A Compliance training program for dealers
The Federal Regulatory Automotive Training (FRAT) program was created with The Association of Dealership Compliance Officers (ADCO) and Product Prep. This program allows dealers to add dealership employees for compliance training and track the training status of current personnel.
The FRAT program is for dealer executives, sales, operations staff, compliance officers, and essential employees. Training modules included the Safeguards Rule, Red Flags Rule, Disposal Rule, OFAC, ECOA, FCRA, and many others.
ADCO provides training and educational resourses to prepare compliance officers for these responsibilities. Click here to learn more about Dealership Compliance Officer Certification.
FRAT Supports 3 lines of defense that protect dealerships
The first line of detense are the dealership employees who arrange leasing or financing for vehicles, sell products and services, or operationally support customers. The employees must understand their roles and be accountable to make ethical and legal decisions. Dealers are responsible for providing what the FTC has noted as 'effective training.'
The second line of defense is the risk-related monitoring and auditing functions. The middle-line managers are responsible for proactively monitoring and auditing employee behaviors to ensure that the policies, procedures, and practices comply with legal expectations. They report data breaches and perceived non-compliance activities to the Dealership Compliance Officer.
The third line of defense are the auditors and agencies who independently evaluate the dealer's compliance risks and controls. This includes external resources and 3rd party vendors. The compliance officer is responsible for reporting risk issues to the dealer principal and senior management, along with suggested steps for mitigation.
Each course is specifically created and tailored for each individuals job role within the dealership. Detailed user roles and flexible permissions is what makes the FRAT program a valuable resource for dealers. Employees access only the necessary modules for their role in the dealership and can access it at anytime.
Register today to reserve your spot and be one of the first dealerships to start benefitting from the Federal Regulations Automotive Training program.