Used car dealer-Freight charge

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psteveo
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Used car dealer-Freight charge

Post by psteveo » Mon Apr 23, 2018 8:57 pm

I am looking to buy a car from a used car dealer and when I asked for an out the door price a freight charge of $600 was included. I would be picking up the car in person so it is not the cost of the car being shipped to me. When I asked what this was for they said "Our dealership has to ship vehicles from all over the United States in order to be able to offer our customers the lowest prices within 100+ miles. For that reason we charge a freight charge, just as any new car dealership would." Does this sound normal for a used car? I didn't think there was normally this type of charge for a used car purchase but never bought a used car before.

Teague
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Re: Used car dealer-Freight charge

Post by Teague » Mon Apr 23, 2018 9:07 pm

It sounds normal for a used car dealer - in other words, it sounds like they are lying to you. But the practice of doing this? Never heard of it, unless a customer orders a specific car from far away and has it shipped to the car lot.
Semper Augustus

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Alexa9
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Re: Used car dealer-Freight charge

Post by Alexa9 » Mon Apr 23, 2018 9:17 pm

Freight charge shmeight charge. Focus on the OTD price and don't budge. Plenty of used cars out there.

fourwaystreet
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Re: Used car dealer-Freight charge

Post by fourwaystreet » Mon Apr 23, 2018 9:26 pm

I was with my daughter looking at mini vans and we stopped at an Enterprise dealership. She did not end up buying but there was a freight charge based on how far the vehicle had to travel to get to the dealership. If the vehicle was on the lot or within 75 miles there was no charge, but otherwise there were charges in the $200 - $300 range. $600 seems like a lot to me, but they have to pay someone or some firm to transport the vehicle.

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Watty
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Re: Used car dealer-Freight charge

Post by Watty » Mon Apr 23, 2018 10:15 pm

With all the hurricanes last year you need to be especially careful about flood damaged cars.

There are apparently ways to move the car between states and end up with a clean looking title.

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whodidntante
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Re: Used car dealer-Freight charge

Post by whodidntante » Mon Apr 23, 2018 10:25 pm

It's not normal. If the deal is still good, take it.

TropikThunder
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Re: Used car dealer-Freight charge

Post by TropikThunder » Tue Apr 24, 2018 12:47 am

fourwaystreet wrote:
Mon Apr 23, 2018 9:26 pm
I was with my daughter looking at mini vans and we stopped at an Enterprise dealership. She did not end up buying but there was a freight charge based on how far the vehicle had to travel to get to the dealership. If the vehicle was on the lot or within 75 miles there was no charge, but otherwise there were charges in the $200 - $300 range. $600 seems like a lot to me, but they have to pay someone or some firm to transport the vehicle.
Carmax does that too, free transfer within X miles or a fee if from farther away. But that’s when the customer identifies a car at a different location and asks Carmax to bring it over. It sounds like the dealership in this case has already collected the cars and now wants the buyers to subsidize their cost-inefficient business model. If the dealer isn’t satisfied with local auction offerings, fine, but I wouldn’t let them pass that charge on to me. I would be skeptical that the car in question even needed transport.

Nate79
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Re: Used car dealer-Freight charge

Post by Nate79 » Tue Apr 24, 2018 12:57 am

Out the door price is all that matters.

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lthenderson
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Re: Used car dealer-Freight charge

Post by lthenderson » Tue Apr 24, 2018 9:19 am

Even if this dealer is the only one on planet earth who charges this fee, who cares? Focus on the price you write the check for and let the dealer break down their costs and fees however they desire to make things look the way they want them.

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dm200
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Re: Used car dealer-Freight charge

Post by dm200 » Tue Apr 24, 2018 9:23 am

psteveo wrote:
Mon Apr 23, 2018 8:57 pm
I am looking to buy a car from a used car dealer and when I asked for an out the door price a freight charge of $600 was included. I would be picking up the car in person so it is not the cost of the car being shipped to me. When I asked what this was for they said "Our dealership has to ship vehicles from all over the United States in order to be able to offer our customers the lowest prices within 100+ miles. For that reason we charge a freight charge, just as any new car dealership would." Does this sound normal for a used car? I didn't think there was normally this type of charge for a used car purchase but never bought a used car before.
The "creativity" of car dealers!! New ways to charge more money as well as recycling old "ideas".

