How to Become a Rent a Toyota (RT) Dealer
If you’re interested in establishing a Rent a Toyota program at your dealership, your Region or Private Distributor’s RT Manager can explain the program requirements and benefits to ensure the program is a good fit for your dealership. Your Region/PD RT Manager can also guide you through the following steps for smooth launch:
1. Apply
Submit the following forms to your RT Manager:
- Application for Participation Form 8801 - System Participation Agreement Form 8803 - Dealer ACH Authorization Form 1078 (04/10)
Once approved, your RT Manager will provide access to the required new dealership materials.
2. Plan
Review the New Dealer Checklist with your RT Manager to fully understand the RT setup process.
Your RT Manager can provide specific tools that will help you determine your needs, including your initial fleet size and vehicle mix.
Your RT Manager can also help you choose a rental software provider.
3. Order
Order the vehicles and other materials required to set up shop as an RT dealer:
your vehicles.
- Rental Agreements: Contact Tara Graphics to order copies of the approved RT rental agreement - Form RT 2020 – specific to your state. Always collect a fully executed agreement from every single rental customer.
- Signage and point-of-sale materials: Contact the Pattison Sign Group to order approved Toyota Image USA II outdoor signage.
Building Your RT Fleet
Fleet Planning
Fleet planning determines how you will cycle vehicles in and out of your RT program to meet your customer’s needs while maximizing profit. Fleet cycling is driven by vehicle allowances, finance limits and vehicle in-service limits.
Units in Operation
Maximum fleet size is determined by the Units In Operation (UIO) limit set by the Region/PD. The UIO allowance helps ensure that your fleet size matches your local market needs. If you believe that you could operate more vehicles profitably, you may contact your Region/PD and request a higher UIO limit.
Finance Limit
TFS has a finance limit for each participating RT dealership (generally established as the UIO limit x $30,000). TFS will contact the Region/PD if an increase is required. It is up to the Region/PD to communicate any cause for review or denial to TFS.
In-Service Limits
Unless otherwise specified, all passenger cars and light trucks used as RT vehicles must conform to these in-service limits:
• Minimum in-service period: 120 days (approx. 4 months)
• Maximum in-service period: 450 days (approx. 15 months)
Vehicles that are not retained in service for the minimum time or are paid off before the RT system’s prescribed time limits will have chargeback and penalties imposed.
Fleet Cycling Plan
RT dealers should create a written cycling plan to ensure fresh inventory and maximize profitability by moving retired RT vehicles to TCUV or other used vehicle stock when used vehicle sales are most profitable.
The Suggested Ordering Tool available on the TOPS website Ordering Center can help you develop your fleet cycling plan. Your Region/PD RT manager can also help you with your plan if more support is needed.
Choosing RT Vehicles
Authorized Vehicles
Only new, unused Toyota cars and trucks may be placed in service as RT rental vehicles.
No modified or up-fitted vehicles are permitted unless:
• The vehicle is offered through the Toyota Mobility Program
• Prior written approval is obtained from TMNA RT Vehicle Availability
RT vehicle orders are subject to availability. Restrictions on new and popular models are common until retail demand is satisfied, so to ensure availability dealers should order early in the model year.
Ordering RT Vehicles
Vehicles can be brought into RT service in four ways:
Ordered through the Toyota Order Planning System (TOPS) as a Fleet (J) unit Ordered through Emmediate on TOPS
Ordered by the Region/PD on TOPS or NVS
Transferred from Retail or Inventory status to Fleet status by the Region/PD Each ordering method is explained in detail below.
TOPS Fleet Orders
Whenever possible, RT vehicles should be ordered as category “J” or “Fleet” units using the Toyota Order Planning System (TOPS) website.
To register for a TOPS ID:
1. Go to the TOPS website at http://TRAC.toyota.com
2. Select “User Registration” and follow the instructions to complete your registration.
Initially, access is read only for all accounts. Once an account has been established, contact your Region/PD RT Manager to request ordering access. Ordering access must be approved by the Dealer Principal or General Manager; dealerships can have multiple users with read only and/or ordering access.
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Once ordering access has been approved you may begin the ordering process.
To place a vehicle order on TOPS:
1. Log in to TOPS.
2. Select “Ordering Center” in the upper navigation bar.
3. Select “Build It.”
4. Enter the Purchase Order number (mandatory) and Comments (optional).
5. Select the vehicle from the drop-down box. Associated model numbers and pricing will populate once the vehicle is selected.
