Bill Text: IA SF2290 | 2019-2020 | 88th General Assembly | Introduced
Bill Title: A bill for an act restricting the price a motor vehicle dealer may charge for voluntary debt cancellation coverage and making penalties applicable.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2020-02-18 - Introduced, referred to Transportation. S.J. 332. [SF2290 Detail]
Download: Iowa-2019-SF2290-Introduced.html
Senate
File
2290
-
Introduced
SENATE
FILE
2290
BY
WAHLS
A
BILL
FOR
An
Act
restricting
the
price
a
motor
vehicle
dealer
may
1
charge
for
voluntary
debt
cancellation
coverage
and
making
2
penalties
applicable.
3
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
4
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S.F.
2290
Section
1.
Section
322.19,
subsection
2,
paragraph
b,
Code
1
2020,
is
amended
to
read
as
follows:
2
b.
Voluntary
debt
cancellation
coverage,
whether
insurance
3
or
debt
waiver,
which
may
be
excluded
from
the
finance
4
charge
under
the
federal
Truth
in
Lending
Act
as
defined
in
5
section
537.1302
.
A
motor
vehicle
dealer
licensed
under
this
6
chapter
shall
not
charge
a
person
an
amount
for
voluntary
7
debt
cancellation
coverage
that
is
in
excess
of
one
hundred
8
fifteen
percent
of
the
cost
the
motor
vehicle
dealer
paid
9
to
a
third-party
vendor
for
the
voluntary
debt
cancellation
10
coverage.
11
EXPLANATION
12
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
13
the
explanation’s
substance
by
the
members
of
the
general
assembly.
14
This
bill
restricts
the
price
a
motor
vehicle
dealer
may
15
charge
for
voluntary
debt
cancellation
coverage.
16
The
bill
prohibits
a
motor
vehicle
dealer
from
charging
an
17
amount
for
voluntary
debt
cancellation
coverage
that
is
in
18
excess
of
115
percent
of
the
cost
the
motor
vehicle
dealer
paid
19
to
a
third-party
vendor
for
the
voluntary
debt
cancellation
20
coverage.
Pursuant
to
Code
section
322.14,
subsection
1,
a
21
motor
vehicle
dealer
who
violates
this
prohibition
is
guilty
22
of
a
simple
misdemeanor
punishable
by
a
fine
of
not
less
than
23
$250
and
not
more
than
$1,500
or
by
imprisonment
not
to
exceed
24
30
days.
25
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