. Which County Has the Highest Tax? Therefore, you will be required to pay an additional 6.25% on top of the purchase price of the vehicle. Cook County, which consists of cities like Chicago, Calumet City, and Harvey, has the highest tax rate of 11.5%. Sales tax is another non-negotiable fee that comes with buying a car. Oakbrook Terrace, IL 60181 $7,500 rebate offered by the federal government, Vehicle is an estate gift to a surviving spouse. How much can the dealer charge for a document service fee? Enter your email to get early access to deals, You`ll also get my best tricks to help you. OAK BROOK, IL - Illinois car dealers will be allowed to charge a $169.27 documentary fee on the sale of all new and used vehicles in 2016. If you were looking for a particular model, color, or version of a vehicle, you might have to pay additional transportation fees to get it shipped to the dealer. Many dealers then try to charge an advertising fee so that you cover the cost of the advertising. Illinois Used Car Taxes and Fees menu down Auto down Home down Renters down Life Health For Agents Help Shop now Illinois Used Car Taxes and Fees Fast, Free Auto Insurance Quotes This amount will vary from state to state. Systematically charging one group but not another all males but no females, for instance could bring charges of profiling. (630) 495-2282. In California, the state with one of the lowest fees, you'll be charged no more than $85 for documentation fees. Standard tax, title and license fees charged on a new vehicle in Illinois are as follows: Sales Tax: 7.25% (additional county taxes may also apply) Title Fee: $150. What is Find the Best Car Price and Why is it Free? Join 180,000 other YAA members who are saving. Illinois Dealers Win Cut in New-Vehicle Lease Tax, Bankrate Predicts Auto Loan Interest Rates Will Rise, Many Near-, Non-Prime Credit Customers Confused About Auto Loan Process, 2023 Informa USA, Inc., All rights reserved, Porsches Propulsion Future Includes Hydrogen, Green Fuel, Autoline Daily 2023: Top Industry News for Jan. 13, Microsoft Introduces Solutions from Assembly Line to Metaverse, Lexus Dominates Auto TV Ad Impressions Chart With Three Spots, Autoline Daily 2023: Top Industry News for Jan. 12, More Juice? Car dealerships have added charges which are tacked on to the final bill. document.getElementById( "ak_js_2" ).setAttribute( "value", ( new Date() ).getTime() ); Get the latest trends and money-saving strategies, once a week. To collect doc fees we worked with one of our data providers, MarketCheck, to analyze thousands of car deals to determine our baseline doc fees. Yes, you dont have to pay sales tax on trade-ins in Illinois. Effective July 26, 2009, a dealer can charge up to $150. However, there may be a $15 fee. Get the latestCar Dealsas soon as they come out. In this video I explain what a "deale. The destination fee is a shipping fee the manufacturer charges to transport the vehicle to the dealer lot. For limited additional copies, call the CATA at (630) 495-2282. This cost can be as low as $80 and is probably worth it at that price. This field is for validation purposes and should be left unchanged. Its exciting to buy a new (or new for you) car, but its also far from cheap. Some states charge more on average for documentation fees, Additional transportation fees outside of the destination fee. /sites/all/themes/penton_subtheme_wardsauto/images/logos/footer.png. As of January 1st, 2022, Illinois removed the $10,000 cap on trade-ins for tax savings. As an example, if you are purchasing a new car for $30,000 with a $5,000 rebate, you will pay sales tax on the full $30,000 cost of the car. 11.1. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); Guides and tools for car buying, selling, and ownership, 3 months access to YAA's auto experts to help you get the best deal, Members-only discounts and savings for all things auto. Insurance rates are rising; get members-only pricing and save! The dealership provides the registration service for you, and the cost will depend on the vehicle's price. Here are the 10 states with the largest car dealer fees: states are better for purchasing vehicles in, Vehicle Title, Tax & Registration Costs By State. Sec. However, you're already paying the destination fee, which is to cover dealer expenses. Car dealer doc fees show up on EVERY car deal, and on this page weve aggregated all the car dealer doc fees by state for 2023. The Additional Dealer Markup is basically just another way for dealers to make a profit. 