FTC amends Used Car Rule, issues revised Buyerês Guide
NADA has issued the following notice, edited slightly:
The Federal Trade Commission (FTC) has announced final amendments updating the Used Car Rule. The update revises the Buyerês Guide that must be displayed on a used vehicle before it is displayed for sale or a customer is allowed to inspect it for the purpose of buying it. The amended rule is effective January 27. But the final rule permits dealers to use their existing stock of Buyerês Guides for up to one year after that date.
The revised Buyerês Guide contains several changes, many of them sought by NADA to help dealers. For example, it includes a new method for disclosing certified and other warranties. It also allows dealers to disclose (if they choose) that the manufacturerês warranty has not expired on certain components of a vehicle.
NADA will issue more detailed guidance for dealers on the Buyerês Guide, and the WANADA Bulletin will pass it along. In the meantime, dealers should review the revised Buyerês Guide carefully and work with their vendors and advisors to ensure that they are prepared to use the revised form as required by the final rule and their own state law. Dealers should train staff on the revised forms and review the dealershipês used-car warranty offerings to ensure the form is accurately completed.
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