Before we start exploring the reasons why every car dealer must conduct an on-site compliance audit in his car dealership, let us form an overview of its fundamental concept and notches of significance. There are federal guidelines that govern each department of a car dealership; for example, there is a Used Car Rule for the sales department and CAN-SPAM Act for the BDC … [Read more...] about Why Conduct an On-site Compliance Audit in Your Car Dealership?
Lost in the compliance maze the past few years has been the importance of a dealership’s continuing obligation for the security of customers’ nonpublic information. Most dealers recognize a duty to safeguard customer information at their stores. What many dealers may not know, however, is the full extent of which the requirement extends outside the doors of the … [Read more...] about Vet Your Vendors to Safeguard Customer Information
It’s the start of a new year, and like clockwork, the Consumer Financial Protection Bureau (CFPB), ever vigilant in self-promotion and use of press releases, announced in early February a settlement with Toyota Motor Credit Corporation (TMCC) for “alleged” violations of the Equal Credit Opportunity Act (ECOA). We use the word alleged as the consent decree provides: … [Read more...] about Alleged ECOA Violations and Dealerships: Will the Market Tip?
Establishing a compliance management system (CMS) is not a “one and done” event. Once ownership has implemented compliance programs, begun employee compliance training, and established a culture of compliance at the dealership, the next step is to monitor the compliance program. Monitoring the CMS requires consistent and regular reviews to determine what is working, where … [Read more...] about Consumer Complaint Response Is Essential for Dealership Compliance