The Expert Podcast

One of the things we look at when arranging a car short sale is to see if the original loan was actually created and structured properly. If you see on the screen, there's an uh a manual that's provided that tells car dealership dealerships what they have to do for a valid car loan. This is 16 rules and regulations for your FNI department's uh processing. What is FNI department? That stands for finance and insurance. That's the person at the dealership you talked to when you did your car loan that did all the paperwork.

Remember that big package of documents. Probably looks something like this. You had a big folder, a bunch of documents you had to sign. The loan, the odometer statement, the contract, all the documents are in that in that folder and you had to sign them all. That dealership has to abide by many, many rules and regulations from the federal government to the state government in order to make that valid. So, we send out notices to the dealer to ask them to verify that it's valid. Uh, we take a look at whatever is available to see if there's any obvious deficiencies.

So, what are these rules they have to follow? Well, just as an example, not going to get into each one specifically, but here are the 16 rules that they have to follow. The GLBL GBA is called the Graham Leech Bileley Act. That's a federal law that says they have to do certain things with paperwork and notifications and documents. The next one is disposal rule that has to do with um the environmental processing of of used parts on a vehicle. The Magnus Moss warranty act. That means even on a used car, they have to provide certain information on what the warranty is or isn't. Speaking of used cars, there's a used car rule that has certain disclosures. Regulation M and Regulation Z have to do with finance disclosures. Regulation Z is where they have to tell you your interest rate, your total interest paid, your total of payments, the total amount of money you're paying for the vehicle over time.

Equal Credit Opportunity Act means that they can't discriminate against borrowers and they have to give borrowers. You will be back in your video in just a few seconds. In the meantime, remember that actualhum.com offers you live one-on-one private video consultation with an expert in this exact subject. We want to listen to your story. We want to hear your questions. We want to give you expert advisement of your options and tell you what we know about your particular situation. Now, back to your video.

Equal treatment. They can't artificially jack up interest rates. Fair fair Credit Reporting Act means that they have to use only certain credit reports to issue credit and they can only report certain things about your experience. Adverse action. If they take some kind of action, whether it's a denial of credit or a higher risk credit, this is an important part. If they charge you a higher interest rate because they say you're a poor credit risk, they have to do certain disclosures. Credit practices rule, meaning that when they do loans and arrange financing, they have to do it in a fair way. Advertising laws, truth and advertising, they have to make sure they don't misrepresent the vehicle, the terms, the conditions. They can't fool you into buying something you're you don't think you're buying. Red flags rule has to do with federal disclosures. And then things like fuel economy, they can't lie and tell you you're going to get 40 miles per gallon when you only get 30.

There's a bunch of forms you need to file for the IRS if you're making uh payments. Um foreign asset controls, if you are foreign um a foreign citizen, you have to do some some notices. And then the dealers trade regulation rule. This is where uh a new law is being passed where dealers have to abide by certain notifications.

And here's a few more details on regulation Z. Um, regulation Z requires you to ensure that credit terms are disclosed to consumers so they can compare credit terms. This, when they say you, they mean the dealership. This this pro publication is designed for dealerships. What they're telling is the dealership has to disclose certain terms to you as a consumer. If they don't, they're violating the rule and the contract may not be valid.

So, make sure that you look at all these aspects. Uh, make sure when you're doing your short sale, you see if any of these will allow you to reduce your loan, reduce your liability. Remember, we're not attorneys. We're not giving you legal advice, but these are all things that attorneys have or that dealerships have to do in order to make the contract completely valid for your use and that your loan is not a fraudulent loan.

Thank you for watching another episode of Actual Human Advisory on Describe TV. Remember, we have live one-on-one consultation appointments available at actualhum.com where you can book a one-on-one undivided attention live call with a licensed investigator, a licensed insurance broker, a licensed mortgage broker, real estate broker. Uh I'm also a certified real estate title examiner, a certified civil court mediator. along with having developed and started over 15 businesses, several of which were sold for millions of dollars. So, if you do have questions in any of those categories, you can arrange a one-on-one live video consultation. Use the link below and we'll see you on the next