Vehicle Destination Charges - New Car Business Destination Fees - Kelley Blue Book
Have you ever wondered what you're paying for when you buy a new car and the paperwork lists tax, license and destination charge? What is the destination charge all about? Well, if you've seen the trucks carrying cars on the highways or freight trains stacked with new vehicles, you are basically witnessing the service your destination fees pay. The fee is usually in the neighborhood of $400 — $800 per vehicle and no amount of negotiating will make it go away.
Logic would tell you that if you lived near a port or a particular automotive assembly plant, you could potentially pay less for the destination fees — not so. The destination charge is calculated by each manufacturer based on something called an "equalized delivery." In other words, they factor the cost of shipping all vehicles in the line and "equalize" the cost so the fee is "equal" for all car-buyers.
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