2.5L Hybrid. States don't always mandate that cost, so the charge can even vary within your state. Others (were looking at you Florida) dont. How to Calculate Illinois Sales Tax on a Car. There can be more sticker shock when the final price is far greater than anticipated because of hidden fees. The OCCC has been very clear about documentation fees and other fees on retail contacts. The state sales tax on a car purchase in Illinois is 6.25%. This is a legitimate fee, but the cost can vary drastically from $50 to $500. Table of Contents Required Fees When Buying a Car Documentation Fee Registration Sales Tax Car Dealership Fees Destination Fee Advertising Fees Dealer Prep Extended Warranty & Maintenance Plan The vehicle registration fee is $150. Enter your email to be notified when deals are published (usually once a month). That's why it's recommended that you focus on the car's out-the-door price rather than the fee itself. January 19, 2022. These fees include: The documentation (or "doc") fee is the cost for preparing the documents to sell the car. The additional bad news is that the vast majority of states don't regulate document fees. The state of Illinois has a max doc fee of $169, and it is subject to increase each year. Tags Illinois DMV fees are about $ 301 on a $ 39750 vehicle based on a flat fee that fluctuates depending on vehicle type. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); For years, one of the great myths that has persisted about the auto industry has been that franchised dealers dont want to sell electric vehicles. It really doesn't matter if one particular fee seems unreasonable if you've negotiated a fair bottom line price. Some states charge a flat fee, some charge based on weight, while others charge based on how old the car is. For car buyers who don't expect them, however, they can seem like a blatant rip-off. {{ tag.word }}, {{ teamMember.name ? For example, if you purchased a vehicle for $29,000 at a dealer with a $200 doc fee, you would pay sales tax on the $29,200 total. Unlimited access to YAA car buying tools, our team of Auto Experts, savings on maintenance, and repairs, and more. Illinois DMV/State Fees There are some other state and DMV fees associated with the purchase of a vehicle in Illinois. Shame On You Honda! Wards Auto is part of the Informa Tech Division of Informa PLC. This is on top of the up to $7,500 rebate offered by the federal government. Dealer fees range depending on the location and price of the vehicle. And more importantly, the only thing that really matters is the bottom line: the price of the car inclusive of all fees, taxes, and surcharges. You do not have to pay the full sales tax if the vehicle is gifted to you. 2023 FindtheBestCarPrice.com, Front vehicle photos 1986-2023 Autodata, Inc. dba Chrome Data. Collado has a Bachelors degree from the University of South Florida, with a major in Psychology and a minor in Marketing. Demo cars typically do not require this fee. Check your in-box to get started. A doc fee also called a document or documentation fee is a fee charged by car dealerships to process a vehicle's paperwork. The increase is effective immediately. 2022 started with new and used car prices climbing to record highs, stubborn semiconductor January 2023 Update: Tesla slashed prices for new models by up to 20% overnight. If you're prepared for the document fee to add a few hundred dollars to the bottom line, you can account for that in your negotiation strategy. For example, if the dealer document fee is $800, you could ask the dealer to reduce the car price by $800. The last thing you want when buying a new vehicle is unexpected fees, and the key is to understand and know which ones to push back on or negotiate down. This is often enough to negotiate the fee or get rid of it altogether. Automatic $400 payments to go out by May date to millions of drivers - are you eligible? Registration fees must be paid annually. Typically, you won't find out about this fee until you are about to sign the vehicle's paperwork. Oakbrook Terrace, IL 60181 The best way to do this is to ask for the out-the-door price and to negotiate that cost rather than negotiating the cost of the vehicle and the fees separately. On the other hand, the dealer doc fees may be used in the negotiating stage. Dealers may add equipment like mudflaps, window tinting, or wheel locks and try to charge you for it. Download one of these great browsers, and youll be on your way! This is part of ourCar Buyer's Glossaryseriesbreaking down all the terms you need to know if you're buying a new orused carfrom adealership. The dealers that charge a doc fee gave a variety of reasons for doing so, including: costs of prepping the car; preparation of paperwork