Toyota TDA fee legit or not?

Dealers ever wave part or all of it? I’ve read conflicting reports. Looking at a 2017 highlander se. Thank you in advance for your help.

Just negotiate the best selling price or gross cap cost. Why bother with invoice + TDA negotiations?

We never charged for TDA when I worked at Toyota. Unless they’re giving you a phenomenal price that no one else can come close to, don’t pay it.

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The question wasn’t if I should worry about it. Or seeking advice on what to worry about. And it’s because that helps me determine how low I can reasonably negotiate down until they are willing to walk away from the deal. If TDA is a bs fee then it’s something that I can use to get them down. And why would you not want to know exactly what the dealer will and won’t profit from?

Because you will never know their true cost. Without knowing cost, by definition, you cannot know profit.

Also, the point at which they will walk away is going to vary by dealer. Based on whether they are high volume or high margin dealers, what their sales targets are and how close they are, what their volume incentives are from Toyota, etc. You also don’t know which dealer assumes he can jack up the MF to make up for his ‘loss on this sale’

Thank you I understand all of that. It was a simple question about the tda fee . It’s a significant piece of that exact puzzle at over $700. I’d suggest not replying to questions unless you have an answer for that question, or something to contribute towards solving the question. Thank you.

Thanks for the reply @Falcon01 I’ve gotten them to Invoice minus holdback MF .00133 but they have this TDA fee of $700 that they say is something they have to pay directly to Toyota and dont profit from. But I’ve read varying things about it.

If $700 is a deal-killer have them take it off the sales price or split the difference off the sales price. Don’t try to negotiate something the dealer won’t negotiate on. Simple as that.