Letter to CFPB Demands Release of Information Supporting its Fair Lending Allegations
From NADA Director’s Update
A letter circulated by Rep. Terri Sewell (D-Ala.) and signed by 12 of her Democratic colleagues on the House Financial Services Committee was sent to CFPB director Richard Cordray on May 28. The letter asks for the analysis and methodology supporting the CFPB’s assertion in recent fair lending guidance issued to finance sources that there may be disparate impact discrimination in indirect auto lending. Read More
New NADA President Testifies before Senate on Rental Car Recall Bill
From NADA FrontPage
NADA President Peter Welch testified May 21 before a Senate consumer protection subcommittee on S. 921, a bill concerning rental car recalls. During his testimony, Welch emphasized the vital role that auto dealers play in fixing recalled vehicles. While supporting the purpose behind the bill, Welch informed Senators that recall work can sometimes be delayed because the part needed to remedy the recalled vehicle has not yet been designed or manufactured. Read More
Guidance / Model Forms Issued for Required Health Care Reform Law Notices
From NADA Director’s Update
The U.S. Department of Labor (DOL) on May 8 provided “temporary guidance” regarding the written notice employers are required to provide to their employees under the Patient Protection and Affordable Care Act (PPACA). PPACA requires that applicable employers must provide each employee with a written notice providing the employee with information about the state and federally-facilitated health insurance exchanges and how to request assistance, describing[…] Read More
This article first appeared in the Defender, a publication of the National Association of Dealer Counsel (NADC). NADC is a nationwide professional organization of attorneys who represent motor vehicle dealers.
Dictionary.com defines “triage” as “the determination of priorities for action in an emergency.” Many dealers believe that they are facing more complex compliance challenges than ever. They are right. Dealers overwhelmed by the challenges because of new government mandates and actions must prioritize to get through the emergency that this flurry of new compliance challenges presents. Just the activities at the federal level are forcing dealers to confront unique issues[…] Read More
IHS to Acquire Carfax Owner Polk
By Joseph B. White – From The Wall Street Journal
Business information provider IHS Inc. said Sunday it has a deal to buy R.L.Polk & Co., owner of the used-car shopping tool Carfax and a leading provider of data about the automotive market. IHS didn’t disclose terms of the acquisition ahead of a more detailed announcement planned for early Monday morning. People familiar with Polk’s operations had previously estimated the company could fetch as much as $1 billion. Polk released a statement Sunday evening confirming the agreement with IHS. Read More
GM poised to leap out of ‘lease hole’
By Mike Colias – From Automotive News. Link to original article.
General Motors has a secret weapon in its bid to gain U.S. market share this year. Just consider the lease portfolio at Paddock Chevrolet in Kenmore, N.Y. Owner Duane Paddock says he’s finally beginning to see customers trickling in with expiring 36-month leases, after having barely any off-lease customers in 2012. The lease drought — a lingering effect of the recession and GM’s 2009 bankruptcy — cut off a major customer stream for a store that once averaged about 180 lease returnees a month. Read More
Lender scrutiny could put dealers under the microscope
Jim Henry – Automotive News – Link to original article
Dealerships better brace themselves for a much higher level of scrutiny by auto lenders now that the Consumer Financial Protection Bureau has the lenders under a microscope, F&I experts say.”I think it’s a matter of when, not if” dealerships start experiencing much closer monitoring, Jim Landy, CEO of subprime lender CarFinance Capital, said this week. “At the lender level, there is tremendous energy being devoted to making use of efficient monitoring.” Read More
