june 2014 issue fiada independent dealer magazine
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June 2014 Issue FIADA Independent Dealer MagazineTRANSCRIPT
June 2014 — Independent Dealer — 1 www.fiada.com
Information and Insight for Florida Used Car Dealers
SINCE 1940
A Publication of theFlorida IndependentAutomobile DealersAssociation
JUNE 2014
PRST STDU.S. POSTAGE
PAIDFULTON, MO
PERMIT NO. 38
www.FIADA.com
10 Claim Your Sales Tax RefundOr leave the money on the table. The choice is yours when it comes to repos and bad debts.
We have the suppliesyour business needs:
12 Dealer Open Lot CoverageRead your policy and know what it says before you make a claim.
20 Have a PlanBest practices of successful dealers.
June 2014 — Independent Dealer — 3 www.fiada.com
DealerIndependent
MAILING ADDRESS 1840 Fiddler Court Tallahassee, FL 32308 TELEPHONE (850) 385-2712 (800) 237-0448 FAX (850) 385-3251 WEBSITE www.FIADA.com
EXECUTIVE COMMITTEE Dino Mercurio President
Jim Winterick, Sr. Senior Vice President
Christopher Leedom Chairman of the Board
Phil Risley Secretary
Paul Matton Treasurer
Lisa Compagno Regional Vice President
Frank Fuzy Regional Vice President
George Hickey Regional Vice President
Steve Marbais, CMD Regional Vice President
Govinda Romero Regional Vice President
FIADA STAFF Lisette Mariner Executive Director
Terry Myers Educational Instructor
Sarah Langley Administrative Director
Nicole Lee Development Administrator
Amelia Tillman Member Services
Christy Taylor Editorial/Advertising
POSTMASTER:Send address changes to
FIADA • 1840 Fiddler CourtTallahassee, FL 32308
(850) 385-2712 • Toll Free: (800) 237-0448Fax (850) 385-3251 • www.FIADA.com
The Independent Dealer is a publication of:Florida Independent Automobile
Dealers Association,1840 Fiddler Court, Tallahassee, FL 32308
The magazine is published every month inTallahassee and distributed to Florida new, used,
wholesale and lease/retail car dealers.Advertising rates are available upon request.
The statements and opinions expressedherein are those of the individual authors and do
not necessarily represent the views of Independent Dealer or the Association. Likewise, the
appearance of advertisers, or their identification as members of FIADA, does not constitute an
endorsement of the products or services featured.
ContentsJune 2014
For members of the Florida Independent Automobile Dealers Association
C O LU M N S & F E AT U R E S
4 President’s Message Dino Mercurio
6 Executive Director’s Message Lisette Mariner
8 Member News
10 Back to the Basics Terry Myers explains when you can claim a sales tax refund.
12 Keys to Insurance Insurance Agent of Record Kevin O’Connor tackles the timely topic of Dealers Open Lot coverage.
16 Be Prepared with FIADA Benefits
18 Legislative Update FIADA Lobbyist Sandra Mortham looks ahead to what dealers can do in the upcoming election season.
20 Improve Your Business by Having the Right Plan A top ten action list of best practices for successful dealers.
24 FIADA’s 2014 Annual Convention & Trade Show Registration is now open for the state’s premier dealer event. See the tentative schedule and use our registration form to save your spot.
26 A Look at Current Legal Issues The monthly round-up of federal and legal issues affecting auto dealers.
29 Don’t Miss Out On Your Free Lunch The July Town Hall Meeting is almost here. Make plans to attend and enjoy a complimentary lunch and education session.
30 Industry News
F R O M T H E P R E S I D E N T
Plan to Be PreparedBY DINO MERCURIO, FIADA PRESIDENT
I’m sure most of you have heard the old adage, “Nobody plans to fail, they just fail to plan.” This is a very profound statement, and although it can have a slightly different
meaning to each of us, I believe there has never been a truer statement uttered.
Some things we need to plan for are obvious. It’s the unknowns and unforeseen things that come up that makes us think, “I wish I had a crystal ball!” Life throws us curves all the time, but the ones who are up-to-date, informed and educated are much more equipped to handle these curve balls when they arise. And, the best way to stay up-to-date, informed and educated in the used car industry is to get involved with the FIADA.
FIADA is the only association that represents you and your rights day in and day out. There are many different ways to get involved and be a part of this great dealer association, the easiest being joining as an FIADA member. It doesn’t require anything more than submitting an application with your minimal dues payment, for your 12 full months of benefits to begin immediately! No homework, no assignments, no effort required. Just sit back and enjoy your monthly magazine full of information, the outstanding website you can access 24-7,
www.fiada.com4 — Independent Dealer — June 2014
and an 800 number you can call to reach our fantastic staff to answer that burning question.
You will even get a coupon book worth thousands of dollars in discounts and freebies at auctions and with industry vendors all over the state, covering the cost of joining many times over. As a member, you can also attend (for free!) any of our Town Hall or Quarterly Board Meetings to get hands-on, up to the minute information, meet vendors who can improve your business, and network with other dealers who have decades worth of knowledge and experience.
Don’t fail to plan. Let the FIADA be your crystal ball and open your eyes to all the things going on in the industry today. Plan to attend the the next Town Hall and Board Meeting this summer. It will be at the beautiful Daytona Beach Resort at Ocean Walk Village, July 18-19. It’s right on the beach, so bring your family, bring the kids and make a summer fun weekend of it all while gaining the knowledge you need to be successful in today’s marketplace.
Dino MercurioFIADA President
Where’s Your Sign?Election season is approaching, which means candidates will be looking for a place to stake their signs. Help them out, along with the Association, by offering to display some at your dealership. It costs you nothing, but gains so much for the Association and the industry!Call FIADA at (800) 237-0448 to find FIADA-friendly candidates in your area.
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A “National Corporate Partner” has met stringent NIADA criteria demonstrating that it can provide valuable products and services to NIADA members. No legal partnership has been created by the granting of this status, but NIADA does receive compensation from Protective. Limited Warranty Products, Vehicle Protection Plans (VPPs) and GAP are backed by Lyndon Property Insurance Company in all states except NY. In NY, VPPs are backed by Old Republic Insurance Company, Limited Warranty Products are backed by Western General Insurance Company and GAP is not available. Credit Insurance is backed by Protective Life Insurance Company in all states except NY, where it is backed by Protective Life and Annuity Insurance Company.
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E X E C U T I V E D I R E C T O R ’ S M E S S A G E
Let’s Get Ready TogetherBY LISETTE MARINER, EXECUTIVE DIRECTOR
It’s that time of year… Hurricane Season. In 2004, Florida faced four hurricanes. Charley, Frances, Ivan and Jeanne were among the costliest hurricanes to hit
the US. There were 15 named storms that season, nine of which were hurricanes. Then, in 2005, we had Hurricane Katrina and in 2012 there was Hurricane Sandy. The 2013 Atlantic hurricane season was the first Atlantic hurricane season since 1968 to feature no storms of at least Category 2 intensity. Fortunately, the National Oceanic and Atmospheric Administration (NOAA) is predicting a near normal or below normal Atlantic hurricane season, with eight to 13 possible tropical storms and three to six possible hurricanes.
