Used Car Price? Bait and Switch?

Question

OK, so I am a California resident. I'm in the market for a car and have been browsing the web for some used cars.

Now, I went to go see a vehicle today but was told that the advertised price did NOT include sales tax and license fees... I thought that this was a bait and switch, but is it? Do most prices on-line (such as cars.com and autotrader.com) do they list prices exluding sales and license?

This wasn't a dealership but it wasn't a private seller either it was this quasi-dealer (not an authorized dealer) just seemed like a few guys with a bunch of inventory of cars who managed to get a company name.

So what's the deal?

Thanks

Answer 1

If the seller is a licensed dealer, they are required to collect sales tax and license fees for the DMV, and to submit them with the other paperwork attendant to the sale.

Advertised prices virtually never include tax, and license fees - for cars or anything else. As these are state-mandated costs, and part of any retail transaction - including a private party sale in most states - they are separately charged.

No bait-and-switch.

Used car dealers are usually not part of a "factory authorized" dealership, but independent operations. They can be a good source - especially for lower-priced used cars.

All new car dealerships have a used car department. They are most often a better bet for higher priced used cars - say over $5-7,000, or so.

If they are private party sellers, I'd recommend accompanying them to the DMV to complete the sale transaction and paperwork.

Your description fits several different types of sellers - a very low overhead (but properly licensed) dealer, some unlicensed dealer wannabes, or simply some private individuals.

Sounds like you could use a bit more research on this complex decision and transaction process. consumerreports.org is a good place to start.

Their advice is sound, their opinions objective, and following their methodology can save you many thousands.

Answer 2

OK first the definition of bait and switch is when they advertise one car then try to sell you another car (saying that cars is not available). Or even worse, the advertise one car and then sell you another car pretending it is the advertised car (when it is not).

So no matter what the term "bait and switch" doesn't apply.
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Here in NYC the TAX and registrations is ALWAYS separate (not included) in the price. It doesn't matter if it from a dealer or private sales. And that should go for any online prices (remember if I advertise the price the car in NYC and then you register the car in NJ, the tax and registration would be different).

Also recently MSNBC did a report and said that used car dealers (or any kind of used car dealer - even quasi-dealer) are the worst place to buy used cars. They are the absolute pros when it comes to hiding fault in cars. This is what they do all they long. The car auctions are places that even the car dealers felt was unworthy of their sales (but the price is cheap and good for people who are good at fixing their own cars).

MSNBC reported that it is best to deal with private (real private) sales. Most private seller have no idea how to hide problems. But it is still up to you to ask and find the fault.

Good Luck.

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Answer 3

Tax and License fees are not usually included in the listed price .. private or dealer.. do know that a private seller must have a current smog test done at his expense in California before he can sell a car.. the dealer will smog it but will charge the buyer for it as part of the fees that they tack on.

Answer 4

Where I live the sales tax and license fees are seperate from the price because you pay the government offices directly when you go to get the tags, and these seperate fees are based on how much you paid for the car.

Answer 5

The price of the used car should be not more that $5000. Though you should take some expert help to make it checked through the professionals. You can also take some help from the dealers in the used cars in sacramento market.

Answer 6

TT&L or tax, title and license are always additional costs and are never included in vehicle pricing. No bait and switch here. Private party sellers are not responsible for collecting these fees and should not charge you for them.

Answer 7

Used car auction is the best deal.

See my profile.



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Answer 8

Let the buyer beware.