Texas Dealer: May 2025 Edition (Digital)

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TIADA Board of Directors

PRESIDENT Greg Reine/Auto Liquidators

39670 LBJ Freeway Dallas, TX 75237

PRESIDENT ELECT

Greg Phea/Austin Rising Fast 8024 IH 35 North Austin, TX 78753

CHAIRMAN OF THE BOARD

Eddie Hale/Neighborhood Autos PO Box 1719 Decatur, TX 76234

SECRETARY

Russell Moore/Top Notch Used Cars 900 East Davis Conroe, TX 77301

TREASURER

Cesar Stark/S&S Motors 7699 Alameda Ave. El Paso, TX 77915

VICE PRESIDENT, WEST TEXAS (REGION 1)

Jose “Pepe” Muñoz/Gael Auto Sales 7661 Alameda Ave El Paso, TX 79915

VICE PRESIDENT, FORT WORTH (REGION 2)

Tyler Simmons/Abilene Used Car Sales, Inc. 2150 N. 1st Street Abilene, TX 79603

VICE PRESIDENT, DALLAS (REGION 3)

Chad Lancaster/Chacon Autos 11800 E. Northwest Hwy Dallas, TX 75218

VICE PRESIDENT, HOUSTON (REGION 4)

Lowell Rogers/11th Street Motors 1355 N 11th St, Beaumont, TX 77702

VICE PRESIDENT, CENTRAL TEXAS (REGION 5)

Harry Buchelly/Discovery Auto Sales 8140 North Lamar Blvd. Austin, TX 78753

VICE PRESIDENT, SOUTH TEXAS (REGION 6)

Cesar Torres/Lofi Motors 4634 Ayers St. Corpus Christi, TX 78415

VICE PRESIDENT AT LARGE

Christina Sabillón/Mi Tierra Auto Sales 7935 Gulf Freeway Houston, TX 77017

VICE PRESIDENT AT LARGE

Lucas Ponder/Auto Smart 3202 Summerhill Rd. Texarkana, TX 75503

TIADA

TexasDealer contents

officers’ message

Interview with Josh Carr

As the market for independent dealers continues to shift, I sat down with Josh Carr, Senior Director of Operations at Kinetic Advantage, to discuss how independent operators are responding to economic pressures, supply issues, and changing consumer trends. Here’s what he had to say.

Greg Phea: Josh, let’s start with something a lot of dealers are watching closely—how are tariffs affecting used vehicle demand?

Josh Carr: We’re seeing a noticeable shift. Tariffs — specially those targeting vehicles and parts from China — are driving up the cost of new cars, which is pushing more buyers toward late-model used vehicles, particularly those 1-5 years old. That spike in demand has bumped up prices in the used segment by about 4–7%. It’s starting to feel a bit like the pandemic market again — low inventory, high demand, and solid gross margins. But the expectations around cost control are even tighter now.

Greg Phea: That demand is great, but it’s only helpful if you can source the inventory. What’s going on with late-model supply?

Josh Carr: That’s where the real challenge is. We’re

still dealing with the fallout from the 2020–2022 new vehicle production gap. Late-model used inventory is limited, and auction volumes are down around 18% from last year. A lot of what’s available has higher mileage than we’re used to. Dealers are getting creative — sourcing more from private sellers, off-fleet vehicles, and trade-ins. You’ve got to diversify if you want to keep inventory moving.

Greg Phea: On top of that, how are inflation and interest rates affecting operations?

Josh Carr: Even though overall inflation is cooling a bit, the costs we feel the most—labor and floorplan interest — are still high. It’s putting real pressure on margins. For customers, especially those with subprime credit, rising interest rates mean they’re leaning into older, less expensive cars with longer loan terms. That shift changes how we buy and price inventory. It’s also forcing us to manage holding costs even more carefully.

Greg Phea: Speaking of cost management — reconditioning seems to be another big pressure point. What’s happening there?

“Dealers are getting creative — sourcing more from private sellers, off-fleet vehicles, and trade-ins. You’ve got to diversify if you want to keep inventory moving.”
Josh Carr, Senior Director of Operations at Kinetic Advantage
Austin Rising Fast (Austin)

Josh Carr: Recon costs have climbed fast — $1,350 to $1,700 per unit is now pretty standard across the country. That’s mostly due to labor shortages and rising wages. Some shops are facing 5–7 day backlogs, which slows time-to-sale and hurts your overall turn. Dealers have to focus hard on recon efficiency and vendor strategy. For us, bringing more work in-house has helped us speed things up and reduce delays.

processes and protect your margins. Digital retailing is growing too — it’s not just about convenience anymore, it’s about survival in a tight market.

Greg Phea: Final question — how are dealers approaching inventory aging and floorplan management right now?

“A lot of folks are investing in tech—AI-driven pricing tools, digital desking platforms, and better consumer acquisition tools.”
Josh Carr, Senior Director of Operations at Kinetic Advantage

Greg Phea: What operational shifts are you seeing dealers make to stay profitable in this environment?

Josh Carr: A lot of folks are investing in tech — AI-driven pricing tools, digital desking platforms, and better consumer acquisition tools. In-house recon is another area getting more attention. The goal is speed and control. If you can’t cut costs, you better control your

Josh Carr: Inventory aging is creeping up — we’re averaging 53 to 58 days now, which is up about six days from last year. With interest rates where they are, that extra week hurts. Larger operators are targeting 45-day turns and using more aggressive tracking to reduce interest cost per unit. It’s all about mix, discipline, and moving the right units at the right time. The more you plan, the more you profit.

Sfeature Winning Social Ad Strategies For Car Dealers: Mastering the Modern Auto Buyer’s Journey

uccessful car dealers must implement effective social ad strategies to connect with potential auto buyers where they spend their time online. Modern consumers — along with their family members and social circles — invest significant hours on social media platforms daily.

Did you know the average person scrolls through approximately 300 feet of mobile content on social media every day? That’s the equivalent height of the Statue of Liberty! This presents car dealers with countless opportunities to showcase their brand on valuable digital real estate. However, what truly distinguishes high-converting social ad strategies for car dealers from mediocre campaigns is a comprehensive, intentional approach.

Understanding the Modern Auto Buyer’s Journey for Social Ad Planning

Research from Cox Automotive indicates that auto shoppers are typically in-market for only 89-95 days. This compressed timeline means your dealership must strategically guide shoppers from awareness to consideration to conversion efficiently — or rely on chance.

Many dealerships’ social ad strategies only deliver 1-3 messages to potential customers, hoping they connect

at the right moment with the right content. A more effective approach is implementing an omnisocial strategy throughout the entire auto buyer’s journey, allowing dealers to engage the ideal audience with perfectly timed messaging across all platforms where shoppers spend their time.

Creating a Buyer Persona for Targeted Social Ad Strategies

Let’s examine how social ad strategies for car dealers might work by following “Sarah,” an example auto shopper, through her vehicle purchase journey:

Sarah, 36, recently relocated to your area, and she and her husband just welcomed their first child. She’s unfamiliar with your dealership, isn’t in your CRM, and hasn’t visited your website.

Like most consumers, Sarah uses approximately 8 social media applications and spends 2.5 hours daily on social platforms. Her favorites include Instagram, TikTok, and Pinterest (which reaches 80% of American mothers).

During her downtime, Sarah researches vehicles on third-party websites. After investigating, she decides on a new Toyota Highlander in the $40-50k range.

Awareness Phase:

Social Ad Strategies That Build Recognition

We now know Sarah is an in-market shopper within your PMA, browsing for a new Toyota Highlander across multiple social platforms. Where should your social ad strategies begin?

While it might be tempting to immediately show Sarah your Toyota Highlander inventory and offers, this approach is premature. Displaying sales-focused ads before introducing your dealership brand is comparable to proposing marriage before learning someone’s name — ineffective and inappropriate.

Consideration Phase: Social Ad Strategies That Drive Engagement

During the consideration stage, effective social ad strategies for car dealers should accomplish three objectives: 1. Nurture Sarah’s interest in the Toyota Highlander 2. In form her about current specials, available inventory, and pre-order programs

3. Reinforce why your dealership offers the best customer experience

Instead, when Sarah next visits her social apps, your social ad strategies should focus on capturing her attention with content that introduces your dealership. These awareness ads should highlight your “Why Buy From Us” messaging that humanizes your brand and differentiates you from competitors.

