Auto Finance

Auto finance compliance is a prominent focus area for our consumer financial services group. Our attorneys frequently advise clients on 50-state, industry-specific legal matters: retail installment and lease programs, insurance regulations, auto-related cybersecurity issues, and dealer matters. In addition to providing ongoing compliance counsel, we interact with state and federal regulators on behalf of our clients.

With years of experience, our attorneys are equipped to assist in a wide range of areas, such as:  

Origination and Funding 

• Drafting consumer retail installment contracts, purchase and refinance promissory notes, and lease agreements compliant with Regulation Z, Regulation M, and state laws     
• Reviewing and developing online point of sale platforms, including dynamic pricing for add-on ancillary products and vehicle accessories    
• Advising on adverse action and counter-offer requirements     
• Drafting marketing materials, including novel rebate and incentive offers

Servicing and Repossession

• Drafting state-specific motor vehicle and off-road property repossession forms, including notices of repossession, right of reinstatement, notice of sale, and explanation of surplus and deficiencies   
• Developing 50 state-repossession fee matrices and resources regarding the permissibility of recoverable expenses 
• Advising on creditor collection practices, including integration of emerging payment technologies and artificial intelligence 
• Advising on federal and state servicemember protections applicable to credit and lease transactions

Ancillary Products

• Developing national GAP waiver, service contract, extended warranty, and other ancillary product compliance programs that address funding and refund obligations 
• Advising on the development of collateral protection insurance programs 
• Advising on third-party service agreements and state law compliance

Operational Support

• Reviewing and auditing third-party documents and contracts, with related counseling on sales finance and lease trust licensing 
• Developing policies and procedures, compliance management systems, consumer correspondence, modification and extension agreements, and fee matrices for all aspects of servicing and collection 
• Representing clients in state examinations and negotiations of associated supervisory findings  
• Advising on legislative developments and associated operational implementation requirements

Information Sharing

• Advising clients on responsibilities related to the furnishing of credit information, including the creation of furnisher rule policies and procedures, related template response letters, and guidance on implementation 
• Developing and implementing legally sound privacy policies, including advice on compliance with federal and state laws that restrict the use and disclosure of information about consumers in various contexts, including websites and the use of social media 
• Developing legal frameworks to support the permissible sharing of customer information with dealers and service providers