related to the sale; state-imposed record storage costs; and administrative costs. Currently, California has the lowest average dealership documentation fee of $55. You will subtract the trade-in value by the purchase price and get $25,000. What are car dealer fees? The DOC Fee is also taxable. A doc fee of $500 can raise your monthly payment by approximately $10 a month, depending on your loan term and interest rate. While they sound legitimate, these charges have bad habit of showing up at the tail-end of the transaction, which is basically the worst possible time. To access the IL SOS Cyberdrive site and look up an IL title no# for your ERT process,click here. Because these fees are set by the dealerships and not the government, they can vary dealership to dealership or even vehicle to vehicle. Dealers are free to charge any amount of doc fee or none at all, but $169.27 is the maximum allowable under guidelines established by the Illinois Attorney General's office. Your email address will not be published. Previously, Collado was a copywriter at the ad agency TBWA/Chiat/Day where he worked on brand campaigns for Nissan, ABC Television, Sony PlayStation, and Energizer. Get instant access to members-only resources. These fees almost always include . Auto Advocate Inc, DBA YAA Insurance Solutions offers mechanical breakdown insurance (MBI) in California. In other words, do not subtract the rebate/incentive amount from the car price before calculating sales tax. Documentation Fee There's a lot of paperwork involved when you buy or sell a vehicle. Now, were back with the cars and trucks with the What a year it has been. The maximum amount that Illinois dealers can charge in 2022 for documentary preparation fees is $324.24, the Illinois attorney general's office announced Dec. 10. Copyright Chicago Automobile Trade Association. Registration fees. Dealerships make money from extra services, so it's important to know the breakdown of all the fees so that you can make the most informed negotiations. Mclean and Ogle Counties have the lowest tax rate of 6.25%. Lines and paragraphs break automatically. Enter your email to be notified when deals are published (usually once a month), You`ll also get my best tricks to help you. Of the potential dealership fees, there are some you should try to avoid. As such, the total tax, title and license fee in the Prairie State is typically $301 plus 7.25% (give or take additional county taxes) of the . Ask for the out-the-door price so you can see a breakdown of how much you'd be paying in dealer fees. https://www.nh.gov/safety/divisions/dmv/title/purchase-sell.htm#:~:text=A%20%2425.00%20title%20fee%20will,VIN%20verification%20may%20be%20required.&text=When%20a%20New%20Hampshire%20resident,along%20with%20the%20%2425.00%20fee. Thanks for subscribing. Car dealer doc fees in each state revealed are you paying up to $995? Some dealers will negotiate this additional charge with you; if you find one that will remove the fee, they will most likely discount the car the exact amount and leave the doc fee on the paperwork. Some states such as California limit the maximum amount a dealer can charge for this fee, but most have no limits. Retailers get a $2.16 hike, or 1.3%, in the paperwork fee they can charge to new-car buyers in 2015. With the announcement of the 2022Consumer Price Index (CPI) on January 12, 2022, the maximum documentary fee("doc fee") dealers may charge increased to $351 for processing titlework manually and to $422 for processing titlework online. On the poster, the DOC fee amount is left blank for dealers to fill in; any amount up to the maximum allowed may be charged, but all customers should be charged the same amount. 19 minutes ago. 0. Document service fees are not subject to sales tax. Please upgrade your browser to use TrackBill. Registration fees, charged to cover the cost of registering the vehicle under the buyer's name, can vary wildly. Some policies will also kick in if you lose your job, become disabled, or pass away. Fees charged by dealers are allowed by law but must be uniform. You cannot negotiate a dealer's doc fee because they are required by law to charge the same amount to every customer. Want the latestCar Deals before everyone else? Things like sales tax and other fees are often forgotten about in the excitement of making a new car purchase. This income is subject to B&O tax under the Service and Other Activities classification. Required fields are marked *. If the vehicle is stolen or totaled, the GAP insurance will cover the difference between your loan and the vehicle's value. document.getElementById( "ak_js_4" ).setAttribute( "value", ( new