"Out the door" price is what matters. So, they charge an added $600 to keep the price low ???

psteveo
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Re: Used car dealer-Freight charge

Post by psteveo » Tue Apr 24, 2018 9:47 am

They are also adding a $900 certification fee I guess because the car goes through an inspection. This would normally include a 3 month warranty but because the car is from 2016 it still has coverage under the original warranty. So not sure about that fee either. What I thought was a really good price isn't as good when $1,500 is added.

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dm200
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Re: Used car dealer-Freight charge

Post by dm200 » Tue Apr 24, 2018 9:52 am

psteveo wrote:
Tue Apr 24, 2018 9:47 am
They are also adding a $900 certification fee I guess because the car goes through an inspection. This would normally include a 3 month warranty but because the car is from 2016 it still has coverage under the original warranty. So not sure about that fee either. What I thought was a really good price isn't as good when $1,500 is added.
Good grief!

123
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Re: Used car dealer-Freight charge

Post by 123 » Tue Apr 24, 2018 10:09 am

psteveo wrote:
Tue Apr 24, 2018 9:47 am
They are also adding a $900 certification fee I guess because the car goes through an inspection...
I would not do business with those folks.
The closest helping hand is at the end of your own arm.

Teague
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Re: Used car dealer-Freight charge

Post by Teague » Tue Apr 24, 2018 11:20 am

Tell them you charge a $3000 "slimy, lying, predatory car dealer" fee.
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dm200
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Re: Used car dealer-Freight charge

Post by dm200 » Tue Apr 24, 2018 11:39 am

What type and price used cars does this place sell?

psteveo
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Re: Used car dealer-Freight charge

Post by psteveo » Tue Apr 24, 2018 11:55 am

dm200 wrote:
Tue Apr 24, 2018 11:39 am
What type and price used cars does this place sell?
Mostly older cars with a lot of miles. They just happen to be currently selling a 2016 Infiniti QX60 which I am interested in that I thought was a really good price but not as good with these extra charges.

Chuck
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Re: Used car dealer-Freight charge

Post by Chuck » Tue Apr 24, 2018 11:58 am

They can break down your check however they see fit. You pay what you're willing to pay an not a cent more. That's it.

I find that the back of my head is a better negotiator than my face.

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Raymond
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Re: Used car dealer-Freight charge

Post by Raymond » Tue Apr 24, 2018 2:13 pm

psteveo wrote:
Tue Apr 24, 2018 11:55 am
dm200 wrote:
Tue Apr 24, 2018 11:39 am
What type and price used cars does this place sell?
Mostly older cars with a lot of miles. They just happen to be currently selling a 2016 Infiniti QX60 which I am interested in that I thought was a really good price but not as good with these extra charges.
So this place mostly sells high-mileage beaters, and they "just happen" to be selling a late-model (likely low-mileage) luxury crossover?

As mentioned above, there is almost certainly something wrong with the car - flood damage, accident repairs, whatever.

There's a reason they're selling it for what seems to be a "really good price".

The $900 "inspection"? "Yup, car looks nice and shiny, there are four wheels on it, and since Bobby sprayed the interior with Febreze, you can't really smell the dog vomit anymore." :P

If for some reason you *still* want to buy it, get a pre-purchase inspection from a trusted independent mechanic.

I personally wouldn't waste any more time with this dealer.
"Ritter, Tod und Teufel"

psteveo
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Re: Used car dealer-Freight charge

Post by psteveo » Tue Apr 24, 2018 2:52 pm

Raymond wrote:
Tue Apr 24, 2018 2:13 pm
psteveo wrote:
Tue Apr 24, 2018 11:55 am
dm200 wrote:
Tue Apr 24, 2018 11:39 am
What type and price used cars does this place sell?
Mostly older cars with a lot of miles. They just happen to be currently selling a 2016 Infiniti QX60 which I am interested in that I thought was a really good price but not as good with these extra charges.
So this place mostly sells high-mileage beaters, and they "just happen" to be selling a late-model (likely low-mileage) luxury crossover?

