tag:blogger.com,1999:blog-4267117031967630712.post47480983560826852..comments2023-10-30T07:47:23.624-07:00Comments on Car Dealer Compliance Central: Are Your Desking Practices Putting Your Dealership At Risk?Anonymoushttp://www.blogger.com/profile/03663210774947932184noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-4267117031967630712.post-17269609209312727152013-09-27T10:06:38.061-07:002013-09-27T10:06:38.061-07:00Jesus it this even a Free Country anymore? Dealers...Jesus it this even a Free Country anymore? Dealers have been Expolited Enough. People yell and the Government Steps in and takes over.. Hmm Maybe it IS China taking over. Cause it all sounds Like Communism to me.Clydehttps://www.blogger.com/profile/17382724701041152045noreply@blogger.comtag:blogger.com,1999:blog-4267117031967630712.post-1259144755299179612013-07-01T07:31:08.777-07:002013-07-01T07:31:08.777-07:00The CFPB just doesn't need to get involved in ...The CFPB just doesn't need to get involved in this as there are market forces that govern what interest rates can be charged. Buyers are free to shop. In addition, there are companies who contact consumers who recently took out an auto loan and offer them better interest rates when possible. What else does the market need? If the Feds feel they need to protect those consumers who aren't the best negotiators do they feel they need to make sure all consumers pay the same? This penalizes the best negotiators/shoppers. The fact is that Dealers need to realize margins of at least 10% to survive and make a minimum ROI after expenses. If a good negotiator succeeds in getting a 5% margin deal, it needs to be made up on another consumer to maintain the average. If the Feds want everyone to pay the same, they should just say so and accept the "sh*t storm" that will come their way. It seems they are trying to back into this without clearly stating their purpose. OR, perhaps their intent is to reduce the average sales margins of auto dealers, which are already paper thin. This in a world where "transparency" is the new buzz word. Absolute transparency leads to an "efficient market" where the product becomes a commodity. An "efficient market" leads to "disintermediation." That's cutting out the middle man. That's YOU, Mr/Ms Dealer. Is that the true intent of the CFPB, or are they oblivious to the economic facts of life? David Ruggleshttps://www.blogger.com/profile/04354349511843594159noreply@blogger.comtag:blogger.com,1999:blog-4267117031967630712.post-28846594558594729812013-06-18T05:26:32.376-07:002013-06-18T05:26:32.376-07:00So... if the lender and dealer comply with all the...So... if the lender and dealer comply with all these new regs..and the loan goes bad... is the fed responsible? Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4267117031967630712.post-2933849493468110242013-06-17T06:20:20.479-07:002013-06-17T06:20:20.479-07:00Agencies That Now Control Lending
Lenders and Deal...Agencies That Now Control Lending<br />Lenders and Dealers are obligated to comply with Federal & State Laws that include the Federal Reserve System (FRS), Federal Trade Commission (FTC) the new Dodd Frank Act, the Consumer Financial Protection Bureau (CFPB), The Truth in Lending Act (TILA), the Equal Credit Opportunity Act (ECOA), the Fair Credit Reporting Act (FCRA), and the Gramm-Leach-Bliley Act (GLB) along with multiple State Laws.<br /><br />The Dodd- Frank Act grants to the CFPB oversight on all people or entities that engage in, offer or provide consumer financial services or products.<br />The CFPB and the FTC has the authority to bring enforcement actions against financial institutions for the acts of their services providers for unfair, deceptive, or abusive practices.<br /><br />What Are the Risks Lenders Face By<br />Third parties originators present a broad range of risks to financial institutions:<br />Compliance risks such as violations of laws, rules, or regulations or noncompliance with policies or procedures;<br />Reputation risks such as dissatisfied customers or violations of laws or regulations that lead to public enforcement actions;<br />Operational risks such as losses from failed processes or systems or losses of data that result in privacy issues;<br />Transaction risks such as the inability of a third party to meet its contractual obligations.<br /><br />To stay in compliance consistently requires a loan origination process designed to interface lenders and dealers in a manner that complies with the new CFPB as well as all of the above regulators. <br />Go to E-net Financial services website (https://www.enetfs.net and ask for a demo of their services to see how they can help you stay in compliance deal after deal.<br />William V. Fowler<br />bfowler@enetfs.net <br />William V. Fowlerhttps://www.enetfs.netnoreply@blogger.com