The Federal Trade Commission (FTC) is cracking down on automobile dealerships who use deceptive advertising to increase auto sales and service appointments. According to the consumer protection agency, automobile dealers made a variety of misrepresentations in print, internet, and video advertisements that offered zero-down financing when there are substantial fees, deceptive low-payment deals, sweepstakes for prizes that do not exist, and mailings that resemble vehicle recall notifications. Nine vehicle dealerships in six states have already agreed to a settlement that would cease deceptive ad tactics and subject dealers to a fine of $16,000 per violation.

“Buying a car is a huge financial commitment, and people often calculate what they can pay down to the penny,” said Jessica Rich, Director of the FTC’s Bureau of Consumer Protection. “They should be able to depend on the dealers to provide truthful information, and they can depend on the FTC to enforce consumer protection laws on the lot.”

The National Highway Traffic Safety Administration (NHTSA) also hopes to offer automobile consumer extra protection by using a standardized red recall labels on the outside of all recall notices. The NHTSA say the recall notice label is designed to protect consumers from misleading sales and marketing materials that mimic legitimate safety recall alerts from manufacturers. Only automakers are allowed to use the label. In August, the NHTSA will also launch a database that allows consumers to be able to use vehicle identification (VIN) numbers to search online for recalls and whether they have been repaired.