As we prepare for what will hopefully be a not-so-turbulent hurricane season, there are still many precautions that should be done. Even if the storms we get do not have dangerously high winds, the rain alone from these storms can be damaging. You still need to make sure that your home and your business are ready for what may come.
Even when the forecast is mild, things can change quickly.Just as you would prepare the physical structure of your business for a storm, you should prepare the day-to-day operations of your business for success. The first step to any plan is to gather information. Create a directory full of the resources you need. Find the phone numbers, websites, contact info for the people who would be most helpful in different circumstances. For example, FIADA should be
www.fiada.com6 — Independent Dealer — June 2014
one of your primary resources for technical assistance. As a member, you have the benefit of speaking to our General Counsel to answer questions such as, “I received a bankruptcy letter, what do I next?” or, “A customer bought a car, and now wants to return it, what am I obligated to do?” Whenever a technical or legal question comes up, call FIADA at (800) 237-0448.
Prepare your staff by arming them with FIADA resources, too! FIADA offers abundant educational and networking opportunities. We have archived webinars, online courses, and multiple networking opportunities to learn from successful dealers and ask the experts. Our next networking opportunity is the Town Hall Meeting coming up on July 18 at the Daytona Beach Resort/Ocean Walk Village in Daytona. Then, of course, you can’t miss the Annual Convention, October 9-12 at the Omni Hotel & Resort ChampionsGate in Orlando. We always have great speakers and dealers from around the state that know the pitfalls of running a dealership in today’s market.
Now that you’ve gathered your materials, the next step is to develop your plan. Include FIADA in you plan to succeed. Join a committee and guide the direction of the Association. Provide feedback to me about what’s keeping you up at night. If you’re not a member of the Association, joining is easy. Visit
www.FIADA.com and click on membership or use the application on page 17 of this magazine.
Finally, practice your plan! Don’t wait for a storm to strike. Make sure that as a member of the Association you are utilizing your benefits every day. Visit www.FIADA.com and see what we have to offer.
Prepare yourself and your staff with FIADA resources such as archived webinars, online courses and multiple networking opportunities to learn from successful dealers and experts.
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M E M B E R S H I P N E W S
New Members MAY 2014
3D AUTO RENTALSebring, FloridaDavid MeierSponsor: Jennifer Finlay
AASTRO AUTOS OF SOUTH FLORIDA INCChicago, IllinoisDon KindwaldSponsor: Sarah Langley
ARION MOTORS INCPlantation, FloridaAdnan RadoncicSponsor: NIADA
AUTO DEALER SOLUTIONS LLCPalmetto, FloridaJessica DunnamSponsor: Amelia Tillman
CAPITAL CITY IMPORTSTallahassee, FloridaAhmed SalemSponsor: Amelia Tillman
CAR SPOT OF CENTRAL FLORIDAMount Dora, FloridaRobert DiGiacomoSponsor: Sarah Langley
HOSPITALITY MOTORSOrlando, FloridaJohn RollerSponsor: Kevin Scott
INVESTMENTS MR LLC DBA THE MOBILE HOME WAYLake Worth, FloridaAleen RosenheimSponsor: Sarah Langley
L’TASHA HUYGHUEDavenport, FLSponsor: Terry Myers
M MOTORS LLCNaples, FloridaJeff MoffetSponsor: Terry Myers
MIAMI MOTORSPORTSMiami, FloridaGabriela SolisSponsor: Magazine
RENT A WRECK USED CAR RENTAL AND LEASINGLaurel, MarylandAndrew IatridisSponsor: Amelia Tillman
SPRINGER MOTORS INC.Wellington, FloridaJerry SpringerSponsor: Frank Fuzy
THOMAS MCDERMOTTMicanopy, FloridaThomas McDermottSponsor: Terry Myers
TONY’S AUTO SALES OF VENICE LLCVenice, FloridaTony BookerSponsor: Terry Myers
WHEEL CITY AUTO FINANCE CENTERSSioux Falls, South DakotaKaren HarshSponsor: Amelia Tillman
30+ Year MembersM & W Auto Sales Panama City, FL
20+ Year MembersHarold D. Corey Auto Broker Indian Rocks Beach, FLManheim Tampa Tampa, FLTallahassee Auto Auction Tallahassee, FLVIP Auto Sales Jacksonville, FL
10+ Year MembersAuto Select Saint Augustine, FLAutomax Palm Harbor, FLBuyer’s Zone, Inc. West Palm Beach, FLDick Moye Auto Sales, Inc. Pensacola, FLGallagher Promotional Products Longwood, FLJ-Linn Motors Clearwater, FLTed’s Auto Sales, Inc. Saint Petersburg, FLTrinity Motors Sarasota, FLVan’s Cars & Trucks Brooksville, FL
Under 10 Year MembersABCOA/Deal Pack Software Jacksonville, FLAdvanced Vehicle Modifications, Inc Ocala, FLAFS Acceptance LLC Ft Lauderdale, FLAshton Agency, Inc. Winter Park, FLAutoRaptor CRM Providence, RIBNM Enterprises, LLC Saint Augustine, FLCar Surplus Inc. Mary Esther, FLCarBucks Greenville, SCCars.Com Chicago, ILCentral Florida Auto Wholesale, Inc. Leesburg, FLCentral Florida Sales & Leasing Orlando, FLChaney’s Used Cars, Inc. Avon Park, FLCheckered Flag Auto Sales Lakeland, FLCliff Shuler Auctioneers Titusville, FLDealer Funding, LLC Atlanta, GADennis LeVine & Associates, PA Tampa, FLFirst Auto Sales Bradenton, FLFlorida Cars USA Miami, FLHinshaw & Culbertson, LLP Tampa, FLMelbourne Auto Mart, Inc. Melbourne, FLMillennium Motors Winter Park, FLOcean Auto Sales of Miami, Inc. Miami, FLPremier Motor Cars Bonita Springs, FLRide-Away Handicap Equipment, Inc. Addison, TXSecond Son Enterprises dba Victory Auto Sales Sarasota, FLSouth Side Kia Jacksonville, FLSpeedway Auto Sales Winter Haven, FLTimeless Motors Lakeland, FLVallejo Auto Sales Clewiston, FLYour Auction of Tampa Bay St Petersburg, FL
Renewing Members MAY 2014
FIADA is your number one source for advice and information. Our network of industry veterans, professionals and consultants can help you find the answers you are looking for. Call us at (800) 237-0448 or go online to www.FIADA.com!
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www.fiada.com10 — Independent Dealer — June 2014
Are You Leaving Money on the Table?
