Summertime Review
Summertime is fast approaching, and car buying season is nearly in bloom. This month, we are going to help dealers get ready for the one of the busiest seasons with a quick review of Regulation Z or the Truth in Lending Act ("TILA").
What is TILA? It's a federal law that requires creditors, in this case auto dealers who sell cars on credit, to make specific disclosures. Most dealers believe they comply with this regulation. We want you to know what you're required to do to ensure you are up to current regulations. When selling a car on credit, a dealer is required to disclose:
- The creditor's identity
- The amount financed along with a brief description of the terms
- An itemization of the amount financed or a statement that the consumer has a right to the itemization of the amount financed
- The finance charge
- The annual percentage rate
- The payment schedule
- The total of payments
- The total sale price
- A prepayment statement
- Any dollar or percentage charge that may be imposed before the maturity of the contract due to late payment or other deferral or extension charge
- A statement referring to the appropriate document for information about non-payment, default, the right to accelerate the maturity of the contract and prepayment rebates
That's a long list, right? Most retail installment contracts include all the language you need with regards to disclosure. But it's your obligation to review these documents periodically to ensure they still meet your needs. If you have questions you can always contact your attorney for a more thorough review.
Since you are reviewing your documents, it might be a good time to contact our Forms Department to get any new or updated forms programmed into your system so you can print them as needed. To get a Forms review contact your sales rep at 800-322-9034.
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What are Your Anti-Virus and Malware Solutions?
Every computer you use ProMax on should have anti-virus and malware software installed. Since every dealership is different, you should figure out what works best for you based on your budget, number of computers, and vendor reputation.
While we don't recommend any specific software, here are a few places you can research further:
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