[N/A] Bizzare DMV Fees

[ARFlyer]

Got a new set of wheels a few weeks ago and finally got the car and paperwork in hand. On researching on "How to Register a Car for Dummies," I found out Arkansas just launched an online DMV service. I excitedly input all my data and received the final bill of $2200ish owed. So I whip out my card, input the card, click next, and then saw the estimated charge amount of $2300ish.

WTF??!!?

Arkansas is charging roughly $100 for the convenience of not waiting in line at the DMV! Uh, heck naw I'll happily take a few hours off work this week and stand in line to argue with them.

MY last encounter was renewing my DL earlier this year, and they wouldn't accept my paperwork to issue a REAL ID. Then had the nerve to try to upsell the benefits of a REAL ID from a $10 renewal. They couldn't believe I said no thanks and walked out with my standard DL.

 

[John221us]

Well, you have until 2020 for the Real ID thing, but you should probably have just taken care of it then. It will be a pain traveling commercial airlines without after that (I guess you can use a passport). The Real ID is a federal thing that the states are being forced to comply with.

 

[Kenny Phillips]

Got a new set of wheels a few weeks ago and finally got the car and paperwork in hand. On researching on "How to Register a Car for Dummies," I found out Arkansas just launched an online DMV service. I excitedly input all my data and received the final bill of $2200ish owed. So I whip out my card, input the card, click next, and then saw the estimated charge amount of $2300ish.

WTF??!!?

Arkansas is charging roughly $100 for the convenience of not waiting in line at the DMV! Uh, heck naw I'll happily take a few hours off work this week and stand in line to argue with them.

MY last encounter was renewing my DL earlier this year, and they wouldn't accept my paperwork to issue a REAL ID. Then had the nerve to try to upsell the benefits of a REAL ID from a $10 renewal. They couldn't believe I said no thanks and walked out with my standard DL.

You say "ish" for the amounts. $2299 and $2301 both fit the bill. Was it really $100? Besides, around here, the walk-in deputy registrars tack on their fees—for every single service.

 

[weilke]

Sounds like your typical ''convenience fee' to cover the 2.5% expense to the vendor for running it as a CC transaction.

 

[JOhnH]

That was going to be my guess. When I pay my property taxes on line, I have the option of a credit card (~$65.00 fee) or E-Check ($1.50 fee).

 

[NJP_MAN]

Did you buy a lamborghini? I am a bit surprised by a DMV bill of $2,200.

 

[flyingron]

I presume it included the sales tax which the state collects at the same time as the registration (the fee for registration tops out at $30).
He also has to show that he's taken car of the county property taxes.

 

[ARFlyer]

Sounds like your typical ''convenience fee' to cover the 2.5% expense to the vendor for running it as a CC transaction.

It's still ridiculous.

Did you buy a lamborghini? I am a bit surprised by a DMV bill of $2,200.

I presume it included the sales tax which the state collects at the same time as the registration (the fee for registration tops out at $30).
He also has to show that he's taken car of the county property taxes.

It's State Tax of 6.5%, Pre-Property Tax for the county of $25, Speciality Plates, Plate Renewal, Expired Tag Fine, and Plate Transfer. The car was 30k.

 

[Let'sgoflying!]

If you didn’t pay a surprise hazardous waste fee or a resort fee, you aren’t trying.

 

[weilke]

It's still ridiculous.

By state law, the DMV is required to collect 6.5% sales tax. Not 6.5%- expenses.
If you registered at the DMV office, you would probably be charged the same fee for a CC transaction. It's not a fee for the convenience of doing it online, it's a fee to cover your cash-back or airline miles.

 

[Unit74]

Got a new set of wheels a few weeks ago and finally got the car and paperwork in hand. On researching on "How to Register a Car for Dummies," I found out Arkansas just launched an online DMV service. I excitedly input all my data and received the final bill of $2200ish owed. So I whip out my card, input the card, click next, and then saw the estimated charge amount of $2300ish.

WTF??!!?

Arkansas is charging roughly $100 for the convenience of not waiting in line at the DMV! Uh, heck naw I'll happily take a few hours off work this week and stand in line to argue with them.

