Welcome to the latest edition of the VSA Consumer Bulletin, your resource for important vehicle buying tips, consumer rights information, automotive updates, and more!
The Vehicle Sales Authority of BC (VSA) is committed to ensuring a safe and reliable motor vehicle buying experience for consumers in British Columbia. As part of our mandate, we educate consumers on key terms and important considerations when purchasing a vehicle.
Dealer Fees: A Common Concern
When purchasing or leasing a vehicle, many consumers ask:
These are just some of the common questions from consumers about dealer fees โ charges added by the dealership that are not required by law, such as taxes. Examples of dealer fees are often referred to as documentation fees, administration fees, and placement fees.
While charging dealer fees is permitted under BC law, there is no set amount for them and as a consumer in BC, you have the right to be sold a vehicle in a clear and transparent manner. Understanding which fees are allowed โ and which ones are not โ isnโt just about avoiding surprises; itโs about exercising your right to fair treatment and informed decision-making throughout the buying process.
Dealer Fees Must Be Included in the Total Price
Whether youโre looking at a vehicle window sticker or reading an online advertisement, the price you see must reflect the total amount you have to pay before taxes. This includes:
This requirement helps ensure transparency and fairness in vehicle pricing.
Finance Placement Fees
If youโre financing your vehicle, you may see something called a finance placement or finance arrangement fee. These are fees charged by some dealers for arranging a loan or lease with a bank or finance company.
These fees must:
Ask about all dealer and finance placement fees โ they are often negotiable. Any additional fees added after negotiating a final price are not likely permitted under BC law.
Think You Paid Too Much?
If you believe you were charged fees unfairly or paid more than expected, review your purchase documents and the original advertisement. Ask yourself:
If fees were added improperly or you feel misled, you have options.
You can use the VSAโsย free online tool,ย My Self-Help,ย to learn about your legal rights and responsibilities of the dealer.
You can also visit vsabc.ca for additional consumer resources, complaint information, and more!