1. shopping
2. resources
3. consumer protection

Oregon Dealer News
March 2011
www.oiada.com - 1-800-447-0302
February 2013
www.oiada.com 800-447-0302
Oregon Independent Automobile Dealers Association
Representing all Auto, Truck, Trailer, RV, and Power Sport Dealers of Oregon
BHPH Compliance Moves to Make in 2013 [p5]
Negative SEO? How your competitors could be sabotaging your website. [p10]
NIADA Regulatory Report [p12]
SIDE
EXPECT MORE WITH MANHEIM
Political Action Committee . .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .1
THIS ISSUE
Shifting Gears. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. 3
BHPH Compliance Moves to Make in 2013 . .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .5
OIADA Education Schedule . .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .7
Used Car Rule Changes: Have You Weighed In? . .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. 8
Negative SEO? How your competitors could be sabotaging your website.. .. .. .. .. .. .. .. .. .. .. . 10
NIADA Regulatory Report . .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. . 12
Associate Member List. . .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. . 13
Oregon Dealer News Corner. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. . 14
Read and Respond. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .16
HONDA ▪ INFINITI ▪ KIA ▪ DODGE ▪ CHRYSLER ▪ JEEP ▪ YAMAHA ▪
Tuesdays starting at 8:30 am
Airfare and Hotel Assistance Available. Ask for Details.
3000 N Hayden Island Drive
Portland, OR 97217
503.286.3000
www.manheim.com
Sales every Tuesday starting at 8:30 a.m.
PolitiCal
TOYOTA & MAZDA
OF GLADSTONE
Action Committee
OIADA must be a constant presence in monitoring current legislation within our state. We need
to interpret legislative activity that may impact our industry. It is the association’s responsibility to
maintain an ongoing relationship with governmental officials and regulatory agencies. Your voluntary
PAC contribution helps our legislative representatives work for you, the independent auto dealer.
OIADA has worked on many issues affecting dealers such as stopping the 3 day right of rescission,
getting temporary motorcycle permits that actually fit on the rear plate area, extension of DEQ slips
from 90 days to 180 days, all new broker disclosure forms, new silver dealer plate that makes us really
look like a dealer, opposing no sales on Sunday, saying no to a big increase in DMV fees, as well
as ongoing dealings with regulatory agencies, just to mention a few. An added benefit to making a
political contribution is the Oregon Tax Credit. You can take this directly off your state tax liability.
The credit is $50 for an individual and $100 on a joint return.
We thank you for understanding the importance of a strong presence within our Legislature. Please
remember the next time you renew your membership to consider your PAC contribution.
2012 OIADA Executive Committee
OIADA Staff
Dan Nicholson, CMD,
President
Central Oregon Motors
1123 N 6th Street
Redmond, OR 97756
541-923-3961
Fax 541-923-3964
[email protected]
Diane Sparks
Executive Director
[email protected]
Bryan Steward,
Executive Vice President
AAA Oregon AutoSource
6 SW Centerpointe Dr. #100
Lake Oswego, OR 97035
503-973-6570 Cell 503-709-3835
[email protected]
Pauline Sill
Office Manager
[email protected]
Tommy Wilson
2nd Vice President
Tommy Wilson Motor Company, LLC/
9215 SW Canyon Rd.
Portland, OR 97225
503-629-6000
[email protected]
Eric Freeman, CMD
Secretary
7524 SW Macadam Ave
Portland, OR 97219
Office 503-310-5555
Cell 503-320-1596
[email protected]
Hello my fellow dealers and industry supporters. Well we have the first month of the
year behind us and I hope you are implementing actions to meet your goals.
One of the goals that I set for myself is to increase my time spent on education. I was
sitting at the computer thinking “where do I go for education and what type of education
do I want? The first place I thought of was NIADATV.COM. I have been to this sight a
number of times and told myself I need to watch these videos, but never seemed to find
the time. Recently, I watched a video and I would like to share it with you.
Dan Nicholson (CMD)
Central Oregon Motors
Carol Effring
Eugene, Dealer Forms Sales
Lakyn Jacoby
Portland Metro Area,
Dealer Forms Sales
541-923-3961
Now I wasn’t in the mood for your typically cars sales video. I don’t know about you,
but I need a break from it sometimes. This video was titled Executive Imagination:
Turning Creative Fire Into Real Results.
I thought this was something that I could use. I find myself just trying to keep up with
the daily grind and I forget about being creative. Let’s face it, if we don’t get creative in our
businesses we are going to be left behind. I’m not talking about the new wiz bang thing
that is out there. I am talking about good old fashioned imagination.
The speaker in this video talked about how as we get older that we feel less creative,
when in fact 85% of all creativity is learned. If that is true, why don’t I feel creative? Well
the number one reason is fear. How many time have we tried something new and fell on
our face. The inventors of WD40 didn’t let that stand in their way. The 40 stands for the
40th try. It could have easily been named WD30, but it took them another 10 times to get it
right. We learn more from our failures than we due from our success.
