FTC Ready Payments

When the FTC originally introduced its new rules for how car payments and vehicle pricing are quoted and advertised, there was incredible pushback. They listened to the feedback and changed things to become the CARS Rules (Combating Auto Retail Scams). In January of 2024, those rules were paused due to a legal stay.

Word on the street is the FTC Commissioners are deadset on changing the way consumers are presented with vehicle payments and pricing. And they are already working on a third iteration in case the second continues to be held in a legal battle.

FRIKINtech believes the FTC will eventually pass something. Based on the way the CARS Rules (second iteration) have been written, we decided to get way ahead of things.

The FTC is asking for specific things to be disclosed with every payment quote or advertisement:

  • Term
  • Financing type (Lease/Loan)
  • Money Down
  • Rate or Money Factor (when the lender doesn’t translate MF to APR)
  • Total Amount Financed

Every online payment needs to be within one click of the full payment details.

Payment details can no longer be buried at the bottom of a vehicle listings page or hidden deep on a vehicle details page. The FTC wants all fees shown that do not pertain to “state fees or taxes.”

FRIKINtech is one of the few online payment-capable technologies that can accurately calculate all components of a payment (including the total amount financed on loans and leases). We can do this with and without state taxes and fees.

Because of this, we will be introducing a new call to action to help dealers get more leads: “How much with Taxes and fees?” This new call to action will require online shoppers to enter their contact information before they can see the out-the-door price and/or payment. Then, that information goes straight to the dealer’s CRM with all the details about how they engaged with every car and finance option.

We are also going to help customers recognize the financing term they are most interested in may be longer than the warranty period that comes with the car. This will help dealers talk about extended warranty and/or maintenance plans because a “soft sell” has already happened online.


FRIKINtech is kicking off the most innovative year in our history by taking advantage of what has seemed like a downer on the car business. Instead of getting upset about the few rotten apples that have spoiled things for all of us, we’re turning that frown upside down!

We are helping dealers lean into the forced and coming transparency to get more leads and hold customers’ attention longer. The dealer who gives the customer what they want will win the business.

Written on May 16, 2024

Written by FRIKIN tech

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