NADA Dealers Code of Ethics

Accredited members are party to the RMI Consumer Code of Conduct in terms of which the consumer is assured that an accredited member undertakes to:

  • Sell its quality products and services at a fair and reasonable price.
  • Honour both in letter and in spirit any guarantees applicable to products and services sold by it.
  • Acknowledges that, should there be a dispute between a consumer/customer and our member which could not be amicably settled at Management level, the consumer/customer has the right to refer such dispute to the RMI for investigation. (RMI’s Consumer Services divisions are deployed countrywide).

In addition to the above, dealer members of NADA subscribe to the following principles and standards. Implicit in this Code is the requirement that NADA members comply fully with all laws, regulations and codes governing their businesses.

NADA members will:

  • Operate their business in accord with the highest standards of ethical conduct.
  • Treat each customer in a fair, open, and honest manner, and fully comply with all laws that prohibit discrimination.
  • Reasonably meet the needs of our customers in a knowledgeable and professional manner.
  • Represent products clearly and factually and in all other ways will see to justify the customer’s respect and confidence.
  • Advertise products in a positive, factual, and informative manner.
  • Detail charges to assist our customers in understanding repair work and provide written estimates of any service work to be performed, upon request, or as required by law.
  • Obtain, process, and protect the personal information of its customers in line with the Protection of Personal Information Act
  • Resolve customer concerns promptly and courteously.

NADA members have 3 key focus areas where ethics of the highest standards are expected:

1. SALES

NADA members will:

  • Embrace the spirit and the letter of the law governing the retail sales of new and used vehicles.
  • Be honest and truthful when dealing with customers.
  • Have a thorough knowledge of the product and be able to apply that knowledge to help satisfy the transportation needs of the customers.
  • Provide each customer with a thorough and clear explanation of the steps involved in the purchase of a vehicle and follow those steps diligently.
  • Always treat each customer in a professional manner. Be responsible for the prompt performance of post-sale administrative and delivery procedures.
  • Represent the dealership and the automobile industry in a professional manner.

2. SERVICE

NADA members will:

  • Perform high-quality repair service at competitive prices.
  • Employ trained and skilled technicians.
  • Furnish an itemized invoice for parts and services that clearly identifies any used or remanufactured parts. Replaced parts may be inspected upon request.
  • Have a sense of personal obligation to each customer.
  • When appropriate, recommend corrective and maintenance services, explaining to the customer which of these are required to correct existing problems and which are for preventive maintenance.
  • Provide each customer a price estimate for work to be performed as required by law.
  • Make available copies of any warranties covering parts or services.
  • Obtain prior authorization for all work done.
  • Notify the customer if appointments or completion promises cannot be kept.
  • Maintain customer service records as required by law.
  • Exercise reasonable care for the customer’s property while in the dealership’s possession.
  • Maintain a system to provide for a prompt response to all customer complaints.
  • Uphold the highest standards of service in our profession.

3. FINANCIAL SERVICES

NADA members will:

  • Offer financial services products in a clear and non-deceptive manner and in a way that seeks to provide consumers with transparent and easy-to-understand product options and applicable exclusions.
  • Offer optional insurance or other optional products in a clear and informative manner. Any purchase of such a product must reflect a voluntary choice by the consumer.
  • Disclose fully to customers the costs, terms, and contractual obligations of all additional value-added products and finance, preapproved and cash transactions. Documents will be presented in a simple, plain, and unambiguous manner to the extent permitted by law.
  • Comply with the Financial Intelligence Centre Act in the onboarding of all customers

Version 2.1 – 01.03.2022