Once Sarah becomes aware of your dealership and engages with these initial ads through views, likes, and video watches, it’s time to advance to the consideration phase of your social ad strategies.

These consideration ads enable Sarah to click through to your SRPs or website, triggering signals back to social platforms that identify her as a warm prospect. This allows you to place Sarah and similar shoppers into new ad audiences for lower-funnel messaging.

Next, your social ad strategies should showcase relevant live inventory available at your dealership. ( Pro tip: Dynamic inventory ads are supported across Facebook, Instagram, Snapchat, TikTok, and Pinterest!) When she engages with your ads and visits a VDP, you’ll know Sarah is prepared to purchase.

If Sarah leaves your VDPs without converting, your social ad strategies must include retargeting to maintain top-of-mind awareness until she makes a decision. These retargeting campaigns should prioritize sales-focused

Pro tip: Dynamic inventory ads are supported across Facebook, Instagram, Snapchat, TikTok, and Pinterest!

content, showing Sarah the exact VINs she viewed or presenting messaging based on her last website interaction, such as financing or trade valuations.

Throughout this process, continue emphasizing your dealership’s unique value proposition. Customer testimonials, awards, and community involvement build trust through retargeting campaigns.

Measuring Success: Attribution in Social Ad rategies for Car Dealers

Once Sarah purchases her Toyota Highlander, how can you attribute this sale to your social media campaigns?

Most social platforms offer tools for measuring “offline conversions” by securely uploading recent customer lists. Using data like names and phone numbers, customers are matched to social profiles, allowing you to identify who engaged with your ads before purchasing.

This provides immediate insight into your return on ad spend and cost per unit sold, enabling datadriven improvements to your social ad strategies for car dealers.

Retention Phase:

Social Ad Strategies for Lifetime Value

With Sarah now in your CRM as a successful sale, your social ad strategies should shift to service and promotion campaigns. Begin re-engaging Sarah with

service and tire offers to foster loyalty rather than defection.

Additionally, include Sarah in “Customer Nurture” campaigns, periodically reaching out with appreciation messages or local event invitations. Nurturing these relationships post-sale is crucial for your social ad strategies — you never know the connections one satisfied customer might bring!

Creative That Converts: Crafting

Effective Full Funnel Social Ad Content

Even the smartest targeting won’t deliver results without strong creative. If you want your ads to connect with real people like Sarah, they need to do more than appear in her feed — they need to earn her attention. So, what should that look like across each phase of her journey?

Awareness Phase:

Focus on Brand, Not the Sale

Remember, at this stage, Sarah doesn’t know you yet. Your goal here is simple: introduce your dealership in a way that’s authentic and memorable.

•Lead with video. Short, organic video clips of your team, dealership culture, or even local community moments humanize your brand and build trust.

•Show your roots. Highlight your involvement in local events, charities, or small business partnerships. Make your dealership feel like part of the neighborhood.

•Make it scroll-proof. Use bold visuals and headlines that stand out. Think about what would make you stop scrolling.

Pro tip: Platforms like Instagram Reels and TikTok are ideal for brand introductions. Keep it light, personal, and under 30 seconds.

Consideration Phase:

Guide the Decision

Sarah knows who you are, so these ads will help her explore her options. The content should feel helpful and informative — not pushy.

•Lifestyle over features. Don’t just list Highlander specs. Show how the vehicle fits a growing family — like Sarah’s — with safety features, cargo space, or weekend adventures.

•Promos that matter. Limited-time offers or trade bonuses should be clearly framed as solutions, not just discounts.

customer posts, tagged stories, or delivery day selfies — to build authentic social proof.

Conversion Phase:

Get Specific

When Sarah is browsing VDPs, she’s ready to buy. Your creative here should speak directly to her interest.

•Use dynamic inventory ads . These can automatically show real-time VINs and pricing based on what she’s already viewed.

•Make it easy to act. Consider click-to-message or lead form ads that let Sarah start a conversation or schedule a test drive with your sales team instantly.

•Highlight social proof. Customer reviews, “just sold” posts, or community awards help reinforce that she’s making a smart choice.

Pro tip: Tailor retargeting ads to show the exact model, trim, or color someone viewed. Personalized ads outperform generic promotions every time

The Continuous Cycle of Social Ad Strategies for Car Dealers

The auto buyer journey represents a full spectrum of potential interactions. Effective social ad strategies for car dealers optimize each touchpoint to transform prospects (and their networks) into loyal advocates.

Social media provides abundant opportunities for digital marketers: users average 147 minutes daily across various platforms. Moreover, 63% of car buyers discover new vehicles online, and 86% want to engage with brands after purchase.

From prospecting and retargeting to nurturing postsale relationships, comprehensive social ad strategies help your dealership maximize advertising investments and build sustainable growth.

If your dealership isn’t leveraging digital marketing throughout the entire marketing funnel, your local audience is just one click away from choosing your competition.

To identify the most effective social ad strategies for your local market and advertising budget, generate a MarketAnalyzer report. This free tool provides audience size and demographics for your area while calculating suggested budgets and potential return on investment for each social platform.

See how you can use social advertising strategies at your dealership with the tool at https://app. dealersunited.com/analyzer#/ and take your dealership’s social ad strategies to the next level.

•Let them engage. Carousel ads comparing trims, polls asking for favorite colors, or short testimonials all help potential buyers interact with your brand. Pro tip: Repurpose user-generated content — happy

Jasmine will be a featured presenter at the upcoming 2025 TIADA Conference & Expo, July 27–29 in Grapevine. To register, visit conference.txiada.org/register/

TIADA Auction Directory

as of May 1, 2025

Save thousands on buy or sell fees at these participating auctions!

* VALID FOR SELL FEE ONLY AT IAA LOCATIONS

* * ONLINE AUCTION AVAILABLE

Abilene

ALLIANCE AUTO AUCTION ABILENE**

www.allianceautoauction.com

6657 US Highway 80 West, Abilene, TX 79605

325.698.4391

GM: Brandon Denison

Friday, 9:45 a.m.

$AVE : $200

IAA ABILENE*

www.iaai.com

7700 US 277, Hawley, TX 79601

325.675.0699

GM: Shaun Lemke

Thursday, 9:30 a.m.

$AVE : up to $200 Sell Fee

Amarillo

DAX of AMARILLO**

www.daxofamarillo.com

3208 SE 10th Ave., Amarillo, TX 79104

806.374.8982

GM: Kelsy Allen

Every Tuesday, 11:00 a.m.

$AVE : $200

IAA AMARILLO*

www.iaai.com

11150 S. FM 1541, Amarillo, TX 79118

806.622.1322

GM: Shawn Norris

Monday, 9:30 a.m.

$AVE : up to $200 Sell Fee

Austin

ALLIANCE AUTO AUCTION AUSTIN**

www.allianceautoauction.com

1550 CR 107, Hutto, TX 78634

737.300.6300

GM: Hunter Dunn

Thursday, 9:15 a.m.

$AVE : $200

AMERICA’S AA AUSTIN**

www.americasaa.com

16611 S. IH-35, Buda, TX 78610

512.268.6600

GM: Jamie McCollum

Tuesday, 1:00 p.m. / Thursday, 1:00 p.m.

$AVE : $200

AMERICA’S AA LONE STAR AUSTIN

www.americasaa.com

8408 Shoal Creek Blvd., Austin, TX 78757

214.483.3597

GM: Sara Edgington

Friday and Every Other Thursday, 11:00 a.m.

$AVE : $200

IAA AUSTIN*

www.iaai.com

2191 Highway 21 West, Dale, TX 78616

512.385.3126

GM: Rick Hahn

Tuesday, 9:30 a.m.

$AVE : up to $200 Sell Fee

METRO AUTO AUCTION AUSTIN

www.metroautoauction.com

2221 Hwy 21 W., Dale, TX 78616

512.282.7900

GM: Brent Rhodes

3rd Saturday monthly, 9:00 a.m.

$AVE : $200

Corpus Christi

AMERICA’S AUTO AUCTION

CORPUS CHRISTI**

www.americasaa.com

2149 IH-69 Access Road, Robstown, TX 78380

361.767.4100

GM: Rene Gandy

Friday, 10:00 a.m.

$AVE : $200

IAA CORPUS CHRISTI*

www.iaai.com

4701 Agnes Street, Corpus Christi, TX 78405

361.881.9555

GM: Patricia Kohlstrand

Wednesday, 9:30 a.m.

