2020Directory_FNL_FlippingBook

Compliance For New York City Dealers

New York City Financial Disclosure Law New York City’s new consumer protection laws require dealers to disclose the financing “buy rate” and other information to used car customers. Additionally, dealers must provide customers with the option of having two- days to reconsider purchasing a specific vehicle or to waive the 2 days by taking delivery of the vehicle. The DCA has developed three new forms to be used in pre-owned car sales. Dealers will need to keep the completed forms for six years. Dealers will also have to keep reports that show a monthly breakdown of the number of customers who accepted the cancellation option and how many sales were cancelled. The law also requires dealers to post a new sign informing customers of their rights. GNYADA makes these signs available to GNYADA members free of charge; all forms are available on DCA’s website.

HOT TOPICS

FINANCING DISCLOSURES

The financing disclosure formmust be: • Printed on 8.5”x 11”paper • Printed in the language in which the sale was negotiated if DCA has made the form available in that language (check DCA’s website).

The formmust include: • The total cash price without add-ons; • The total sale price, monthly payments, and finance charges of the vehicle alone; • The lowest APR available to the buyer (which DCA considers to be the buy rate); • The APR being used for the sale; • The contract APR which is the amount the customer will pay;

• The total sale price and monthly payment amount of the car with each customer-selected add-on plus the new financing charge.

47 2020 MEMBERSHIP DIRECTORY & SERVICES GUIDE