OCM WARNING
Since late November of 2024, the UCDA has been receiving calls from dealers who have released vehicles to purchasing consumers who have financed their purchases through OCM Auto Financing Group Ltd. (“OCM”) https://ocmcorporation.com/
The concerns our Members have shared with us, is that OCM is late in paying them, and they are left anxious for weeks or months, as their customers are driving vehicles they sold and released to them, and for which they have not been paid.
We discussed these concerns with OCM at the time, in hopes that funding difficulties would be swiftly resolved, but as we have continued to receive calls and emails, and as recently as this week several more, the time has come to issue a warning to UCDA Members.
If you are considering selling a vehicle to a consumer who is financing their purchase with or through OCM:
Do not release the vehicle to the consumer until you are paid.
The UCDA has always advised dealers not to deliver financed vehicles to consumers until you have the funds in your account, but we realize this is not always practical. In such cases obtain assurance, in writing, BEFORE you deliver the vehicle as to how long you can expect to wait to receive funding and then make your decision accordingly.
For dealers who have already released their vehicle and have yet to be paid, and despite attempts to get OCM to advance funding, remain unpaid, your options are to retain legal counsel, and get advice as to registering a lien on the vehicle, possibly repossessing it from the consumer or taking legal action.
It is also good practice to explain the situation to the consumer prior to any action so they understand the circumstances and they might be able to talk to OCM as well to avoid the need for further steps.