6. Select the model number.
7. Select the desired Factory Accessories and Post Production Options (PPO).
8. Select colors by adding the desired quantity of each. Multiple quantities and colors may be selected in one order as long as the model number, Factory Accessories and PPOs are the same.
9. Select the desired delivery date. There are two options: “Deliver this vehicle as soon as possible” or “Let me choose a delivery by date.”
10. If this is a configuration that you order frequently, check the “Save to My Favorite Orders” box for quick ordering in the future.
11. Select “Validate” to determine if there are any conflicts with your order.
12. Select “Submit.”
Notes:
• Only those accessories listed on the vehicle invoice will be covered under the RT program insurance. Dealer-installed accessories will not be recorded as an asset or insured.
• In general, RT orders cannot be canceled. Requests for exception should be submitted to the Region/PD RT Manager. If the Region/PD agrees with the cancellation request, they may submit the request to the TMNA RT Department for consideration.
Emmediate
When standard TOPS orders cannot provide an RT vehicle quickly enough, the TOPS Emmediate feature allows RT dealers to order from a pool of unsold commercial vehicles that are available for delivery within one to three weeks. Vehicles can be ordered from the emmediate pool between the hours of 7:00 am and 5:00 pm Pacific time. Due to the highly accelerated delivery timing, a firm PO is required to order through Emmediate, and Emmediate orders cannot be canceled. However, vehicles can be put on “Hold” for 48 hours before completing the ordering process. For security, access to the Emmediate ordering system may be restricted to specifically designated users at your dealership.
The dealership must ensure that the vehicles are being delivered to their facing port and meet the respective State emission requirements.
Regional Office or Private Distributor Orders
If the dealer is unable to order the required RT vehicles directly, the Region/PD may agree to place orders on the dealer’s behalf using the TOPS website or National Vehicle System (NVS).
In the system, RT vehicles are invoiced to the Region/PD so the “selling” dealer code will be the Region/PD RT dealer code noted in the table below. The “ship to” dealer will be the dealership code for the dealership where the vehicle will be delivered.
Region/
PD Code
Region Office/ Private
Distributor
Region/PD RT
Dealer Code Fleet ID Dummy Ship To Code
110 Los Angeles 04517 ZT001 04010
120 San Francisco 04510 ZT002 04015
130 Portland 36988 ZT003 36805
150 Denver 05990 ZT004 05805
160 New York 29988 ZT006 31805
170 Boston 20977 ZT005 20805
210 Chicago 12971 ZT007 12815
220 Cincinnati 34967 ZT008 34805
230 Kansas City 24992 ZT009 24805
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3
500 Southeast
Toyota 09949 ZT010
10960 (Commerce, GA) 09913 (Jacksonville,
FL — Westlake) 09805 (Jacksonville, FL) 600 Gulf States
Toyota 42962 ZT011 42000
800 Central
Atlantic Toyota 19986 ZT012 19805
If the Region/PD uses NVS, normal fleet ordering procedure should be followed. The online TENTATIVE FLEET ORDER MAINTENANCE screen must be complete with the proper “FleetID”, “selling dealer” code and “ship to” dealer code, as indicated above, to ensure that the RT vehicles are properly billed and delivered.
Category Transfer Requests
Finally, if none of the previous ordering mechanisms can provide the vehicles needed in time, the Region/PD may agree to request a category transfer of vehicles from Retail “E”
status to Fleet “J” status and wholesale them to the RT System. This process is generally used to facilitate dealer expansion or expedite RT inventory for a new RT dealer.
• The auto-RDR process will be initiated for TMNA Regions.
• Private Distributors must manually RDR “E to J” vehicles.
For “J to E” transfer exceptions, the Fleet Category Transfer Request Form must be completed by the Region/PD and submitted to the TMNA RT Department for approval.
If a J to E transfer exception is requested, the Region/PD must first perform a vehicle inquiry. If the vehicle was invoiced less than 21 days prior, please call TFS RT to confirm that the vehicle has not been previously paid off or B-Line transferred.
Note: Because of potential liability, previously damaged vehicles – whether repaired or not – may not be transferred into RT service. Requests for
exceptions must be submitted and approved by TMNA RT prior to any category transfers.
TMNA RT does not commit any form of payback consideration for approved “E to J”
transfers. Any exceptions must be requested in writing to TMNA RT PRIOR to the
“E to J” transfer.
