrogative. Lots of dealers do, but few pass that on to the customer as a direct cost.

Lets be frank here, its just a way of making the car look cheaper than it is. There is no other reason to separate out an "admin fee".

I dont buy anything else thats subject to an "admin fee" so why some car dealers?


WaferThinHam

1,680 posts

130 months

Saturday 23rd July 2016
quotequote all
daemon said:
93DW said:
Some of these replies are amusing, Some of you have been watching too much Wheeler Dealers!

The dealer I work for has a £99 fee which is for a mechanical inspection by the AA, which every sale is subject to. To make it crystal clear we even put it at the bottom of every in advert an in capital letters as well so it stands out from the rest of the advert. Would any of you say that's unfair?
If a dealer wants to spend £95 on an AA inspection as part of their prep then thats their perrogative. Lots of dealers do, but few pass that on to the customer as a direct cost.

Lets be frank here, its just a way of making the car look cheaper than it is. There is no other reason to separate out an "admin fee".

I dont buy anything else thats subject to an "admin fee" so why some car dealers?
^ This.

Again, business is business. If you can agree a price you're both happy with including that fee then fine. If you agree a price then get a new fee sprung on you. I'd be telling them to get stuffed. That's the part I disagree with. I probably wouldn't even go and view a car with "subject to an admin fee" in the advert to be honest. smile

No Wheeler Dealers hear, I didn't even say "'old out your 'and."

Janesy B

2,625 posts

186 months

Saturday 23rd July 2016
quotequote all
93DW said:
Some of these replies are amusing, Some of you have been watching too much Wheeler Dealers!

The dealer I work for has a £99 fee which is for a mechanical inspection by the AA, which every sale is subject to. To make it crystal clear we even put it at the bottom of every in advert an in capital letters as well so it stands out from the rest of the advert. Would any of you say that's unfair?
You've already got your mark up on the car, why force people to take out an AA inspection and make them pay for the privilege.

I'll pay your admin fees if you sell me the car at trade/private price.

PlayFair

201 posts

120 months

Saturday 23rd July 2016
quotequote all
I used to work for Evans Halshaw (I lasted 6 weeks - never again) - the Admin fee is avoidable - and is basically the salesman extra commission.

Sales guys at Evans Halshaw get paid £10 for selling a car - and out of the £195 - from what I remember - it was an extra £20/30.

That's why the salesman don't want to take it off - or rather the sales manager doesn't want to take it off - because the salesman cant actually do anything with the price - and by the sales manger taking off the admin fee they will claim they are saving you money.

750turbo

6,164 posts

224 months

Saturday 23rd July 2016
quotequote all
datum77 said:
Anyone who deals with car dealers that insist on charging you some fee or other on top of the advertised price deserves to be "taken for a very long ride". These fees are a confidence trick that OUGHT to be outlawed. The airlines were forced to stop doing it, but the Advertising Standards Authority, who are meant to oversee and rule on these sorts of tricks, do absolutely nothing. (I have complained to the ASA on more than a couple of occasions about it and had my letters ignored).

If you deal with a company that adds one or more of these fees to the cost of the vehicle - my advice is to insist that they remove them, and if they don't, then walk away. You are NOT paying the advertised price. That is wrong. You don't reach the end of the checkout at Tesco's and they tell you that there is a "handling fee" to pay, do you?.

This self-same trick is practised by ticket selling websites, and I have complained to the ASA again in the same vein as above. And, again, been ignored.

A very snidy way to carry out business.
Probably the first time I have ever agreed with you!

Snidey bds!

spookly

4,018 posts

95 months

Saturday 23rd July 2016
quotequote all
93DW said:
Some of these replies are amusing, Some of you have been watching too much Wheeler Dealers!

The dealer I work for has a £99 fee which is for a mechanical inspection by the AA, which every sale is subject to. To make it crystal clear we even put it at the bottom of every in advert an in capital letters as well so it stands out from the rest of the advert. Would any of you say that's unfair?
Ha ha. Lame excuse. AA inspections aren't really worth it anyway. And in any case, that is for the benefit of the dealer not the purchaser.
The dealer is the one who is liable to fix the car if they sell a lemon.


750turbo

6,164 posts

224 months

Saturday 23rd July 2016
quotequote all
PlayFair said:
I used to work for Evans Halshaw (I lasted 6 weeks - never again) - the Admin fee is avoidable - and is basically the salesman extra commission.

Sales guys at Evans Halshaw get paid £10 for selling a car - and out of the £195 - from what I remember - it was an extra £20/30.

That's why the salesman don't want to take it off - or rather the sales manager doesn't want to take it off - because the salesman cant actually do anything with the price - and by the sales manger taking off the admin fee they will claim they are saving you money.
And EH are part of Pendragon - The largest Dealer Group in the UK. £10 Commission on a car - Shocking! (Even Arnold Clark pay £50, or used to)

I wonder if this has cost them more than it has made them over the years?

(They are lucky to still be in Business, a few years ago their share price was a few pence, nearly went to the wall)

POORCARDEALER

8,524 posts

241 months

Saturday 23rd July 2016
quotequote all

WBAC charge a fee to sell them a car