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Core Charges

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Cumminalong

Doghouse Diesel Performance
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Folks,

I just wanted to take a second and explain how core charges work on things like injection pumps, injectors, transmissions, torque converters, alternators, starters, engine blocks, etc. Basically any part that is rebuildable or able to be reconditioned.

Some people have never dealt with them, so this is just information for you should you order something that requires a core charge.

These charges are from the manufacturers, not from the dealers. We have no control over them.

What happens is this.....

You order something like a torque converter and it has a $300 core charge. That charge is added to your order total.

When the product arrives to you and you install the new part, you place the old part in the original container and send it back. It is usually sent with a return label in most cases (but not all), depending on the manufacturer.

Most manufacturers require that the core be returned within 30 - 45 days to receive the refund.

Once the manufacturer receives the core, the part is inspected. If the part is damaged, unusable or in some way unable to be reconditioned, you may not get the core charge back (or it may be less than the full amount).

Example 1: You order a transmission and you send back a core that has a cracked case. The manufacturer can't use it or recondition it and you lose a substantial portion of the core charge.

Example 2: You order a full set of injectors be cause you cracked an injector body or two because the rail pressure was too high. Well, the body is the part they reuse, so if it's damaged you lose part / all of the core charge.

If the manufacturer is satisfied with the core, the refund is issued to the dealer, who in turn credits you.

We (dealers, installers, retailers, etc.) have nothing to do with the core charges, but it is an expense we have to deal with.

If it's something that is being delivered to the shop and installed by us, then we usually take care of the core charge, because we have the part in hand and know we're getting it back. But, when the part is being shipped to a customer, we have no way of inspecting the part or ensuring it gets returned for the charge, so that fee must be levied upon the buyer.

I hope that explains the core charges that you may see and why refunds of core charges are not instant.

:thumbsup:
 
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