$AVE : up to $200 Sell Fee

Dallas-Ft. Worth Metroplex

ADESA DALLAS**

www.adesa.com

3501 Lancaster-Hutchins Rd., Hutchins, TX 75141

972.225.6000

GM: Eric Jenkins

Thursday, 9:30 a.m.

$AVE : $200

ALLIANCE AUTO AUCTION DALLAS**

www.allianceautoauction.com

9426 Lakefield Blvd., Dallas, TX 75220

214.646.3136

GM: Anthony Herrera

Wednesday, 12:30 p.m.

$AVE : $200

AMERICA’S AA DALLAS**

www.americasaa.com

219 N. Loop 12, Irving, TX 75061

972.445.1044

GM: Ruben Figueroa

Tuesday, 12:00 p.m. / Thursday, 12:30 p.m.

$AVE : $200

DAX of ROCKWALL**

www.daxofrockwall.com

1810 E I-30, Rockwall, TX 75087

972.771.9919

GM: Tim Clement

Tuesday, 6:00 p.m. / Thursday, 2:00 p.m.

$AVE : $200

IAA DALLAS*

www.iaai.com

204 Mars Rd., Wilmer, TX 75172

972.525.6401

GM: Donnie Avant

Wednesday, 9:30 a.m.

$AVE : up to $200 Sell Fee

IAA DFW*

www.iaai.com

4226 East Main St., Grand Prairie, TX 75050

972.522.5000

GM: Tony Dias

Monday, 9:30 a.m.

$AVE : up to $200 Sell Fee

IAA FORT WORTH NORTH*

www.iaai.com

3748 McPherson Dr., Justin, TX 76247

940.648.5541

GM: Jack Panczyk

Tuesday, 9:30 a.m.

$AVE : up to $200 Sell Fee

MANHEIM DALLAS** www.manheim.com

5333 W. Kiest Blvd., Dallas, TX 75236

214.330.1800

GM: Rich Curtis

Tuesday, 9:00 a.m./Wednesday 9:00 a.m./ Friday 10:00 a.m.

$AVE : $100

MANHEIM DALLAS FORT WORTH** www.manheim.com

12101 Trinity Blvd., Fort Worth, TX 76040

817.399.4000

GM: Glenna Bishop Thursday, 9:30 a.m.

$AVE : $100

METRO AUTO AUCTION DALLAS** www.metroaa.com

1836 Midway Road, Lewisville, TX 75056

972.492.0900

GM: Scott Stalder

Tuesday, 9:30 a.m./ Friday 10:00 a.m.

$AVE : $200

El Paso

AMERICA’S AUTO AUCTION EL PASO www.americasaa.com

7930 Artcraft Rd., El Paso, TX 79932

915.587.6700

GM: Judith Ayub

Wednesday, 9:30 a.m. MST

$AVE : $200

IAA EL PASO* www.iaai.com

14751 Marina Ave., El Paso, TX 79938

915.852.2489

GM: Hector Escobar

Wednesday, 9:30 a.m. MST

$AVE : up to $200 Sell Fee

MANHEIM EL PASO** www.manheim.com

485 Coates Drive, El Paso, TX 79932

915.833.9333

GM: JD Guerrero

Thursday, 10:00 a.m. MST

$AVE : $100

Harlingen/McAllen

IAA M c ALLEN*

www.iaai.com

900 N. Hutto Road, Donna, TX 78537

956.464.8393

GM: Ydalia Sandoval

Tuesday, 9:30 a.m.

$AVE : up to $200 Sell Fee

BIG VALLEY AUTO AUCTION**

www.bigvalleyaa.com

4315 N. Hutto Road, Donna, TX 78537

956.461.9000

GM: Lisa Franz

Thursday, 9:30 a.m.

$AVE : $200

Houston

ADESA HOUSTON**

www.adesa.com

4526 N. Sam Houston, Houston, TX 77086

281.580.1800

GM: Keyvan Nayeri

Wednesday, 9:30 a.m.

$AVE : $200

AMERICA’S AA HOUSTON**

www.americasaa.com

1826 Almeda Genoa Rd., Houston, TX 77047

281.819.3600

GM: Kyle Drake

Thursday, 1:00 p.m.

$AVE : $200

AMERICA’S AA NORTH HOUSTON**

www.americasaa.com

1440 FM 3083, Conroe, TX 77301

936.441.2882

GM: Buddy Cheney

Tuesday, 1:00 p.m.

$AVE : $200

AUTONATION AUTO AUCTION - HOUSTON**

www.autonationautoauction.com

608 W. Mitchell Road, Houston, TX 77037

218.506.3220

GM: Davis Cosmi

Friday, 9:15 a.m.

$AVE : $200

EBLOCK HOUSTON** www.houstonautoauction.com

2000 Cavalcade Street, Houston, TX 77009

713.644.5566

GM: Rich Levene

Tuesday, 12:00 p.m.

$AVE : $200

IAA HOUSTON*

www.iaai.com

2535 West. Mt. Houston, Houston, TX 77038

281.847.4700

GM: Alvin Banks

Wednesday, 9:30 a.m.

$AVE : up to $200 Sell Fee

IAA HOUSTON NORTH*

www.iaai.com

16602 East Hardy Rd., Houston-North, TX 77032

281.443.1300

GM: Aracelia Palacios

Thursday, 9:30 a.m.

$AVE : up to $200 Sell Fee

IAA HOUSTON SOUTH*

www.iaai.com

2839 E. FM 1462, Rosharon, TX 77583

281.369.1010

GM: Roxy Castillo

Friday, 9:30 a.m.

$AVE : up to $200 Sell Fee

MANHEIM HOUSTON**

www.manheim.com

14450 West Road, Houston, TX 77041

281.890.4300

GM: Nick Hanson

Tuesday, 9:30 a.m.

$AVE : $100

MANHEIM TEXAS HOBBY**

www.manheim.com

8215 Kopman Road, Houston, TX 77061

713.649.8233

GM: Darren Slack

Thursday, 9:00 a.m.

$AVE : $100

Longview

ALLIANCE AUTO AUCTION LONGVIEW**

www.allianceautoauction.com

6000 SE Loop 281, Longview, TX 75602

903.212.2955

GM: Rocky Campbell

Friday, 9:30 a.m.

$AVE : $200

IAA LONGVIEW*

www.iaai.com

5577 Highway 80 East, Longview, TX 75605

903.553.9248

GM: Ulysses Else

Thursday, 9:30 a.m.

$AVE : up to $200 Sell Fee Lubbock

AMERICAS AA LONE STAR LUBBOCK**

www.americasaa.com

2706 E. Slaton Road., Lubbock, TX 79404

806.745.6606

GM: Dale Martin

Wednesday, 9:00 a.m

$AVE : $75/Quarterly

IAA LUBBOCK* www.iaai.com

5311 N. CR 2000, Lubbock, TX 79415

806.747.5458

GM: Chris Foster

Tuesday, 9:30 a.m.

$AVE : up to $200 Sell Fee Lufkin

GREATER LUFKIN AUTO AUCTION

www.greaterlufkinaa.com

2109 N. John Reddit Dr., Lufkin, TX 75904

936.632.4299

GM: Mitchell Connor

Thursday, 5:30 p.m.

$AVE : $200

Midland Odessa

IAA PERMIAN BASIN*

www.iaai.com

701 W. 81st Street, Odessa, TX 79764

432.550.7277

GM: Louis Cappi

Thursday, 9:30 a.m.

$AVE : up to $200 Sell Fee

San Antonio

AMERICA’S AUTO AUCTION

SAN ANTONIO**

www.americasaa.com

13510 Toepperwein Rd., San Antonio, TX 78233

210.298.5477

GM: Brandon Walston

Tuesday, 9:00 a.m

$AVE : $200

ADESA SAN ANTONIO** www.adesa.com

200 S. Callaghan Rd., San Antonio, TX 78227

210.434.4999

GM: Clifton Sprenger

Thursday, 9:00 a.m.

$AVE : $200

IAA SAN ANTONIO* www.iaai.com

11275 S. Zarzamora, San Antonio, TX 78224

210.628.6770

GM: Paula Booker Monday, 9:30 a.m.

$AVE : up to $200 Sell Fee

MANHEIM SAN ANTONIO** www.manheim.com

2042 Ackerman Road, San Antonio, TX 78219 210.661.4200

GM: Mike Browning Wednesday, 9:00 a.m.

