As compliance questions arise, we provide the resources for answers.
If you cannot find the answer to your question here, members can call GIADA, (770) 745-9650.
Red Flag Rules and Dealer Compliance
All dealers are required to have a Red Flag written policy.
These documents are intended to explain, as well as provide compliance information. They are not intended to address the specific facts and circumstances of every motor vehicle dealership. Specific applications will vary depending upon how a motor vehicle dealership transacts business.
The Federal Trade Commission and the federal financial institution regulatory agencies have published final rules on identity theft “red flags” and address discrepancies. The Final Rules implement sections 114 and 315 of the Fair and Accurate Credit Transactions Act of 2003.
We have developed materials to assist Dealers in complying with the Rules. These materials are being provided to you for distribution free of charge.
Please keep in mind that these materials are designed to assist dealers in the development of a written dealership policy for the detection, prevention and mitigation of identity theft and are intended to serve as a guide. While not intended as a universal solution that every dealership can adopt, since they are drafted from a used motor vehicle dealer’s perspective, NIADA members should find that they are easy to use and customize for their dealerships. They may wish to consult with their legal counsel or other professional consultants to ensure that their dealership policies are appropriate and in compliance with applicable federal and state laws, rules and regulations. The information contained in this document and the additional materials provided are for general information purposes only and should not be considered as legal advice.
Executive Anti-Terrorism Order – Verify Customer I.D. & Check Blocked Persons List
With so much attention being directed toward the rules evolving under the Patriot Act, the requirements under Presidential Executive Order 13224 are often overlooked. The Executive Order prohibits U.S. citizens from entering into any transaction or dealing with individuals or entities identified either in the Executive Order, by the Department of Treasury or by the Secretaries of State as posing a significant risk of committing terrorist acts or providing support to these organizations or individuals. The Office of Foreign Asset Control (OFAC) maintains an alphabetical master list of Specially Designated Nationals and Blocked Persons. Individuals who violate the Order by entering into a transaction with a blocked person or entity can be fined up to $250,000 and serve up to 10 years in prison, while companies can be fined up to $500,000.
The law requires car dealers to verify their customers identity and check the SDN database. If you encounter a person who?s name appears on the SDN database, do not do business with him or her. Call local PHONE NUMBER BELOW. Call GIADA if you have questions. Link: Click here for access to (SDN) Blocked Persons List This link will take you to the U.S. Department of Treasury Website. Click on Specially Designated Nations (SDN) List. This is a rather large PDF file and approximately 180 pages. High speed Internet is highly recommended. IMPORTANT: IN THE EVENT THAT A MOTOR VEHICLE DEALERSHIP SUSPECTS OR HAS REASON TO SUSPECT THAT AN INDIVIDUAL MAY BE INVOLVED IN MONEY LAUNDERING OR OTHER TERRORIST ACTIVITIES THE DEALERSHIP MAY REPORT SUCH ACTIVITY BY CALLING THE FINANCIAL INSTITUTIONS ‘HOT-LINE’ 866-556-3974 WHICH IS ALSO THE NUMBER TO CALL IF YOU FIND THAT YOUR CUSTOMERS NAME IS ON THE SDN-BLOCKED PERSONS LIST.
Drivers License Requirements to Obtain Title Transfer in Georgia GIADA Official Position
Effective July 1, 2003 Senate Bill 250 amended Official Code of Georgia Annotated 40-3-21(a)(1) and added the following additional requirements to the contents for an application for a first certificate of title:
GIADA’s position is that the county agent should only be concerned with verifying that the application includes a valid driver’s license number and not determining whether the applicant has complied with the laws pertaining to driver’s licenses.
Vehicle Emission Inspection – Clean Air Force Requirements
Georgia law requires that no person (dealers, auctioneers or individuals) sell a used vehicle, if such vehicle is to be registered in one of the 13 covered counties (Cherokee, Clayton, Cobb, Coweta, DeKalb, Douglas, Fayette, Forsyth, Fulton, Gwinnet, Henry, Paulding, and Rockdale), unless such vehicle has a valid, passing certificate of vehicle emission inspection at the time of sale (DNR Rule 391-3-20-.18(1)). The seller is not required to provide the buyer with a copy of the VIR. Please note: the Georgia Environmental Protection Division (EPD) can only investigate sales that have occurred within Georgia. Vehicle Sale Information (Clean Air Website). Sellers may print free copies of Georgia Vehicle Emission Inspection Reports (VIR) by clicking here.
Ga. Code 12-9-54 Ga. Code 12-9-55