In February 2023, the Consumer Financial Protection Bureau (“CFPB” or the “Bureau”) announced an auto finance data pilot, where it ordered nine large auto lenders to provide information about their auto lending portfolios....more
8/27/2024
/ Automotive Industry ,
Automotive Loans ,
Consumer Financial Products ,
Consumer Financial Protection Bureau (CFPB) ,
Consumer Lenders ,
Data Collection ,
Dodd-Frank ,
Financial Institutions ,
Financial Regulatory Reform ,
Financial Services Industry ,
Lenders ,
OMB ,
Regulatory Agenda
CarShield, a company that sells vehicle service contracts (VSCs), will pay $10 million to settle FTC allegations that its advertisements and telemarketing pitches deceived consumers, the agency announced on July 31....more
8/13/2024
/ Administrative Procedure Act ,
Advertising ,
Automotive Industry ,
CARS Rule ,
False Advertising ,
Federal Trade Commission (FTC) ,
FTC Act ,
Marketing ,
Motor Vehicles ,
Section 5 ,
Service Contracts ,
Telemarketing ,
Unfair or Deceptive Trade Practices
Vroom, the former used car sales website which halted vehicle sales in January 2024, has agreed to a proposed settlement with the FTC over allegations the company misrepresented that it had examined all vehicles before...more
7/17/2024
/ Automotive Industry ,
Car Dealerships ,
CARS Rule ,
Enforcement Actions ,
Federal Trade Commission (FTC) ,
Financial Services Industry ,
FTC Act ,
Motor Vehicles ,
Settlement ,
Statutory Violations ,
Unfair or Deceptive Trade Practices
A new CFPB report, “Negative Equity in Auto Lending,” contains an analysis of data relating to the financing of negative equity in vehicle trade-ins. The report uses data collected by the CFPB in response to nine market...more
On May 14, 2024, the Federal Trade Commission’s (“FTC”) filed its brief in opposition to Petitioners’ Brief in the legal challenge to the Combating Auto Retail Scams Rule (“CARS Rule”). The petitioners are the National...more
5/22/2024
/ Advanced Notice of Proposed Rulemaking (ANPRM) ,
Amicus Briefs ,
Automotive Industry ,
Automotive Loans ,
Car Dealerships ,
CARS Rule ,
Chevron v NRDC ,
Federal Trade Commission (FTC) ,
Financial Services Industry ,
FTC Act ,
Motor Vehicles ,
Scams ,
Unfair or Deceptive Trade Practices
Petitioners in the challenge to the Federal Trade Commission’s (“FTC”) Combating Auto Retail Scams Rule (“CARS Rule”) filed their Petitioners’ Brief on March 15, 2004 in support of their petition for review, and a who’s who...more
4/26/2024
/ Advertising ,
Amicus Briefs ,
Automotive Industry ,
Automotive Loans ,
Car Dealerships ,
CARS Rule ,
Consumer Financial Protection Bureau (CFPB) ,
Federal Trade Commission (FTC) ,
Financial Institutions ,
Financing ,
UDAAP ,
UDAP
The CFPB recently published a notice in the Federal Register indicating that it is seeking approval from the Office of Management and Budget (OMB) for the collection of additional auto finance data pursuant to its authority...more
Our special guest is Richard (“Rick”) Hackett, former Assistant CFPB Director responsible for auto finance regulation and presently a member of the Board of F&I Sentinel, which supports lender compliance in the auto finance...more
On December 12, 2024, the Federal Trade Commission (“FTC”) announced its Combating Auto Retail Scams Rule, otherwise known as the “CARS Rule,” setting new requirements on the sale, financing, and leasing of vehicles by motor...more
12/21/2023
/ Add-ons ,
Automotive Industry ,
Automotive Loans ,
Car Dealerships ,
CARS Rule ,
Consent ,
Consumer Financial Contracts ,
Consumer Protection Act ,
Federal Trade Commission (FTC) ,
Financial Services Industry ,
Financing ,
FTC Act ,
Holder Rule ,
Motor Vehicles ,
New Rules ,
Offering Price ,
Regulatory Reform ,
Regulatory Requirements ,
Unfair or Deceptive Trade Practices
The Federal Trade Commission and Wisconsin Attorney General have entered into settlements with a group of auto dealerships, their current and former corporate owners, and their general manager for allegedly engaging in...more
11/1/2023
/ Add-ons ,
Attorney General ,
Automotive Industry ,
Car Dealerships ,
Consumer Financial Products ,
Discriminatory Lending Practices ,
Federal Trade Commission (FTC) ,
Financial Institutions ,
Financial Services Industry ,
FTC Act ,
Motor Vehicles ,
Settlement ,
Unfair or Deceptive Trade Practices
On December 1, 2022, nationwide used car dealer CarMax Auto Superstores, Inc. (“CarMax”) and 36 state attorneys general announced a $1 million multistate settlement that will require CarMax to disclose open recalls related to...more