Three questions that you need to ask yourself are Why? What if ? And why not?
The video said we need to stop competing on price and start competing on creativity.
Something to think about!
Another thing that stood out to me was to start challenging our assumptions. Why do we
do the things that we do. You have all heard someone say “that’s the way we have always
done it”. So maybe we should look at the things or procedures that we have been doing for
more than a year and analyze them. Again ask yourself Why? What if ? Why not?
Gary Sargent,
Chairman of the Boardt
Sargent’s Motorsports
10207 SE Foster Road
Portland, OR 97266
503-775-9445 Fax 503-777-9886
Cell 503-969-5228
[email protected]
Oregon Dealer News is a publication of the Oregon Independent
Auto Dealers Association, 1475 Capitol St. NE, Salem, OR 97301
and is published every month. The association was established
in 1948, chartered as a non-profit organization in Oregon
and is affiliated with the National Independent Auto Dealers
Association. Advertising rates may be furnished upon request.
~
The statements and opinions expressed herein are those of
the authors and do not necessarily represent the views of the
Oregon Independent Auto Dealers Association. Likewise, the
appearance of advertisements or the identification as members
of OIADA does not constitute endorsement of the products or
services featured.
*For advertising information please contact OIADA at
800.447.0302
2 | OIADA February 2013
GEARS”
“Shifting
With Dan Nicholson
Here at OIADA we are doing just that. We are looking at things we are doing or not
doing and asking ourselves why? What if we started doing this or what if we did it this
way? And then asking why not? It is amazing the new ideas we are getting from staff and
board members. We now have members volunteering to be on committees. Those of you
who have volunteered we thank you. One new idea is to have a thank you dinner for our
associate members and venders. These companies and individuals have been supporting
us through thick and thin. We want to also take the time at this dinner and ask them what
we can do as an association for them. This dinner is being scheduled for the first part of
March. I would like to personally invite all our associate members to please attend this first
associate member appreciation dinner.
I hope that we can all embrace the opportunity for creativity. The sky is the limit as the
saying goes and it definitely applies here.
Until next month,
an Nicholson
D
President
Oregon Independent Auto Dealers Association
OIADA February 2013 | 3
BHPH Compliance Moves to Make in 2013
By Kenneth B. Shilson, CPA
With the close of another year,
most Buy Here-Pay Here operators
will evaluate last year’s performance by
comparing their financial results with
the past. They will base their goals and
strategy for the next year by looking
at financial and operating metrics like
unit sales, gross sales revenue, the
growth of their installment portfolio
and their net income.
Although these represent the
standard benchmarks for planning,
they omit a critical element:
compliance.
The BHPH industry faces some
important new legal and regulatory
challenges from the newly formed
Consumer Financial Protection
Bureau (CFPB), the Federal Trade
Commission (FTC) and state attorney
generals’ offices.
All of those regulatory authorities
will be monitoring consumer
complaints to identify regulatory
violations and operators who are
violating the rules. The regulators will
investigate consumer complaints and
have the authority to levy substantial
fines for noncompliance.
During 2012, regulatory activity
and monitoring of subprime auto
compliance violations increased
significantly, and more scrutiny should
be anticipated in the future. Overall
BHPH industry compliance will
be judged on how each individual
operator complies with the rules and
regulations.
To date, I have noticed operators
taking different approaches to
complying with the new challenges.
Some are waiting to see what 2013 will
bring. Others are more proactive in
their approach to compliance. A few
are ignoring the compliance threats
altogether.
4 | OIADA February 2013
Given the current circumstances, I
recommend all BHPH operators:
•Carefully scrutinize their
advertising and websites for
statements that could be construed
as false or misleading.
•Determine if their documentation
matches their internal policies and
practices.
•Make written disclosures of all
important contractual terms to
every consumer.
•Update and document their
internal collection, underwriting
and compliance policies and
procedures in writing and ask
employees to sign a written
acknowledgment that they have
read and understand them.
•Establish written consumer
complaint resolution procedures
and protocols.
In 2012, many operators addressed
the first four points and appointed
a chief compliance officer, as
required. Written consumer complaint
resolution procedures and protocols
have not been a priority in the past but
need to be in the future.
Dealers should have a competent
attorney review their disclosures and
contract documentation and help them
develop a compliance management
system. It will be money well spent.
I also recommend establishing
a welcome calling program shortly
after each sale to ascertain whether
the consumer had a positive buying
experience. During that call, all
consumer complaints should be
taken seriously and addressed by
the operator at that time. Consumer
complaints are best resolved before
they become a compliance issue with
regulators.
In cases in which the consumer
is being unreasonable, an operator’s
written policies and procedures can
be used as evidence to show how
that operator deals with consumer
complaints. On investigation by a
regulatory authority, the documented
policies and practices will be
considered in those circumstances.
