SB15 Alabama 2023 Session

Sponsors

Session

Regular Session 2023

Title

Relating to consumer credit financing in the sale or lease of motor vehicles; to amend Section 8-37A-4 of the Co

Description

<p class="bill_description"> Under existing law, motor vehicle value protection agreements are authorized in motor vehicle consumer credit financing transactions to pay deficiency balances due under certain conditions</p><p class="bill_description"> Under existing law, the provider of a motor vehicle value protection agreement is required to insure its agreement under an insurance policy or meet certain other financial requirements</p><p class="bill_description"> This bill would clarify that the insurance policy would be for the purpose of paying or reimbursing obligations under a motor vehicle value protection agreement in the event the provider fails to perform the obligations</p><p class="bill_entitled_an_act"> Relating to consumer credit financing in the sale or lease of motor vehicles; to amend Section 8-37A-4 of the Code of Alabama 1975, as added by Act 2022-179 of the 2022 Regular Session, relating to motor vehicle value protection agreements and the requirements of a provider of the agreements to insure SB15 INTRODUCED performance of the obligations of the provider; to further clarify the requirements of an insurance policy maintained by the provider for this purpose. </p>

Subjects

Motor vehicle value protection agreements, insurance policy of provider required to insure payments of obligations of provider