April is the month when spring kicks into gear, and traditionally coincides with the time of year when Americans start thinking about hitting the road for getaways and vacations—or just upgrading from the old beater to something shiny with that great new car smell. It’s also the month of Tax Day, an event that many dread, but which can be good news for dealerships, because … [Read more...] about The Road Ahead for F&I and Compliance
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?
Is the Consumer Financial Protection Bureau’s (CFPB) dealer reserve issue really about discrimination? Or is dealer profit on indirect auto financing the pink elephant in the room? Circumstantial evidence suggests the CFPB may have drank the potion whipped up by consumer advocate groups, and now believe dealers make too much money on consumer financing. Publicly, CFPB … [Read more...] about Is the CFPB Targeting Dealer Profit on Consumer Financing?
Ever since the Consumer Financial Protection Bureau (CFPB) issued Bulletin 2013-02, “Indirect Auto Lending and Compliance with the Equal Credit Opportunity Act,” dealer reserve and disparate impact have dominated auto finance discussions. This August 10, the larger participant rule for automobile financing becomes effective, and the CFPB will have supervisory authority over the … [Read more...] about Make Disparate Impact a Nonissue at Your Dealership
Much of the compliance news flowing out of 2014, in particular regarding dealerships’ consumer finance practices, can offer insightful perspective for F&I and other dealership operations in 2015. At the beginning of 2014, the Consumer Financial Protection Bureau (CFPB) made headlines with a $98 million consent decree with Ally Financial. This news underscored that the … [Read more...] about Leverage 2014 Compliance News for a Better 2015