Do I have to pay a dealership/handling fee not disclosed at the time of purchase?

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Do I have to pay a dealership/handling fee not disclosed at the time of purchase?

I got a car from a dealership and signed all paperwork; I have everything but the title. It has been 2 weeks since I got the car and they called me saying there is something wrong with the paperwork. Now they are telling me, I have to pay dealership/handling fee and its illegal not to pay it. It sounds really fishy, seeing how the car only cost me $600 and the handling fee is $399.

Asked on June 19, 2012 under General Practice, Colorado

Answers:

MD, Member, California Bar / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

No way. Do not do it. Most states prohibit this separate fee from being chared separately on the loan document. It would have to be part of the negotiated total price of the vehicle on the purchase and sales agreement.   You need to talk with the dealer's regulator or the attorney general in your state and file a complaint. Do not do anything with the dealership.  You have the loan and you have the car. That is it.


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