How long must dealerships keep their records?

Dealerships are required to maintain their records for a minimum of four years. This duration aligns with regulatory guidelines that ensure sufficient time for audits, inspections, and compliance checks. Keeping records for four years allows authorities to access important transaction details, such as sales and financing information, ensuring consumer protection and adherence to motor vehicle laws. The four-year timeframe is also essential for resolving any disputes or questions that may arise related to transactions during that period.

While shorter timeframes, such as two or three years, may seem sufficient for keeping records, they do not provide a comprehensive window for addressing potential issues that could surface after a sale, necessitating a longer retention period. The five-year option is excessive beyond the established requirements, contributing to unnecessary storage and maintenance burdens for the dealership. Thus, four years stands as the correct duration for record-keeping in this context.