$AVE : $100

Tyler

GREATER TYLER AUTO AUCTION**

www.greatertyleraa.com

11654 Hwy 64W, Tyler, TX 75704 903.597.2800

GM: Daylon Waynick Thursday, 2:30 p.m.

$AVE : $200

Victoria

VICTORIA AUTO AUCTION**

835 Industrial Park Drive, Victoria, TX 77905 361.576.0058

GM: Shelly Griffin Thursday, 11:30 a.m.

$AVE : $100

Waco

ALLIANCE AUTO AUCTION WACO** www.allianceautoauction.com

15735 I-35 Frontage Road, Elm Mott, TX 76640 254.829.0123

GM: Christina Thomas Friday, 9:45 a.m.

$AVE : $200

Wichita Falls

DAX of WICHITA FALLS**

www.daxofwichitafalls.com

2206 Sheppard Access Rd., Wichita Falls, TX 76306

940.720.0435

GM: Lisa Shelton

Every Other Wednesday, 5:00 p.m.

$AVE : $200

legal corner

BHPH Compliance: Don’t Overlook Proper Handling of Personal Property in Repossessed Vehicles

One of the realities of repossessing motor vehicles after a default by the debtor is that vehicles have usually not been cleared of personal effects prior to repossession. The proper handling and disposing of personal property found in repossessed units is an important part of being compliant with the requirements of state statutes, regulations, and the terms of a motor vehicle retail installment contract.

The first rule affecting a debtor’s personal property is that the holder of a security interest in a motor vehicle does not have a lien on the personal property that may be in a vehicle when it is repossessed. Since the creditor doesn’t have a lien on personal property, such property must be returned to the debtor upon demand to avoid unlawful conversion of the personal property. (Sometimes a question arises as to what is personal property, as opposed to something that might be affixed or attached to the motor vehicle. A discussion of that question will be reserved for a later date, as this article refers to things like clothing, tools, toys, and personal effects that are not legally defined as “accessions” to the vehicle.)

Ordinarily, taking the personal property upon which no security interest attaches would be considered a theft of the property. Theft or conversion of someone else’s property is a criminal violation and also gives rise to civil damages. However, the law recognizes that repossessing

collateral such as a motor vehicle may entail also temporarily taking some property that is contained within the collateral, so no penalty is attached to the taking as long as the personal property is immediately returned upon demand.

It is recommended that property that is removed from a vehicle be inventoried and bagged. Reasonable security measures should be used to protect the property from damage or theft. Any contraband should be reported to police.

Can Personal Property Be Held Pending Return of Keys?

One common question from car creditors is whether personal property can be held until the debtor turns over the keys to the vehicle.

Because a debtor’s personal property contained in a vehicle at the time of repossession is not subject to the car creditor’s lien, the property must be returned upon demand by the debtor without placing any conditions or stipulations upon such return. By placing any condition upon the return of the personal property, the creditor risks criminal and civil penalties for converting the property. Examples of conditions that car creditors might be tempted to place upon return of personal property are: Return of the keys; payment of a storage or management fee; signing a release; or payment of a repossession fee. If the debtor refuses to comply with the condition, and the creditor then refuses to release the personal property, there is the potential that the creditor has

It is recommended that property that is removed from a vehicle be inventoried and bagged. Reasonable security measures should be used to protect the property from damage or theft. Any contraband should be reported to police.

2025 Upcoming Events

TIADA DEALER ACADEMY

For online registration and information, see www.txiada.org

May

12 Keeping Your Dealership Legal & Compliant

El Paso, TX

OTHER TIADA EVENTS

July 27-29 2025 TIADA Conference & Expo

Gaylord Texan Resort & Convention Center

Grapevine, TX

Many car creditors have found that the reclaiming of personal property is a good time to bring up the possibility of signing a waiver of notice form that includes not only the acknowledgment that personal property has been returned, but also a release from future claims of liability. Just make sure that the form is totally voluntary.

converted property. In addition to the criminal and civil penalties associated with conversion, the refusal to return personal property may give rise to actions by the Office of Consumer Credit Commissioner.

Many car creditors request that debtors sign a statement acknowledging that they have picked up their possessions, which is a good procedure to utilize. In fact, the repossession waiver forms in the book, Texas Automobile Repossession: A Lien Holder’s Legal Guide, contain such an acknowledgement. I recommend attempting to have debtors sign these forms. However, the refusal of a debtor to sign can’t be used to justify withholding return of personal property. (We’ve seen cases where debtor’s attorneys would claim that the voluntary waiver of repossession notice a nd agreement to the acceptance of collateral by the creditor, although signed by the debtor, were invalid because the car creditor threatened to w ithhold personal effects until these were signed).

Many car creditors have found that the reclaiming of personal property is a good time to bring up the possibility of signing a waiver of notice form that includes not only the acknowledgment that personal property has been returned, but also a release from future claims

of liability. Just make sure that the form is totally voluntary.

Some repossession agents who store repossessed vehicles for car creditors have begun charging storage, security, and inventory fees directly to debtors who attempt to pick up their personal effects. It is recommended that car creditors either pay the fees directly or attempt to negotiate waiving those fees to avoid the potential of a conversion action. Since the agent is, in effect, acting on behalf of the creditor, the creditor is primarily responsible for seeing that the rules of repossession are followed.

Here’s another suggestion for car creditors in dealing with debtors who are picking up their things after repossession. We’ve heard a number of instances in which debtors who have been given access to vehicles to claim their property have started the vehicles and driven away. The lien holders have usually found that the police do not consider a debtor driving away with repossessed collateral a crime. Temporarily disabling the repossessed unit during the reclamation process might help avoid such a scenario.

Disposing of Unclaimed Personal Property

At one time, there was no specific provision in Texas law for disposing

of unclaimed personal property left in a repossessed vehicle. This lack of guidance left many car creditors in a quandary as to when these items could be disposed of, if at all. The thought of storing property indefinitely evoked visions of large warehouses of unclaimed property. Fortunately, the Texas Legislature added a section to the Texas Finance Code (it was the Texas Credit Code back then) that offered a structure for giving notice to the debtor of the existence of personal property in a repossessed vehicle, a time frame for holding the property, and permission to dispose of the property if it isn’t timely claimed.

Section 348.407 of the Texas Finance Code requires that a notice be g i ven or sent to the debtor not later than the 15th day after the date the creditor discovers the property. The notice is to inform the debtor that the property can be identified and

claimed at a reasonable time before the 31st day after the date the notice is given. It must give the location of the property and state reasonable times during which the property can claimed.

The contents of this notice are included in the post-repossession notice forms in Texas Automobile Repossession: A Lien Holder’s Legal Guide If the appropriate box is checked on the notice, and the location and hours that the property c a n be claimed are included, then there is no need to send a separate notice.

If the property is not claimed before the 31st day after the notice is given or sent, the statute provides that the creditor can “dispose of the property in a reasonable manner and distribute any proceeds of the disposition according to applicable law.” It is presumed that the “applicable law” reference is to the state escheat provisions

that govern handling unclaimed property and money through the office of the State Comptroller. It would seem to be reasonable that property with no value could be thrown out or donated to charity.

Taking possession of collateral upon default is just the first of many steps that need to be taken to complete the repossession process. Having a compliant procedure in place for handling and disposing of personal property is an important part of that process and shouldn’t be overlooked.

Michael W. Dunagan is an attorney in Dallas, Texas who has represented the Texas Independent Automobile Dealers Association for 50 years. He has written a number of books and hundreds of articles for trade journals and law reviews. His clientele includes dealers, banks, finance companies, auto auctions and credit unions.

July 27–29, 2025

Gaylord Texan Resort & Convention Center Grapevine, Texas

Dealer Registration Options

Customize your conference experience by selecting from the options below. To register, please scan this QR code or go to conference.txiada.org Questions? Call us at 512.244.6060.

Full Conference Member Registration (includes Welcome Reception, Monday & Tuesday Education/Sessions, Expo

1st* Registrant

2nd* Registrant

3rd + additional Registrant

Meet the Conference Recruitment Challenge Goal: Five (5) New Recruited Members

One Day Dealer Pass (Monday 7/28 or Tuesday 7/29)

Hotel Accommodations

Discounted guestrooms at the Gaylord Texan Resort & Convention Center are available for TIADA Conference attendees: $269 /night $26 resort fee (includes Cowboy Golf Course practice facility ) Self-parking is $17 per day

Room must be reserved on or before June 20th to receive the discounted rate. Please only take the rooms you need or release unneeded rooms at least a week before the deadline for other attendees.