Complaint resolution is important
in building a positive bond between
operators and their customers. The old
saying, “Treat others as you would like
to be treated,” applies here. Both the
consumer and the operator must work
together over the life of the deal to be
successful.
In 2013, the regulatory authorities
will carefully scrutinize collection
procedures. Collectors must be
particularly careful to avoid violations
of the Fair Debt Collection Practices
Act. That will require more individual
knowledge and training.
Although the year ahead is full
of legal and regulatory uncertainty,
prudent operators should start the
year with a proactive approach to
compliance. You can’t control what
others do but each operator must be
responsible and accountable for his or
her own actions.
Best wishes for a prosperous New
Year!
Note: The National Alliance of
Buy Here-Pay Here Dealers (NABD)
will host its 15th annual National
Conference for Buy Here-Pay Here
and Dealer Academy at the Wynn
in Las Vegas on May 19-23. For
registration and for more information,
visit www.bhphinfo.com or call 832767-4759.
Kenneth B. Shilson, CPA, is founder and
president of NABD, the only group exclusively
for the self-finance industry. Membership is open
to anyone in the BHPH industry and to service
providers. Members pay no dues.
OIADA February 2013 | 5
OIADA EDUCATION CLASS SCHEDULE
Pre-License – Continuing Education – Title & Registration
2013 First Quarter
Is Proud To Be In Oregon!
February 2013
TO REGISTER FOR A CLASS
8 – OIADA Salem Office – Pre-licensing
15 –Brasher’s NW Eugene – Title & Registration/
Compliance Class
22 – M
anheim Portland – Pre-licensing
March 2013
8 – Brasher’s NW Eugene – Pre-licensing
15 –Brasher’s Portland AA – Title & Registration/
Compliance Class
22 – OIADA Salem Office – Pre-licensing
29 –Manheim Portland – Title & Registration/
Compliance Class
When trying to reach your customers online the Dealix UsedCars.com Network is there to help. Get your
inventory and dealership valuable exposure on one of the fastest growing and easy-to-use auto shopping
sites on the Internet today and let us help you do the work:
Brasher’s NW Auto Auction:
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Manheim Portland Auto Auction:
3000 N Hayden Island Drive, Portland, OR 97218
Brasher’s Portland Auto Auction:
23585 NE Sandy Blvd, Portland, OR 97238
OIADA: 1475 Capitol St NE, Salem, OR 97301
• UsedCars.com and its affiliate network of websites are visited
by nearly 40% of all shoppers looking for pre-owned vehicles
Call 503-362-6839 or 1-800-447-0302
(All times, dates, locations subject to change)
Driver’s license or other positive ID required
BEFORE class begins
PRE-LICENSING IS AVAILABLE IN A “LIVE CLASSROOM FORMAT” OR
“HOME STUDY” COURSE
• Pre-licensing classes begin at 8:30 a.m. unless otherwise
noted
• Title & Registration classes begin at 9:00 a.m. unless
otherwise noted
• All dealers must complete 5-hours of Continuing
Education per year
• All persons who desire to be licensed as a motor vehicle
dealer must complete an
• 8-hour pre-licensing seminar before DMV will issue a
dealer’s license.
WWW.OIADA.COM
on the largest Internet automotive sites.1
• With the UsedCars.com Network, you will get exposure to over
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e Lead
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• For nearly 15 years, our pay for performance business model
has helped thousands of car dealers do a better job of attracting consumers to their dealerships.
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To find out how many leads we have available for the cars you’re
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market buyers; or you can return
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Special Program
s
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ADA members!
1. ComScore MediaMetrix, November 2010. Potential, unduplicated reach of UsedCars.com affiliate network.
2. ComScore MediaMetrix, September 2011.
we will, replace it with a new lead.
Dealix®
Leads to Sales
Educational Instructor
Bobbi Cockeram
Born and raised in Eastern Oregon in the little town of Vale,
Bobbi worked for the local GMC dealership in Ontario, Oregon
at the age of 18 selling to the local “Good ol’ boys” farmers and
ranchers. This is where her love for the Auto Industry started.
She relocated to the Portland area in 1996 where she entered
her career as a “Title and Registration Specialist.” It was a very
challenging time back then as there were no classes or training
of any sort, so after years of hard work, dedication, and making
it her business to become as knowledgeable as she could from
whatever resources she could find, she successfully graduated
from the school of “Hard Knocks,” and took off in the world as
an independent Auto Dealer Consultant/Title and Registration
Specialist for Oregon auto dealers. Bobbi has not only had the
opportunity to work with Oregon auto dealers, but with Dealer
Auctions, and several other states dealers as well. Additionally,
she is well versed in other state laws and DMV statues. Bobbi
started instructing Title and Registration classes as well as Prelicensing Courses and other forms of Continuing Education for us
at the OIADA 3 years ago and the classes just keeping better and
bigger. She brings to us a great deal of knowledge and experience
to our members and staff. We are very excited about partnering
with Bobbi. Her addition to the team has taken our educational
and consulting programs for our members to the next level.
