The automotive retail market has been under the federal microscope for some time now….with no end in sight.
Federal agencies are focusing in on a range of issues within the automotive retail market. Everything from the Consumer Financial Protection Bureau (CFPB) issuing guidance on credit discrimination in the indirect automotive financing market to the Federal Trade Commission’s Operation Steer Clear initiative against deceptive automotive financing advertising seems directed at automotive dealers in one form or another.
And now, the CFPB appears to be expanding its scrutiny of automotive dealers and lenders to the sale of aftermarket products. It’s no secret that the CFPB does not think aftermarket products provide value to consumers. It is also questionable which aftermarket products the CFPB can assert jurisdiction over although it is apparent that they believe any financed aftermarket product is fair game.