NO. 143. AN ACT RELATING TO MOTOR VEHICLE RETAIL INSTALLMENT SALES CONTRACTS.
It is hereby enacted by the General Assembly of the State of Vermont:
Sec. 1. 9 V.S.A. § 2355(f)(1)(D) is amended and (J) is added to read:
(D) The amount, if any, paid or to be paid by the seller pursuant to an agreement with the buyer to discharge a security interest, lien interest, or lease interest on the traded-in motor vehicle, the amount, if any, for insurance including the cost of credit life insurance at a rate authorized by rate schedules then in effect and on file with the commissioner of banking, insurance, securities, and health care administration, the cost, if any, of physical damage insurance specifying the type or types and the term of coverage, the cost, if any, for service contracts as defined in section 4247 of Title 8, and the reasonable cost, if any, for a debt protection agreement as set forth in section 10405 of Title 8;
(J) A disclosure form completed by the automobile dealership containing at least the allowance for trade-in, amount owed on the trade-in, or lease, cash price, amount financed on the motor vehicle retail installment contract, the amount financed on the motor vehicle retail installment contract as a percentage of the cash price of the vehicle and signature blocks for the buyer will be provided to the buyer who finances a motor vehicle utilizing a motor vehicle retail installment sales contract at the dealership. The unexecuted disclosure form will be provided to the buyer prior to consummation of the transaction, and will be signed by the buyer at the time the buyer signs the motor vehicle retail installment contract. The disclosure will be on a form prescribed by the commissioner on or before July 1, 2006 and as thereafter amended by the commissioner by rule.
Sec. 2. 8 V.S.A. § 2201(c) is amended to read:
(c) No license shall be required of:
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persons who loan an aggregate of less than $50,000.00 in any one year at rates
of interest of no more than 12 percent per annum;
nonprofit institutions of higher education, exempt from taxation under
Section 501(c)(3) of the Internal Revenue Code, that make residential
mortgage loans to their employees from their own funds; or
(12) a seller who, pursuant to subdivision 2355(f)(1)(D) of Title 9, includes the amount paid or to be paid by the seller to discharge a security interest, lien interest, or lease interest on the traded-in motor vehicle in a motor vehicle retail installment sales contract, provided that the contract is purchased, assigned, or otherwise acquired by a sales finance company licensed pursuant to this title to purchase motor vehicle retail installment sales contracts or a bank.
Sec. 3. 23 V.S.A. § 466 is amended to read:
§ 466. RECORDS
On a form prescribed or approved by the commissioner, every licensed dealer shall maintain and retain for six years a record containing the following information, which shall be open to inspection by any law enforcement officer or motor vehicle inspector or other agent of the commissioner during reasonable business hours:
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(3) The name and address of the person from whom such motor vehicle was purchased or acquired, the date thereof, name and address of the person to whom any such motor vehicle was sold or otherwise disposed of and the date thereof, a sufficient description of every such motor vehicle by name and identifying numbers thereon to identify the same;
(4) If the motor vehicle is sold or otherwise transferred to a consumer, the cash price. For purposes of this section, "consumer" shall be as defined in subsection 2451a(a) of Title 9 and "cash price" shall be as defined in subdivision 2351(6) of Title 9.
Approved: May 15, 2006
The Vermont General Assembly
115 State Street