Any room reservation that is cancelled after June 20th will be subject to a late cancellation  fee of one night’s room and tax. No-shows will also be charged one night’s room and tax.

Gaylord Texan Resort & Convention Center / 1501 Gaylord Trail / Grapevine, TX 76051 Call 817.778.1000 or book online conference.txiada.org/accommodations

The Texas Two-Step NIADA Giveaway

Register for the 2025 TIADA Conference & Expo and be automatically entered to win a free registration to the NIADA Convention & Expo 2025. Five lucky attendees will be chosen throughout the entry period. The Texas Two-Step: The earlier you register, the more chances you have to attend the conference on us!

Recruit new TIADA dealer members and earn cash, rewards and perks!

Recruit 1 new member $100 and your name published in the newsletter.

Recruit 3 new members

$300 and your name published in the newsletter and the TIADA Texas Dealer magazine.

Recruit 5 new members $ 500 and your name published in the newsletter and the TIADA Texas Dealer magazine, plus one (1) free night’s lodging at the TIADA 2025 or 2026 conference.

Recruit 10 new members

Recruit 20 new members

$1,000 and your name published in the newsletter and the TIADA Texas Dealer magazine, plus two (2) free nights lodging at the TIADA 2025 or 2026 conference.

$2 , 250 which includes all the Recruit 10 prizes, plus $1,250 in hotels, meals, travel, and expenses to ANY destination of your choice.

DealerCenter Difference

There is no other system in the industry like DealerCenter. The DealerCenter web-based and mobile solution gives dealers complete control of every aspect of the deal process. With specific features to help dealers acquire and advertise inventory, manage internet leads and prospects, work deals with any lender, and analyze custom reporting there is no better system to help you get deals done end-to-end!

feature

Do You Know Your Collection CSI?

How would your collection department CSI (Customer Service Index/Indicator) measure up to everyone in the BHPH industry? Most BHPH operators haven’t given it a second thought. As of yet, there hasn’t been a national BHPH CSI developed, but it’s something that must be tracked and monitored to have any hope of future success.

In today’s highly competitive BHPH marketplace, a low CSI will not only cost you money, but could literally cost you your entire business. Obviously, customer service and satisfaction are important in all facets of the business from sales, to service, to collections, but in the recent economic and competitive climate, how the customer is treated during the collection process will set you up for either future success of failure.

The BHPH business is widely recognized, and rightly so, as a collection or risk management business. Yet

often times the service after the sale, so to speak, is neglected or simply ignored. The most successful operators thrive on repeat and referral business. A direct result of providing good overall customer service. And those same operators usually experience a better performing portfolio, which, again, is what this business is all about.

One of the biggest challenges to providing effective collection customer service comes from the top. Some operators still cling to an old school train of thought. They have already provided service by selling and financing a vehicle for a customer when more than one other dealer said no. Another car in that same train carries the thought that the customer has signed a contract and that’s where the obligation ends. These thought processes are filtered down and can affect everyone’s attitude in the organization towards their greatest asset, the customer. I’m not saying the customer is always right,

but they are becoming more right everyday.

Another sizeable challenge to providing good collection customer service is setting the right tone. The first collection customer contact usually occurs when a payment is missed or there is a service issue. Neither of which is particularly positive from the customer’s viewpoint. Too often it is assumed that the customer is either lying in regards to their circumstances or simply trying to get something for nothing. Both of which lead to an overly aggressive posture, usually by bullying or giving ultimatums, to try to exert some form of control over the customer. Very rarely does this work effectively in the long run.

The key to setting the right tone is getting the customer to first like you. If they like you, they will trust. And if they trust you, they will respect you. Once they respect you, they will be much more likely to accept whatever you have to say good, bad, or indifferent. It all begins with listening. We were given two ears and one mouth for a reason. We should listen twice as much as we speak. The like-trustrespect dynamic is instrumental in setting the right tone. Set the wrong tone and it will be arduous collection task for the length of the note. But rest assured if you set the wrong tone, you will not have to worry about that customer, or anyone they know, once they are paid off.

There are many ways to develop and foster customer service and satisfaction. Customer rewards programs have proven successful in other industries and are now picking up steam in BHPH. Most everyone has a repeat and referral program, but collection and service reward programs are becoming more prevalent. I can hear those of you on the old school train; “Reward them

for doing what they are supposed to do anyway? Never!” In today’s ultra competitive BHPH market, that may be just what it will take to thrive. Anything to separate you from the competition, provide added value to the customer, and keep them pay-

Set the wrong tone and it will be arduous collection task for the length of the note. But rest assured if you set the wrong tone, you will not have to worry about that customer, or anyone they know, once they are paid off.

ing you. Whether it is the customer receiving credit for making their payments on time or incentives for keeping up with the regular maintenance of the vehicle, the key is just having something in place.

Deciding to renew or extend your commitment to customer service and satisfaction is step in the right direction. The next step is how to effectively track and monitor progress, or lack thereof. There are a few ways to do this. Written surveys and call recording services or systems seem to be the most popular and effective.

Written surveys should be simple and concise. Multiple choice and/or number grading are the easiest to track and quantify. Open response can sometimes be just that. And often times not legible and so not of much value. Surveys can be done at the time of sale, as the customer

pays off, or at the time any service is performed whether it be warranty, customer pay, or best of all, good will. It’s a good practice to include your employees. If the right tone was set, who better to know what the customer likes and dislikes are. Regardless of whom it’s from or when, all feedback can be valuable.

Call recording services or systems are also valuable in tracking and monitoring how well your organization is handling your customers. One bit of advice: Remove all sharp objects and anything that can be thrown or broken prior to listening to the first set of recordings. You will be astonished at what and how things are being said to your potential and existing customers by your employees. Once you get past the initial shock, they will provide a great avenue for training and holding your remaining staff accountable. They can also provide a means of verification in a “We said, they said” scenario thus preventing a possible legal nightmare.

Competition for the BHPH customer is stiffer than ever, especially with how aggressive sub-prime has been for quite some time. Add to that rising compliance standards, and customer service and satisfaction is more important now than ever. The like-trust-respect dynamic will be the key to not only sales success, but more importantly, collection success. Today’s BHPH customer only wants what we all want. They want to be treated with courtesy and respect. The truly successful operators already understand this and act accordingly. A simple fact, if ignored, will derail the old school train.

Brent will be a featured presenter at the upcoming 2025 TIADA Conference & Expo, July 27–29 in Grapevine. To register, visit conference.txiada.org/register/

YES! I would like to serve on TIADA Committees

YES! I would like to serve on TIADA Committees

Check the committee(s) you wish to join. All Dealer Members are welcome to participate. We need your input! Please complete form and return to info@txiada.org or fax to 512.244.6218.

Check the committee(s) you wish to join. All Dealer Members are welcome to participate. We need your input! Please complete form and return to info@txiada.org or fax to 512.244.6218.

Committee members will be appointed at the October 2023 board meeting

Committee members will be appointed at the October 2023 board meeting

Standing Committees:

Standing Committees:

Awards Committee

Awards Committee

Budget and Finance Committee

Budget and Finance Committee

Legislative Committee

Legislative Committee

Political Action Committee (INDEPAC)

Political Action Committee (INDEPAC)

Bylaws Committee

Bylaws Committee

Ad hoc Committees:

Ad hoc Committees:

Ad hoc committees will be appointed by the president to focus on specific issues and given a specific timeframe. Issues may include but are not limited to: education, conference, compliance, member services, membership recruitment, website, magazine and surveys. Committee members will be notified prior to a committee being appointed to determine interest.

Ad hoc committees will be appointed by the president to focus on specific issues and given a specific timeframe. Issues may include but are not limited to: education, conference, compliance, member services, membership recruitment, website, magazine and surveys. Committee members will be notified prior to a committee being appointed to determine interest.

PREPARING FOR PLATES :

How Texas Tax Assessor-Collectors Are Gearing Up for HB 718

As the automobile dealership industry in Texas prepares for one of the most significant registration changes in recent memory, county tax assessor-collectors across the state are taking the lead to ensure a smooth rollout. House Bill 718, passed by the Texas Legislature in 2023, will require metal license plates to be issued at the point of sale for vehicles purchased through licensed dealers, replacing the temporary paper tags that have long been the standard.

