Day 2 Flashcards
Compliance
Military lending act
Safe guards rule
Sexual-harassment
Safeguards rule
Graham Bleach Riley Act
Non public identifiable information
When does a privacy statement need to be given to a client
Anytime you collect non-personal information or NPI
What is considered packing a payment
Leaving room to put benefits in payment. Not disclosing the information
How do we avoid a pact payment
Don’t do it
Disclose base payment
Have a range of $10
What is NPI
Personally identifiable financial information that a financial institution collects
Can you ask a client if they are married
No
Can we give the client an incentive to purchase FI products by offering a lower interest-rate on the financing
No
Can a customer bring a car back within three days
No unless we invite them off site
Conditional sales agreement or bailment agreement
Not legally bindi g if RIC is signed
Client can hold dealership to RIC terms and conditions
RIC negates any conditional sale agreement
No cooling off period
What are the 5 pervasive client exposures
Warranty coverage in relation to the length of anticipated coverage
Required vehicle maintenance
Tires and wheels
Key replacement
Cosmetic and safety.
Needs awareness process map
- What is your Understanding of your current coverage?
- More coverage than expected, let’s start with…
- Review factory coverage
- Review factory exclusions
- Review financial exposure
- Review cosmetic and safety exposures
- You told me you would be operating here…
- Do you have any questions?
Needs awareness
What is your understanding of the coverage
You actually have more coverage than expected
Review the coverages with the graph
Explain the exposures and exclusions
You told me you wanted to keep the vehicle for….. use graph
Exclusions
Exposures
