FTC Business Alert- FTC Disposal Rule -

The new FTC Disposal Rule in effect since June 1, 2005 requires all Automobile Dealers by Law to store consumer information on "Lost and/or Dead deals" in a secure environment. The ECOA (Equal Credit Opportunity Act) requires this sensitive data to be stored for a minimum of 25-months. This information includes, but is not limited to, credit applications and credit bureau reports.

Failure to comply with the FTC Records Disposal Rule could result in Federal and State penalties up to $2,500 for FTC Disposal Rule and $10,000 for the ECOA.  It is also possible for civil damages to be introduced.  In the case of a successful action to enforce civil liability, the plaintiff(s) could also be entitled to attorney's fees.

Click for FACTA and FTC Disposal Rule Details

OCM’s Scan123 service provides an efficient, cost effective solution to meet the newest FTC mandate.

Scan123 provides secure storage of your dealership’s customer credit applications, credit reports, and any other sensitive information that requires protection.

Simply scan the customer’s credit application, credit report and any other sensitive information governed by the FTC Disposal Rule, enter the customer name, and Scan123 automatically stores them in an encrypted system with 3 tier protection to ensure your sensitive data is safe-guarded.

3-Tier Protection:

¨      Cabinet password protection

¨      IP restriction

¨      Virtual Private Network connections (VPN)

The simple fact is that your dealership needs to be in control of your customer information for 25-months and while in custody of these documents you will need to be able to provide these documents to the FTC upon request.

All for one price setup your virtual file cabinets in Scan123

1.)    Dead deal credit applications.

2.)    Service Repair Orders.

3.)    Sales Documents for sold deals.

4.)    Employee files.

Let Scan123 help with your SECURE document storage to help increase PRODUCTIVITY.  What takes hours now, could be only taking minutes. 

Contact or Call Scan123 today for a free demo and ask to speak with our referrals.

Scan123 is your Dealership’s Secure Document Scanning and Storage Solution!

The links below are to help you better understand the Law.

FTC Disposal Rule and Scan123 FAQ’s: Frequently Asked Questions