While the legislation was aimed squarely at curbing criminal misuse of temporary tags, its implementation has prompted a wave of preparation and planning at all three levels — state, dealerships, and counties.

Two Tax Assessor-Collectors — John R. Ames of Dallas County and Shay Luedeke of Bell County — offered insights into how their offices, and their dealer communities, are adjusting to the demands of the new law.

Their approaches highlight the shared concerns and creative solutions being pursued across counties of different sizes and resources, united by the same July 1, 2025 deadline.

A Shift in Process, A Push for Participation

At its core, HB 718 requires all dealers to process vehicle transactions through webDEALER, the Texas Department of Motor Vehicles’ (TxDMV) web-based platform, and issue metal license plates at the time of sale. Gone are the days of paper tags fluttering on newly purchased vehicles; under the new system, a buyer will leave the lot with their vehicle’s official metal plates already installed.

But implementing this system-wide change has meant ramping up training and outreach like never before.

“We’ve developed a webDEALER training program and have invited over 2,400 dealerships to attend,”

said John R. Ames, who has served as the Dallas County Tax AssessorCollector since 2008. “We’ve been hosting that training for over a year now and offer it two to four times per month.”

Ames and his team have also updated signage in branch offices, distributed flyers, and contacted dealerships that had signed up for webDEALER but weren’t actively using it. Given that Dallas County processes over 650,000 title transfers per year — most through dealerships — the stakes are high.

Shay Luedeke, Tax Assessor-Collector for Bell County, which serves a population of about 400,000, has faced a similar challenge on a smaller scale.

His team has focused on direct communication with the approximately 270 licensed dealers in the county, regularly sending letters, emails, and webinar information to encourage early adoption of webDEALER.

“Our message is clear — if you wait until July 1, 2025, to start using webDEALER, it’s too late,” Luedeke emphasized.

Overcoming Resistance

The transition from in-person drop-off transactions to an all-digital system has not been universally welcomed. While some dealers, particularly larger franchise operations, were already familiar with webDEALER, many smaller independent dealers have been hesitant.

“Many dealers are resistant to moving on to webDEALER and want to continue the drop-off process,” said Ames. “Unfortunately, the RTS system will not allow us to accept in-person/drop-off dealer transactions after July 1.”

Both counties are taking a proactive approach to this issue. In Dallas, the tax office is trying to meet dealers where they are — offering simplified explanations and even queue-busting perks for early adopters.

“We explain that a dealership needs to think of webDEALER as a virtual tax office and nothing more,” Ames explained. “This seems to help put dealerships at ease.”

In Bell County, the strategy includes breaking down the transition into manageable steps.

“We’re encouraging dealers to start small — process a few transactions now and gradually transition all their work,” Luedeke said. “If they wait until July 1 to make the switch, they will likely experience complications, and neither county offices nor TxDMV will have the bandwidth to resolve every issue immediately.”

Streamlining Operations Internally

Preparation isn’t just about educating dealers — it’s also about

optimizing internal workflows. In Bell County, Luedeke’s office has already centralized all webDEALER processing at the main office, eliminating redundancies and improving accuracy.

“We’ve expanded our webDEALER department and trained additional staff as more transactions shift to the system,” he noted.

Dallas County, already equipped with a dedicated webDEALER Operations Division, is taking a slightly different approach. Rather than adding staff, they plan to reassign current team members who previously handled in-person dealer work to support webDEALER.

Still, Luedeke is exploring future enhancements. One innovation under consideration in Bell County is the installation of smart lockers for dealer pickup. The idea: once dealer work is processed, it’s placed in a secure locker. Dealers receive a barcode via email, scan it in the lobby, and retrieve their documents without waiting in line.

“This would save both dealers and my staff valuable time,” said Luedeke.

Training the Troops

On the staff training front, both counties are actively preparing for the shift. Dallas County is reinforcing webDEALER expertise across its branch offices to ensure cross-functional support, while also referring dealers to TxDMV’s official online training resources. In Bell County, staff training goes hand in hand with process refinement.

“We’re reinforcing the importance of early adoption not just for dealers, but for our own teams as well,” said Luedeke.

Security and Plate Distribution

While webDEALER streamlines processing, it also opens new questions about fraud prevention and plate security — key drivers behind the legislation in the first place.

When it comes to enforcement,

both Ames and Luedeke pointed to TxDMV and law enforcement agencies as the primary authorities. However, their offices are taking steps to help dealers prepare for secure distribution.

“We reiterate that dealerships need to verify their licensing information is updated with TxDMV — email, phone, business address,” Ames said. “This helps ensure inventory is delivered correctly.”

Luedeke noted that TxDMV is setting up a new Plate Distribution Center with an inventory management system to help securely manage distribution. Dealers will be required to store plates in locked areas, and TxDMV has promised increased compliance audits moving forward.

Dealer and Public Response

Reactions from dealers range from cautious optimism to outright concern. Smaller dealerships, in particular, worry about the cost of implementation and the learning curve.

“Dealers are understandably anxious, especially given the number of regulatory updates coming from the state,” Luedeke said. “Many are worried about how these changes will impact their bottom line.”

Public response has been more muted but generally favorable.

“The general public appears to be unaware of the new process for the most part,” Ames said. “But we’ve had no negative feedback from them either.”

That said, Luedeke anticipates some hiccups on the buyer side. “Buyers may face delays in receiving registration stickers after transactions are processed,” he said. “We’ll have to wait and see how that plays out.”

Advice for Dealers (and Buyers)

Both Ames and Luedeke stress the same key point: the time to prepare is now.

“Dealerships should get in touch with their County Tax Office as soon as possible and get on webDEALER,”

said Ames. “The sooner they are familiar with the system, the better.”

Luedeke agrees — and offers a note of caution to vehicle buyers as well.

“Be patient,” he said. “This is a big change for everyone — TxDMV, tax offices, and dealerships.”

Looking Ahead

While both counties differ in size, resources, and dealer populations, their approaches demonstrate a common understanding of what successful implementation of HB 718 will require: communication, collaboration, and commitment to preparation.

Dallas County has been a longtime supporter of webDEALER and helped shape statewide processes

in cooperation with TxDMV. Bell County, meanwhile, is using this moment to modernize and streamline its services in real time.

“We are encouraged by the potential new efficiencies that HB 718 could bring once fully implemented,” Ames said. “But we are also concerned about the volume of transactions moving through webDEALER and have been working with the DMV to strengthen the system’s capabilities.”

With less than a year remaining before the law takes full effect, the work continues across Texas. Counties big and small are gearing up for the switch — from paperwork to plates.

House Bill 718 (HB 718)

Replacing Temporary Tags with Metal License Plates

webDEALER Requirement:

HB 718 requires Texas motor vehicle dealers to use webDEALER for processing title and registration applications electronically.

IMPORTANT: Dealers without webDEALER accounts on July 1, 2025, will not be able to complete motor vehicle sales transactions. Dealers should coordinate with county tax assessor-collectors’ offices for system access to webDEALER ahead of the deadline.

webDEALER Access, Use, and Training Deadline:

Dealers are required by Texas Administrative Code rules to complete webDEALER training by April 30, 2025, unless they have been active webDEALER users for more than six months and submitted more than 100 transactions as of October 1, 2024. If you have not completed the training, you still need to so you can receive plates. You will be later in line.

webDEALER Training:

To support dealers and county staff in meeting the training requirement, TxDMV offers multiple webDEALER training sessions monthly, available both online and in person. Ondemand video training in English and Spanish is also available. Check the TxDMV calendar page at www. TxDMV.gov/calendar for dates and registration information for monthly training sessions.

Metal Plate Implementation Training:

Guidance on the implementation of the new metal license plate requirements is also available in English: Your Complete Guide to Metal Plate Implementation.

The Texas Legislature enacted House Bill 718 (HB 718) during the 88th Legislative Session in 2023 to address concerns related to the fraudulent use of paper license tags. The new law and associated administrative rules mandate significant operational changes for the Texas motor vehicle industry effective July 1, 2025.

The Texas Department of Motor Vehicles (TxDMV) is using all available avenues to provide the necessary information on operational changes and resources to support a smooth transition to the new policies, procedures, and logistics affecting motor vehicle dealers, county tax assessor-collectors, front-line law enforcement, and individuals buying or selling a motor vehicle. The TxDMV provides a FAQ page at https://www.txdmv.gov/HB718.

