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- Subchapter C. Installment Sale Contracts
12 Pa.C.S. § 6228 Prohibited Provisions
Library | Pennsylvania Statutes |
Edition | 2023 |
Currency | Current through P.A. Acts 2023-66 |
Year | 2023 |
Citation | 12 Pa.C.S. § 6228 |
An installment sale contract may not contain any of the following:
(1) Blank spaces to be filled in after the contract has been signed, except regarding serial numbers or other identifying marks that are not available for description of the motor vehicle at the time of execution of the contract.
(2) An acceleration clause under which all or part of the time balance represented by payments not yet matured may be declared immediately payable because the installment seller or holder deems itself to be insecure. This paragraph does not apply to an acceleration clause authorizing the seller or holder to declare the entire time balance due and payable in case of any of the following:
(i) The buyer's default in the payment of one or more installment payments.
(ii) The buyer's failure to pay taxes levied against the motor vehicle.
(iii) The buyer's failure to furnish proof of payment of taxes levied against the motor vehicle.
(iv) Use of the motor vehicle for illegal purposes.
(v) The buyer's filing for bankruptcy.
(vi) The buyer's default in the payment of a cross- collateralized obligation.
(vii) The buyer's intentionally providing fraudulent and misleading information on a credit application.
(3) A provision authorizing a person acting on behalf of the seller or holder to enter upon the premises of the buyer unlawfully or to commit a breach of the peace in the repossession of the motor vehicle or collateral security.
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