What is destination charge

Destination charge is a term every car buyer should know. Bankrate explains what it is. A destination charge, also called a delivery fee, freight fee or transportation fee, is the fee that an auto manufacturer charges the customer to deliver the vehicle from the factory to the dealership.

The dealer does not include this in the ticket price. In most cases, the destination fee is a flat fee that the manufacturer arrives at by calculating the average cost for shipping a vehicle, based on both the farthest and closest dealership for the manufacturing plant. The destination charge covers only the cost of shipping the vehicle within the United States. There are some exceptions to destination charges, specifically when a customer buys from an overseas manufacturer such as BMW, Volvo or another imported brand.

As destination charges are charged per shipment, by planning and scheduling your shipments ahead wisely and consolidating various small shipments you can decrease your total of this cost. Speak to your freight forwarder about freight consolidation and offshore consolidation to reduce them.

Destination charges are generally included in the invoice. But within the invoice, they may appear grouped or ungrouped. Also in a quote, charges may be added up in one lump sum or broken down in single fees. If you would like to better understand your invoice or quote, seek the assistance of your freight forwarder.

They should answer all your questions so you can plan your logistics solutions schedule and costs. To be realistic, since these charges are not actual freight charges raised from the freight forwarder but from the port of destination, it is highly unlikely that destination charges are negotiable.

Every freight forwarder has their cost and if someone were to decrease this charge you can expect this to be included in another item. Again, pay attention to the total cost of your freight. Since they are raised by every port, destination charges are legitimate. But since every freight forwarder is charged by the shipping line or airline they will be part of the overall costs.

Accept payments. Create a charge. Direct charges. Destination charges. Separate charges and transfers. Create a payments page. Add payment methods. Set statement descriptors.

Create subscriptions. Create invoices. Debit connected accounts. Pay out. Set bank and debit card payouts. Bank accounts. Manage payout schedule. Manual payouts. Payout reversals. Instant Payouts.

Cross-border payouts. Manage funds. Add money to your platform balance. Account balance. Handle other currencies. Manage accounts. Luckily, there are some fees you can avoid or reduce. Also, some states set a maximum for fees the dealer can charge. Dealers sometimes include additional costs around the title and registration. Though you have to pay for the title and registration, you should ask to have any documentation or conveyance charges reduced, Consumer Reports suggests.

You should definitely avoid paying for other fees.