Auto Dealers Applaud House Repeal of CFPB Lending Guidance

The American International Automobile Dealers Association (AIADA) has applauded the United States House of Representatives’ passage of a joint resolution annulling the Consumer Financial Protection Bureau’s  auto lending guidance, which, according to the group, “sought to limit a consumer’s ability to receive a discounted auto loan from a dealer.”

The resolution, already passed by the Senate, will now go to President Trump’s desk for his signature.

“Today’s vote by the House is a reminder that our government can still stand up for the little guy,” said AIADA President and CEO Cody Lusk. “Auto dealerships are primarily small family businesses, and never should have been targeted by the CFPB, which has strayed from its mission of regulating massive Wall Street financial institutions. Today’s vote allows dealers to return to offering their customers more competitive financing choices and opportunities.”

From a broader perspective, the current administration has challenged a  number of initiatives from the CFPB.

In terms of the auto industry, America’s 9,600 international nameplate auto dealers, the majority of which are family-owned businesses, employ more than 577,000 Americans, resulting in a payroll of $32 billion and an additional 527,000 indirect jobs. Last year, they sold 8.4 million vehicles to American consumers – 59 percent of total U.S. retail vehicle sales.

Category: General Update, News