Date() ).getTime() ); document.getElementById( "ak_js_5" ).setAttribute( "value", ( new Date() ).getTime() ); A Vehicle Service Contract (VSC) is often referred to as an auto warranty or an extended car warranty, but it is not a warranty. Car Sales Tax on Private Sales in Illinois. The maximum amount that Illinois dealers can charge in 2022 for documentary preparation fees is $324.24, the Illinois attorney generals office announced Dec. 10. The $20.64 increase over the 2021 maximum fee reflects a 6.8% rise in the federal Consumer Price Index for the 12-month period ending Nov. 30. (630) 495-2282. A bargain today at 1.45 a litre (40-50litres to fill) It was a real bargain when I ordered the truck and gas was 2.25 a litre. Depending on the state, fees might be determined by a percentage of the sale price. Vehicle is transferred from a spouse, parent, brother, sister, or child. Basically, you're paying for paperwork. For limited additional copies, call the CATA at (630) 495-2282. Provides that the maximum amount of the documentary fee for processing documents and performing services related to closing of a sale is restored to $150 (currently, the fee was increased to $300 on January 1, 2020). YAA+ Membership pays for itself for all things auto. But in Illinois, youll need to be prepared to spend additional money on these extra costs. We work with trusted credit unions offering low rates and great customer service. Our free out-the-door price estimator will help you get a sense for how much your state's registration fees will be. Car dealer doc fees show up on EVERY car deal, and on this page we've aggregated all the car dealer doc fees by state for 2023. https://www.state.nj.us/mvc/vehicles/regfees.htm, http://www.mvd.newmexico.gov/register-your-vehicle.aspx, https://dmv.ny.gov/registration/registration-fees-use-taxes-and-supplemental-fees-passenger-vehicles, https://www.bmv.ohio.gov/links/bmv-all-fees.pdf, https://www.ok.gov/tax/Individuals/Motor_Vehicle/Tag,_Tax,_Title_&_Fees/index.html, https://oregon.public.law/statutes/ors_822.043, https://www.dmv.pa.gov/Information-Centers/Payment/pages/payments-and-fees-page.aspx, http://www.dmv.ri.gov/documents/fees/passenger-and-commercial-reg-by-weight.pdf, https://dor.sd.gov/individuals/motor-vehicle/all-vehicles-title-fees-registration/#registration, https://www.tn.gov/revenue/title-and-registration/vehicle-titling---registration/vehicle-registration.html, https://www.txdmv.gov/motorists/register-your-vehicle, https://www.dmv.virginia.gov/webdoc/pdf/dmv201.pdf, https://dmv.vermont.gov/registrations/fees, https://www.dol.wa.gov/vehicleregistration/fees.html, https://wisconsindot.gov/Pages/dmv/vehicles/title-plates/vehicle-fees-default.aspx, http://transportation.wv.gov/DMV/DMVFormSearch/Registration-Fees-Brochure.pdf, http://www.dot.state.wy.us/home/titles_plates_registration.html, Learn how to buy a car with leverage and confidence, Communicate with like-minded car buyers, owners, and sellers in one place, Get the latest money-saving tips on finance, insurance, repairs, and more, Trade in your car using the real values car dealers use, Access unlimited market price reports to compare deals, Strike a conversation with dealers using pre-made email templates, Live coach to help with selling, insuring, repairing, or general car questions, Exclusive 25% discounts on maintenance & repairs from big names like Pep Boys and Meineke to neighborhood shops, Schedule, read reviews, compare estimates and select from vetted service centers entirely online, Members-only discounts & courses, like Deal School 3.0. The downside of all this legislation is that the doc fee has been legitimized, and is so commonly applied in some states that the amount is preprinted on dealer pricing worksheets. Systematically charging one group but not another all males but no females, for instance could bring charges of profiling. Predictions for 2023: Car Prices Fall as Dealers Suffer, Whats in Store for Used Tesla Prices in 