Quick Start Guide: Federal Trade Commission & Automotive Dealer Changes

You’ve heard it in the news, and you’ve seen it across your social platforms - the FTC is cracking down on deceptive pricing and hidden fees across the automotive industry.

But what does this mean for your dealership? How do you meet the new FTC compliant standards?

Lucky for you, we’ve set up a quick start guide to help you make the necessary updates.

What the FTC is monitoring:

Any visual, print, or digital message that offers a consumer incentive to the public.

Specific Disclosure Requirements:

• Offer must be specific to the vehicle make, model, year and trim when advertised
• Must clearly and conspicuously list the length of the lease agreement
• Total amount due at signing prior to purchase or delivery but be disclosed
• Itemize what fees are counted in the total due at signing amount
  • Including: Capitalized cost reduction/down payment, first months payment, documentation fee, acquisition fee, and any dealer installed equipment cost
  • Excluding: Taxes, Title, and License fees
• If security deposit is required, the amount must be specified
• The most prominent price advertised, must be the all-in price
• If applicable - You must specify if an extra charge may be imposed at the end of the lease term for the difference in residual value and actual vehicle value at lease end
• The offer expiration date must be clearly displayed and easy to identify

What That Means for Your Dealership:

1. Update your new car incentives webpage with correct language
2. Update inventory pricing stacks to include the doc fee, accessories cost, any other applicable dealership fees, or any dealer-installed equipment (government fees do not apply)
3. Update the structure of your new car disclaimers
4. Ensure those updated disclaimers are clear, conspicuous, and one click away from your lease advertisement/graphic

Manufacturer-Posted Incentives Being Removed from Your Website?

Next Steps:

Partner with us to create a custom specials page that includes these FTC requirements and is updated monthly with your dealership's exclusive offers or the latest national incentives.

Lease Disclaimer Example:

Closed-end lease offered through August 3, 2026 on a new, unused {Year, Make, Model, Trim} - (Stock #12345, VIN #123456789) with approved credit by {Manufacturer} Financial Services. Monthly lease payment of $639 for 36 months based on an MSRP of $65,790. Dealer contribution of $2,938 and lease bonus of $6,000 resulting in an adjusted capitalized cost of $49,887. Total of 36 monthly payments equals $23,004. $6,313 due at signing includes first month's payment of $639, capitalized cost reduction of $4,465, acquisition fee of $895, documentation fee of $280, and electronic titling fees of $34. No security deposit required. Tax, title, license, registration, and any government or emission fees are extra and remain the lessee's responsibility. Lessee responsible for insurance, maintenance, and excess wear and use. At lease end, lessee responsible for a disposition fee of $495, $0.25/mile for miles driven in excess of 30,000 miles, and any excess wear and use. Closed-end lease — lessee is not responsible for any difference between the actual residual value and the estimated residual value of the vehicle at lease end. Purchase option at lease end available at the residual value disclosed at signing. Offer may not be combined with other lease, finance, or discount offers unless stated. Residency restrictions may apply. Vehicle image for display purposes only. See dealer for complete details. Offer ends August 3, 2026.

Custom Specials Page Examples:

Sign up to download a helpful PDF of the above guide: