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October 20, 2006

Reynolds and Reynolds Teams with First Advantage CREDCO to Deliver Prospect Leads to Automotive Retailers

DAYTON, Ohio, Oct. 20 /PRNewswire-FirstCall/ -- The Reynolds and Reynolds Company (NYSE: REY) and First Advantage CREDCO, a wholly owned subsidiary of First Advantage Corporation (Nasdaq: FADV), are teaming to deliver pre-qualified consumer prospect leads to automobile dealerships in the U.S. With the leads, dealerships can efficiently target in-market customers and sell more cars.

In the agreement, Reynolds will provide a certified data interface that offers direct access between its flagship CRM solution, Contact Management, and CREDCO's Lead Prospector Solutions, a comprehensive suite of integrated consumer leads for automotive dealers. Reynolds will also provide a certified data interface to those customer relationship management (CRM) providers in the Reynolds Certified Interface (RCI) program.

First Advantage CREDCO's Lead Prospector Solution provides dealers with high-quality consumer prospects from a broad consumer lead base that includes Internet, demographically targeted, bankruptcy and subprime leads.

Dealers can have these leads delivered directly to their Reynolds' Contact Management application, from a participating CRM vendor solution in the RCI program or request to have them sent in another manner to the dealership. This solution enables dealers to focus on showing cars and closing deals, not generating prospect leads.

First Advantage CREDCO delivers the following category of targeted and qualified prospect leads:

Lead Prospector Targeted - The targeted lead generation solution uses predictive and segmentation technology to deliver prospect leads that enable dealers to target the right customer with the right promotion at the right time.

Lead Prospector Bankruptcy - With a proprietary lead collection system, the CREDCO system can access Chapter 7 bankruptcy information in a dealer's market, up to 10 days earlier than any other source. Dealers get the advantage of early notification.

Lead Prospector Internet - Delivers qualified Internet prospect leads from multiple Web sites and industry providers, enabling dealers to follow up with customers and focus on selling cars.

Lead Prospector Subprime - Connects dealers with pre-qualified and inmarket consumer leads providing a steady stream of car-buying prospects.

"Our expanded relationship with Reynolds enables our mutual customers to get access to quality consumer leads in an efficient, secure manner," said Kevin Clements, senior vice president of corporate development for First Advantage CREDCO. "With the Reynolds interface and the Lead Prospector Solutions, dealers can maximize their marketing campaign results and sales opportunities."

Scot Eisenfelder, senior vice president of Marketing and Strategic Planning and Solutions Management for Reynolds, said, "Reynolds continually looks for ways to better serve our customers and this collaboration is an example of that. We continue to bring innovative products and services to dealers to help them better and more profitably sell cars and take care of customers."

CRM providers in the Reynolds Certified Interface program will be able to request the standard interface to CREDCO's Lead Prospector Solutions.

Since 1991, the two companies have enjoyed a successful business relationship based on CreditMaster(R), First Advantage CREDCO's private-labeled credit services brand. CreditMaster can provide REYNOLDSYSTEM(TM) dealerships with integrated, flexible credit reporting to help make fast, accurate, reliable delivery decisions.

SubPrime Auto Finance News recently interviewed several experts to get an overview of what exactly the rules mean to dealers and financial institutions and how these companies can prepare for legal and regulatory challenges.

Commonly known as the red flag rules, the full name for the regulation is the Identity Theft Red Flags and Notices of Address Discrepancy.

The rules were developed in response to the findings of the President’s Identity Theft Task Force, which found that identity fraud results in billions of dollars in losses each year to individuals and businesses.

Basically, the rules, which are applicable to both dealers and financial institutions, entail implementing an Identity Theft Prevention program. According to the Federal Trade Commission, this program must include “reasonable policies and procedures for detecting, preventing and mitigating identity theft.”

The rules have been pending for some time, with the FTC and other government entities seeking public opinion as to how to best implement these new rules. In particular, the auto industry voiced various concerns over the rules and how they will relate to dealers.

In laymen’s terms, the identity theft guidelines are similar to the rules that govern advertising. If sued or investigated, a dealer or financial institution must show they have processes in place to do their best to follow the rules. Even if a mistake occurs, experts indicate that a consistent plan for dealing with issues can help protect an entity against liability.

According to Jim Lawrence, a spokesman for Compli, the rules have a big impact on how dealers do business.

The final rules require each financial institution and creditor that holds any consumer account, or other account for which there is a reasonably foreseeable risk of identity theft, to develop and implement an Identity Theft Prevention Program (Program) for combating identity theft in connection with new and existing accounts.

The agencies also issued guidelines to assist financial institutions and creditors in developing and implementing a Program, including a supplement that provides examples of red flags.

The final rules also require credit and debit card issuers to develop policies and procedures to assess the validity of a request for a change of address that is followed closely by a request for an additional or replacement card. In addition, the final rules require users of consumer reports to develop reasonable policies and procedures to apply when they receive a notice of address discrepancy from a consumer reporting agency.

The final rulemaking is issued by the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, the Federal Trade Commission, the National Credit Union Administration, the Office of the Comptroller of the Currency, and the Office of Thrift Supervision. The final rules are effective on Jan. 1, 2008. Covered financial institutions and creditors must comply with the rules by Nov. 1, 2008.

Source: Dow Jones & Company, Inc.

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