[TigaFF]

I was just about to sign up for my MCS at the Checkered Flag when I noticed a processing fee of $399 above MSRP. Is this a typical surcharge for those of you who paid "MSRP"

[Tom F.]

the processing charge is dealer additional margin. They already have someone to process your paperwork, and he or she's real job is to sell you their financing, so you shouldn't have to pay for that.

Some dealerships place palcards all over announcing the "processing fee", but the have no obligation to charge it, outside their own policy. It will be interesting to hear what other Checkered Flag customers say.

Another possible surprise is that Northern VA dealers charge is an inventory tax. This is a straight pass through, and there is no similar tax in MD, but the VA dealers do collect and get it. Look at a full page Carmax ad in the Post, and you will see that the fine print differs between the VA and MD locations.

Now, if CM is absorbing the tax, but you had to pay the fee, you are not coming out that badly.

It just kind of ticks me off, I'd rather hear them say MSRP plus $400 than MSRP, and then, btw, we have a processing fee.

[TigaFF]

Thanks Tom. That was my feeling. I would rather have them say that they were increasing their profit margin than hide it some other way. Tate MINI wants $400 for $200 worth of floor mats and Pittsburgh requires $1000 worth of accessories. Towson appears to be the only one at MSRP in the area.

[Tom F.]

Well, to bad you can't get those floor mats...but I think they are only worth $100.

Are you looking at a completed sales contract? Anything wierd with the tax?

I'd just want to know if they did or didn't do this to other buyers, and if they didn't I'd tried to negotiate it down or get some accessories...and then I'd roll over, and enjoy my new Mini.

If you haven't heard pmail from other Checkered Flag buyers, try a quick post to the roadfly and Mini Online boards.

[AprilWhine]

I have bought two cars from Checkered Flag. The first, a VW, I bought below MSRP and they waived the processing fee. But the MINI is a much better seller, so I had to pay full MSRP and the $349 processing fee.

Since CF has so many MINIs in stock right now, I think it was 42 last time I looked, you might get them to throw in some floor mats if you agree not to protest the fee. Win/win maybe?

[AprilWhine]

Sorry, I just realized you are buying an MCS. I don't think they will waive the fee or throw in mats, that is the popular model.

[chiph]

Quote:

Originally posted by AprilWhine
Sorry, I just realized you are buying an MCS. I don't think they will waive the fee or throw in mats, that is the popular model.

April -
MINI of Charleston SC also has quite a collection of Coopers on their lot. I wonder at what point the dealers are going to tell MINI Division: "Don't send us any more Coopers! We only want the S!"

Chip H.

[AprilWhine]

I know what you mean, Chip. I check the on line inventory for Checkered Flag about twice a month, just curiosity. They always seem to have 20+ Coopers and a few MCS.

I wonder if they can change the ratio of their order? Right from the start, the MCS outsold the MC.

I know CF started with a "motoring package" around $2k of dealer installed options, like driving lights, on the MC, and it was more on the MCS.

Here's the link if you want to check my local inventory on line: Checkered Flag

I just checked, they have 31 MCs and 10 MCSs in stock right now.

[chiph]

Quote:

Originally posted by AprilWhine
<snip> Here's the link if you want to check my local inventory on line: Checkered Flag

I just checked, they have 31 MCs and 10 MCSs in stock right now.

Just checked myself: 37 MCs and 8 MCSs

That's a cool feature. Don't know if it's worth paying their semi-mandatory fee, though.

Chip H.

[Bilbo Baggins]

TigaFF,

I'd shop around. Try out of state also. My dealer in CT charges MSRP without any 'mandatory accessories'. If you can get a quote from another dealer and show it to your local dealer, maybe you can force their hand.

[AprilWhine]

Quote:

Originally posted by chiph
Just checked myself: 37 MCs and 8 MCSs

That's a cool feature. Don't know if it's worth paying their semi-mandatory fee, though.

Chip H.