Opportunity is where you find and recognize it. Whether you recognize it, are ready
for it and take advantage of it or not is up to you. Agree? One opportunity where many Buy Here-Pay Here dealerships leave money on the table is not taking a refund from the Department of Revenue when a vehicle is repossessed.
Take this example. You sold me a $15,000 automobile, took a $5,000 vehicle in trade and collected $650 in state sales tax and county discretionary surtax. There is a contract for 24 months, with monthly payments due. Sales tax is due at the time of the sale and you remit these funds on your monthly report.
Eight months into the contract, I default and you repossess the vehicle. The vehicle is titled in the name of the dealership. Your dealership is entitled to a refund of unearned sales tax, linked to the unpaid portion of the contract.
To get the refund, you must obtain Department of Revenue form DR-95B, complete the requested questions and do the math. The resulting answer is how much unearned sales tax dollars the dealership may take back. Those funds are recaptured on Line 6, Less Lawful Deductions, of the monthly
BY TERRY MYERS
B A C K T O T H E B A S I C S
DR-15R report. You must claim these funds within twelve months of the repossession or leave the money on the table. Remember, though you must have supporting documentation to back up everything from the sale through the repossession and retitling of the vehicle, during an audit with the Department of Revenue.
Here is another way the same scenario could go down. Eight months into the contract, I default and you are not able to find the vehicle to repossess it. You write it off against your federal taxes as a bad uncollectable debt. Again, your dealership is entitled to a refund of unearned sales tax.
Just as before, to get the refund you must obtain Department of Revenue form DR-95B, complete the requested questions and do the math. The resulting answer is how much unearned sales tax dollars the dealership may take back. Those funds are recaptured on Line 6, Less Lawful Deductions, of the monthly DR-15R report. As I said earlier, you must claim these funds within twelve months of the bad debt write off or leave the money on the table. Again, you must have supporting documentation to back up everything from the sale through the Bad Debt write off, during an audit with the Department of Revenue.
Same story, but one more scenario. At the eight month mark the dealership takes the vehicle back and refunds the purchase price and the sales tax. The dealership is able to take back the sales tax on Line 6, Less Lawful Deductions. There is a warning in this case, however. If the vehicle has gone through the titling process, you are buying the car back. This is not a refund. You need to ask the Department of Revenue about this process before applying for the Line 6 Less Lawful Deduction.
Florida Administrative Code 12A-1.012, Repossessed Merchandise and Bad Debts contains the legal language relevant to this topic. It is the responsibility of the dealership to properly interpret the code. Consultation with your legal counsel is always advisable. Also, go to a local Department of Revenue office and talk to someone across the desk about this topic. They are as interested in helping you benefit from this code as you are.
Department of Revenue’s form GT-400400 is also available at www.myflorida.com/dor under the forms and publications link. It contains valuable information relevant to this topic and many others. To truly report and benefit, you need to have the proper knowledge.
So, are you leaving money on the table?
Articles are the opinion of the author and are not intended to be regulatory, legal or accounting advice. The intent is to share thoughts and concepts that help the business owner(s) find new and perhaps revisit, ways to be as successful as they are capable of being. Terry can be reached at (727) 804-7375. Email: [email protected]. Feedback is appreciated and encouraged. Copyright 2014, Terry LB Myers, author, lecturer, FIADA instructor, FADS owner/instructor.
If you end up reposessing or writing off a bad uncollectable debt you could be eligible for a refund of the sales tax.
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Continued on Page 14.
Iam excited to announce the resurrection of “Keys to Insurance,” a column I wrote for many years in this magazine throughout the 1990s and up until 2005. The
column touched on the subjects relating to the insurance needs of the non-franchised motor vehicle dealer.
Starting this month, we will be doing a quarterly edition of the column. We plan to discuss subjects such as risk management ideas to help reduce your insurance costs and eliminate unnecessary claims, changes in insurance market conditions, trends in pricing and coverage availability, new products available to the dealer industry and more.
This past year was a challenging year in our business, especially here in Florida. A new “wind modeling” system was implemented which completely changed the way
carriers look at certain areas. This new system identified that non-coastal areas had
more hurricane exposure than was previously believed and pricing
of policies were revised accordingly. The
claims from 2012’s Hurricane
Sandy had a devastating
effect on the Dealers Open Lot insurance marketplace. As a result, the insurance carriers are now
looking more closely at flood exposure than ever before making
www.fiada.com10 — Independent Dealer — January 2014
K E Y S T O I N S U R A N C E
Insurance Predictions for the New YearBY KEVIN O’CONNOR, INSURANCE AGENT OF RECORD
it difficult to find policies on dealers that never had an issue in past years. These changes caused a number of insurance companies to withdraw from the Florida market or limit what they offer causing a supply and demand issue which subsequently raised rates. On the positive side, the insurance industry has record surplus capital thanks in large part to lower than expected catastrophe losses over the last few years and increased investments yields. Most of the insurance industry analysts expect the trend of increasing rates to slow or even reverse in the near future. Unfortunately there are no crystal balls to tell us what to expect in 2014. All we can do is keep a close eye on the industry and do our best to keep the readers of this column ahead of the curve.
On a personal note, I wanted to thank the FIADA Board of Directors for the vote of confidence in electing us their Agent of Record. Our team of insurance professionals specialize in your industry and make it our job to know how your business works and understand what your dealership needs to best protect your assets. We are available for questions from any association member whether they are clients or not and we will do our best to answer those questions in a completely impartial manner.
We hope that Keys to Insurance is an informative and interesting column and proves to the readers that insurance can be fun.
Kevin O’Connor of Dealers Insurance Services, Inc. is the FIADA Insurance Agent of Record. If you have insurance related questions, contact FIADA at (800) 237-0448 or visit the DIS website at www.dealersinsurance.com.
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K E Y S T O I N S U R A N C E
Dealers Open Lot: It Pays to Know if You’re Covered BY KEVIN O’CONNOR, INSURANCE AGENT OF RECORD
By the time this magazine goes to print, we will officially be in the 2014 hurricane season. The so called “experts” are calling for a relatively quiet year.
On face value, that’s great news! But, the reality is that over the last 13 years the expert predictions have only been correct about half the time. Results like those certainly don’t offer this insurance guy too much comfort.
While we’ve had no storms make landfall in the last nine years, the pessimist in me can’t help but think we’re due.Regardless of what you believe, any prudent business needs to start thinking about preparedness and risk management plans so in the event we do get hit, we’re ready.
The April floods in the Panhandle generated a number of claims and made me think about how important it is that you understand your coverage and how it will work after a loss. A number of dealers we’ve spoken to have had their lots flooded in that storm only to find out they had no coverage in place.
Over the last 10 years, insurance companies have been limiting their weather exposure in Florida. Many carriers have been excluding or, at the very least, limiting wind and
hail coverage. This “tightening” in the market worsened after Superstorm Sandy. Even though Sandy didn’t happen in Florida, the storm’s effect on the reinsurance market was felt nationwide. An estimated 500,000 vehicles were lost in the storm, mostly due to flood. Insurance carriers hadn’t paid much attention to flood exposure prior to this event, but since then, it’s a whole new ballgame. Many carriers
that used to only look at the distance to the water as the determining factor are now looking at flood zones and excluding flood coverage or putting crippling deductibles on the policy.
