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California bill could raise car dealer fee cap to $500

by the El Reportero staff

California lawmakers are considering a bill that would significantly increase the amount car dealers can charge to process vehicle sales documents.

Currently capped at $85, the fee could jump to $500 under Senate Bill 791, which is set for a vote in the full state Senate. The bill, authored by Sen. Dave Cortese (D-San Jose), would allow dealers to charge up to 1 percent of a vehicle’s purchase price, with a $500 maximum.

Supporters, including the California New Car Dealers Association, argue that dealers deserve compensation for the administrative burden of processing sales. However, consumer advocates say the bill would hurt buyers.

Rosemary Shahan, president of Consumers for Auto Reliability and Safety, called it a “huge giveaway” to large corporations like Tesla and CarMax. “Some dealers, like Carvana, don’t charge these fees at all,” she said.

Shahan noted that California currently has one of the most consumer-friendly caps in the nation. If the bill passes, it would reverse that trend and make buying a car more expensive for residents.

Cortese did not respond to a request for comment by deadline, though he has previously stated the bill aims to cover actual dealer costs.

Scam warnings issued for Medicare Fraud Prevention Week

Medicare loses $60 billion to $80 billion a year to fraud and this year, for Medicare Fraud Prevention Week, your local Senior Medicare Patrol has good advice on how to spot a con.

During Medicare Fraud Prevention Week, experts are warning seniors to stay alert for scams that cost the program up to $80 billion each year.

Karen Joy Fletcher with California Health Advocates said many scams begin with fake calls claiming to verify Medicare numbers. “They want to steal your information to bill for services you’ll never get,” she said.

Fletcher also warned of fraud involving unsolicited medical equipment or people offering free services in parking lots. These are often schemes to bill Medicare fraudulently.

One particularly harmful scam involves enrolling people into hospice care without consent. Once in hospice, Medicare may limit access to needed surgeries or treatments. MyMedicare.gov.

To guard against fraud, Fletcher urged people to regularly check their Medicare statements at MyMedicare.gov. “It’s the best way to catch suspicious charges early,” she said.

Caregivers should also monitor for unexpected deliveries or medical claims. If something doesn’t look right, contact the local Senior Medicare Patrol for help.

“Awareness is the best defense,” Fletcher said. “These scams are preventable if we stay

 

 

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