Their explanation of the fee is that it pays for them "helping" you get financed. Ho Hum.

[TigaFF]

Thanks to everyone for their input. I ordered from Towson MINI. Only one extraneous $25 fee, so I'm on the list. Looking forward to late May.
Jeff

[sequence]

After being in the car biz, here's the managment perspective. Doc/prep/shag fees whatever they are called, are still ways for dealers to make some miniscule $$ on the one aspect of a car dealership that doesn't make $$--new cars. Most MINI dealers I've 'searched are anywhere between $300-700. These fees can be difficult to negotiate, but it can be done.

Here in Denver CO, the MINI dealer, Schomp, charges -0- above MSRP, and big bonus: NO doc/prep/shag fee whatsoever, no mandatory accessories, "pro" paks, etc (at his other dealerships as well.) This is the way it should be across the car industry, for a portion of the destination charge in the MSRP absorbs some of the dealer costs for prep and delivery to YOU, Mr. or Ms Mini lover.

I knew what I was paying within a half hour of walking into the dealership (just resist the urge for dealer accessories for they are expensive--that's where dealers make $$ on new cars.) Talk aboot low pressure and relaxed!! Now if I can handle the 6-8 month wait... Jimbo

[markjenn]

I was nicked for $100 in doc fees over MSRP, but I was told up front about it and I agreed to it, so I have no right to complain - I couldn't find another dealer that would do any better.

It is basically a way for the dealership to jack up the price a small amount and sneak it in under the radar screen to make it seem like a "mandatory fee" or something to do with tax/title/license (which are usually paid for separately). Like "2nd stickers" this tactic is gaining favor - most dealers are getting squeezed pretty hard by savy consumers armed with lots of data, so they are developing new tactics to try and keep their margins intact. And notwithstanding the markups, the margins on Minis are actually pretty slim even at MSRP (less than 10% with no holdback).

It's all negotiatble, but our negotiating room on the MCS is typically very limited, but if you're willing to walk from the deal over the fee, then go for it.

- Mark

[scooterboy]

MINI of Peabody (MA) charged me MSRP + $125 and told me that right up front. If I didn't think the car was worth it I wouldn't have bought it (and I wouldn't be here).

[CurtP]

I've bought two MCS's from Checkered Flag, and paid the processing fee both times. I've been told by someone I trust that even the employees pay the fees on the MINI. CF has put up notices what the fees cover (although I'm skeptical, I believe it's straight ADP; additional dealer profit), but they do throw in a few things like lifetime state inpsections (which is $15 annually) and some other things that I don't remember off the top of my head.

I would have gone to another dealership to avoid paying the fee, but it ended up being worth the extra to avoid the hassle - I haven't heard good things about the MINI dealership in Richmond, and I didn't feel like diving much further. Plus I'm very happy with the way my SA has handled getting me into both cars - I hope the fee at least puts some extra $$$ in his pockets.

Before the MINI, I have never caved in to paying processing fees - ever. AND I always get something free out of the deal - usually floormats and a tank of gas. I didn't get anything "extra" with the MCS; a bit disappointing, but I'm still enjoying the car. No need to let a couple hundred dollars spoil the fun of having the car IMO.

[Farley]

Before purchasing my MC I emailed the three dealerships in the DC area and asked if they charged anything over MSRP. Towson said MSRP, Tate didnt respond, and Sterling said MSRP + floormats for $95. Since Sterling was closest and they weren't overcharging on floormats I went with them. When I ordered my mini at the dealership they then added in the $200 processing fee. I mentioned to the MA that I had emailed ahead of time and they only said MSRP + floormats, but he said it was standard. This is my first time purchasing car so I feel a bit naive now that I read not everyone pays this.

After reading everyone's posts I sent an email to the dealership commenting that although I would still follow through with my order, I was disappointed in the honesty of the dealership. They hid the processing fee to get me in the door. I asked them to rectify the situation in order to restore my faith in the dealership so I would bring it there for post production enhancements and service. We'll see how they respond!