Documentary Fee Increase 2025: Your Questions Answered
The Consumer Price Index (CPI) was announced on January 15, 2025, increasing the maximum documentary
fee from $464 to $477 if dealers perform on-line registrations with an online provider and from $387 to $398 for
processing titlework manually. The increase is effective immediately.
Each year, the documentary fee will continue to be adjusted annually in accordance with the Consumer Price
Index. See PAA News Bulletin No. 24 (12/27/19).
Please review the following information carefully to ensure your dealership is implementing the documentary fee in
compliance with the law.
Is the documentary fee a state imposed fee?
No. Documentary fees are not state fees and are permissible to be charged but not required by law.
Is the documentary fee negotiable between the dealer and customer?
Yes. The documentary fee is negotiable and should not be preprinted on any forms.
Can a dealer still charge the online registration fee?
A dealer can charge an online registration fee (no markup allowed) but not the online dealer fee. The online registration fee is the actual amount charged to the dealer by the online provider.
This fee must be separately itemized from the documentary fee. Since 2008 dealers who perform online registrations
are able to charge a higher documentary fee that encompasses the online dealer fee previously charged.
What if a dealer charges the maximum documentary fee amount for an electronic transaction but ultimately
process the titlework manually?
The dealership will be required to refund the customer the difference between the documentary fee amount charged to the customer for the electronic transaction and the amount that should have been charged for the manual transaction.
Also, if the dealer charged an online registration fee, that amount would also need to be refunded to the customer.
If a licensed dealer that has an Agent Contract with PennDOT processes the vehicle title and registration manually (using paper forms) and then sends the paperwork to an online agent/messenger to process the paperwork electronically.
What is the maximum documentary fee that the dealer can charge the customer?
The maximum documentary fee that a dealer could charge a customer in this scenario is $398. If the online agent/messenger charges the dealer a Messenger Fee, the actual amount of that fee (no markup allowed) can be separately itemized and charged to the customer.
Does the documentary fee need to be disclosed on a sign in the dealership?
Yes. The documentary fee charged by the dealership must be disclosed on a sign
conspicuously posted in the dealership.
How to Answer the Customer’s Question: What is the Documentary Fee?
The documentary fee is not a state mandated fee. The documentary fee was formally established in Pennsylvania state law to provide for the costs incurred by licensed dealers when:
The Pennsylvania Automotive Association (PAA) has created documents for dealerships to use to explain what the documentary fee is to employees and to customers.
This optional information document can be used by dealerships to ensure a unified message regarding what the documentary fee is and the various licensing and compliance regulations it covers.
These materials are available under the Members Only section of the PAA website, www.paa.org.
PAA’s Schedule of Fees Poster has spaces designed for you to enter your dealership’s Documentary Fees. Current Posters will be updated in July when PennDOT fees are adjusted. The poster is available for purchase online at:
https://www.paadps.com/mvscheduleoffeesposter.aspx