Only unallocated Category E vehicles can be recategorized. If the vehicle has been allocated to another category, the vehicle must first be unallocated (returned to category E):
• Category A, R01 – R04 = VIN must be unlabeled and unallocated.
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• Category F1 – F2 = Region must seek authorization from the plant or port for the delete so the VIN can be unallocated.
• Category F3 = In-transit. No changes can be made until the unit arrives.
• Category G = If the VIN is in dealer stock, a buyback by the Region/PD is required.
• Category H = Requires a retail reversal and buyback by the Region/PD.
• Once the VIN is in “E” category and unallocated, the Region follows the E to J process to convert the unit to fleet status.
Warnings
Vehicles transferred from category “E” (Retail) to “J” (Fleet) are eligible for RT program benefits. Published fleet programs and any benefits unique to RT may require the
Region/PD to request TMNA to service the VIN accordingly. Reasonable processing time is required before the Region/PD can invoice vehicles to the RT system.
Vehicle Ordering Errors
Under certain circumstances, the Region/PD must modify RT vehicle orders to correct invoicing errors or account for damaged vehicles.
Invoicing Errors
If a Region/PD incorrectly invoices an RT vehicle, the Region/PD should process a sales reversal and credit buyback to credit the Region/PD RT dealer code and re-wholesale to invoice the vehicle correctly.
Flat Cancels/Sales Reversal
In some cases a Region/PD may need to permanently remove a vehicle from RT service prior to the four-month minimum in-service requirement. This may occur if the vehicle was invoiced to the program or dealer in error, or if extensive damage occurred at the port. If TFS RT is notified within 15 days of invoicing, there will be no charges incurred by the dealer.
Cancellation Process:
• The Region/PD sends a Flat Cancel request to TFS RT via email at [email protected] or call 469-486-5500
• TFS RT will process the request upon approval. If there are issues, the Region/PD will be contacted. If the request is greater than 15 days from invoicing, the Region/PD must include instructions for whom, Region/PD or dealer, should be charged for any accrued fees. TFS RT can process only the flat cancellation request if NVS shows an invoice credit was applied.
Reversal Process:
A reversal must be processed in both the TFS and TMNA systems because reversal in the TFS system is considered a “Flat Cancel” and in the TMNA system the request is processed as a “J to E” transfer. The Region/PD is responsible for submitting both requests. Prior to submitting the requests, the Region/PD must:
• Retail reversal.
• Buy back the vehicle.
• Issue the RT vehicle credit re-bill within 15 days of the invoice date to avoid a TFS charge to the dealership.
After 15 days, TFS will process the proceeds as an “Early Payoff” and the dealer will be subject to finance and insurance charges and any applicable early payoff penalties.
Delayed Delivery and In-Transit Damage
If an RT vehicle is delayed or damaged in transit, it should be handled in the standard manner as documented in the Toyota Transportation Claims Policies and Procedures Manual:
• Dealers must file damage claims under normal TLS/Distribution procedures as they would with any standard vehicle delivery claim (“E” or “J”). All current TLS/Distribution policies and procedures apply to RT vehicle deliveries.
• If a vehicle is delayed or is received with transportation-related damage but is accepted by the Dealer and will be repaired and placed into RT service (with prior approval), the normal RT in-service date (invoice date plus five days) applies. There is no abatement of RT billing statement charges or any “15-day grace window.”
• Prompt follow-up on normal procedures by the dealer and Region/PD should preclude any billing disputes.
RT Vehicle Sales Credits and Incentives
Sales Reporting
The sale of vehicles to RT dealerships is automatically reported in the Toyota Retail Delivery Record (RDR) under Type of Sale as “Code 06 Fleet – Rental.” The dealership should review its inventory regularly to confirm proper RDR reporting.
RT vehicles are identified with two dollar signs ($$) in the 13th accessory place on the dealer Vehicle Inventory Report in Dealer Daily.
Vehicles transferred from “E to J” by the Regions will automatically be reported (“RDRs”) when the proper process is followed in NVS.
It is up to the participating RT dealership to ensure the “RDR” has been processed
correctly. If there is an error in reporting, let the Region/PD know. If the error is verified, the Region/PD must reverse the first sale and manually generate a corrected or new RDR. RT vehicles will be included on the Dealer Daily Vehicle Sales Reporting.
RT Vehicle Sales/Allocation Credit
Like normal “J” category vehicle orders, the dealer will receive both retail and wholesale sales credit, but not allocation sales credit. Data systems will automatically report the sale of RT vehicles ordered from production when invoiced.
