If curtailments are not made or the dealer enters into default on their obligations, floor plan companies will take action to minimize their exposure. Those actions include attaching to the bond (not all states require dealers to have bonds), repossessing the collateral, and other collection efforts.
If curtailments are not made or a dealer defaults on their obligations, floor plan companies will take actions to minimize their exposure to losses. These actions include attaching to the bond (not all states require dealers to have bonds), repossessing the collateral, and pursuing other collection efforts.