Bills › 88th General Assembly
Restricting the price a motor vehicle dealer may charge for voluntary debt cancellation coverage and making penalties applicable
Where it is now
- Done: IntroducedFebruary 18, 2020
- Stopped: SubcommitteeDied when the General Assembly ended
- Next: Senate committee
- Next: Passes the Senate
- Next: House committee
- Next: Passes the House
- Next: To the Governor
- Next: Signed into law
Died when the session ended The 2020 session adjourned on June 14, 2020, the General Assembly’s last regular session. Bills that didn’t pass both chambers died. What’s a funnel?
What’s in it
AI summary Car dealers cannot charge more than 115 percent of what they paid for voluntary debt cancellation coverage. If a dealer breaks this rule, they could face a fine or jail time.1
Read the official explanation
This bill restricts the price a motor vehicle dealer may charge for voluntary debt cancellation coverage. The bill prohibits a motor vehicle dealer from charging an amount for voluntary debt cancellation coverage that is in excess of 115 percent of the cost the motor vehicle dealer paid to a third-party vendor for the voluntary debt cancellation coverage. Pursuant to Code section 322.14, subsection 1, a motor vehicle dealer who violates this prohibition is guilty of a simple misdemeanor punishable by a fine of not less than $250 and not more than $1,500 or by imprisonment not to exceed days.