This new paradigm shift in the way insurance companies offer coverage forces you to carefully examine your policy so you aren’t surprised if after a claim the coverage isn’t there. The following are the most critical areas to investigate and questions to ask yourself.
What type of coverage do I have?The insurance needed to cover a dealer’s inventory is typically called “Dealers Open Lot.” There are several specific forms that can be used. Historically, “Comprehensive” and “Specified Perils” have been the norm. These forms are designed to cover weather related loss in addition to fire, theft, vandalism and the like. Another form that was rarely seen prior to the last several years is called “Fire and Theft.” This form is showing up quite often since it eliminates the weather coverage. While the carrier is trying to eliminate the weather exposure, this form also eliminates vandalism. Of all the options out there, this one is the least desirable.
Another option you may see is where the Comprehensive or Specified Perils are provided, but with an endorsement (often times buried in the policy) specifically excluding wind, hail and/or flood. While this is a better option than
“Fire and Theft,” it’s very tricky to find the endorsement and dealers aren’t always made aware of its presence.
What is my deductible?This used to be an easy answer but has also become very confusing in recent years. Historically the standard
When it comes to weather-related claims, it is more important than ever to understand your coverage and how it will work after a loss.
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DEALERS OPEN LOT continued from Page 12.
14 — Independent Dealer — June 2014 www.fiada.com
structure for deductibles as they related to weather exposure was a “per vehicle” deductible most often of $500 or $1,000, and then an aggregate of five times the per vehicle deductible. The term aggregate simply means the most a dealer would have to pay in the event of multiple vehicles being damaged. If you had a $1,000 per vehicle deductible, the most you would pay out of pocket after a covered loss was $5,000.
While these terms are still available, it is becoming very common to see policies written on a “no aggregate” basis. When this happens, your post storm deductible would be $1,000 per vehicle but there would be no cap. If you had 50 cars on the lot, you could potentially be out of pocket $50,000.
To further confuse the matter, some companies are applying specific dollar amounts to specific types of loss. You may see a $1,000 deductible with a $5,000 aggregate on Comprehensive but there may be a limiting endorsement that says the weather related loss is $500 per vehicle with no aggregate. Unfortunately, these are all free form endorsements and there is really no standard to rely on.
The “Coinsurance” trapOne of the least understood parts
of Dealers Open Lot coverage is the coinsurance provision. Every policy I’ve seen in my 28 years of experience doing this type of insurance has coinsurance and 90 percent of the dealers we talk to have never had this concept explained to them. Not understanding it can cause huge penalties after a claim.
Dealers Open Lot coverage requires that a dealer purchase 100 percent insurance to value. In simple terms, if you own $200,000 in vehicles, you must purchase $200,000 in insurance to avoid the penalty. Almost daily I hear dealers tell me “I only need $100,000 of coverage because that’s all my floor planner wants” or “I don’t want to cover the entire inventory since there’s no way all the vehicles will be damaged at the same time.” Unfortunately, many agents don’t explain the dangers of this either because they don’t understand it themselves, or they are just trying to get the business and don’t want to upset the applecart.
The formula to calculate a coinsurance penalty is simple: did over should. In the event of a claim, the insurance carrier takes the dollar amount of what you “did” buy for coverage and divides it by the amount that you “should” have bought for
coverage. That percentage is the amount they pay. Let’s look at a simple example:
A dealer elects to purchase $100,000 of Dealers Open Lot coverage. He has a loss on a $10,000 vehicle. The insurance company asks to see his inventory list at the time of the loss and he had $200,000 (both owned and floored) on that date. The insurance company calculates what he did have, $100,000, and divides it by what he should have had, $200,000; $100,000 divided by $200,000 is .50. He is currently insured for 50 percent and still has a $1,000 deductible.
Imagine how you’d feel when you get a check for $4,000 for your $10,000 vehicle!
How do you avoid these problems?Make sure you buy from a reputable agent and ask a lot of questions. It can be difficult these days to navigate the different plans being offered. While your agent and the proposal they offer should be a good starting point, there is no substitute for you actually reading thoroughly through your policy and becoming educated.
Kevin O’Connor of Dealer Insurance Services, Inc. is the FIADA Insurance Agent of Record.
.
www.niadaconvention.com
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FIADA Jan 2k14.indd 18 1/10/2014 11:06:30 AM
FIADA Membership will ensure your dealership is ready for what’s ahead with:
COUPONS All FIADA members receive a coupon book with over $8,000 in discounts! There are $1,000.00 in auction buy/sell fees and the FIADA Book of Savings with over $7,000 in discounts on advertising, software, office supplies and other services.
FREE TRAINING As a FIADA member you will have free trainings and networking opportunities at FIADA’s Quarterly Town Hall Meetings and Board of Directors Meetings. Discounted training is available for FIADA members at our Annual Convention.
TECHNICAL ASSISTANCE Who ya gonna call? All FIADA members have unlimited access to FIADA’s Technical Assistance Line – Call 800.237.0448 with your regulatory, legislative and legal questions to receive assistance from FIADA’s General Counsel
LEGISLATIVE VOICE As an individual, it is difficult to tackle all the legislative issues affecting your dealership. That’s why FIADA has a Full-Time Lobbyist in Tallahassee and representation in Washington, D.C. looking out for your best interests.
FREE ONLINE CONTINUING EDUCATION FIADA members receive 8 hours of C.E. every two years which is required to renew your dealer’s license. In addition to free Online C.E. courses, FIADA members receive discounts on in-person Continuing Education, and in-person and online Title & Registration classes.
INDEPENDENT DEALER MAGAZINEAll members receive a hard-copy Monthly Subscription to FIADA’s Independent Dealer Magazine
ONLINE DEALER RESOURCES FIADA Members have access to online Members’ Only Resources including the Dealer Training School Manual, Repossession Manual, Red Flags Rule Templates, Safeguards Rule Information, and more.
DEALER SERVICE PROVIDER DIRECTORY FIADA has an easy-to-navigate online directory. Choose from over 80 categories like Accounting, Attorney, Dealer Bonds, GPS Services and Web Design.
