LAS VEGAS — The National Alliance of Buy-Here, Pay-Here Dealers conference concludes after several workshops today, including one featuring Chip Zyvoloski, senior attorney for indirect lending at Wolters Kluwer Financial Services, who talked about dealers needing to be prepared for possible enforcement action under a still-developing Consumer Financial Protection Bureau.

Zyvoloski's presentation kicked off at 8 a.m. (PST) and covered dealer compliance.

"It's clear that buy-here, pay-here dealers should review their financing practices in advance of new rule making," he stressed to SubPrime Auto Finance News.

"Policies and processes related to interest rates, mark-ups, contract add-ons and negative equity financing are likely to be under increased scrutiny as the Consumer Financial Protection Bureau and Federal Trade Commission decide what constitutes an unfair, deceptive or abusive act or practice in auto financing. By assessing their compliance with current regulations now, buy-here, pay-here dealers can help prepare for what is likely to be an increasingly complex and aggressive regulatory climate."

In fact, arbitration agreements are one of the hot topics under the gun. Dealers generally utilize these in contracts to prevent class action suits; however, this could change depending on how the Dodd-Frank legislation enforcement is hammered out.

Other companies featured in today's workshops are several other prominent dealer attorneys, CSI Group, MasterFiles, Primalend, Spartan Financial Partners, Texas Capital Bank, Copart, Insurance Auto Auctions, AUL, AVP, Bershire Risk, Portfolio, Warrantech, All Technology Recovery, ProMax Unlimited, Auto Credit Express, NCM, Profit Max and Subprime Analytics.

"On Friday morning, our education sessions divide into separate tracks on some very important subjects. During these workshops we will cover accounting, tax and RFCs, compliance, vehicle remarketing, lines of credit, CPI, reinsurance, service contracts, turning skips into cash, CRM tools, getting the best customers, portfolio metrics and credit scoring," said Ken Shilson, NABD founder.

Shilson also thanked all attendees, telling them that by attending the conference they are showing their dedication to furthering the industry and their business.

"Thank you for attending this 13th annual National Conference for Buy-Here, Pay-Here," Shilson explained.. "Our industry now faces some serious regulatory challenges with the passage of the Dodd-Frank Act and the creation of the Consumer Financial Protection Bureau."

In addition to regulatory challenges, the BHPH industry is also facing expensive inventory costs, and due to the economy, likely a growing population of consumers will continue to need BHPH dealers since traditional sources for subprime auto financing remain restricted.