04 Jan Better Fraud Prevention – 4 Tips to Safeguard Your Dealership Against ID Theft
Thousands of people every year have their identity stolen in the process of major purchases like buying a car. It’s even easier now with so many purchases being started online due to the pandemic.
But for the dealerships doing the majority of their deals in person, is there more you could be doing to prevent identity fraud at your dealership?
Let’s take a quick look at 4 things to keep in mind to prevent this common type of fraud –
1) Lockdown the F&I Offices– Be sure to limit access to the F&I office for example…make it clear who is allowed in the office and who is not. Outside of management, no one should be in the office alone with access to deal folders that have personal information. Be vigilant and watch for nervous behavior or salespeople walking off with the deal jacket. It should never leave the floor, the sales tower, or the F&I office.
2) Strong Storage – Some dealers are very good at the ‘front end’ of securing documents but then forget that how you store the personal information can also be important. Keep deals under lock & key after funding and after any internal audits are complete. Locked file cabinets and vigilance amongst the staff can be the best safety net.
3) Use the Shredder – What you do with that paperwork is critical to protecting your store and the consumer. If you don’t have one now, invest in a large office shredder. It will be your best weapon against people that ‘dumpster dive’ looking for personal information in the trash. Shred everything to be safe, both after the shopper leaves and in accordance with whatever your internal policy is on aged deals.
4) Hire the Right People – Who you hire matters. There are cases where identity thieves have intentionally hired themselves into dealerships to be able to access consumers personal and financial information. If your dealership is not already conducting background checks before hiring, start today. And even if an applicant is clear, call a couple of the references to be sure.