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Compliance Document Version 1.0 Effective: January 1, 2025

Compliance Document

FTC CARS Rule Compliance

Estimated read time: 5 minutes

Full Title

CARS Rule

Regulation

16 CFR Part 463

FTC Effective

July 30, 2024

1. Overview

The FTC's CARS Rule protects consumers from deceptive and unfair practices in automotive retail. Effective July 30, 2024, it applies to all motor vehicle dealers.

Key objectives:

  • Transparent and honest pricing in vehicle advertisements
  • Prohibit deceptive add-on charges and mandatory fees
  • Protect consumers from bait-and-switch tactics
  • Require clear disclosure of all costs before purchase
2. Pricing Disclosures

Under the CARS Rule, all vehicle prices on PleaseStart must comply with strict disclosure requirements.

2.1 What's Included in Listed Prices

  • Base vehicle price
  • All required dealer fees (documentation, processing, etc.)
  • Destination or delivery charges (if applicable)
  • Any mandatory add-ons or accessories
This "offering price" is the total before taxes, registration, and optional add-ons.

2.2 Additional Fees Disclosed Separately

  • State and local sales taxes
  • Vehicle registration and title fees
  • Optional products and services
  • Optional add-ons that you can decline
3. Dealer Requirements

3.1 Mandatory Obligations

  1. Display the "Offering Price" with all mandatory charges
  2. Disclose All Mandatory Add-Ons included in the offering price
  3. Provide Written Disclosures with an itemization of all costs
  4. Honor Advertised Prices without hidden fees
  5. Obtain Express Informed Consent for optional add-ons
  6. Maintain Records for at least 4 years

3.2 Prohibited Practices

Dealers are prohibited from:

  • Misrepresenting total cost or financing terms
  • Charging for add-ons without express consent
  • Advertising prices that exclude mandatory charges
  • Bait-and-switch tactics or hidden "junk fees"
  • Misrepresenting optional products as mandatory
4. Your Rights as a Consumer

4.1 What You Can Do

  • Receive Clear Pricing with all mandatory fees included
  • Decline Optional Add-Ons without affecting vehicle price
  • Get Written Price Quotes with itemized costs
  • Review Before Signing all documents and disclosures
  • Report Violations to PleaseStart and the FTC

4.2 Reporting Non-Compliance

  1. PleaseStart: Contact us to report a dealer
  2. FTC: File at reportfraud.ftc.gov or call 1-877-FTC-HELP
  3. State Attorney General: Contact your state for additional remedies
5. PleaseStart's Commitment

5.1 Platform Features

  • Mandatory Offering Price Display with all fees
  • Itemized Fee Breakdown for all charges
  • Optional Add-On Disclosure clearly marked and priced separately
  • Automated Compliance Checks before listing publication
  • Consumer Education resources for informed decisions

5.2 Enforcement

  • Regular audits of dealer listings and pricing
  • Investigation of consumer complaints
  • Warnings and corrective action for violations
  • Suspension or removal of repeat offenders
  • Cooperation with FTC investigations

6. Contact Information

If you have questions about the CARS Rule or our compliance policies, please contact us:

PleaseStart Compliance Team
Email: compliance@pleasestart.com
Phone: 1-800-PLEASE-START (1-800-753-2737)
Address: Prune IO, LLC (DBA PleaseStart), [Address]

Federal Trade Commission
Website: www.ftc.gov
Consumer Helpline: 1-877-FTC-HELP (1-877-382-4357)
Report Fraud: reportfraud.ftc.gov

7. Additional Resources