What is FTC used car Rule?

Enforced by the Federal Trade Commission, the Used Motor Vehicle Trade Regulation Rule – most people call it the Used Car Rule – requires dealers to display on used cars a window sticker called a Buyers Guide that contains warranty and other information. The Used Car Rule has been in place since 1985.

What are the rules for an used car dealership?

As you grow, you could always branch out into new brands or price points as well. Used car dealerships do need to comply with the Federal Trade Commission’s used car rule, which states that dealers must include a buyer’s guide for each vehicle and allow buyers to inspect the vehicle before purchasing, among other requirements.

Do you have to have Buyers Guide for used car?

You must post a Buyers Guide before you display a vehicle for sale or let a customer inspect it for the purpose of buying it, even if the car is not fully prepared for delivery. You also must display a Buyers Guide on used vehicles for sale on your lot through consignment, power of attorney, or other agreement.

What makes an used car dealership a good business?

What is a Used Car Dealership Business? Used car dealership business as the name implies is all about selling used cars to willing buyers. Aside from the fact that the owners of used car dealership shops are known for selling used cars, they also go out of their way to source for people who want to sell their cars.

Do you have to comply with the FTC used car rule?

Most car dealers who sell used vehicles must comply with the Federal Trade Commission’s (FTC’s) Used Car Rule. In fact, car dealers who sell, or offer for sale, more than five used vehicles in a 12-month period must comply with the Rule.

What are the laws and regulations for car dealers?

To assist you in keeping legally abreast, DMV.ORG has authored a dealer-related information page full of current state legislation laws regarding dealership business practices. On this page you’ll find a comprehensive list of regulations touching on Lemon Laws, misleading advertising, warranty agreements, pricing, documentation fees, and more.

Most car dealers who sell used vehicles must comply with the Federal Trade Commission’s (FTC’s) Used Car Rule. In fact, car dealers who sell, or offer for sale, more than five used vehicles in a 12-month period must comply with the Rule.

You must post a Buyers Guide before you display a vehicle for sale or let a customer inspect it for the purpose of buying it, even if the car is not fully prepared for delivery. You also must display a Buyers Guide on used vehicles for sale on your lot through consignment, power of attorney, or other agreement.

How often do car dealers have to sell used cars?

In fact, car dealers who sell, or offer for sale, more than five used vehicles in a 12-month period must comply with the Rule.