Services Provided
by Bobbi:
Dealer-to-Dealer and Dealer-toConsumer Mediation
Title Training
CarFax and Auto Check Cleaning
Lost Duplicate Titles (in all states)
Title clerk fill-in
Dealer Setups
Title Preparation/Processing
Notary Services
Book Keeping Services
Title Corrections/Problem Titles
V-3 Training/ Setup
Deal Jacket Compliance Audits
Bobbi L Cockeram
Po Box 727
Gladstone, Or 97027
503-810-5535
[email protected]
OIADA February 2013 | 7
Used Car Rule Changes:
Have You Weighed In?
a sentence in Spanish on the face of
the English-language Buyers Guide,
alerting Spanish-speaking consumers
that they can ask for a copy in
Spanish.
Adding more information about
warranties: The FTC is proposing
to place boxes on the back of the
Buyers Guide where dealers will
have the option to say whether the
manufacturer’s warranty still applies,
the manufacturer’s used vehicle
warranty – such as a manufacturer’s
certified pre-owned warranty –
applies, or some other used vehicle
warranty applies.
by Lesley Fair
Dealers are familiar with what
it takes to comply with the FTC’s
Used Car Rule, but are you aware
of the key role you play in drafting
the regulations that apply to your
industry?
The FTC would like your feedback
on those suggested revisions,
including your thoughts about the
kind of information that should be
available on any new FTC site dealing
with vehicle histories.
Officially known as the Used
Motor Vehicle Trade Regulation Rule
(though only its mother calls it that),
the rule requires dealers to display a
Buyers Guide on used cars offered for
sale.
But FTC regulations aren’t written
in stone. To ensure that rules keep up
with the times, every 10 years or so
the FTC revisits what’s on the books.
Is there a continuing need for the
rule? Have there been changes to the
technological or regulatory landscape
that need to be addressed?
As part of that ongoing review,
the FTC asked for feedback about the
future of the Used Car Rule – and
boy, did we get an earful. Used car
dealers, consumer groups, industry
associations and government agencies
filed comments about how the Used
Car Rule is working.
From what we heard, a lot has
changed in how people shop for
used cars and how you do business.
Based on what we heard, the FTC has
proposed modifications to the Buyers
Guide and is again asking you to
weigh in on suggested revisions.
What’s under consideration? You’ll
want to read the complete document
on the Automobiles page of www.
business.ftc.gov, but as the FTC
explained in a Dec. 4 announcement,
8 | OIADA February 2013
it’s proposing four primary changes to
the Buyers Guide.
independent inspection before making
a purchase.”
Adding a reference to how
consumers can get information
about a vehicle’s history: There’s
more information available these days
about a vehicle’s history and the FTC
wants to help empower consumers
without burdening businesses.
Therefore, the agency is proposing
to add a statement to the Buyers
Guide encouraging consumers to
seek vehicle history information and
directing them to a new FTC website
for more information.
Revising the list of systems
on the back of the Buyers Guide:
Dealers are familiar with the list
of systems included on the Buyers
Guide, and the FTC thinks it’s a good
idea to keep it. It helps consumers
compare warranties on different cars
or from different dealers – and it’s a
handy checklist for the mechanical
and safety systems prospective buyers
might want to have inspected. But the
FTC wants to revise the list to include
catalytic converters and airbags.
As the FTC notice makes clear,
“Dealers would not be required to
obtain vehicle histories or to display
specific vehicle history information on
the proposed revised Buyers Guide.
The Buyers Guide would continue to
recommend to consumers that they
protect themselves by obtaining an
Adding a reference to the
Spanish-language Buyers Guide:
The Used Car Rule already requires
dealers to display Spanish-language
Buyers Guides when they conduct
sales in Spanish. But to ensure the
Spanish guide reaches its intended
audience, the FTC is proposing to add
hecht_autoins_ad_final_out.indd 1
But that’s not all the agency is
asking for this time around. The FTC
also would like to hear what you have
to say about Internet sales of used
vehicles. Have you spotted deceptive
practices? If deceptive practices are
prevalent, are there regulatory steps
the FTC should consider taking?
The deadline for comments is Feb.
11. By the way, the days of submitting
documents in triplicate are over. It’s
easy to file a comment online.
In addition, the FTC announced a
final rule that makes some technical
corrections to the Spanish translation
of the Buyers Guide. That portion of
the rule takes effect Feb. 11, so you’ll
want to make sure your dealership is
using the new version of the Spanishlanguage Buyers Guide, available
on the Automobiles page of www.
business.ftc.gov.
Editor’s note: NIADA met with
the FTC attorneys responsible for
oversight of the Used Car Rule in
December to discuss the proposed
changes, and after soliciting input
from its members, the association
is preparing comments to submit to
the FTC. If you have any additional
comments or ideas about the rule,
please contact NIADA’s Georgia
Brown at 1-800-682-3837 or georgia@
niada.com.
