Prep fee

[SteveJ.]

Depending on the state(province) dealer fees are not taxable. It would, I think, behoove purchasers in those states to build up the fees and drop the purchase price.

[Podivin]

Originally Posted by dcole1921

Hello!

I’m a new member and live in Colorado. We just purchased a 2020 Forest River Rockwood 2280BHESP. We are having some pretty big issues with the dealer. Can anyone please tell me what the dealer prep & handling fee is for?

Thanks!
Debbie

It could mean anything, likely it's nothing much.
What it does NOT mean, which I think is what's important to you right now, is that they in any way fully tested the RV and/or verified that everything was in working order before you drove away with it.

[rarebear.nm]

Originally Posted by dcole1921

Hello!

I’m a new member and live in Colorado. We just purchased a 2020 Forest River Rockwood 2280BHESP. We are having some pretty big issues with the dealer. Can anyone please tell me what the dealer prep & handling fee is for?

Thanks!
Debbie

I think we have explained dealer & prep fees pretty well. Not sure if you have some follow questions as eluded to in "big issues"?

Did you do a detailed walk though with the dealer prior to signing any papers? Some dealers seem to vanish as soon as the papers are signed and got your money. Hope you are not in that boat....

Keep in mind most RVs arrive with some defects that "should" be taken care of by the dealers before you sign.

Have you taken possession of the unit?

Who is the dealer?

[Spdracr39]

Always negotiate the out the door price. Tag on whatever fees you want but know that this is the price I'm comparing to your competition.

[rarebear.nm]

Years ago I paid cash for a used truck at a dealer. We all signed a "drive-off-lot" price. That's what I paid. A month latter they call say said they "forgot" to add tax&license to the deal. I said it was a signed "drive-off-lot" price and they cried some and that was I heard from them.

[Alan_Hepburn]

Originally Posted by rodekyll

I used to work at a VW dealership and it meant getting the car from "shipping" condition to "delivery" condition. That included filling fluids (they were shipped without oil or engine coolant),...

I find it hard to believe that a car would be shipped without oil and coolant - how do they get the car off the assembly line, onto the transporter, and then off the transporter, and in to the service bay to do the work, without starting the engine? The farther the dealer is from the factory, the more times the engine has to be started to move the car around...

[beenthere]

well our 2nd class a was from dealer that prep fee cost 2g and consisted of testing all systems and fixing.. if just couple hundred means nothing cept money for party..

[rodekyll]

Originally Posted by Alan_Hepburn

I find it hard to believe that a car would be shipped without oil and coolant - how do they get the car off the assembly line, onto the transporter, and then off the transporter, and in to the service bay to do the work, without starting the engine? The farther the dealer is from the factory, the more times the engine has to be started to move the car around...

I don't blame you for being skeptical. It seems implausible, but there were three main reasons for it. Lets all buckle up and point the wayback machine to 1974:

First, VW's came via ship and rail from Germany. The early water cooled units that shipped came full of fluids and with the batteries connected. For whatever reason, the antifreeze gelled in the Betan-type aluminum radiators during shipment. It made for an incredibly difficult cleanup problem. VW solved it by draining the coolant and disconnecting the batteries for shipment.

Reason two was that there is a certain amount of "work" that needed to be performed by the US workforce in order for offshore auto mfgrs to avoid certain taxes, tariffs -- whatever the penalties were. It paid VW to ship their cars more or less "incomplete" and do some "final assembly" in the USA.

Third -- and this is really going to make your brain hurt -- early production units were shipped vertically to save space. GM did this in the 70's, too., most notably with a special version of the Vega, that was designed with tank/pan baffles and check valves to go vertical without a fluid disaster. VW borrowed the concept, but not the design modifications. Instead they drained the fluids.

I haven't kept track, but I don't think they ship vertically anymore.

The GM portion of the vertical shipment story can be found by searching "vert-a-pac." I've not taken the time to drill deep enough to find the VW connection.

Of course this portion of prep happened before the vehicles were distributed to the dealerships. But it was still part of the process of going from "shippable" to "deliverable."

[dcole1921]

Thank you everyone! I originally asked because we bought a 2020 Forest River Rockwood 2280BHESP and were charged $499 for prep and handling. When we got it home, my husband gave it an in depth look over. A bunch of stuff was not done to ensure it was ready to use. The most dangerous was the stove. One burner wasn’t burning correctly. He took it apart and found that one of the gas lines was not connected. This could have been extremely dangerous for anyone who didn’t know to look.

We’ve since been in contact with the dealer and the GM is making it right.

[rarebear.nm]

Good things you checked things before disaster hit.

Some of the better RV dealers encourage new owners to spend a night or two in the dealer's lot with at least partial hookups. They will then spend time answering questions in the morning and/or fixing items you discover while on their lot.

Short of this service many on this forum encourage you to spend several hours to go through every thing on the unit prior to signing and/or departure. A full check list may be like 200+ items.

This does not preclude things from breaking while bouncing down the road.

[timjet]

A couple of people have mentioned the out the door pricing. It's the only way you will get a true price of whatever you are buying. Now it will take some research on your part to determine what a fair out the door price is, like you must include taxes, title, etc. A google search for required fee's in your state will get you up to speed. Once you've determined what a fair out the door price is your job now is to impress on the salesman that is the price you will pay and not a penny more. Before you sign any document make darn sure you are paying what you agreed to. The dealer may try to fool you by saying some fee's are mandatory, but if you've done your research you'll know what is mandatory or not. A mandatory fee added by the dealer is not mandatory.


There are a lot of RV's and cars for sale, your job is negotiate a fair price and make sure the dealer sticks to it.

[doc]

Same as the "docking fee" that the BMW dealer I worked for charged for cars made in Spartanburg SC. There is no ocean or docks there. When this was pointed out to them, they said it was for booking the title and paperwork in the office.
Just added on $$$ to the 'great deal' they just gave you.

[Waiter21]

I have a "Customer Prep Fee" that covers the cost of me performing evaluations and searches, pre purchase inspections, and my time sitting in a dealers showroom while they delay the transaction.

Coincidentally, this fee comes out exactly the same as the Dealer Prep Fee and other fees the dealer likes to stick on.

I'll negotiate the total price, I will not negotiate a price, then have all kinds of fees loaded in afterwards.

DO NOT become emotionally involved with the vehicle while negotiating. be prepared to walk, AND WALK.. I usually find the dealer is willing to meet my price as I am exiting out the showroom.

[momdoc]

Welcome to the forum.

It is just a money grab and I would be taking my money elsewhere.

You are joining a good group of folks here with good info to share. Read the various threads here and ask questions as they come up or add info if you can.

Good luck and enjoy the adventure!