A lessor or the entity which sells the motor vehicle to the lessor for lease to a lessee may advance money to a lessee or pay money to a third party on behalf of the lessee to satisfy a lease on or a lien on or a security interest in a motor vehicle used as a trade-in on a motor vehicle which is the subject of a motor vehicle lease contract. Any amount so advanced or paid may be included in the gross capitalized cost under the motor vehicle lease contract and shall not be considered a loan. Such advance and the seller or lessor making such advance or payment shall be exempt from the provisions of Chapter 3 of Title 7, relating to installment loans, from the provisions of Chapter 4 of Title 7, relating to interest and usury, and from any other provision of Georgia law regulating loans.
History. Code 1981, § 10-1-42 , enacted by Ga. L. 1999, p. 1229, § 4; Ga. L. 2020, p. 156, § 8/SB 462.
The 2020 amendment, effective June 30, 2020, substituted “installment loans” for “industrial loans” in the last sentence. See the Editor’s notes for applicability.
Editor’s notes.
Ga. L. 2020, p. 156, § 10/SB 462, not codified by the General Assembly, provides that: “This Act shall apply to all installment loan agreements entered into on and after July 1, 2020.”