The beginning of the year saw the release of new federal laws and regulations that added to the never-ending and very strict compliance requirements expected of dealerships. Luckily, most dealers have discovered that the updated Privacy Notice requirements plus the Risk Based pricing Notice are things that are easy to deal with. Making use of the new Model Privacy Notices plus the credit score disclosure exemption to risk based pricing notices are very simple things to handle - they are merely a few more documentations to add to the pile. The main thing that has given thousands of dealerships sleepless night sis the Red Flags Rule, which is a different story altogether.
This rule requires that a dealership is a good citizen, and secondly, a cop. There is no shortcut about it, in case the red flags get detected when doing a credit transaction, one will be required to take some very proactive measures that will slow down the whole process and of course create some additional work. This explains the reason why most dealerships have opted for the dealerTrack DMS, an automated program that helps dealerships stay in compliance with the strict rules and regulations that came into effect.
The programs are not only effective in helping people navigate through the Red Flags rule but also helps them keep good and transparent record of their auto dealership, providing instant results as and when they are required. Basically, if you have not started using the dealership track DMS, your problems will start when the system detects a potential €red flag€, which unfortunately is a very common occurrence in most deals today.
Active duty or fraud alerts on address discrepancies, credit bureaus, multiple new accounts that have been opened recently, or multiple €suspicious inquires€ are few of the situations thought to be identity theft by these red flags. More often than not, when a red flag is detected in the course of a transaction, most of the staff members are unable to take the right course of action, either through a lack of knowledge or fear of what to do next.
It is because of this that the company behind Dealertrack DMS has put in place staff training programs both online and offline to help ensure they are fully equipped to not only handle red flags that may arise but also other complications and technicalities that may make the process slow down. The company admits that even the best of programs in the market is not infallible in that a very experienced identify thief can still succeed. However, the automation of dealerships has seen to it that everything can be tracked down to the T, and the right action taken on time to protect dealerships as well as their clients.
This rule requires that a dealership is a good citizen, and secondly, a cop. There is no shortcut about it, in case the red flags get detected when doing a credit transaction, one will be required to take some very proactive measures that will slow down the whole process and of course create some additional work. This explains the reason why most dealerships have opted for the dealerTrack DMS, an automated program that helps dealerships stay in compliance with the strict rules and regulations that came into effect.
The programs are not only effective in helping people navigate through the Red Flags rule but also helps them keep good and transparent record of their auto dealership, providing instant results as and when they are required. Basically, if you have not started using the dealership track DMS, your problems will start when the system detects a potential €red flag€, which unfortunately is a very common occurrence in most deals today.
Active duty or fraud alerts on address discrepancies, credit bureaus, multiple new accounts that have been opened recently, or multiple €suspicious inquires€ are few of the situations thought to be identity theft by these red flags. More often than not, when a red flag is detected in the course of a transaction, most of the staff members are unable to take the right course of action, either through a lack of knowledge or fear of what to do next.
It is because of this that the company behind Dealertrack DMS has put in place staff training programs both online and offline to help ensure they are fully equipped to not only handle red flags that may arise but also other complications and technicalities that may make the process slow down. The company admits that even the best of programs in the market is not infallible in that a very experienced identify thief can still succeed. However, the automation of dealerships has seen to it that everything can be tracked down to the T, and the right action taken on time to protect dealerships as well as their clients.
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