CSHB 383(TRA): "An Act limiting motor vehicle dealer charges for fees and costs; relating to the disclosures required for certain motor vehicle transactions; and relating to the financing of motor vehicle purchases."
00 CS FOR HOUSE BILL NO. 383(TRA) 01 "An Act limiting motor vehicle dealer charges for fees and costs; relating to the 02 disclosures required for certain motor vehicle transactions; and relating to the financing 03 of motor vehicle purchases." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. AS 45.25.440 is amended to read: 06 Sec. 45.25.440. Additional fees and costs [ADVERTISED PRICE]. (a) 07 When selling a motor vehicle, a motor vehicle dealer may not charge any [DEALER] 08 fees or costs in addition to the advertised or negotiated price, except for fees 09 actually paid to a state agency for licensing, registration, or title transfers [, UNLESS 10 THE FEES OR COSTS ARE INCLUDED IN THE ADVERTISED PRICE]. 11 (b) In this section, "[DEALER] fees or costs" includes dealer preparation fees, 12 document preparation fees, surcharges, and other [DEALER-IMPOSED] fees and 13 costs. 14 * Sec. 2. AS 45.25.610(c) is amended to read:
01 (c) If a motor vehicle dealer arranges financing for a buyer, the motor vehicle 02 dealer may deliver the motor vehicle to the buyer before final approval by the 03 financing entity if 04 (1) the buyer and seller sign an agreement separate from the motor 05 vehicle installment contract on an 8 1/2 x 11 inch sheet of paper that clearly and 06 conspicuously informs the buyer that final financing arrangements have not yet been 07 approved and that clearly sets out the amount that will be financed, the annual 08 percentage rate of the finance charge, the amount of the finance charge, the number 09 and frequency of payments, and the amount of each payment; 10 (2) the separate agreement in (1) of this subsection clearly and 11 conspicuously informs the buyer that accepting delivery of the vehicle before final 12 financing approval obligates the buyer to terms of the motor vehicle sales contract if 13 the terms on the separate agreement are identical to the terms finally approved by the 14 financing entity; [AND] 15 (3) the motor vehicle dealer complies with the disclosure 16 requirements of (f) of this section; and 17 (4) the separate agreement in (1) of this subsection provides that the 18 separate agreement, the motor vehicle sales contract, and any and all other conditions 19 of the purchase will be void if any of the terms contained in the separate agreement are 20 changed by either the motor vehicle dealer or the financing institution as a condition 21 of sale or final financing approval. 22 * Sec. 3. AS 45.25.610 is amended by adding a new subsection to read: 23 (f) In addition to the other requirements of this section, if a motor vehicle 24 dealer arranges financing for a proposed buyer, the dealer shall disclose in writing and 25 before the sale is finalized 26 (1) whether the interest rate quoted to the proposed buyer is different 27 than the interest rate charged to the dealer; and 28 (2) that the interest rate quoted to the buyer may not be the lowest 29 interest rate available.