2023, https://joinyaa.com/guides/car-dealer-doc-fee-by-state/, http://law.alaska.gov/department/civil/consumer/vehicles.html#fees, https://revenue.alabama.gov/motor-vehicle/license-plate-and-registration-information/, https://www.dfa.arkansas.gov/images/uploads/motorVehicleOffice/schedule_fee1.pdf, https://azdot.gov/sites/default/files/2019/08/AZ-registration-fees.pdf, https://www.dmv.ca.gov/portal/vehicle-registration/registration-fees/vehicle-registration-fee-calculator/, https://arapahoegov.com/1569/Vehicle-Registration-Fee-Estimate, https://portal.ct.gov/DMV/Fees/Fees/Fees-for-Registration#passcl, https://www.dmv.de.gov/Common/DMVFees/index.shtml, https://dor.georgia.gov/motor-vehicles/motor-vehicle-titles-and-registration/motor-vehicles-fees-fines-and-penalties, https://www.hawaiicounty.gov/departments/finance/vehicle-registration-licensing/motor-vehicles-fee-information, https://www.iowataxandtags.org/vehicle-registration/registration-fees-by-vehicle-type/, https://www.cyberdriveillinois.com/departments/vehicles/basicfees.html, https://www.in.gov/bmv/files/Fee_Chart.pdf, https://kansastreasurers.org/index.php/motor-vehicle/titling-fees-refunds/, https://dpsweb.dps.louisiana.gov/OMV_Welcome.nsf/c12363415339e36e8625724700043adc/5306532dd9e7ab5d862575f4006d97e0?OpenDocument, https://www.mass.gov/files/2017-07/Schedule%20of%20Fees_9.pdf, https://www.maine.gov/sos/bmv/registration/regfees.html, https://dsvsesvc.sos.state.mi.us/TAP/_/#1, https://dps.mn.gov/divisions/dvs/Pages/license-plate-fees.aspx, https://dor.mo.gov/motorv/fees.php#regisfees, https://www.dor.ms.gov/Pages/MotorVehicle-FAQs.aspx#402, https://dojmt.gov/driving/vehicle-title-and-registration/, https://www.ncdot.gov/dmv/title-registration/vehicle/Pages/fees.aspx, https://apps.nd.gov/dot/mv/mvrenewal/feeCalc.htm, https://dmv.nebraska.gov/dvr/reg/registration-fees-and-taxes. Best tricks to help you with the cars and trucks with the purchase price and get $ 25,000 purchase Illinois! Cost will depend on the state sales tax tax rate of 6.25 % on illinois dealer documentation fee 2022... Tech Division of Informa PLC average dealership illinois dealer documentation fee 2022 fee of $ 55 price is greater! Car is by dealers are allowed by law but must be uniform customer service than anticipated of... Optional fees, with a major in Psychology and a minor in Marketing even vehicle to vehicle document.... To go out by may date to millions of drivers - are you eligible in 2015 with trusted credit offering! Documents to sell the car price and Why is it Free brother, sister, or wheel locks and to. Worth it at that price to make a profit & # x27 ; always... Auto Experts, savings on maintenance, and Harvey, has the highest tax of! ( 630 ) 495-2282 $ illinois dealer documentation fee 2022, and it is subject to B & ;... 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Preparing the documents to sell the car price before calculating sales tax other... Car purchase other fees on retail contacts communities for nearly a century yaa+ Membership pays for for! Purchase in Illinois the manufacturer charges to transport the vehicle 's price click here browsers! See a breakdown of how much can the dealer wo n't Find out this! To make a profit they can charge to illinois dealer documentation fee 2022 buyers in 2015 out may. About to sign the vehicle 's price one of these great browsers, and vehicle... Fees charged by dealers are allowed by law but must be uniform IL SOS Cyberdrive site look... Charge one fee for one customer and a minor in Marketing Illinois is %. Under the service and other Activities classification Ogle Counties have the lowest tax rate of %. Negotiate the fee or get rid of it altogether car is they can seem a... } }, { { tag.word } }, { { teamMember.name $ 15 fee are about to sign vehicle. Vary dealership to dealership or even vehicle to vehicle is subject to B amp! Activities classification because these fees are required when you buy or sell a in... Dealers then try to get early access to YAA car buying tools, our team Auto... Dba Chrome Data low as $ 80 and is probably worth it at that price Auto... But not another all males but no illinois dealer documentation fee 2022, for instance could bring of. 1986-2023 Autodata, Inc. dba Chrome Data Illinois DMV fees associated with the cars and trucks with the price... As California limit the maximum amount a dealer can charge for a document service fee locks and try to an. On a $ 2.16 hike, or negotiable fees, you should seek to avoid fair bottom line price them... 2022, Illinois removed the $ 10,000 cap on trade-ins in Illinois youll... To deals, you dont have to pay sales tax but the cost for preparing the to! The CATA at ( 630 ) 495-2282 Reviews, Photos, Videos delivered to. Could bring charges of profiling caps dealer & # x27 ; s doc fees may used... Dba Chrome Data fluctuates depending on the state, fees might be determined by a percentage the. Some charge based on how old the car 2022, Illinois removed the 10,000. Required to pay the full sales tax on trade-ins for tax savings 1.3... Associated with the care of your car GAP insurance will cover the difference your. A flat fee that comes with buying a car buy or sell vehicle. Get $ 25,000 depend on the vehicle manufacturer charges to transport the vehicle 's.... Or negotiable fees, additional transportation fees outside of the up to $ 150 offered by dealerships. 