OMVIC Chapter 1-18 Latest 2024 Update Questions and Verified Correct Answers Guaranteed A+ Briefly explain the "Transactional Fee Program" - CORRECT ANSWER: Under the transaction fee program , dealer are required to remit $10 for each vehicle sold or leased (included fleet and "as is" transactions ) to OMVIC. These funds are remitted annually with the dealers registration renewal fee.
Contracts must have advisory or educational statements designed to inform purchasers /lessees about their rights and responsibilities and to ensure they know about the existence of certain agencies or organizations.
What are these organizations / agencies? - CORRECT ANSWER: 1) OMVIC
2) Motor Vehicle Dealers Compensation Fund
3) CAMVAP
Dealers must disclose known damage repairs in excess of how much ? - CORRECT
ANSWER: $3,000
Deposits over what amount must be kept in a trust account? - CORRECT ANSWER:
$10,000
Disclosure must be provided in a timely manner, in writing and be presented in a way that is: - CORRECT ANSWER: Clear, comprehensible and prominent
Give two examples of steps dealers can take to ensure they know the history of vehicles they buy or accept in trade. - CORRECT ANSWER: 1) Use a vehicle history report
2)Understand the strength and weaknesses of the various vehicle history reports
3) Thoroughly examine the vehicles
How long does the MVDA specify how long a dealer must maintain their records? -
CORRECT ANSWER: They must keep the records for a minimum of 6 years
How many people compose OMVICS board of directors? How many dealers ? How
many consumers? - CORRECT ANSWER: 12 total
- dealer
- consumer
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If a dealer does not have a specific new vehicle in stock but will locate the vehicle and bring it in, what must be disclosed to the purchaser regarding the milage? - CORRECT
ANSWER: A maximum distance that will be shown on the odometer at the time of
delivery or a statement (initialled by the buyer) that there is no maximum
If a dealers records are destroyed or stolen the dealer must notify who? - CORRECT
ANSWER: OMVIC in writing, within 5 days
If a person has been refused registration, what is one condition that has to be met before the person can reapply? - CORRECT ANSWER: One of the following:
1) Two years have passed
2) New evidence to demonstrate circumstances have changed
If a Safety Standards Certificate is issued for a vehicle, it means? - CORRECT ANSWER: The vehicle met certain basic standards of safety on the date of inspection
If an order is used to stop or correct false advertising, for how long may the dealer need
to seek OMVIC's pre-approval for future advertising? - CORRECT ANSWER: Up to 2
years
If customers give dealers a deposit but do not sign a contract, what rights do they have? - CORRECT ANSWER: If there is no signed contract and a deposit or trade-in is given to the dealer, the purchaser can cancel the contract at any time and demand his or her deposit or trade-in back.
In a large dealership, if the dealers principle delegates responsibility for ensuring that salespersons are registered, this should be delegated to who ? - CORRECT ANSWER: The Sales Manager
In order for a remote storage location to be approved by OMVIC,which condition must
be met? - CORRECT ANSWER: The location is always accessible to OMVIC staff
during normal business hours
List four examples of the information (related to vehicles sold or leased ) that must be
maintained in a dealer's records. - CORRECT ANSWER: 1) Employee records,
including the names of employees, positions held , dates of employment , how much each employee is paid and proof of payment
2) A list of "persons associated with the dealer" and the nature of their association
3) Records of all dealership bank accounts and any financing of the business , including loan agreements , credit arrangements or any security interest granted by the dealer
List the four "classes" of dealers - CORRECT ANSWER: 1) General Dealer
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