Rancho Santa Margarita, Calif. — Finance Express, a provider of Web-based financial services for independent dealerships, has created a solution to help dealers comply with the Federal Trade Commission (FTC)'s Risk-Based Pricing (RBP) Rule and new privacy policy, which became effective Jan. 1.
The RBP Rule requires creditors, including dealers, to alert a consumer when their credit is used as means to not offer the customer the best terms the creditor or dealer has to offer. Finance Express has made the RBP Notice available to their dealers, so they can comply with this new regulation.
Finance Express has also teamed up with ComplyNet to address the new privacy policy notices required by the FTC. There are notices for affiliate dealer groups and non-affiliate dealer groups, as well as opt-out versions for both. Dealers were responsible for changing over to these new notices by Jan. 1 and providing the correct notice based on their business model.
"Being compliant is just as important as selling the car. We always want to make sure that our dealers have all the tools available to them to remain compliant with their state and federal government," said David Huber, president of Finance Express. "ComplyNet already provides our dealers with their Red Flag solution. It was a natural fit to work with them on these other compliance regulations."
ComplyNet has created a website, www.dealerprivacynotice.com, to help dealers figure out which privacy notice they are responsible for providing to customers. Dealers can also receive ongoing updates and support via the Website.
"Don't risk your dealership to make a sale. The FTC has linked many new laws together, including the new rules effective Jan. 1. So to be compliant with one, you need to be compliant one, two or three others. The Red Flags Rule assumes a dealer is already compliant with the G.L.B.A/Privacy and Safeguards, while the new Risk Based Pricing runs parallel to adverse action notice requirements,” says EJ Shelby from ComplyNet Corporation.
