Trade Regulation Rule on the Use of Consumer Reviews and Testimonials
The FTC proposes a new rule banning fake reviews, incentivized positive reviews, and misuse of review suppression, with strict liability for dealers. Comments due by Sept 29, 2023.
Aforeworn detected this change in the Auto Dealer F&I Compliance space on July 6, 2026 and published this briefing so affected operators are forewarned rather than caught off guard. It is rated High urgency. All auto dealers (franchise, independent, BHPH) and F&I managers who use consumer reviews or testimonials in advertising or online listings. should confirm how it applies to their specific situation before acting. There is a time constraint attached: Public comments due September 29, 2023. Rule effective 60 days after final publication (likely 2024).. 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 proposes a trade regulation rule that would prohibit: (1) writing or selling fake consumer reviews; (2) buying positive or negative reviews; (3) insider reviews without clear disclosure; (4) company-controlled review sites that misrepresent independence; (5) suppressing negative reviews through legal threats or other means; (6) misusing fake social media indicators. The rule imposes strict liability (no intent required) and civil penalties up to $50,120 per violation.
Who it affects
All auto dealers (franchise, independent, BHPH) and F&I managers who use consumer reviews or testimonials in advertising or online listings.
What you must do
Review current practices for soliciting, displaying, and responding to reviews; ensure no fake or incentivized reviews; stop suppressing negative reviews; update website and social media policies; submit public comment by Sept 29, 2023 if desired.
Deadline
Public comments due September 29, 2023. Rule effective 60 days after final publication (likely 2024).
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
- Regulations and policy | Consumer Financial Protection Bureau
- Automobiles | Federal Trade Commission
- Small Business Lending Under the Equal Credit Opportunity Act (Regulation B)
- Concept Release on Residential Mortgage-Backed Securities Disclosures and Enhancements to Asset-Backed Securities Registration
- Car Loan Interest Deduction