Lesley Fair is a senior attorney with the
Federal Trade Commission’s Bureau of
Consumer Protection and has represented the
FTC in deceptive advertising investigations.
She now specializes in business education and
compliance.
2/3/11 2013
10:23:10|AM9
OIADA February
Negative SEO?
directory listings.
How your competitors could be sabotaging your website.
By Michael D. Jackson
There are two types of linking
that can be done with any website:
internal linking and external linking.
Internal linking is linking to resources
inside your website/domain, while
external linking links to web pages or
other resources outside your website/
domain.
A link on another website that
points to your site can either have
value to it and help your site or it can
have a negative effect on your website
and hurt you. External links that
point to your site are a common way
negative SEO is applied, and it is very
hard to see because it all happens away
from your site and is nearly invisible.
When you first hear the words
“Negative SEO” you probably think it
sounds like an oxymoron. You know,
like living dead, original copy, dark
light or accidentally on purpose.
But two items that don’t seem to
mesh are finally doing so.
During this election year, we have
all seen the dirty tricks politicians have
played on each other – negative smear
campaigns and truth spinning. But
don’t think those tactics are isolated to
politics.
In the automotive industry, there
are growing numbers of companies
that like to play dirty as well, and if
you are not aware of it yet, you need
to continue reading.
With the constant uphill battle
of your competition “flagging” your
ads on Craigslist or leaving negative
reviews on listing services such as
Dealerrater.com, Google Places or
10 | OIADA February 2013
even Merchant Circle, the war has just
become a bit more complicated.
Forcing one website to appear
lower in the SERP (search engine rank
placement) means other websites will
climb higher in the SERP. That’s why
negative SEO is considered a viable
model by unethical website providers
and online marketing companies.
The most common form of
negative SEO is accomplished by
linking a website to low-quality,
unrelated businesses. Those are called
“black-hat” links – they’re the bad
guys.
Links are among the most
important items when it comes to
SEO (search engine optimization),
but you want to make sure related
industry businesses are linking into
your website. Links can pass value to
your website when done the right way.
Links can harm your website when
done the wrong way.
If you are link swapping with other
businesses, you always want to make
sure the links you are pointing to are
valid websites that are still in business.
If you are linking to an off-line
website, or “dead link,” as it is called,
it can easily wipe out the value of
hundreds of positive links.
Disassociated business links
and unnatural links: Disassociated
links are considered an attempt to try
to boost the ranking of your site for
the sole purpose of increasing your
position.
Some businesses think all links
are good links. Right? Wrong! Make
sure links pointing to your website are
within your general industry – stay
away from disassociated links, such as
linking a used car dealership with, say,
a flower shop, a hardware store or a
movie theater.
In addition to disassociated links,
there are companies referred to as
“link farms” that advertise they’ll
sell you hundreds or thousands of
incoming/inbound links, which
are referred to as “backlinks.” The
companies will point those links to
your website for a monthly fee.
Most of the time, the companies
will claim the links they provide will
be within the same industry as your
business, but there is no real way
to guarantee that. Google recently
released an update called the Penguin
that in part identifies websites in
the link farm business that offer
unnatural links. If you are found on
the receiving end of those links, you
could have some serious issues with
your online placement.
Because there is nothing to keep
a competitor from signing up your
website’s URL with those kinds of
companies, and the links do not
appear on your website, that style of
attack can easily go unnoticed.
Be aware of who is linking to you.
Periodically looking into what links
are being directed to your website can
help detect negative SEO campaigns
that have been launched against your
business, as well as identify any links
that are unrelated to your industry.
There are many free websites you
can use to check for backlinks. A good
free site to check is www.ranksignals.
com, which allows you to identify the
total number of backlinks as well as
get a page rank of the links that are
pointing to your website.
Michael D. Jackson is CEO of Auto
Search Technologies, Inc. He can be reached
at (949) 608-0809 or ceo@autosearchtech.
com.
Related incoming business
links: You might have heard the
term “link swapping.” That’s when a
business asks you to place a link to it
on your website in exchange for a link
from its website.
That can be beneficial if the
business is in the same industry
as you are. For example, if a used
car dealership swaps links with an
auto repair/service facility, a towing
company or a tire sales business.
There is a reason for you to swap
links because you are helping your
customers navigate to a product or
service that you might not offer that
could be considered helpful. Value can
be associated to both websites in that
process.
Each of the links from the other
website that points to your website
counts as an “incoming/inbound link”
to your site. Other related links that
can qualify are from third-party paid
listing services, social media outlets,
online video channels and business
OIADA February 2013 | 11
NIADA Regulatory Report
Federal Trade
Commission
Proposed changes to the Used
Car Rule: Last month, the FTC
released a proposed change to the
Used Car Rule, which would make
the following changes to the Buyers
Guide:
• Add a statement encouraging
consumers to seek a vehicle history
report and directing them to an
FTC website with information on
vehicle histories.
