There is a need for dealers to make use of a “Customer Proposal Worksheet” which is used to help dealership personnel collect important customer information to aid in properly addressing the customers' needs and desires related to their personal transportation.
During the process of completing the Customer Proposal Worksheet, dealership personnel will very likely collect personal nonpublic information (such as payment history) from the customer. If that is the case, the Gramm-Leach-Bliley (G-L-B) Privacy Act requires dealerships to have a Privacy Policy in place that describes the kind of information that is collected, how the information is used and the measures that are in place to protect that information. The dealership is required to provide the customer with a copy of their Privacy Policy.
The stated purpose of the “Gramm-Leach-Bliley Privacy Act” (GLB) is to insure that financial institutions (including car dealers) respect the privacy of their customers and protect their “personal nonpublic information.” Full compliance with GLB became effective July 1, 2001 . The only time Dealers are NOT REQUIRED to comply with the Act in connection with the sale or lease of a motor vehicle and/or related products or services is if the purchaser/lessee pays the total amount due via a credit card or with cash and DOES NOT PURCHASE a motor vehicle service contract or guaranteed automobile protection (GAP) product. If a customer does purchase a service contract or GAP product in conjunction with a cash sale, then a Privacy Policy must be provided to the customer.
Because of the information disclosure differences, Buy Here Pay Here operations make use of a slightly different privacy policy than all other motor vehicle sales operations.
In order to help dealers comply with the GLB, DealerCap™ forms have been developed that include various versions of the Privacy Policy based on a dealership's needs, they are readily available for immediate shipment anywhere in the nation.