NIADA MEMBERSHIPAll FIADA members receive automatic membership to the National Independent Automobile Dealers Association (NIADA) and access to their benefits.
www.fiada.com May 2014 — Independent Dealer — 17 18 — Independent Dealer —January 2014 www.fiada.comwww.fiada.com18 — Independent Dealer —August 201318 — Independent Dealer — June 2013 www.fiada.com
FIADA Jan 2k14.indd 18 1/10/2014 11:06:30 AM
18 — Independent Dealer — June 2014 www.fiada.com
You heard about the registration fee reduction last month, but here’s one more tax cut for Floridians. On the last day of session, the Legislature approved
a $105 million tax cutting package (HB5601) and Governor Scott promptly signed it into law on May 12. The majority of the package cuts are encompassed in the three sales tax holidays:
• Hurricane Preparedness Sales Tax Holiday, May 31 through June 8, 2014
• Back to School Sales Tax Holiday, August 1-3, 2014• Energy Star/Water Sense Appliances Sales Tax
Holiday, September 19-21, 2014
With hurricane season here we know that Election Day is right around the corner so soon we’ll begin to see the barrage of campaign commercials and signs. As we begin to look ahead into our next election period, I encourage you to do your part. Be informed, make your voice heard, and support our legislative efforts!
BE INFORMEDStay up-to-date with the legislative issues that affect your dealership. Have a question about a legal or compliance issue? Call FIADA to speak with our attorney, or, better yet, meet us in person! Plan to attend the next Town Hall meeting coming up on July 18 at the Hilton Daytona Beach
L E G I S L AT I V E U P D AT E
Resort/Ocean Walk Village in Daytona. Here, we will continue the conversation about what happened during this legislative session, and we will strategize for next year. MAKE YOUR VOICE HEARDThere are plenty of ways to communicate with your legislative representative, the FIADA Board, and other Florida dealers. Put a campaign sign in your yard supporting the candidates who are passionate about the independent automobile dealer industry. If you don’t know who that might be, please contact us and we’ll let you know. Consider joining one of the FIADA Committees so you can express your opinion about the issues that are affecting FIADA members. Together, we can ensure that all of the business interests of Florida used car dealers are protected. SUPPORT OUR LEGISLATIVE EFFORTSOne person can certainly make a difference, but it is our collective efforts that make the greatest impact. Consider
making a contribution to the FIADA PAC fund so we can hit the ground running in 2015. Our FIADA PAC fund is the financial source behind all of our legislative work, and small contributions from each Florida dealer can really add up!
At the time of this article, the Governor has not yet received the DMV legislative package (HB7005) that includes the reinstatement of the Surrender Stop. Be
sure to watch for FIADA email, e-newsletters, and other updates as we expect the Governor to receive the package within the next few weeks. We thank you for doing your part and taking the time to support our legislative efforts.
Looking AheadBY SANDRA MORTHAM, FIADA LOBBYIST
Election season is right around the corner. Do your part by being informed, making your voice heard and supporting the FIADA’s legislative efforts.
June 2014 — Independent Dealer — 19 www.fiada.com
Contributor’s Name:
Dealership/Company:
Street Address, City, State, Zip:
q Check q Credit Card (one time contribution)
q Monthly Credit Card Contribution (until cancel)
q $500 q $250 q $100 q $50
q $25 q _________
Credit Card Information:
q Visa q MasterCard q AmEx q Discover
SUPPORT THE FIADA PAC FUND!Your PAC Contribution helps spread awareness and gain support of issues affecting independent dealers in the state’s capitol.
Make your check payable to FIADA-PAC and mail to: FIADA • 1840 Fiddler Court • Tallahassee, FL 32308If making payment via credit card, you may fax your contribution form to 850.385.3251
CONTRIBUTION INFORMATION
Name on Card:
Card number:
Exp Date: Sec. Code:
Billing Phone:
Billing Address
Authorized Signature
PAYMENT INFORMATION
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Improve Your Business by Having the Right Plan
Running a successful dealership takes time, talent and investment. Here is an action
plan on how you can get your business where you want it to go.
INVEST IN YOUR BUSINESS Remember, investing in your
business does not just mean buying inventory. There are many ways to invest in your business and increase its growth potential. One of the most important is investing your time, as the owner / operator. This sounds like a simple concept, but I know from experience it is difficult to schedule time way from everyone and day to day business. Schedule time outside of your dealership at least once a month. Take this time to reflect on the previous month. Did you make money? Did you lose money? Was there a turnover in staff? Were there any customer issues and so on. What if anything could you do to improve any one of those situations? Make notes and deadlines for yourself on the calendar for the upcoming month. Stick to your plan and you will see your operations becoming more streamlined and productive in just a few months.
GET INVOLVED IN YOUR COMMUNITY Your local Chamber of
Commerce is a great place to start. Many offer more services, resources
D E A L E R O P E R AT I O N S
A top 10 list of the best business practices successful dealers should follow.
BY JENNIFER FINLAY
and networking opportunities than people know. Participate in community events whether it is sponsoring a little league team, helping with a food or toy drive, or donating to your local animal rescue. Not only will these all come with advertising possibilities, it promotes the personality of your business. It makes it known you are the type of business that people want to do business with.
PAY MORE FOR YOUR DETAILING AND RECON THAN THE
AVERAGE DEALERAt first this may not seem like a good idea, but believe me it is. Think about how much time is invested in buying inventory. How many auctions did you have to travel to in order to get the inventory you need for your lot? For many owners this is their main job, to keep the inventory coming in so their sales people always have enough to sell. The one thing that stands between you purchasing the vehicle and your customer buying it is what happens in the detail department. This could make or break how hard you worked to get that piece of inventory. A perfectly detailed, clean smelling vehicle is the first step in getting a customer hooked. So, find a good, experienced detailer and pay him or her competitively.
DON’T BE AN ABSENTEE OWNER Know what is going on in
your store. Have the ability to step into the role of any of your staff. Maybe you won’t be able to do their job as efficiently as they do, but at least know the basics in case you are ever faced with a situation where you need to. This helps also in keeping up with internal changes and procedures that will naturally happen in the course of business.
TREAT YOUR MONTHLY CLOSEOUT LIKE AN AUDIT
There is no such thing as keeping too many records. And it’s a lot easier to keep track of by the month than to have to go back and figure out why something happened after the fact. Look at your month end closeout and ask yourself “If I have to revisit this in two years for a Department of Revenue Audit is everything accounted for?”
THE DMV IS NOT YOUR ENEMYContrary to what most
dealers think, your local DMV and your regional compliance officer for your location are there to help you. They are not “out to get you,” so to say in an audit. Get to know your compliance officer and ask questions. They will actually give you a list of things they review in an onsite audit. Go over it. Understand the records they will want to see and make sure you have them in place. This keeps you in compliance and makes their job easier as well. It’s a win-win situation.
ALWAYS APPRECIATE YOUR STAFF
Over the years I have seen so many very dedicated and hardworking employees over time start to lose their drive due to feeling
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www.fiada.com20 — Independent Dealer — June 2014
ADESA offers more one-owner off-lease cars than anyone else.Visit ADESA.com/off-lease/state to find inventory today.
OFF-LEASE CARSFIRST CHANCE IN OPEN SALE
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June 2014 — Independent Dealer — 21 www.fiada.com
22 — Independent Dealer — June 2014 www.fiada.com
like they are being taken for granted. If you are lucky enough to have employees that will go the extra mile for you, make sure they know how much you appreciate them. A little bit will go a long way. It doesn’t always have to be a bonus or a raise. It could be something as simple as a restaurant gift card, tickets to the baseball game, or even just saying “I know you stayed an hour and half late last night, just want you to know I really appreciate it.” This simple management tool will keep those who work hard for you pushing forward.
