Finding a car advertised for $25,000, going to the dealership, and discovering that the actual price increases by several hundred or even thousands of dollars due to added charges can be more than just an unpleasant surprise.
The Federal Trade Commission of the United States (FTC) has just published a specific guide on pricing transparency in the automotive industry making it clear what its criteria are: the advertised price must reflect what any consumer can actually pay to purchase the vehicle, except for certain fees that the government requires the buyer to pay directly.
The clarification is of particular interest to buyers in Florida, where state legislation also establishes its own rules regarding the prices advertised by dealerships.
A $40,000 car plus a mandatory fee of $85 should not be advertised at $40,000
The FTC uses a very simple example to explain the principle.
If a dealership advertises a vehicle for $40,000 but requires any buyer to pay an additional mandatory documentation fee of $85, the agency states that the advertised price should be $40,085.
That charge cannot appear only at the end of the negotiation as an unavoidable additional amount.
The FTC states that any mandatory fee imposed by the dealer must be included in the announced price. The exception is fees that a federal, state, or local authority directly charges to the consumer.
This means that the name the dealer assigns to the charge is not what matters. If it is a mandatory fee required to purchase the vehicle, the FTC's position is that it should be included in the price that the customer sees initially.
In Florida, the protection is even more explicit
For those buying a vehicle in Miami, Hialeah, Orlando, Tampa, or any other city in Florida, there is also a very specific state rule.
The Florida statute 501.976 considers it an unfair or deceptive practice to advertise the price of a vehicle without including the fees that the customer must pay.
The regulation explicitly mentions concepts such as transport or destination charges, dealership preparation, and fees for treatments like anti-corrosion or underbody protection of the vehicle.
In contrast, state or local taxes, tuition, registration, and title fees may be excluded from the advertised price.
Therefore, seeing taxes or registration fees at the end of a transaction does not necessarily imply that the advertisement was misleading. The issue arises when the dealer later adds their own mandatory fees that were not included in the price used to attract the buyer.
Conditional discounts cannot become the main price either
Another important point of the new guide concerns promotions that are only available to certain customers.
For example, a dealership may offer a $1,000 discount to military personnel, police officers, firefighters, or other groups, but the FTC states that the price that any consumer can pay must remain the most prominent in the advertisement.
The same applies to a discount that is contingent on financing the vehicle through the dealership itself.
A car that costs $39,999 for any buyer should not primarily be presented as one costing $37,999 simply because there is a $2,000 discount available for those using a specific financing option.
The discount may be present, but its conditions must be clear, and the price accessible to any buyer should be the predominant factor.
Internet, Facebook, Instagram, and even a message from the seller
The FTC's warning is not limited to print advertisements or signs posted at dealerships.
The agency states that the same principles of transparency apply to websites, third-party platforms, social media, phone calls, and messages sent by dealership employees.
On websites where a price is listed, the amount that any consumer can actually pay should be the most prominent figure.
This is particularly relevant for buyers who find a vehicle online, travel to the dealership for that price, and discover upon arrival that they can only obtain it if they qualify for several stacked promotions.
Optional extras should remain optional
Paint protection, maintenance packages, accessories, extended warranties, service contracts, GAP insurance, and other products can significantly increase the final cost of a vehicle.
The dealer may offer them, but the FTC warns that they should not mislead the consumer into believing that an optional product is mandatory, charge for products that the buyer did not accept, or state that an installed accessory cannot be removed in order to force payment for it.
The agency itself recommends carefully reviewing the final contract and ensuring that only the additional products explicitly accepted by the buyer are included.
CiberCuba had already addressed this issue in an article about the advice of a Cuban in the United States on how to buy a new car without falling into traps, which warned about warranties, insurance, and other extras that can significantly increase financing costs.
What if the vehicle from the ad is no longer at the dealership?
The FTC also addresses another situation familiar to many buyers: arriving at the dealership only to find that the car they saw online has already been sold.
Advertising a vehicle that is on its way to the dealership or stored elsewhere is not necessarily deceptive, but the advertisement must clearly indicate that the car is not physically present at the establishment.
What the agency finds problematic is advertising vehicles that have already been sold or are actually unavailable with the aim of enticing consumers and then trying to sell them a more expensive model.
This is not a new federal law regarding dealers
The FTC's September clarification should not be confused with the so-called CARS Rule approved years ago.
That regulation was annulled by a federal court, and the FTC formally withdrew it in February 2026.
The new questions and answers published by the agency serve as a guide for FTC staff regarding the application of the FTC Act. The document itself warns that it reflects the position of its staff and is not binding for the public or for the Commission in all specific cases.
However, the agency emphasizes that the general obligation not to use misleading advertising is not new and has been in effect for decades.
Additionally, the FTC has continued to take action against dealerships. In March, it sent warnings to 97 dealer groups across the United States to review their advertising and pricing practices. In August, the FTC and Connecticut reached a $4 million settlement in a case involving unauthorized charges and misleading prices in vehicle sales.
What to do before signing
To avoid surprises, the buyer can take a screenshot of the original ad showing the price, the vehicle, and, when possible, the VIN; request the total price in writing before traveling to the dealership; and review every line of the contract before signing it.
It is also advisable to explicitly ask which fees are mandatory, which correspond to taxes or government rates, and which are optional services offered by the dealer.
The buyer can also request the so-called out-the-door price: the final amount they will need to pay, including taxes, title, registration, and any other applicable fees.
If the price changes unexpectedly, it is advisable to compare the advertisement with the final purchase sheet and ask the dealer to explain each difference in writing.
The FTC allows reporting potential deceptive practices through ReportFraud.ftc.gov. Residents of Florida can also file a complaint with the Florida Attorney General's Office.
The practical conclusion is simple: a particularly attractive price may come with conditions, but the unavoidable fees imposed by the dealer should not come as a surprise when the buyer is already sitting in front of the contract.
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