If a dealer charges a processing fee, what must be true?

Master the DMV Car Salesman Certification Test. Get ready for your exam with flashcards and multiple choice questions. Each question includes hints and explanations to boost your knowledge and confidence.

A processing fee charged by a dealer must be registered with the Motor Vehicle Dealer Board (MVDB). This requirement ensures transparency and compliance with state regulations governing vehicle sales. By registering the fee, dealers provide customers with clear disclosure about additional costs involved in the vehicle purchase process. This protects consumers and creates an accountability framework for dealers.

The other options do not align with established practices or legal requirements. For example, fees must be visible to customers on contracts and price lists for transparency, and they typically cannot be adjusted arbitrarily without clear communication to customers. This regulatory oversight helps promote fair and ethical business practices within the industry.

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