Vehicle Incentives
RT vehicles are eligible for applicable, published incentive programs, and may qualify for zero percent financing. This practice is intended to help the RT dealer competing with local, independent daily rental operators.
Published fleet programs and any benefits unique to RT may require additional steps from the Region/PD and/or TMNA RT. Contact your respective Region/PD RT Manager or the TOPS website for current model year RT incentive information.
• Eligible RT vehicles require Accessory Code H0 and receive incentives in lieu of:
- Fleet invoice credit that applies to Commercial Fleet Sales ONLY (i.e., Accessory Code H1).
- Fleet incentive payment by check that applies to Rent a Car “Risk” Programs (i.e., Accessory Codes H5 and H7).
• RT vehicles are not eligible for any other TMNA Fleet program incentives.
• Vehicles transferred from category “E” (Retail) to “J” (Fleet) are eligible for RT program benefits.
Early and Late Payoffs
When vehicles are removed from service before the minimum 4-month in-service period or remain in service beyond the maximum 15-month period, TMNA reserves the right to rescind any RT or “J” category fleet production benefits, to assess a late payoff penalty or both.
Early Payoffs
If the dealer sells an RT vehicle after invoicing to the RT System or pays it off before the minimum 120-day in-service period, TMNA RT will impose a chargeback penalty. This action is intended to discourage early removal (a policy violation) and results in the RT dealer forfeiting RT “J” category fleet production benefits.
Further, if the dealer pays off the RT vehicle, the dealer must also pay finance charges and insurance (prorated for actual days in service) in order to clear the RT billing statement.
Damaged RT vehicles with less than 120 days in service are eligible for penalty waiver IF the dealer provides proof of frame or structural damage to the Region/PD for approval.
Contact the Region/PD RT Manager with any questions regarding payoff penalties.
In the event of an early payoff, TMNA reserves the right to impose any or all of the following:
• A $200 “Early Payoff” administration fee.
• A penalty up to 5% of capitalized cost.
• The difference between retail “E” and fleet “J” category dealer invoice prices.
Late Payoffs
Vehicles remaining in service beyond the maximum allowable period of 15 months violate the RT Participation Agreement and will be subject to a $50 financial penalty per monthly billing cycle until removed from RT service.
Chargeback Penalty Notification
Each month, TMNA RT will notify the Region/PD of all RT chargeback penalties.
The Region/PD will then inform the dealer that penalty debits will appear on a later RT Monthly Billing Statement in the miscellaneous column.
Questions regarding the early payoff notification or RT monthly billing statement may be directed to TFS RT in at the number listed on your billing statement. Any disputed items must first be reviewed with your Region/PD.
Taxes, Expenses and Other Charges
Dealers are responsible for:
• Filing all legally required documents and the payment of all taxes, charges and expenses for each RT vehicle including titling, registration, maintenance, inspection, storage, fines, towing and servicing, as well as state and local sales/use taxes, fees and surcharges.
• Declaring and including all RT vehicles as their property in their property tax statements.
Dealers should consult with their attorneys and/or tax advisors regarding tax requirements, local surcharges and other financial requirements.
RT Vehicle Financing
RT Billing Statement
At the end of each month Toyota Financial Services posts an electronic billing statement on Dealer Daily for each RT Dealer. The RT Billing Statement lists:
• RT vehicles in the program.
• Itemized charges for the current month.
• Vehicles paid off during the previous month.
• Payoff adjustments necessary for current and paid-off vehicles.
The RT dealer is responsible for reviewing the RT billing statement during the first week of every month. Any errors must be reported to the Region/PD or TFS RT within 15 days.
The tables that follow describe the main elements of the RT billing statement.
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RT Billing Statement Reference/Description Table
1 Ref No. Reference number
2 VIN Vehicle Identification Number
3 Total Months Billed Number of months in service
4 T Title indicator- a ‘Y” acknowledges receipt of a title, ELT notice, or applicable document that confirms the unit has been registered with the proper lienholder
5 MY Model year
6 In Service Date Five days from invoice date
7 Paid off Date Date check or ACH payoff request was processed 8 Finance Rate Rate for term of service
9 Capitalized Amount Amount financed
10 Current Balance Balance as of statement date
11 Principal Payment Two percent (2%) of capitalized cost
12 Ins/Mkt Charges Basic insurance rate per vehicle per month
12 Ins/Mkt Charges Basic insurance rate per vehicle per month