New License Plates:

Beginning July 1, 2025, Texas motor vehicle dealers will no longer issue the following from the eTAG system:

Buyer Tags

Internet Down Tags

Vehicle Specific Tags

Agent Specific Tags

Instead of these temporary tags, dealers will issue metal plates at the time of the sale. In most cases, general issue license plates will be issued and registered in the name of the buyer.

Implementation of HB 718 created four limited-use metal plates to be used by dealers or county offices for specific temporary vehicle registration needs:

New Metal License Plates

Buyer Provisional Plate

For short-term use if dealers lack the required plate type for the vehicle in their inventory.

Dealer Temporary Plate

For dealers’ business-related uses, such as test drives, loaner vehicles, or transporting the vehicle. Personal use of vehicles with these plates is prohibited.

Out-of-State Buyer Plate

For vehicles sold to out-of-state buyers.

Temporary Registration Plate

For temporary registration, replacing one-trip and 30-day permits (issued by county tax offices and TxDMV regional service centers).

These new license plates will not replace current metal dealer license plates or the general issue plates that dealers will most frequently issue. The current dealer metal plates remain permissible for personal use.

Additionally, HB 718 will modify the process of issuing general issue license plates. Dealers will receive an allocation of general issue license plates directly to their licensed location that will be issued to a vehicle at the time of sale.

Plates Remain with Vehicle: When a consumer sells or trades-in a vehicle to a dealer, the general issue license plates registered to the vehicle will stay with that vehicle.

Dealers must store the plates securely and assign them to the next person who purchases the vehicle. Specialty and personalized plates will still be retained by the customer.

License Plate Distribution: For most plates, HB 718 transitions from the current distribution model of license plates delivered to dealers by county offices to a directto-dealer model for general issue plates. Plates will be produced by the Texas Department of Criminal Justice (TDCJ) and shipped to a centralized distribution warehouse operated by a TxDMV contractor. A sufficient supply of plates will be maintained in the warehouse for distribution year-round to meet sales demand.

Dealers will order, track, and assign plates easily and directly through a new web-based, accessible Inventory Management System (IMS).

IMPORTANT: Dealers must complete webDEALER training or be active users of webDEALER before they can receive plate shipments.

Dealers will order Dealer Temporary Plates through the eLICENSING system, just like the current process for existing Dealer Plates distributed by TxDMV. eLICENSING User Guide for Dealer Plate Applications: Standard Dealer Plate & Dealer Temporary Plate

Plate Storage and Security: Rules adopted by the TxDMV Board in October 2024 require dealers to secure plates in a locked room, closet, or one or more securely locked, substantially constructed safes or steel cabinets bolted to the floor or wall. Dealers must control employee access to the storage location to ensure plates are used only for legitimate sales.

Vehicle Transfer Notification: On the sale or transfer of a motor vehicle to a dealer, the dealer must submit a Vehicle Transfer Notification (VTN). Dealers can submit the VTN online through the department’s license plate system, currently known as eTAG.

Dealer Compliance: The new Dealer Compliances Services Section in the TxDMV Enforcement Division will inspect dealer locations to verify compliance with license plate and premises requirements. Staff will offer education and guidance to dealers found non-compliant as they adapt to the new requirements.

Featured Courses

TIADA designed and implemented some important on-demand courses to give dealers quality educational programs they can access throughout the year. These programs are essential for dealers to stay compliant. They offer flexibility, so you can complete them according to your schedule. These courses are designed for any dealers with questions related to various regulations that affect their businesses.

Repossession 101: What You Need to Know

In this two-part video course TIADA counsel Michael Dunagan answers repossession related questions for both the dealer starting out and those dealers who want a refresher. Dunagan goes through the basics of self-help repossession, repossession when a client has filed bankruptcy, and using the courts to regain collateral through sequestration. The course also covers all the repossession letters and includes a downloadable deck of slides to follow along with the course.

$ 98 for two 1-hour videos

The Basics of Transferring Titles *

Want to avoid having your title transfer paperwork rejected at the tax office? This online course is designed to walk you through the title transfer process and is best suited for people new to transferring titles or those who want to brush up on the basics. This course has been reviewed for accuracy by the Tax Assessor-Collectors Association of Texas.

$ 48 for the course * Also available in Spanish

Local Chapters

CORPUS CHRISTI

G.R. Moore

The Car Shack

(dates and times can be found at txiada.org/Calendar_List.asp, when scheduled)

EL PASO

Cesar Stark

S & S Motors

Meeting – 3rd Friday (Monthly)

FORT WORTH

Jerry Smith

H J Smith Automobiles

(dates and times can be found at txiada.org/Calendar_List.asp, when scheduled)

HOUSTON

Chris Donnelly

Your Car Store

Meeting – 2nd Tuesday (Monthly)

SAN ANTONIO

Nory Pakravan

210 Auto Credit

(dates and times can be found at txiada.org/Calendar_List.asp, when scheduled)

Please Welcome Our Newest TIADA Members

DEALER MEMBERS

Carcun Auto Group

Ricardo Taboada 2321 Hemphill S treet, Fort Worth, TX 76110

Drivemax Auto Sales

Luis Perez

Gordon Motors

. 6498 Alameda Ave, El Paso, TX 79905

Cesley Gordon 6200 Count y Road 4044, Kemp, TX 75143

Olivas Autohub of El Paso

Dante Olivas

Sharp Cars Motors

10349 Dyer St, El Paso, TX 79924

Mario Dioadado 15607 Lee Rd, Houston, TX 77032

Tri-Key Auto Ranch

Tyler Terry

ASSOCIATE MEMBERS

DRIVEE AI

5150 Fm 1288 S, Bellevue, TX 76228

Shaun Boland 3031 Tisch Way, San Jose, CA 95128

resource guide

The TIADA Website: txiada.org

Members can log in with their username/password and access our Dealer Member Directory, Legislative Action Center, Compliance Consultation Service and much more. Register for all upcoming TIADA events online through the Calendar of Events, access our online membership application, find contact information for all our Local Chapters, and access many additional resources through our Knowledge Base.

License Renewal

Certificate

TexasDealerEducation.com

Texas Department of Motor Vehicles

888.368.4689 txdmv.gov

Office of Consumer Credit Commissioner

800.538.1579 occc.texas.gov

Texas Comptroller 800.252.1382 comptroller.texas.gov

NIADA 817.640.3838 niada.com

REPOSSESSIONS

American Recovery Association 972.755.4755

repo.org or contact TIADA state office FORMS Burrell Printing 512.990.1188 burrellprinting.com

7 Ways to Increase Profitability as an Independent Car Dealer in 2025

Independent car dealerships had to navigate a number of trends in 2024, from supply constraints to consumers reacting to new economic pressures. While the coming year is showing positive signs for used-car dealers, we’ve learned that the future is never certain.

No matter what curveballs are around the corner, there are key strategies used-car dealers should consider to consistently boost profitability.

1 Understand What Sells in Your Area

Even though you found a great deal on a classic Corvette Stingray that you’d love to drive doesn’t mean it’s going to sell quickly. If you’re a smaller dealer, there’s no need to stock everything, just pay attention to what sells in your market.

Most used-car dealers have heard the adage: “All the money is in the buy.” If you pay too much for a car wholesale, you’re not going to be able to retail your way out of it. Remember to backout all your costs, wholesale, transportation, reconditioning, and even salesperson commissions if that applies.

What will your profit be when (if) you sell the vehicle? If you focus your efforts on what sells on your lot — and quickly — the money will follow.

To make informed decisions about inventory, take advantage of data analytics tools to discover popular models and pricing trends in your local area. Understanding which vehicles are in high demand will help you optimize your inventory and pricing for the best profit.

2 Know Where to Buy Inventory

Once you know your market, you’ll need to consistently replenish your inventory. There are several strategies worth considering.

Independent Auctions: If your consumers are looking for basic transportation in a lower price range, say between $5,000 and $15,000, your best source is independent auctions. I’ve seen the greatest success at wholesale auctions for vehicles in this price range that have lots of life in them for the next owner. Having an inventory with stepped price points will allow dealers to accommodate the budgets of a broader range of customers.

Local Individuals: Your local market can be a gold mine for inventory. Make it very clear on your signage that you buy cars by promoting free appraisals or that you pay cash for cars. With this strategy, you have the car right in front of you to inspect, test drive, and purchase on the spot.

When buying cars in your community, give people a fair price. This will build your reputation as a trustworthy dealer, paying off in the long run with referrals and repeat business.

