This paper proposes an online fuzzy coordination algorithm (OL-FCA) for charging plug-in electric vehicles (PEVs) in smart grid networks that will reduce the total cost of energy generation and the associated grid losses while maintaining network operation criteria such as maximum demand and node voltage profiles within their permissible limits. A recently implemented PEV coordination algorithm based on maximum sensitivity selection (MSS) optimization is improved using fuzzy reasoning. The proposed OL-FCA considers random plug-in of vehicles, time-varying market energy prices, and PEV owner preferred charging time zones based on priority selection. Impacts of uncoordinated, MSS, and fuzzy coordinated charging on total cost, gird losses, and voltage profiles are investigated by simulating different PEV penetration levels on a 449-node network with three wind distributed generation (WDG) systems. The main advantage of OL-FCA compared with the MSS PEV coordination is the reduction in the total cost it introduces within the 24h.