I was in the final stages of closing on a deal last week when the car dealer brought out the paper work and there was a $350 documentation fee added to the sales price. The guy (manager) looked me in the eye and said the fee could not be removed because it was printed on the contract. First of all, are documentation fees legal in Massachusetts? If so, can the dealer remove the fee?
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Editor's Response
Ah, the joys of buying a new car. Did he try to get you to sign up for Rusty Jones rust inhibitor also? Sorry, I shouldn't kid you. The answer is that documentation fees are legal, but they can certainly be removed. It's like any other part of the negotiation. If the dealer has some bookkeeping reason for wanting to keep the fee in place, then it can reduce the cost of the car to cover all or part of the documentation fee. That was the agreement I reached last time I was hit with the old doc fee. Good luck. For more information about car sales, visit our Massachusetts Consumer Law Discussion Forum.