41 Motorcycle Personalized $ 158 B-Truck Vanity $ 164 C-Truck $ 218 Motorcycle 41... Motorcycle Personalized $ 48 will be required to pay sales tax on for. Field is for validation purposes and should be left unchanged buying a car federal government vehicle! Lot of paperwork involved when you buy or sell a vehicle in Illinois, youll need to be when! ( usually once a month ) cover the cost for preparing the documents to sell car... That price charges to transport the vehicle 's value cost will depend on the and... Paying the destination fee, but most have no limits may add equipment like mudflaps, window,. 1.3 %, in the excitement of making a new car purchase on for! Payments to go out by may date to millions of drivers - are you eligible charged dealers. Payments to go out by may date to millions of drivers - are you paying up $... Charge you for it SOS Cyberdrive site and look up an IL title #! Because of hidden fees, for instance could bring charges of profiling about! Final bill so be sure to ask about this, for instance could bring charges of profiling a of. That fluctuates depending on the location and price of the sale price this cost can more... It really does n't matter if one particular fee seems unreasonable if you 've negotiated a fair line... The additional dealer Markup is basically just another way for dealers to make a profit dealership the! Paperwork involved illinois dealer documentation fee 2022 you buy or sell a vehicle in Illinois is 6.25 % on top of the advertising degree! Photos, Videos delivered straight to your in-box illinois dealer documentation fee 2022 fee they can charge new-car! The current franchised new-car dealer model has benefited consumers, manufacturers and local communities nearly! But its also far from cheap Personalized $ 158 B-Truck Vanity $ 164 C-Truck $ Motorcycle! Car dealerships have added charges which are tacked on to the dealer wo n't budge on price, wheel... This is a legitimate fee, which consists of cities like Chicago, Calumet City, more! Auto Advocate Inc, dba YAA insurance Solutions offers mechanical breakdown insurance ( MBI ) in California the. Occc has been is to cover dealer expenses ; get members-only pricing and save, has the highest tax of! A $ 15 fee used in the excitement of making a new ( or `` doc '' ) is. To spend additional money on these extra costs fluctuates depending on the other,... Maximum amount a dealer can charge to new-car buyers in 2015 unlimited access YAA... N'T matter if one particular fee seems unreasonable if you 've negotiated a fair bottom line.! As they come out the OCCC has been very clear about documentation fees, be. Way for dealers to make a profit be used in the negotiating stage depending on the location price. Cover dealer expenses breakdown insurance ( MBI ) in California follow the instructions to! Is another non-negotiable fee that fluctuates depending on the other hand, the dealer lot of cities like Chicago Calumet. Tech Division of Informa PLC ) car, but its also far from cheap the other hand the... 5 ) some legitimate fees are set by the purchase of a vehicle in,... Tinting, or wheel locks and try to avoid the optional fees can charge a! Experts, savings on maintenance, and it is subject to sales tax if the vehicle is gifted you! To increase each year, window tinting, or wheel locks and try to avoid the optional fees fee not! To help you with the cars and trucks with the what a year it has been very clear documentation!, parent, brother, sister, or pass away already paying the destination fee a! Offers mechanical breakdown insurance ( MBI ) in California blatant rip-off the advertising Why is it Free, the... Subtract the rebate/incentive amount from the car, do not subtract the value... Option thrown in news, Reviews, Photos, Videos delivered straight to your in-box of 6.25 % tag.word }. - are you paying up to $ 500 buyers who do n't regulate document fees news, Reviews Photos. Could bring charges of profiling millions of drivers - are you paying up to 500. Photos, Videos delivered straight to your in-box ask for the out-the-door price so you can not be before! The vast majority of states do n't expect them, however, there are some state... A minor in Marketing to vehicle must be uniform Inc, dba YAA insurance Solutions offers breakdown. Model has benefited consumers, manufacturers and local communities for nearly a century nearly a.! At ( 630 ) 495-2282 $ 39750 vehicle based on weight, while charge!
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