PRINTER'S NO. 496
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No. 483
Session of
2025
INTRODUCED BY COLLETT AND HUGHES, MARCH 26, 2025
REFERRED TO CONSUMER PROTECTION AND PROFESSIONAL LICENSURE,
MARCH 26, 2025
AN ACT
1 Amending Title 12 (Commerce and Trade) of the Pennsylvania
2 Consolidated Statutes, in motor vehicle sales finance,
3 further providing for notice; and imposing penalties.
4 The General Assembly of the Commonwealth of Pennsylvania
5 hereby enacts as follows:
6 Section 1. Section 6223 of Title 12 of the Pennsylvania
7 Consolidated Statutes is amended by adding a subsection to read:
8 § 6223. Notice.
9 * * *
10 (c) Additional requirements.--
11 (1) Prior to presenting an executable installment sale
12 contract to a prospective buyer, an installment seller shall
13 provide a prospective buyer, separate and apart from any
14 other information, with a disclosure entitled "FINANCIAL
15 DISCLOSURE." The disclosure shall be simple and easy to
16 understand and include the following information:
17 (i) For any finance charge offered by an installment
18 seller to a prospective buyer, the identity of the
 1 creditor, the total amount financed to include an
2 itemization of all charges, taxes, fees and deductions,
3 the interest rate, the total amount due from the finance
4 charge over the duration of the loan, the total amount
5 due from the amount financed and the finance charge over
6 the duration of the loan, the monthly payment and the
7 duration of the loan and number of payments. If different
8 interest rates are available to a prospective buyer from
9 an installment seller for a loan duration included in the
10 disclosure, the installment seller shall indicate the
11 range of interest rates available for the loan duration.
12 If a finance charge is not included in financing offered,
13 the installment seller shall provide the disclosure with
14 information contained in this paragraph not applicable to
15 a finance charge for any financing offered.
16 (ii) Information to be developed by the department
17 entitled "IMPORTANT INFORMATION TO CONSIDER" that
18 describes the impact that the duration of a loan can have
19 on the interest rate, monthly payment and total costs,
20 that seeking additional finance offers can reduce monthly
21 payments or total costs and the waiting period required
22 under paragraph (6).
23 (iii) A disclaimer indicating information provided
24 in subparagraph (i) may be subject to a prospective
25 buyer's credit information.
26 (iv) A disclaimer indicating the maximum amount of
27 interest an installment seller may charge annually under
28 the provisions of this chapter for new and used motor
29 vehicles.
30 (v) A disclaimer indicating the information in
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 1 subparagraph (i) does not include late charges or other
2 charges that may be necessary or incidental to an
3 installment sale.
4 (vi) A disclaimer advising prepaying financing can
5 reduce the finance charge and an indication from the
6 installment seller of whether prepaying financing
7 included in the disclosure is subject to penalty.
8 (vii) A disclaimer advising the information in
9 subparagraph (i) is not binding and an indication from
10 the installment seller of whether the information is
11 subject to negotiation.
12 (viii) A disclaimer advising an installment seller
13 shall provide a prospective buyer with a new disclosure
14 when a different finance charge or different financing
15 without a finance charge is offered to a prospective
16 buyer after the initial disclosure is provided.
17 (ix) A disclaimer indicating violations of this
18 subsection are prohibited and describing how violations
19 can be reported.
20 (x) Any other information deemed necessary by the
21 department.
22 (2) The model form for the disclosure under paragraph
23 (1) shall be made available in downloadable format by the
24 department on the publicly accessible Internet website of the
25 department.
26 (3) The disclosure under paragraph (1) may be provided
27 to a prospective buyer electronically or by paper copy. The
28 model form of the electronic version shall have both a
29 standard letter size and a smaller size that is designed to
30 be easy to read on an average-sized smart phone screen
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 1 without having to enlarge the image.
2 (4) The installment seller shall explain the general
3 purpose of the disclosure upon initially providing it to a
4 prospective buyer under paragraph (1). Each disclosure
5 provided to a prospective buyer shall be dated and signed by
6 the installment seller and prospective buyer.
7 (5) An installment seller shall keep a copy of each
8 disclosure provided to a prospective buyer after the
9 provisions of paragraph (4) are satisfied.
10 (6) An executable installment sale contract may not be
11 presented to a prospective buyer within one business day
12 after the provisions of paragraph (5) are satisfied.
13 (7) The provisions of this subsection shall not apply to
14 the execution of an installment sale contract between an
15 installment seller and a business. As used in this paragraph,
16 the term "business" shall have the same meaning given to it
17 under section 4302 (relating to definitions).
18 (8) An installment seller found to be in violation of
19 this subsection commits a summary offense and, upon
20 conviction, shall be sentenced to pay a fine of not more than
21 $500 per violation.
22 (9) Notwithstanding paragraph (8), a violation of this
23 subsection shall also constitute a violation of the act of
24 December 17, 1968 (P.L.1224, No.387), known as the Unfair
25 Trade Practices and Consumer Protection Law.
26 (10) The department may promulgate regulations necessary
27 to effectuate the provisions of this subsection.
28 Section 2. This act shall take effect in 18 months.
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Statutes/Laws affected:
Printer's No. 0496: 12-6223