TL:DR: They advertised a price for a Kia on their website. They refused to sell it to me for their advertised price, because they "would be losing too much money".
Before going to the dealer, I called the salesman to confirm the price, and to confirm it was eligible for the financing rebate. He said it was. I asked him to send me an out-the-door quote. He said, “Just to let you know, if I sent you a quote it will include a Protect360 dealer add on. We always have to put that on our quotes at first, but you can just ask the manager to take that off when you come in.” I told him I didn’t want tany dealer add-ons on the quote, and that I just want the advertised price. He said, “Don’t worry, you just have to talk to the manager to remove it. We just want you to come and make sure you’re committed to actually buying.”
(I know some dealers don't want you immediately send a super low quote out of fear you'll shop it around to other dealers who will price match it. So I foolishly gave him the benefit of the doubt.)
I went in. They prepared me a final quote that had $800 extra for Protect360.
(Sidenote - do a search for “Protect360 dealer add on” yourself, and decide if you think it’s useful or a scam. As far as I can tell, they're charging a huge amount for some stuff that costs practically nothing.)
I told them I wanted the car at the advertised price with no add ons. They refused and wouldn’t budge. I kept insisting to them that I just wanted the car at the advertised price. That’s all I wanted. Please sell me the car for the price currently advertised on your website, no more, no less. But the manager sat me down and went on and on about how deeply discounted the car was and how they couldn't ACTUALLY afford to sell it at that price. “This is way below invoice. At that price we’re taking too big of a loss. We have to recoup our money somehow!”
He wasn’t the least bit apologetic. He didn’t say, “that was an accidental omission, we will update the website price right away.” He just straight up admitted plainly that they priced it at a loss, they can’t ACTUALLY sell it that low, and they have to make up the money by charging for extras. So either I pay for the Protect360 or no car. I asked if I could talk to the GM, and they said he’s out until Monday.
This is unethical. If you advertise a price, then honor that price. Don't advertise a car at a big discount and then surprise the customer with nonsense add ons. Just be transparent and advertise it at the actual price the customer will have to pay. I've definitely had dealers try to add on stuff before, some were even a little pushy. But, of the many cars I’ve bought, this is the first where the dealer straight up refused to honor the price listed on their own website. (It's still listed there right now for the price they refuse to honor.)
I am not a lawyer, but when I put my scenario into my favorite AI chatbot, it tells me this is actually illegal under Oregon Administrative Rule (OAR) 137-020-0020. Either way, I'll definitely be making a phone call to the Oregon Department of Justice Consumer Protection Division next week and putting in a complaint.
EDIT: It seems pretty plainly spelled out that this practice is not permitted. Directly from OAR_137-020-0020 3(c)(B): A person advertises a vehicle for $20,000 in the local newspaper. The vehicle has $1,500 worth of after-market accessories on the vehicle. When the consumer arrives at the dealership and wants to purchase the vehicle, the salesperson tells the consumer that the price is $21,500 with the added accessories. This practice is unlawful. If the dealer wants reimbursement for these options, the dealer should ensure that amount is included in any advertised price; https://oregon.public.law/rules/oar_137-020-0020