Online Marketplaces: Another place to find individuals selling cars is Facebook Marketplace, Craigslist, or other online marketplace. One advantage of this approach is no auction fees and transportation fees if the vehicle is local. Talk to other dealers, find out where they’re getting vehicles and explore the various platforms available to dealers.

Dealer Buys: Dealers that take in off-brand vehicles in a trade are likely to wholesale them out. As a used car manager, start talking to the other used car managers at franchised dealers to inquire about the vehicles they take in on trade but are not well suited for their lot. A Toyota dealer that took in a Chevy on trade might be willing to sell it to you at a reasonable price. If you close the deal, both dealerships save a lot of time and money that they would otherwise be spent at auction.

3 Understand Your Transportation Costs

While dealers do have to be thoughtful about their inventories, looking at the transportation costs involved can open up new markets for sourcing.

If you’re a dealer who sticks to a 50-mile radius and sends your drivers to pick up the vehicles, you probably have an idea of what that costs per unit. However, the selection in your local market may be limiting. Are your local buys aging out? Do you find yourself discounting them just to get them off your lot?

4 Leverage Your Service Drive to Market to Your Own Customers

More than half of dealership profits come from the service drive. If you have the space and the resources, consider investing in a service center. While you’re working on their cars, customers may start considering a second or third car for their household.

Having service capabilities keeps your customers coming back to your store and allows you to recondition your own cars as well.

5

Provide Vehicle History

History can impact the value of a vehicle. You can use a vehicle history report when you’re wholesaling to help determine its value, or as a sales tool. By sharing

vehicle history information with potential customers, you help remove their uncertainty about the integrity of the car and improve the credibility of your dealership.

There are several great tools in the market that may fit into your budget. Many independent dealers invest in such a subscription to

will hurt your profits. Discounting a vehicle may mean that you don’t make as much gross as you’d like, but ultimately that might help build your reputation for a dealer who is willing to give a fair price. If the car is just sitting there, it’s not helping you at all. If it sits for more than 30 days, you need to move it — maybe

enhance their reputation as quality used-car sellers and build a strong base of business. Providing vehicle history reports is just one way to build confidence and encourage repeat business.

6 Change Your Pricing Strategy

Is your pricing strategy aligned with current market conditions? With today’s economic climate, some customers shop with a monthly payment in mind. That’s when financing becomes more important.

Once you know someone’s budget, you will have a better idea of which vehicles would hold value and be financeable based on their mileage and condition. A good used car dealer wants to show their potential customer a vehicle that they’re going to be able to afford.

Although there’s usually a buyer for every car, aging inventory is not your friend. A holding cost

detail it and find a new place for it on your lot.

7 Make Operations More Efficient

Operational efficiency is essential for maximizing profitability. By reducing time spent on manual

processes, you’ll be able to spend more time on the floor or on the phone with customers. Dealers leveraging a transportation management system can reduce the time spent ordering transportation by one-third. A comprehensive platform also enables you to manage all carriers in one place, providing full visibility and control over their inventory.

Another key component of efficiency is having reliable partners. Instead of constantly searching for new vendors with a better price and risking unreliable service, build strong relationships with reputation companies.

Navigating the Future for Independent Car Dealers

Success is rarely a straight line, and used-car dealers will continually need to evolve to remain competitive. By considering these key strategies, dealers can find new ways to boost their profitability and position themselves for success. Embrace change, stay informed, and build strong relationships with your customers, communities, and fellow dealers.

This article from Cherokee Media first appeared on AutoRemarketing. Please visit https://www.autoremarketing.com/ for more news and insights.

Avoid expensive fines and penalties

The Texas License Renewal Education Course provides the ins and outs of being a dealer in Texas in a self-guided online course, available 24/7. This is the same course required by the TxDMV to renew a GDN license, so it covers all the important subjects including:

• Staying compliant with TxDMV regarding premises requirements

• Acquiring Inventory

• Temp Tags and Metal Dealer Plates

• Buyer’s Guide

• Deal Jacket Documents

• Transferring Titles

• Record Keeping

• Special Inventory Tax (VIT)

• Federal Requirements

• The OCCC

• Enforcement and Investigation

• Advertising Rules

This course is perfect for managers that need an overall refresher or for the new employee that needs to be brought up to speed on all aspects of this industry in a fast, convenient and reliable way.

In addition to TxDMV’s approval, this course has been reviewed by the Tax-Assessor Collectors Association of Texas for accuracy so you’ll never have your title transfer paperwork rejected again.

To register visit TexasDealerEducation.com and select the Texas License Renewal Education Course.

What People Are Saying:

“Great refresher course, helped me remember a lot of items that I need to be in tune with.”

“The course provides all the necessary information, links, and rules where I can find useful tools for my business.”

“If you want to learn more about a specific topic this course includes a direct link to the source you are trying to find out more information on.”

“Overall, this program was great and I am happy that eLICENSING implemented this to ensure we know the basic stuff of running our dealers and running a clean ship without having to face violations or risk your license, this is awesome!”

“This is a good training course for all new dealers. It can also be recommended for old dealers as a refresher training course.”

The Power of Membership.

Since 1944, TIADA has been and continues to be the only statewide organization for independent automobile dealers. You are connected with more than one thousand independent automobile dealers across Texas, who are all committed to creating a better image for the industry, while protecting our rights as business owners and increasing our bottom line. Individually, you are strong, but together, as an association, we are powerful .

Get involved with the association’s advocacy efforts, find out what policies may be affecting used car dealers. Have a say, make a difference.

Join other successful dealers. Membership dues include full membership to TIADA and the national association, NIADA.

Connect with industry leaders. Attend the annual TIADA Conference & Expo, access the member-only online directory.

Education offerings designed with you in mind, your personal copy of the Texas Dealer magazine, twice monthly industry updates, exclusive access to industry articles—a wealth of knowledge at your fingertips.

The perks are many, starting with over $10,000 in auction and vendor savings through TIADA’s mobile app. Redeem just a few auction discounts and you’ve basically covered the cost of membership for the year.

Get quick answers on industry, regulatory or compliance issues.

www.txiada.org/dealer_benefits

behind the wheel

Keep the Momentum Going

In the odd numbered years, when the Texas Legislature is in session, every independent dealer in our great state has a large stake in what happens under the pink granite dome in Austin! And while TIADA works every day to advocate for your interests, there’s one tool that helps us go even further — INDEPAC.

INDEPAC is your Political Action Committee “PAC”, and it plays a critical role in ensuring that independent dealers have a strong, unified voice when laws are written and decisions are made that affect our businesses. It allows us to support candidates who will listen to us, understand our industry, our challenges, and our contributions to the Texas economy. Simply put, it’s another tool to ensure your voices are heard when decisions are made.

Over the past few years, TIADA members have rallied behind INDEPAC in a big way, and this year is more important for everyone to get involved. At our last two Conferences, the INDEPAC Committee has hosted spirited auctions to raise funds — and raise awareness — for this important cause. If you were there, you know how

electric the atmosphere was. The items up for bid created plenty of buzz, and let’s just say the competition was as fierce as it was fun. Whether it was a once-in-a-lifetime outdoor adventure, a Texas-style tour, or an exclusive sports experience, the excitement was contagious. These weren’t just prizes — they were opportunities to support something bigger than ourselves.

Of course, INDEPAC isn’t just a once-a-year effort. While the auctions are a highlight of the Conference, donations are accepted — and encouraged — all year long. Every dollar counts. Whether you’re giving $10 monthly or thousands at the Conference, your contribution helps protect your business and keep our industry strong. Please don’t take this responsibility lightly, your livelihood depends on it.

So, as this legislative session continues to unfold, I want to thank everyone who has supported INDEPAC in the past and encourage those who haven’t to consider making a contribution. Your support is not only appreciated — it’s essential.

...your contribution helps protect your business and keep our industry strong. Please don’t take this responsibility lightly, your livelihood depends on it.
Let’s keep the momentum going. Let’s keep fighting the good fight. And let’s keep strong!

This year, we’re celebrating 80 incredible years of our successful partnership. Thank you, Texas dealers, for making our journey together so amazing. Since the first car drove through our Pennsylvanian lanes in 1945, to today as millions more line up outside our doors, our mission has always been yours. With you driving us forward, we’re already geared up for the next 80 years.

Take a trip down memory lane and see what’s next at manheim.com/80years

Our Texas locations celebrate 80 years of Manheim

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