• Add a statement to the English
Buyer’s Guide noting the document
informing Spanish-speaking
customers they can request the
guide in Spanish.
• Adding catalytic converters and
airbags to the systems covered on
the back of the guide.
• Placing boxes on the back of
the guide giving the dealer the
option of informing the consumer
whether the manufacturer’s
warranty still applies or whether a
manufacturer’s used warranty (such
as a CPO warranty) or another
third-party used vehicle warranty
applies.
The FTC is seeking comments
regarding the changes. Comments
must be submitted by Feb. 11.
NIADA chief operating officer
Steve Jordan, Region III vice president
Gordon Tormohlen and counsel
Shaun Petersen met with the FTC
attorneys responsible for oversight
of the Used Car Rule on Dec. 12 to
discuss the proposed changes.
NIADA also plans to submit
written comments.
In addition, the commission made
minor changes to the Spanish guide,
effective Feb. 11. The revised Spanish
version is available at www.ftc.gov.
Dealers can use up their remaining
Spanish-language guides after Feb. 11,
but must transition to the new guide
when existing stock is used up.
The FTC is also seeking comments
on deception in Internet vehicle
transactions. NIADA will submit
comments.
Settlement with car loan
modification company: On Nov.
29, the FTC entered into a settlement
agreement with a motor vehicle loan
modification company regarding
its unfair and deceptive practices.
The modification offered by the
company allegedly promised to save
vehicles from repossession and lower
vehicle payments. In order to obtain
the modification, consumers were
required to pay high up-front fees.
Ultimately, the modification provided
no value to the consumer.
No civil penalty was assessed
to the directors or company, but
the company and its owner have
heightened reporting and record
retention requirements over the next
20 years.
Interim Red Flags Rule,
limiting the definition of creditor:
The interim rule constricts the term
“creditor,” which is covered by the
Red Flags Rule. Under the new rule, a
creditor is covered if, in the ordinary
course of business, it regularly obtains
or uses consumer reports in credit
transactions, provides information
to consumer reporting agencies in
relation to a credit transaction or
advances funds to a person.
The FTC has invited comments
on the proposed change. NIADA is
evaluating the changes.
ASSOCIATE MEMBER LIST: Your Dealer Products and Service
Top officials leaving: The
FTC announced David C. Vladeck,
director of the Bureau of Consumer
Protection, left Dec. 31 to return
to a faculty position at Georgetown
University Law Center. Deputy
director Charles A. Harwood will
serve as the BCP’s acting director.
In addition, FTC executive director
Eileen Harrington retired at the
end of 2012, with deputy executive
director Pat Bak taking over on an
interim basis. The executive director is
responsible for the administration and
management of the FTC.
Consumer Financial
Protection Bureau
The CFPB announced plans to
share consumer complaint data with
state agencies that have jurisdiction
over consumer protection activities
via a secure channel that protects
confidential and personally identifiable
information. The bureau plans to
accept complaints and information
from state agencies in the future.
The Federal Reserve Board and the
CFPB increased the dollar thresholds
in Regulation Z (Truth in Lending)
and Regulation M (Consumer Leasing)
for exempt consumer credit and
lease transactions. Transactions at
or below the thresholds are subject
to regulation. For dealers, the Truth
in Lending Act and the Consumer
Leasing Act generally will apply to
consumer credit transactions and
consumer leases of $53,000 or less
beginning Jan. 1.
The Wall Street Journal reported
deputy director Raj Date, the CFPB’s
No. 2 official behind director Richard
Cordray, will leave the agency he
helped create Jan. 31, after the CFPB
ADVERTISING
PUBLIC AUCTIONS
HEALTH CARE & BENEFITS
Affiliated Media LLC
Ronald Massey, 503-705-9497
Insurance Auto Auctions, Inc.
Ryan Hall, 503-253-1500
The Summit Group of Oregon, LLC
John Petrie, 503-581-2825
AutoTrader.com
Ed Merrick, 503-747-9162
[email protected]
Petersen Auction Group of Oregon
Curt & Susan Davis, 541-689-6824
INSURANCE & BONDING
Woodburn Auction
Steve Morin, 503-981-8185
www.woodburnauction.com
Consumer Insurance USA
Robert Wells, 877-431-0970
Carsforsale.com
Aaron Oestretch, 605-306-3302
Cars.com
312-601-6134
The Oregonian
Rich Fryback, 503-221-8486
DEALER SOFTWARE
Skywerks
Martyn Olliver, 425-738-0234
UCMLink www.ucmlink.com
Allison Pittman, 601-812-5876
Frazer Computing
Michael Frazer, 888-963-5369
UsedCars.com by Dealix
Tamara Garris, 704-243-6652
FINANCING
AUTO ACCESSORIES
Auto Marketing Associates Northwest
Gary Palaniuk, 503-519-7725
PRIVATE AUCTIONS
Brasher’s Portland Auto Auction
Jerry Hinton, 800-300-3200
www.BrashersPortland.com
Brasher’s Northwest Auto Auction
Mark Melton, 800-905-3901
www.brashersnw.com
CrosspointNW Dealer Auction
Brian Hardy, 503-594-2800
www.crosspointnw.com
Credit Concepts
Jason Moon, 541-342-8545
Oregon Roads, Inc.
