Automakers Boost Profits by $26 Billion Annually with Rising Destination Fees

These fees, which cover delivery costs from factory to dealership, are non-negotiable and not advertised in the base price, leading consumer advocates to believe they are a way for automakers to boost profits without officially raising prices. Automakers cite increased logistics costs and the growing popularity of larger vehicles like trucks and SUVs as reasons for the rise.

While the fees themselves cannot be negotiated, Consumer Reports advises buyers to focus on negotiating the total "out the door" price to offset these rising charges.