A core charge is similar to a refundable deposit. When you purchase certain auto parts, you pay an additional core charge upfront. Once you return your old, used part (the "core"), the core charge is refunded.
Manufacturers require these used parts because they can be remanufactured or rebuilt for future use, helping reduce waste and lower production costs.
Common auto parts that typically include a core charge include:
- Alternators
- Brake calipers
- Steering racks
- Fuel injectors
- Starters
- Power steering pumps
- CV axles