The Federal Trade Commission is proposing changes to the Used Car Rule, which protects consumers by mandating that used car dealers prominently disclose whether or not the car comes with a warranty, and the provisions of that warranty. According to the FTC’s press release, the Used Car Rule has been in effect since 1985 and was last modified in 1995.
The FTC is proposing changes to the sticker mandated by the Used Car Rule, called the Buyers Guide. The proposed changes include adding a statement urging potential buyers to obtain vehicle history information (such as via CarFax), including catalytic converters and airbags to the systems included in the Buyers Guide, and including checkboxes on the back of the Buyers Guide that will enable dealers to quickly communicate the type of warranty that comes with a vehicle.
In a related action, the FTC finalized a new provision of the Used Car Rule that makes corrections to the Spanish version of the Buyers Guide.