Legislation that would restrict buy-here, pay-here operations in California moved forward June 25 as a plan by Sen. Ted W. Lieu passed its first Assembly policy review.
Already approved by the Senate, Lieu's measure has three main goals:
Require dealers offering installment contracts to obtain a California Finance Lender's license.
Limit used-car installment contracts to no more than 17.25 percent interest.
Change the way buy-here, pay-here dealers are able to repossess vehicles to include grace periods and make it easier for buyers to reinstate a repossessed car.
Lieu said his legislation was inspired by a series of articles that ran in the Los Angeles Times.
No date has yet been set for the Assembly Appropriations Committee to review SB 965.
Legislation that would restrict buy-here, pay-here operations in California moved forward June 25 as a plan by Sen. Ted W. Lieu passed its first Assembly policy review.