As mentioned above, there is almost certainly something wrong with the car - flood damage, accident repairs, whatever.

There's a reason they're selling it for what seems to be a "really good price".

The $900 "inspection"? "Yup, car looks nice and shiny, there are four wheels on it, and since Bobby sprayed the interior with Febreze, you can't really smell the dog vomit anymore." :P

If for some reason you *still* want to buy it, get a pre-purchase inspection from a trusted independent mechanic.

I personally wouldn't waste any more time with this dealer.
It has 44k miles and was a rental car. They did provide the car fax report and it was clean but did not go see the car in person yet. But yes I am pretty reluctant in moving forward at this point.

psteinx
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Re: Used car dealer-Freight charge

Post by psteinx » Tue Apr 24, 2018 3:02 pm

Not an expert in this, and haven't bought any former rentals (AFAIK), but have looked at them a bit.

My sense is that they're priced in a somewhat commodified manner. i.e. Toyota Camry, 2.4 years old, 22K, punch the stats into a computer that has market data, and boom, you've got a price. Yeah, this is somewhat of an exaggeration, but I doubt TOO much.

Basically, there are a LOT of rentals out there, they tend to be somewhat similar, and they need to MOVE. So, the high volume dealers price them rather systematically, and may not haggle at all. (There may be some formulaic price adjustments if a given car sits on the lot past 30/60/90 days or whatever).

So, if you're getting bad vibes from a used car dealer that stumbled into one of these and doesn't do these kinds of cars very much, shift your focus to dealers doing a higher volume of rentals. The obvious starting point is the rental places themselves - at least some of them (perhaps all of the majors) sell a fair amount (but not all) of their aged-out rentals themselves.

Teague
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Re: Used car dealer-Freight charge

Post by Teague » Tue Apr 24, 2018 5:15 pm

Since you're looking at former rentals let me share something I read - it was on the Internet so it must be true. :wink:

I read a post a while back from a guy who worked at one of the larger rental agencies for a long time. He stated the rental agencies keep the very best quality aged-out cars and sell them through their own outlets. They sell the next rung down quality-wise to major used car dealers, like that one that rhymes with BarFlax. The rest go to auction. Which I'm guessing is how your prospective dealer got this car, maybe.

He also suggested that while buying a used car from the rental outlet was usually a good deal, he would avoid buying one of the cheaper models this way. The reason was that the cheaper models were the ones that would have been rented over and over again to folks on very limited budgets. Like 18 year olds, who would drive them like they stole them. His opinion was that the higher-end cars were more likely to have been driven more gently, or at least reasonably, and were generally better taken care of by the renters.
Semper Augustus

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dm200
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Re: Used car dealer-Freight charge

Post by dm200 » Tue Apr 24, 2018 5:17 pm

Teague wrote:
Tue Apr 24, 2018 5:15 pm
Since you're looking at former rentals let me share something I read - it was on the Internet so it must be true. :wink:

I read a post a while back from a guy who worked at one of the larger rental agencies for a long time. He stated the rental agencies keep the very best quality aged-out cars and sell them through their own outlets. They sell the next rung down quality-wise to major used car dealers, like that one that rhymes with BarFlax. The rest go to auction. Which I'm guessing is how your prospective dealer got this car, maybe.

He also suggested that while buying a used car from the rental outlet was usually a good deal, he would avoid buying one of the cheaper models this way. The reason was that the cheaper models were the ones that would have been rented over and over again to folks on very limited budgets. Like 18 year olds, who would drive them like they stole them. His opinion was that the higher-end cars were more likely to have been driven more gently, or at least reasonably, and were generally better taken care of by the renters.
Actually Enterprise car sales buys used cars (not former rentals) for more inventory to sell.

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