What must dealers do regarding the handling of customer deposits?

Answer: A — Provide a written agreement outlining deposit conditions

Dealers are required to provide a written agreement that outlines the conditions under which customer deposits are accepted and handled. This practice ensures transparency and protects both the dealer and the customer. The agreement should specify details such as the amount of the deposit, the terms under which it is refundable or non-refundable, and any conditions that may apply if the transaction does not proceed. Providing a clear and concise written document establishes mutual understanding and helps prevent disputes regarding the handling of deposits. This practice is also part of maintaining ethical standards and fostering trust between customers and dealers. By ensuring that customers are fully informed and that there is a formal record of the agreement, dealers can promote good business practices and customer satisfaction.