New & Used Vehicle & Commercial Leasing
Joseph McKinney, 541-683-2277
JP Morgan–Chase Auto Finance
Jeff DeGarmo, 503-201-4370
Nationwide Northwest, LLC
Mark Tischer, 503-339-4165
Reliable Credit Association
David Marx, 503-462-3022
Gold Acceptance/ Oregon Auto Finance
1700 Valley River Dr. #300
Eugene, OR 97401
Gary Veum, 541-868-0472
OUT-OF-STATE AUCTIONS
SmartwayAdvisors
Sheldon Harris, 503-795-7700
Manheim Seattle Auto Auction
Julie Picard, 206-762-1600
Shepard & Shepard Insurance
Phone- 855-396-0488 509-396-0488
www.shepardinsurancequote.com
LEASING
Manheim Portland Auto Auction
503-286-3000
www.manheim.com
Dealer’s Auto Auction Northwest
Steve Doyle, 509-244-4500
Shepard and Shepard Business Solutions
Todd Shepard, 509-396-2439
Credit Acceptance
John Bragg, 253-279-3230
United Finance:
Burnside, 503-232-5153
Eugene, 503-342-7671
Salem, 503-585-6411
Medford, 541-779-7391
Adesa Seattle Auto Auction
Jason Arcaro, 253-735-1600 x 213
Hecht & Hecht Insurance
Evelyn Hecht, 800-609-0979
[email protected]
SERVICE CONTRACTS
A.U.L. Corporation
Jacqueline Swank, 800-826-3207
Automotive Business Developers
Shannon Meany, 541-944-9186
Auto Marketing Associates Northwest
Gary Palaniuk, 503-519-7725
Auto Services Company
Dick Proudfoot, 503-705-7597
A.U.L. Corp/ D.P.C. Inc.
Jim Bangert, 360-834-3333
Protective - Asset Protection Division
Dylan Doran, 818-836-1455
FLOORPLAN FINANCING
TRAINING
Floorplan Xpress
Sean Fodrea, 503-621-9260
[email protected]
Automotive Business Developers
Shannon Meany, 541-944-9186
Dealer Services Corporation
Garrett Jorewicz, 866-230-0820
OIADA: Continuing Education, Title &
Registration, & Pre-licensing
Pauline Sill, 800-447-0302
continued on p. 14
12 | OIADA February 2013
OIADA February 2013 | 13
Oregon Independent Auto Dealers
Association
Oregon Dealers News Corner
MEMBERSHIP APPLICATION
Thank You to Our Renewing Members
Business Name
Khaled Alkhudher
503-481-2106
Rafik (Roy) Saydi
503-442-4443
Vic (Renyold) F. Keeler
503-636-7896
Bob Schiedler
541-746-8515
Jerry McMullin
503-623-6686
Ray Priest
206-762-1600
Jim Smith
503-970-0335
Polaris Simones
541-267-6384
Siavash Safari
503-697-3386
Robert J. Beal
503-666-9002
Elma Gazibara
503-490-6259
Scott Amon
360-904-8076
Daniel Gherman
503-246-2200
Dave Ury
503-302-6292
City ________________________ State/ZIP_________________________________
Glenn Hoffinger
503-235-0528
Shahin Mottaghi
503-235-7555
Victor Sam
503-688-9270
Jacob Pigg
541-258-0772
Mailing Address (if different)
Jake Rockwell
541-292-4444
LeAnn Victor
541-367-8866
Biz. Ph.# _________-___________-__________ Driver’s Lic.#___________________
Gordon Orluck
503-668-9603
Marcy Wambach
503-653-0100
Gregory Miles
541-688-5036
Ed Bazzaz
503-793-5554
Email__________________________________________________________________
R. Kevin Wheeler
503-473-3123
Jerry Fry
503-831-2330
Scott Weld
541-501-0828
Tim Amlin
541-469-9051
Brian Brooks
541-971-5565
Daniel Crainic
503-764-5623
John B Rumsey
541-298-2886
Therese Richardson
503-266-6468
Jim Nelson
541-345-1801
Regulatory Report
Dollar/Thrifty, as well as the American Car Rental
Association, endorsed new legislation authored by the
senators to keep recalled vehicles off the road. Those four
companies represent 93 percent of the rental car market.
finalizes the mortgage rules Congress mandated.
The deal caps a long push by the senators and consumer
safety advocates to fix a loophole in current law. While car
dealers are prohibited from selling a recalled automobile,
rental car companies are not barred from renting or selling
one.
Continued from page 12
Date played a critical role in the agency’s mortgage
rulemaking project and ran the agency from August 2011
until Cordray was appointed in January 2012.
