Federal Court Holds Payment Processor Cliq in Contempt for Violating FTC Order
A federal court held payment processor Cliq in contempt for violating an FTC order, signaling heightened FTC enforcement against payment processors facilitating deceptive practices in auto dealer F&I transactions.
Aforeworn detected this change in the Auto Dealer F&I Compliance space on July 7, 2026 and published this briefing so affected operators are forewarned rather than caught off guard. It is rated High urgency. Auto dealers using payment processors for F&I products (e.g., GAP waivers, add-ons) and their compliance teams. should confirm how it applies to their specific situation before acting. There is a time constraint attached: Within 30 days to mitigate risk of FTC scrutiny.. Acting after that point can mean penalties, a lapsed licence, or lost eligibility — exactly the kind of surprise Aforeworn exists to prevent. Aforeworn monitors Auto Dealer F&I Compliance continuously and turns every detected change into a plain-English briefing like this one, so you always know first. Forewarned is forearmed.
What changed
The FTC is now actively pursuing contempt actions against payment processors that violate prior orders, increasing risk for dealers relying on such processors for compliant transactions.
Who it affects
Auto dealers using payment processors for F&I products (e.g., GAP waivers, add-ons) and their compliance teams.
What you must do
Review all contracts and practices with payment processors to ensure they comply with FTC orders and do not facilitate deceptive marketing or billing of F&I products.
Deadline
Within 30 days to mitigate risk of FTC scrutiny.
Never miss a change like this again
Aforeworn watches Auto Dealer F&I Compliance around the clock and alerts you the moment a rule moves — with a plain-English brief on what to do.
Start your free trialRelated changes in Auto Dealer F&I Compliance
- CFPB Seeks to Vacate Abusive, Unjust Case Against Townstone
- CFPB Offers Regulatory Relief for Small Loan Providers
- CFPB Keeps Its Enforcement and Supervision Resources Focused on Pressing Threats to Consumers
- CFPB Offers Regulatory Relief From Registration Requirements for Small Loan Providers
- CFPB Announcement Regarding Enforcement Actions Related to Buy Now, Pay Later Loans