LAKE SUCCESS, N.Y. -- (BUSINESS WIRE) -- To assist dealerships in developing a fair lending policy and better defending themselves in credit discrimination audits, Dealertrack (Nasdaq: TRAK) has introduced an Equal Credit Opportunity Act (ECOA) Model Fair Lending Compliance Policy Template and Model Exception Rate Justification Sheet for Dealertrack Compliance subscribers.
Earlier this year, the Consumer Financial Protection Bureau (CFPB) issued guidance on credit discrimination in the indirect automotive finance market, putting dealerships and lenders on notice about potential audits and punishments. In response, Dealertrack recommends that dealers adopt and implement an ECOA Fair Lending Policy, including complete documentation of any deviation from a dealer's buy rate markup policy in the deal jacket.
"We believe that it is critical that dealerships adopt a comprehensive fair lending policy to deliver on their commitment to equal credit opportunity for all, and to protect their businesses," said Randy Henrick, associate general counsel, Compliance, Dealertrack. "The ECOA Model Fair Lending Compliance Policy Template and Model Exception Rate Justification Sheet were developed by Dealertrack to assist dealerships in developing their fair lending policy to address audits by lenders and regulators concerning ‘disparate impact' credit discrimination."
The ECOA Model Fair Lending Compliance Policy Template and Model Exception Rate Justification Sheet are available exclusively to Dealertrack Compliance Solution subscribers. For more information about Dealertrack's Compliance offering, click here.
On September 19, Dealertrack will host a free webinar to provide an overview of the ECOA Model Fair Lending Compliance Policy Template and Model Exception Rate Justification Sheet, and how it can be used by dealerships to develop their own fair lending policy. Click here to register for this webinar.
About Dealertrack Technologies (www.dealertrack.com)
Dealertrack Technologies' intuitive and high-value web-based software solutions and services enhance efficiency and profitability for all major segments of the automotive retail industry, including dealers, lenders, OEMs, third-party retailers, agents and aftermarket providers. In addition to the industry's largest online credit application network, connecting more than 20,000 dealers with more than 1,300 lenders, Dealertrack Technologies delivers the industry's most comprehensive solution set for automotive retailers, including Dealer Management System (DMS), Inventory, Sales and F&I, Interactive and Registration and Titling solutions.
Safe Harbor for Forward-Looking and Cautionary Statements
Statements in this press release regarding the benefits of Dealertrack's Model Fair Lending Compliance Policy Template and Model Exception Rate Justification Sheet , as well as all other statements in this release other than the recitation of historical facts are forward-looking statements (as defined in the Private Securities Litigation Reform Act of 1995). These statements involve a number of risks, uncertainties and other factors that could cause actual results, performance or achievements of Dealertrack Technologies to be materially different from any future results, performance or achievements expressed or implied by these forward-looking statements.
Factors that might cause such a difference include the performance and acceptance Dealertrack and other risks listed in our reports filed with the Securities and Exchange Commission (SEC), including our Annual Report on Form 10-K for the year ending December 31, 2012. These filings can be found on Dealertrack Technologies' website at www.dealertrack.com and the SEC's website at www.sec.gov. Forward-looking statements included herein speak only as of the date hereof and Dealertrack Technologies disclaims any obligation to revise or update such statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events or circumstances.