Legislative Report
Rental Cars
Sens. Charles E. Schumer (D-N.Y.), Barbara Boxer
(D-Calif.) and Claire McCaskill (D-Mo.) reached an
agreement with the top four U.S. rental car companies to
stop renting or selling vehicles that have been recalled by
their manufacturer.
Under the deal, rental car companies Enterprise/
National/Alamo, Hertz/Advantage, Avis/Budget and
14 | OIADA February 2013
The new Senate bill would change that, requiring vehicles
under a safety recall to be grounded as soon as possible.
Rental companies would have up to 48 hours for recalls that
include more than 5,000 vehicles in their fleet.
Also under the legislation, the National Highway Traffic
Safety Administration will, for the first time, have authority
to investigate and police rental car companies’ recall safety
practices.
Dealer# ___________
Expiration: ___________
Name_____________________________________Spouse_______________________
Biz. Address
Cell# ________-________-_________Fax#________-________-_________
SIGNATURE _________________________ Date
Upon acceptance as a member, I pledge to uphold the OIADA Code
of Ethics and all laws pertaining to the automobile business.
PAYMENT MUST ACCOMPANY THIS APPLICATION…………….Annual
PAC – Political Action Committee – Keeps us strong at the Legislature
dues - $325
Your voluntary $50 contribution is an Oregon Tax Credit taken
directly off your state tax liability.
Your contribution will actually cost you nothing
Visa ___M/C ___ Discover ___ American Express _____
PAC $ 50
$375
Check # ______
#--------------------------------------------------------------- Exp. _____/_____ CVC ______
Office Use
Sponsor ________________
Renew Date ___/1/___
Trans _____ QB _____ PAC _____ Access _____ ODN _____ MBR_____
By completing this form, I am consenting and giving OIADA/NIADA, its affiliates and subsidiaries, my permission to
contact me and provide information to me at the mailing and email address, telephone and fax numbers I have provided.
OIADA
1475 Capitol St. NE, Salem, OR 97301| Phone 503-362-6839| Fax 503-364-7331
and
Certify Below
OIADA CONTINUING EDUCATION PROGRAM
Complete this test and Certify below that you have read the articles for February 2013
Buy Here, Pay Here
Compliance
In 2013, the regulatory authorities will carefully scrutinize collection
procedures. What is it called that the collectors must be particularly careful to
avoid violations? ____________________________________________
Negative SEO
What does the term “link swapping” mean ___________________________
and why or why not would you want this for your business? _______________
_______________________________________________________________
What does “Negative SEO” mean? ___________________________________
_______________________________________________________________
FEBRUARY 14th
Sweetheart Sale
Join us for a great selection of cars, trucks, and bikes
PLUS - Post-sale giveaways including Godiva chocolates,
Dom Perignon, and more!
FEBRUARY 27th & 28th
Officially known as the Used Motor Vehicle Trade Regulation Rule (though
only its mother calls it that), does the rule require dealers to display a Buyers
Guide on used cars offered for sale.
True ____ False ____
T
Y
L
What are the 2 new items that the FTC wants to include to the list on the back
of the Buyers Guide?
1)_____________________________ 2) ____________________________
ON
The Buyers Guide would does not recommend to consumers that they protect
themselves by obtaining an independent inspection before making a purchase.
True ____ False ____
Sponsored by Legacy Ford &
McCurley Integrity Dealerships
THE CRO
NK
ING
R
TU
ES
IT
The FTC is proposing to add a statement to the Buyers Guide encouraging
consumers to seek vehicle history by directing them to the FTC website.
True ____ False____
FE
A
Used Car Rule Changes
COMING IN FEBRUARY
TO DAA NORTHWEST
ES
Read & Respond
W
AT
DA A N O RT H
Josh Dykes of Legacy Ford and
Kenny Shoemake of McCurley Integrity Dealerships
purchased “An Evening with The Cronkites”
at our November Anniversary Fundraiser.
Their generous contribution benefitted
local and international charities,
and now they’re sharing their purchase with you,
their DAA Northwest dealer friends.
I certify to OIADA that I have personally read these articles in The Oregon Dealer News Magazine for #02-2013
4:00 p.m. sale Wednesday featuring
Legacy Ford, McCurley Integrity Dealerships,
Ford Motor Credit Company, LLC & Avis Budget Group
My Name __________________________________________________________________________(printed)
The Cronkites will perform in the barn immediately after the sale.
Bring your sweetheart and enjoy appetizers, beverages, and dancing!
Dealership Name ___________________________________________________________________________
PLUS - Join us Thursday morning at 9:00 a.m. for 1400 units in 8 lanes!
Dealer License Expiration Date:_______________________________ Dealership #_____________________
Signed: __________________________________________________________Date _____________________
FAX TO: 503-364-7331 or mail to OIADA, 1475 Capitol St. NE, Salem, Oregon 97301
16 | OIADA February 2013
2215 South Hayford Road
Spokane, WA 99224
P: 509.244.4500
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