Retail installment sales agreements; retailer-obtained financing or insurance; payment of floor plan lender; pay off of loan

Rule 405. (1) A retail installment sales agreement utilized by a retailer shall conform to the federal consumer credit protection act, Public Law 90-321, 15 U.S.C. §1601 et seq., and to 1966 PA 224, MCL 445.851 et seq. (2) A retailer shall not require retailer-obtained financing or insurance of a home as a condition of sale. (3) A retailer shall pay its floor plan lender for a home within 15 days after the retailer receives payment for the home from a purchaser or a purchaser's lender.

(4) A retailer shall pay off a loan on a home within 15 days after taking the home in trade or receiving payment for the home unless the requirement is waived by the homeowner, borrower, and the lender holding the loan on the home.

History: 1954 ACS 96, Eff. July 26, 1978; 1979 AC; 1998 MR 7, Eff. July 16, 1998; 2003 MR 14, Eff. Aug. 1, 2003.