SB 1283: Vehicles: consumer protection: buy-here-pay-here dealers.

Existing law establishes the Department of Motor Vehicles in the Transportation Agency and sets forth the powers and duties of the department, as specified. Existing law regulates the accuracy of information provided to consumers during vehicle sales, including the information contained in advertising, brochures, and manuals, as specified. Existing law also requires a buy-here-pay-here dealer to disclose certain information regarding a used vehicle by affixing a label with certain information on the vehicle. Existing law prohibits a buy-here-pay-here dealer from disabling the vehicle using starter interrupt technology, unless certain conditions are met, and makes a violation of those provisions a misdemeanor. Existing law defines a buy-here-pay-here dealer as, among other things, a dealer who assigns less than 90% of all unrescinded conditional sale contracts and lease contracts to unaffiliated third-party finance or leasing sources within 45 days of the consummation of those contracts.

This bill would amend that definition and extend that deadline to within 46 days of the consummation of those contracts. By expanding the application of an existing crime to more persons, this bill would impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.