F&I Compliance Checklist
Covers credit application, disclosures, lender communication, add-on products, customer consent, adverse action notices, menu selling, and deal jacket documentation.
Sample Audit Programs
For the complete checklist, and scoring criteria download the file
1. Is a credit application completed for every customer seeking dealer-arranged financing, with all required fields completed and the customer's signature obtained?
2. Is the adverse action notice process in place — with written adverse action notices sent to every declined credit applicant within the required timeframe (generally within 30 days of the credit decision)?
3. Are all lender-required documentation standards met for every finance deal — deal jacket completeness, income documentation, proof of insurance, and identity verification?
4. Is the finance menu presented to every financed customer, covering all available add-on products with individual pricing before any commitment is sought?
5. Is each add-on product explained individually, with customer consent documented separately for each product and no products added without explicit individual confirmation?
6. Is the finance disclosure (Truth in Lending Act/Regulation Z required disclosures including APR, finance charge, amount financed, and total payments) provided and explained before signing?
7. Is the vehicle's sale price consistent between the sales contract, finance contract, and any trade-in allowance, with no 'spot delivery' or four-square manipulation that misrepresents any element of the transaction?
8. Is the 'dealer reserve' or dealer participation in the interest rate understood and disclosed where required by state law or lender agreement, without creating disparate impact based on protected class?
9. Are dealer-arranged financing practices reviewed for compliance with the Equal Credit Opportunity Act (ECOA) and Fair Housing Act, ensuring no discriminatory lending outcomes?
10. Is the deal jacket complete with all required documents before the vehicle is delivered — confirming signed finance contract, insurance confirmation, title application, Buyers Guide (for used vehicles), and add-on product confirmations?
Customizable Audit Programs to Suit Your Business Needs
Our flexible system allows you to create tailored question lists, group them into meaningful programs, and ensure compliance across various departments. Preview sample programs and question lists to understand how you can elevate your auditing process with ease.