On July 15, the Maryland Attorney General’s Office filed charges against Darcars Honda in Bowie for alleged deceptive sales practices. The office claims the Honda dealer violates the state’s Consumer Protection Act by misleading customers about car prices and fees. Here’s exactly what the state charged the dealership with doing, plus how to avoid similar hidden fees.

Allegedly, Darcars Honda posts lower prices online than what customers actually pay. Prosecutors say the Honda dealer adds a two percent fee on top of each car’s value, calling it a “sales commission.” The kicker? The sales team doesn’t even see that money. Instead, the company reportedly uses it to offset its own commission costs.

There’s more. Darcars Honda reportedly hits buyers with a $895 fee for “preinstalled equipment” that’s supposed to be included in the vehicle’s price. It calls the fee a “Honda Value Package” and claims it’s optional, but the state disagrees. Per WMAR-2 News, car buyers often find these “extras” already on the vehicle without prior notice.

To top it off, the Honda dealer allegedly fails to disclose a mandatory $500 processing fee upfront. Customers only find out about it later, which adds to their frustration.

A hearing is scheduled from October 29 to November 8. Per the July 15 filing, the state wants restitution for affected customers and an injunction to stop Darcars’ deceptive practices.

In response, the dealership says it’s cooperated fully with the Attorney General and believes its practices are lawful. The company claims the charges are “baseless.”

Of course, this individual dealership’s practices aren’t a reflection of Honda as a brand.

How to avoid hidden dealership fees

During my time working at a local shop, I was a licensed used car salesperson. We never charged hidden fees but heard of them at other lots. This is a really unfortunate (and unnecessary) practice since these fees really add up. They can shift a vehicle from being in-budget to a wholly uncomfortable experience. Before you fully commit to a new or used car purchase, you can try the following:

• Look up dealership reviews for “red flags”
• Know the average price of the car you want and avoid dealer offers that appear higher
• Bring a knowledgeable “support person” with you to the sales floor
• Request a detailed list of all fees before signing anything
• Question any “optional” packages or equipment and decide if you really need or want them
• Don’t be afraid to negotiate fees and add-ons
• Ensure all terms, prices, and fees are in writing somewhere in the contract