MY last encounter was renewing my DL earlier this year, and they wouldn't accept my paperwork to issue a REAL ID. Then had the nerve to try to upsell the benefits of a REAL ID from a $10 renewal. They couldn't believe I said no thanks and walked out with my standard DL.

A pilot that can't fly w/o a Real ID after 2020? I just find that ironic. Of course, there are other IDs that can be used, but I find that hilarious that TSA won't accept your state ID!

 

[NJP_MAN]

It's State Tax of 6.5%, Pre-Property Tax for the county of $25, Speciality Plates, Plate Renewal, Expired Tag Fine, and Plate Transfer. The car was 30k.

I guess that's probably not the worst rate out there. In AZ its 5.6%, so $1680 plus the $25 for specialty plates on a $30,000 vehicle

 

[flyingron]

I refuse to show my driver's license to the TSA. I show my TWIC card. They always accept it. I've only ever had one guy acknowledge what it was.

 

[Tantalum]

Arkansas is charging roughly $100 for the convenience of not waiting in line at the DMV

The stupidest part is that doing it online should be cheaper since if you are saving on staffing and other overhead costs from having to do it in person. Imagine if the gov had to actually operate like a private business and compete for you?

 

[flyingron]

The stupidest part is that doing it online should be cheaper since if you are saving on staffing and other overhead costs from having to do it in person. Imagine if the gov had to actually operate like a private business and compete for you?

Oh, you mean like an airline. Where they collude to deliver the minimum service while extracting the most money from the customer?

 

[ARFlyer]

The stupidest part is that doing it online should be cheaper since if you are saving on staffing and other overhead costs from having to do it in person. Imagine if the gov had to actually operate like a private business and compete for you?

Yep! Let's make it more annoying to hand over your required tax!

 

[frfly172]

Paying with a credit card makes it easier ,for all involved. They get their money,and you don’t stand in line. I don’t mind paying the credit card fee,it’s the arbitrary fee that bothers me.

 

[Gerhardt]

The stupidest part is that doing it online should be cheaper since if you are saving on staffing and other overhead costs from having to do it in person. Imagine if the gov had to actually operate like a private business and compete for you?

You'd think.

Around here, you even have to pay a convenience fee if you go to the office to renew your license, tags, etc. They've subcontracted all the offices out to private companies.

It should be illegal for the government to charge you for basic services that are essentially required. They're already funded via tax revenue.

With that said, gone are the days of spending 3, 4, 5 hours in line. Now it's in-and-out in a matter of minutes. Which is why I never, ever complain in person when paying the $7.50 convenience fee. But to you guys, I'll biatch all day long.

 

[Tantalum]

I don’t mind paying the credit card fee

If it is a small fee to cover the cost of the credit card processor, fine.. but they're still saving on staffing and overhead with the credit card, and I agree, the $100 arbitrary fee is the real kicker here

It should be illegal for the government to charge you for basic services that are essentially required.

..and like you said, already plenty funded through other taxes. When politicians can collect two or three full time salaries and pensions from various gov jobs that's how we know we have a problem. My long standing idea has been, pay gov employees at a rate equal to the mode income in your jurisdiction... don't like making $55K / yr? Then do something about it to help the economy and boost up your constituents. The gov shouldn't be in the business of making money. But I digress

 

[Tantalum]

Oh, you mean like an airline. Where they collude to deliver the minimum service while extracting the most money from the customer?

But the airlines do compete for you, and collusion technically *is* illegal. They get away with it for different reasons. The typical buyer goes to Kayak / Priceline / Hotwire / name your pick / and they buy the cheapest fair they can find.. unfortunately the "low upfront cost, tack these fees on later" model tends to work because humans, as a whole, tend to be short sighted.. if someone where to put an all inclusive good legroom no other fees price of $500 on Orbitz people would blow past it to the $179 crap.. when at the end of the day, after the fees, that $179 ticket may just end up being right around that $500 mark after all is said and done... the difference? The $179 airline just got your money, while the $500 one wonders why they're going of business "but look, food, no check bag fees, no other fees and hassles, better legroom, etc." <- airlines have tried that in the past but it generally doesn't capture enough of the market to be viable

It is too bad really. I am not disagreeing with you.. just that the premises are different. The gov takes from you because they can under threat of imprisonment. The airlines do it because most people have shown that they're choosing to do it