FTC Cracks Down on Old Buyers Guides
The grace period has ended. The Federal Trade Commission has begun conducting compliance sweeps at dealerships to ensure dealers are displaying the revised Buyer's Guides.
After the FTC amended the Used Car Rule back in 2016, dealers had over a year to comply. This included an opportunity to use up any old Buyers Guides in their inventory and begin using the newly revised ones for all used car sales. As of January 28, 2018, dealers are required to display the revised FTC Buyers Guide on all used vehicles they offer for sale.
The FTC conducted the first compliance sweep of 94 car dealerships in 20 cities between April and June 2018. Dallas, Arlington, and Grand Prairie were part of that sweep. 70% of the more than 2,300 vehicles inspected displayed Buyers Guides, and nearly half of those vehicles displayed the revised Buyers Guide. Under the FTC Act, dealers who fail to comply with the amended Rule face penalties of up to $41,484 per violation. The FTC advises that state and local law enforcement agencies also enforce the recently amended Rule.
For more information, including fillable Buyers Guides, visit the FTC website.