Open up on hid­den costs

Herald Sun - Motoring - - The Week -

BY VIRTUE of the job­de­scrip­tion at cars­Guide, you’d be right in think­ing we get plenty of time to spend in many new cars.

It’s part of the job, driv­ing, com­par­ing and ul­ti­mately writ­ing about what’s out there.

But when it comes to buy­ing a new car, we’re in the same boat as most con­sumers.

I’ve just spent more than six months build­ing a short­list of pre­ferred cars I’d like to have in the garage and was as­ton­ished by the plain in­dif­fer­ence shown by some deal­ers to a gen­uine in­quiry.

But that is not the real beef. The hid­den costs are some­thing of a reve­la­tion.

Apart from the ex­pected rego and stamp-duty fees, one dealer wanted to charge $2995 for dealer de­liv­ery on a $40,000 car. Ex­pen­sive for a quick wash and fit­ting the rego plates.

When pressed, I was told it was ‘‘ne­go­tiable’’. By how much couldn’t be fath­omed. Nor could I get a break­down from an­other dealer of what you get for the money.

I un­der­stand there are costs in­volved in pre­par­ing a new ve­hi­cle, but it’s still a grey area in the buy­ing process.

When Denny Mooney, the for­mer GM-Holden pres­i­dent and chair­man, ar­rived here to take up his post in 2003 he was amazed to dis­cover the dealer de­liv­ery fee, an im­post he said was pe­cu­liar to the Aus­tralian mar­ket.

At the time he said that if he were a dealer he’d scrap it, fig­ur­ing that an in­crease in show­room traf­fic and cor­re­spond­ing sales would more than com­pen­sate.

Rort may be too strong a word, but it hurts like an in­ter­est ra­terise and leaves a sour taste for the brand.

I ac­cept that deal­ers are in busi­ness to make money but con­sumers, me in­cluded, would wel­come greater trans­parency.

Dealer de­liv­ery charges: grey area in the buy­ing process.

Newspapers in English

Newspapers from Australia

© PressReader. All rights reserved.