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Florida Dealer Pushing to Eliminate Dealer Fees

March 3, 2008

WEST PALM BEACH, Fla. — A Palm Beach County car dealer is on a mission to help Florida car buyers by making dealer fees a thing of the past, reported WPBF News 25.

Earl Stewart, who said his Toyota dealership in North Palm Beach doesn’t charge the fees, expects to state his case for outlawing the fees before a Senate financial committee next week.

His reasoning behind outlawing dealer fees is that they are one of many shady business practices. He told WPBF that dealerships shouldn’t make their profit by “tricking” customers.

Although 13 states already have laws in place to cap dealer fees, Stewart isn’t expecting the change to be an easy task in Florida. In fact, independent auto dealers have already made their case to Senate investigators that those fees are often their only means of profit in a transaction.

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Incentive Spending Creates Buyer's Market, Reports estimated that the average automotive manufacturer incentive in the U.S. was $2,435 per vehicle sold in February 2008, up $22, or 0.9 percent, from January 2008, and up $188, or 8.4 percent, from February 2007.