GET A LOCAL MARKET REPORT There are companies that
will, for a small fee, send you what is called a Market Report. This report will contain every independent dealership in your county, how many cars they sold, what cars they sold and
TEN TIPS continued from Page 20
8
who the lender was. This can be very helpful. Know who your competitors are, what they are doing and who they are selling to. This report will also list the top selling cars, if you know what vehicles are selling the most, you will know what inventory to buy.
RESEARCH YOUR ADVERTISING Ask your customers how
they found you. You are spending money every month to bring people to your dealership. If you know what advertising is reaching the most potential customers you will know how to fine tune your advertising plan and get the most out of what you are spending.
NEVER STOP LEARNING FOR YOURSELF AND YOUR STAFF
“Knowledge is Power” I like to say. It
is absolutely critical to your business to continue education. There are many resources out there waiting for you to take advantage of. Whether it be a consulting company, the Small Business Administration, your local SCORE, or the FIADA. There is new information out constantly entering the flow. This is a fast paced growing industry and it’s your job to keep on top of changing laws, trends and business practices. In addition to the obvious benefits, this is a huge motivational tool when it comes to your staff.
Jennifer Finlay has worked in the auto industry for 17 years, including one of the largest Buy Here-Pay Here dealerships in Volusia County. She is a licensed instructor and teaches one of the FIADA pre-licensing classes for new dealers.
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24 — Independent Dealer — May 2014 www.fiada.comwww.fiada.com24 — Independent Dealer — June 2014
TENTATIVE SCHEDULE
THURSDAY, OCT. 9, 20143:00 - 7:00 PM Registration Open
6:30 - 8:30 PM Welcome Reception
FRIDAY, OCT. 10, 20147:30 AM - 4:00 PM Registration Open
8:00 - 9:00 AM Breakfast
9:00 -10:00 AM Opening Keynote
10:00 -10:15 AM Member Meeting/Elections
10:15 -10:30 AM Coffee Break
10:45 -11:45 AM Workshop
12:00 -1:30 PM Networking Lunch
1:45 -2:45 PM Workshop
3:00 -4:00 PM Workshop
5:00 -9:00 PM Exhibit Hall Opening/
Family Fun Night
SATURDAY, OCT. 11, 20147:30 AM - 3:00 PM Registration Open
8:00 - 9:00 AM Breakfast with Exhibitors
9:00 -10:00 AM Workshop
10:15 -11:45 AM Keynote & Awards Ceremony
12:00 - 2:30 PM Lunch with Exhibitors & Exhibitor Giveaways
2:45 - 3:45 PM Workshop
3:00 - 5:00 PM Exhibitor Breakdown
4:00 - 5:30 PM Workshop
5:30 - 7:00 PM Closing Reception
7:00 - 9:00 PM Past Presidents Dinner
Come be a part of the ultimate dealer experience of the year at the 2014 FIADA Annual Convention. This year’s
theme: Pirate Party! Arrrghh...Don’t forget ye eye patches, booty, pirate
garb and have a swashbuckling good time with the “best of the best” as Florida’s top dealers come together for
a weekend of education, networking and fun.
June 2014 — Independent Dealer — 25 www.fiada.com
FIADA MEMBER DISCOUNTED REGISTRATION RATES
FULL ACCESS PASS Badge Name: __________________________________________________________ [ ] $249 [ ] $299 [ ] $349
ADDITIONAL FULL ACCESS PASS (Available with purchase of Full Access Pass)
Badge Name: __________________________________________________________ [ ] $195 [ ] $195 [ ] $195
Badge Name: __________________________________________________________ [ ] $195 [ ] $195 [ ] $195
SPOUSE FULL ACCESS PASS (Available with purchase of Full Access Pass)
Badge Name: __________________________________________________________ [ ] $100 [ ] $100 [ ] $100
EDUCATION PASS (Does not include meals)
Badge Name: __________________________________________________________ [ ] $99 [ ] $124 [ ] $149
NON-MEMBER REGISTRATION RATES
FULL ACCESS PASS Badge Name: __________________________________________________________ [ ] $299 [ ] $349 [ ] $399
ADDITIONAL FULL ACCESS PASS (Available with purchase of Full Access Pass)
Badge Name: __________________________________________________________ [ ] $195 [ ] $195 [ ] $195
Badge Name: __________________________________________________________ [ ] $195 [ ] $195 [ ] $195
SPOUSE FULL ACCESS PASS (Available with purchase of Full Access Pass)
Badge Name: __________________________________________________________ [ ] $100 [ ] $100 [ ] $100
EDUCATION PASS (Does not include meals)
Badge Name: __________________________________________________________ [ ] $124 [ ] $149 [ ] $175
FULL ACCESS AND SPOUSE FULL ACCESS PASSES includes all meal functions, seminars and exhibit hall access and is eligible for continuing education credit. Additional Full Access passes and Spouse pass are only available with a Full Access registration. Valid FIADA membership required for FIADA member registration rates. CHILD REGISTRATIONS AVAILABLE Contact FIADA at (800) 237-0448 for details and to register.
PAYMENT METHOD
Mail: FIADA, 1840 Fiddler Court, Tallahassee, FL 32308 Fax: (850) 385-3251 Online: www.FIADA.com Call: (800) 237-0448
Company: __________________________________________________________________________________________________________
Address: _________________________________________________ City, State, Zip: ____________________________________________
Phone: __________________________________________________ Fax: _____________________________________________________
E-mail: __________________________________________________ Website: _________________________________________________
[ ] I have enclosed a check made payable to FIADA [ ] I will be using a credit card
Name (as it appears on card):_____________________________________ Company: _____________________________________________
Credit Card Billing Address: _____________________________________________________________________________________________
Credit Card Number: _______________________________________________________________ Exp Date: ________________________
Authorized Signature: ______________________________________________________________ CC Security Code: __________________CANCELLATION POLICY: If cancellations are received in writing before 5pm on Sunday, September 8, 2014, we will refund your registration fee. If cancellation is received between 9/9/14 and 9/30/14, we will refund your registration fee less a $25 processing fee. Fees cannot be refunded for registrations cancelled after 10/1/14 or for no-shows. PHOTO/VIDEO RELEASE: By registering for the 2014 FIADA Annual Convention, I hereby grant permission to use any and all photographic imagery and video footage taken of me at this event and activities pertaining to this event, without payment or any other consideration. I understand that such materials may be published electronically or in print, or used in presentations or exhibitions.
HOTEL INFORMATION: Omni ChampionsGate. Hotel stay is separate from convention registration. Reservations must be made BEFORE SEPTEMBER 8, 2014 to qualify for group discount of $149 per night (plus tax) For reservations call (800) THE-OMNI/(800) 843-6664.
