Free AML Compliance for Motor Dealers & Car Yards

Why Motor Dealers Are Caught in Tranche 2

From July 1, 2026, motor dealers face criminal penalties for non-compliance with AML/CTF obligations. If you sell vehicles worth $10,000+, you are a reporting entity.

This includes:

New car dealerships (every sale triggers Tranche 2)
Used car yards ($10k+ vehicles only)
Luxury/prestige dealers (high-risk category)
Motorcycle dealers (Harley, BMW, etc.)
Caravan & RV dealers ($10k+ units)
Boat dealers (vessels $10k+)
Vehicle brokers & wholesalers

Penalties: Significant civil penalties set in penalty units. Directors can face criminal prosecution. Trade-ins and finance deals are covered.

Do These Scenarios Apply to You?

✅

Customer buys a $45k SUV with $20k cash + $25k finance
→ You must verify their identity, screen for sanctions, and report the cash component (TTR if ≥$10k cash)

✅

Customer trades in a $15k vehicle and buys a $30k car
→ Both legs are designated services. Verify identity for the $30k purchase.

✅

Walk-in customer pays $9,500 cash for a car, returns 2 weeks later for $9,500 service/accessories
→ Structuring red flag. Total $19k in 12 months = designated service + potential SMR.

✅

Company director buys a $80k vehicle under business name
→ Entity CDD required: verify company + beneficial owners (25%+ shareholders)

What You Get (100% Free)

🆔

Free Customer Verification

Government-verified KYC for every $10k+ sale. Biometric ID check + AML screening. Client completes it on their device. Instant results.

Try it now →

📋

Free AML Program

Board-ready AML/CTF Program customised for motor dealers. Covers customer risk profiling, trade-ins, finance deals, cash transactions.

Download program →

⚠️

Free Risk Assessment

AI-powered ML/TF risk assessment for your dealership. A report for your compliance file in about 5 minutes.

Generate assessment →

📊

Free Reporting Tools

TTR, SMR, and IFTI report generators. Pre-filled forms, auto-submission to AUSTRAC. No paperwork.

File a report →

🚩 Red Flags for Motor Dealers

You must report suspicious transactions to AUSTRAC. Watch for:

✓ Customer pays just under $10k cash (e.g., $9,800) to avoid threshold

✓ Multiple cash deposits across several days/weeks totalling $10k+

✓ Customer has no interest in test drive, features, or warranty — just wants to buy quickly

✓ Purchase doesn't match customer's stated occupation/income

✓ Customer wants vehicle registered to someone else immediately

✓ Customer refuses to provide ID or acts evasive when asked

✓ Large cash payment + vague explanation of source (e.g., "savings" with no supporting docs)

✓ Customer buys multiple vehicles in short period with cash

If you see these, file a Suspicious Matter Report (SMR) with AUSTRAC within 3 business days of forming the suspicion, and within 24 hours when the suspicion relates to terrorism financing. Use our free SMR tool.

Common Questions from Dealers

Do I need to verify every customer?

No. Only customers buying/selling vehicles ≥$10,000. Trade-ins and finance deals are included. Cheap used cars under $10k don't require CDD.

What about finance deals?

Finance doesn't exempt you. If the vehicle is $10k+, you must verify identity regardless of payment method. The lender does their own KYC; you still need to do yours.

What if the buyer is a company/trust?

You must verify the entity + beneficial owners (anyone with 25%+ ownership). Use our free entity verification tool.

Can I use driver's licence for ID verification?

Yes, but it must be government-verified (not just a photocopy). Our tool connects to VIC/NSW/QLD databases for real-time verification. Meets AUSTRAC's "reliable and independent" standard.

How long is FreeAML free?

Forever. Core tools (KYC, AML program, risk assessment, reports) are free permanently. We charge for bulk processing (100+ customers/month) and API access. See pricing.

Free AML/CTF Compliance for Motor Dealers