NIADA submitted a comment on the Federal Trade Commission’s proposed Trade Regulation Rule on Unfair or Deceptive Fees this week.
NIADA CEO Jeff Martin submitted the comments on behalf of the association.
The letter to the FTC points out the ambiguity in the new rule and the lack of guidance on specific fees that are unfair and deceptive. It also points out it is redundant to existing state and federal laws.
“Motor vehicle dealers are already subject to extensive federal and state laws, rules and regulations that address disclosure of fees and services in sales and credit transactions and have been for many decades. If those rules need to be amended, that should be done by the regulatory agencies in joint rule making by amending Regulation Z and/or Regulation M. Adding another layer of complexity to motor vehicle dealers results in inconsistency, redundancy, and confusion,” Martin said.
“NIADA has a good relationship with the FTC. We appreciate the opportunity to comment on the Proposed Rule and look forward to working with the agency in the future.”