TOTAL: $
2014 FIADA Annual Convention Registration Form
EARLY BIRD(2/1 - 8/31)
REGULAR(9/1 - 10/3)
MEMBER
NON-MEMBER
ON-SITE(10/4 - 10/11)
COMPANY INFORMATION
REGISTRATION INFORMATION
COMPLIANCE TIPThe Consumer Financial Protection Bureau is sending confidential Civil Investigative Demands to independent car dealers. If you get one of these CIDs, one of the things that the CFPB will want to see is your comprehensive written Compliance Management System. If you don’t have such a system, now’s the time to put one in place. If your general level of compliance is woefully deficient (if, for example, you don’t have a Safeguarding Policy in place or don’t send adverse action notices), now’s the time to consider selling the dealership and buying a Subway franchise.
FEDERAL DEVELOPMENTSOn April 9, the CFPB announced an enforcement action against Bank of America, N.A. and its subsidiary, FIA Card Services, N.A., for unfair billing practices related to their identity protection credit card add-on products, which promised to monitor customer credit and alert customers to potentially fraudulent activity, and for deceptive marketing related to two credit card payment protection products. Under the consent order obtained by the CFPB, (1) B of A will be prohibited from marketing any credit protection or credit monitoring product until it submits a compliance plan to the CFPB; (2) consumers will no longer be billed for these add-on products if they are not receiving the promised benefits; (3) the Bank must provide approximately $727 million in relief to consumers harmed by the practices related to the credit card add-on products; and (4) the Bank will pay $20 million to the CFPB’s Civil Penalty Fund. The Office of the
L E G A L R O U N D - U P
A Look At Current Legal IssuesBY THOMAS B. HUDSON AND NICOLE FRUSH MUNRO, HUDSON COOK, LLC
A monthly collection of selected legislative and regulatory highlights, and a recap of some of the many auto sale and financing lawsuits followed each month.
Comptroller of the Currency has also been investigating the alleged unfair billing for identity theft protection products and separately ordered a $25 million penalty for these practices, in addition to those ordered by the CFPB. The action should be noted by dealers selling ancillary products in connection with car financing – the Bureau is especially interested in this area.
On March 31, the CFPB released its 2013 Consumer Response Annual Report. According to the report, consumer complaint volume in 2013 increased 80% from 2012 - 163,700 complaints in 2013 compared to 91,000 in 2012. Mortgage-related complaints accounted for 37% of the 2013 complaint total, almost doubling the number of complaints about the next-closest industry (debt collection at 19%). Vehicle financing and leasing complaints fall into the category of consumer loans, which accounted for 3% of all complaints.
LITIGATIONTitle Loan Transactions Covered by Military Lending Act: Active duty military servicemembers brought a class action suit against several vehicle title loan companies based on the companies’ alleged violation of the Military Lending Act. The plaintiffs moved for class certification. After determining that the pre-2013 MLA implicitly authorizes a private right of action for damages, the federal trial court concluded that the plaintiffs’ title loan transactions were covered by the MLA. The defendants argued that they were not “creditors” who
extend “consumer credit” within the meaning of the MLA, but instead were pawnbrokers operating under state pawnshop statutes. The court noted that the MLA does not define “consumer credit transaction” by deferring to state law definitions of those terms. The court also noted that the MLA preempts state law inconsistent with the MLA. It does not matter that the state law would categorize the transactions as “pawns” rather than “loans.” According to the court, what matters is that each of the plaintiffs deposited a vehicle title with a defendant as security for the payment of a debt. If the debt is not paid, then the plaintiff loses the title to the car and the car. Even though these transactions may not be considered “credit” transactions under state law, the court found that they are “consumer credit” transactions within the meaning of the MLA. The court concluded that the plaintiffs could pursue their claims as a class. See Cox v. Community Loans of America, Inc., 2014 U.S. Dist. LEXIS 38089 (M.D. Ga. March 24, 2014).
Dealer Liable under Ohio Consumer Sales Practices Act for Failing to Disclose Unibody Damage to Used Car Regardless of “As Is” Clause: Buyers sued the dealer who sold them a used car after they found out that the car had sustained unibody damage. The dealer bought the car at an auction and signed a sales receipt that disclosed the unibody damage, but claimed that he did not read the receipt before signing. The purchase agreement between the dealer and the buyers waived all warranties with a conspicuous “as is” clause on its face. The buyers sued for violations of Ohio’s Consumer Sales
26 — Independent Dealer — June 2014 www.fiada.com
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Practices Act, among other claims. The trial court found that the dealer committed a violation of the CSPA and awarded the buyers treble damages and attorneys’ fees. The appellate court affirmed, finding that the “as is” clause was only effective to waive warranty and contract claims, not statutory CSPA claims, and also finding that the dealer committed one violation of the CSPA by not disclosing the unibody damage. See Hamilton v. Ball, 2014 Ohio App. LEXIS 1054 (Ohio App. March 19, 2014).
Evidence of Oral Statements Made by Lender’s Agent Inadmissible to Support Claim for Violation of TILA Insurance Disclosure Requirements: A lender made a loan to a couple secured by a lien on their car. The note and security agreement included a charge for “Limited Physical Damage Insurance,” which the borrower must pay unless the borrower obtained insurance from a provider acceptable to the lender. The borrowers claimed that they questioned this insurance charge and showed proof of their existing insurance to the lender’s agent, but the agent told them that the insurance charge was required, so they paid the charge. When the buyers filed a Chapter 13 bankruptcy petition, the lender filed a secured claim. In response, the borrowers argued that the note and security agreement violated the Truth in Lending Act. Regulation Z requires charges for insurance against loss or damage of property to be included in the finance charge unless specifically excluded. An exclusion exists for insurance premiums if certain conditions are met, including the condition that “the insurance coverage may be obtained from a person of the consumer’s choice, and this fact is disclosed.” The borrowers alleged that the oral representations made by the lender’s agent rendered the insurance disclosure unclear. They also argued that by taking the voluntary choice from them, the lender violated Reg. Z. The U.S. District Court for the Northern District of Alabama declined to consider the oral extraneous evidence to determine whether there
was an ambiguity in the insurance disclosure required under TILA. The court explained that no extraneous oral evidence can be presented by a plaintiff to prove that the defendant gave the impression that insurance was required, except in the case of illiteracy, fraud, or duress. See White v. Superior Financial
Services, LLC, 2014 U.S. Dist. LEXIS 31811 (N.D. Ala. March 12, 2014).
Tom ([email protected]) and Nikki ([email protected]) are partners in the law firm of Hudson Cook, LLC. For information, call 410-865-5411 or visit www.counselorlibrary.com.
www.fiada.com28 — Independent Dealer —January 2014 www.fiada.com28 — Independent Dealer — October 2013
Choices. That’s the advantage with Dealers Insurance Services. No matter what the insurance marketplace throws at you, we’ve got your back. DIS has spent the past 20 years building solid relationships with the most respected carriers in the industry while at the same time always looking for the most current and innovative options to these established programs.
June 2014 — Independent Dealer — 29 www.fiada.com
Register Online Now at www.FIADA.com
Come to the next Town Hall Meeting and have lunch on us.Lunch generously provided by Auto Data Direct
July 18, 2014 • 10am - 2pmDaytona Beach Resort/Ocean Walk Village 100 N Atlantic Ave, Daytona Beach, Florida, 32118FIADA hosts these quarterly meetings around the state as a free opportunity to network with other dealers and learn about the industry. The education session includes Q&A time where you can get answers to your technical and regulatory questions.
Stay for the Board Meeting!The quarterly FIADA Board of
Directors meetings always follow
the Town Hall event, and are free
and open to all dealers. Join us
on Saturday, July 19 at 9 a.m. at
the Daytona Beach Resort to help
shape the future of your industry.
Franchise Issues Buy/Sell Transactions Licensing Consumer and Business Litigation
Legal and Regulatory Compliance Real Estate Employment Law and Workers Compensation Government Relations and Election Law
305-929-8500 • www.kb-attorneys.com MIAMI 18851 NE 29 Ave, Suite 303 Aventura, FL 33180 p: 305-929-8500 TALLAHASSEE 105 W. 5th Ave Tallahassee, FL 32303 p: 850-391-5060
www.fiada.com30 — Independent Dealer — June 2014
INDUSTRY NEWS
FIADA’s On-Demand Webinar Library Continues to GrowFIADA Members have access to all of the past webinars in the current On-Demand library at no cost. Just log-in through www.FIADA.com and watch some of the latest titles, including:
It’s a Popularity Contest: Simple ways to Drive Traffic to your Web Site and Inventory by Tracy AmatoAttendees will learn:• What factors attribute to obtaining higher search engine
rankings• Tips on how optimize content on your website• The power of YouTube and blogging• How social media impacts your search ranking• The importance of a mobile presence• How listing inventory on multiple marketplaces like eBay,
Craigslist, and classifieds will increase website traffic
Don’t Get Stuck in the Mud of Today’s Regulatory Landscape by Rob SicklesAttendees will learn about:• Federal and State regulatory issues from an expert
attorney• Consumer Financial Protection Bureau• Florida Attorney General• Florida Department of Financial Services• Florida Department of Motor Vehicles
Hot Topics in the Payments Industry: Plain Talk on PCI Compliance and Influencing Consumer Behavior with Jon Leedom, Melissa Leedom and Dan Steiner of the Leedom GroupAttendees will learn:• PCI Compliance• Convenience Fees• Surcharge RulesThis course is free for FIADA Members and only $10.00 for Nonmembers.
Paymaxx Pro Integrates with Cars*Plus DMS™Paymaxx Pro, the national automotive retail merchant services and payment processing firm, has integrated its payment processing services with Cars*Plus DMS (Radiant Concepts, Inc.) giving dealers the ability to efficiently provide consumers with more options for payments while simultaneously reducing costs and fees for dealers using this dealer management system. Cars*Plus DMS is a reliable and innovative management software tool for Buy Here Pay Here Dealerships that serves hundreds of dealers across the states of Texas, Arkansas, Louisiana, Mississippi and Oklahoma. “We are very excited about the partnership. We believe this integration is a perfect fit for dealers looking to provide customers access 24/7 as well as boosting collections through integrated solutions. The Paymaxx Pro interface will have a significant impact by eliminating the geographical gap that had previously defined the BHPH model.” says Candy Wright, VP Radiant Concepts, Inc. “In today’s marketplace, it is all about providing a robust menu of payment options for consumers while improving operational efficiencies and reducing overhead at the dealer level,” said Paymaxx Pro President Chris Leedom. “We are excited about the strong partnership formed with Cars*Plus DMS and look forward to generating savings for the Cars*Plus DMS community of dealers.” This integration permits dealers to process web payments and automatically synchronize them between Paymaxx Pro and Cars*Plus DMS. At the same time, Paymaxx Pro offers retailers among the lowest costs and fees for merchant services in the industry. “All a dealer has to do is select Paymaxx Pro as their merchant services provider through Cars*Plus DMS” Leedom said. “This eliminates the need to use multiple software providers and eliminates double postings, thus saving labor costs. Dealer clients also have the ability to set up recurring automatic payments, both ACH and credit card which are often requested by consumers.”
FLHSMV Update: Revisions to Form HSMV 82994Recently, the Department revised the front page of form HSMV 82994, Motor Vehicle Title Reassignment Supplement, with a revision date of 04/14. The Reassignment Information section includes new fields for selling price, co-purchaser’s printed name, and address if applicable. The Perjury Clause section includes fields for the printed name and signature of a co-seller if applicable. Additionally, some of the fields have been reorganized. You can read the memo and get a copy of the form online at www.FIADA.com.
June 2014 — Independent Dealer — 31 www.fiada.com
DINO MERCURIOPresident
Independent Credit, Inc.West Palm Beach, FL
(561) 686-8673
JIM WINTERICK, SR.Senior Vice President
Gulfstream Motor CreditMiami, FL
(305) 253-2335
CHRISTOPHER LEEDOMChairman of the Board
AutoMaxxSarasota, FL
(941) 309-1111
PHIL RISLEYSecretary
Cars & Credit of JacksonvilleJacksonville, FL(904) 616-4074
PAUL MATTONTreasurer
Park Auto MallPinellas Park, FL(727) 639-1112
GEORGE HICKEYRegional Vice President
Bond Auto SalesTampa, FL
(813) 238-7478
FRANK FUZYRegional Vice PresidentCentury Motors of S. FL
Pompano Beach, FL(954) 785-0369
LISA COMPAGNORegional Vice President
Palm Tree Auto SalesStuart, FL
(772) 288-2099
STEVE MARBAISRegional Vice PresidentMarbais Enterprises, Inc.
Ocoee, FL(407) 877-7422
GOVINDA ROMERORegional Vice President
Autoflex LLCGainesville, FL(407) 468-9974
2013-2014 FIADA EXECUTIVE COMMITTEE:
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32 — Independent Dealer — June 2014 www.fiada.com
©2012 Manheim, Inc. All rights reserved. Manheim Buy. Sell. Win. is a trademark of Manheim, Inc. The M logo is a registered trademark of Manheim, Inc.
manheim.com | 866•Manheim
10817 New Kings Rd., Jacksonville, FL 32219
904-768-9981
Sale: Thursday 1:00 p.m.
Total Resource Auction every Thursday 11:00 a.m.
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Carretera 865 Km 4.7
Toa Baja, PR 00949
Phone: (787) 261-7300
Sale Day - Thursdays 11:30am
Manheim Caribbean Subasta De Autos
Palm Beach Nights, Mondays, 4:00 p.m.
Toyota & Lexus Sell-A-Thon every other Thursday at 4:00 p.m.
General Motors Closed Factory Sales bi-weekly on Monday at 1:00 p.m.
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