Section 12-1110.1 – Recovery of Property Subject to Rental-Purchase Agreement
(a) A lessor may not bring a court action to recover property subject to a rental–purchase agreement until 15 days after the consumer has been sent notice of a default. (b) Notice of default sent by certified mail to the consumer’s last known address constitutes notice. (c) The notice shall include any amount the consumer must pay to […]
Section 12-1401 – Definitions
(a) In this subtitle the following words have the meanings indicated. (b) (1) “Credit card processor” means a person that processes credit card or electronic commerce transactions on behalf of a business entity for a fee. (2) “Credit card processor” includes: (i) A merchant services provider; (ii) A financial institution; (iii) An independent sales organization; and (iv) Any subsidiary or affiliate of an […]
Section 12-1111 – Form for Disclosures
(a) The following is an example of a form which shall be used to satisfy the disclosure requirements of §§ 12–1103(c) and 12–1104(a) of this subtitle: “Rental–Purchase Agreement 1. Lessor(s): Name Address Telephone no. Lessee(s): Name Address Telephone no. 2. Description of Rental Property: � Item � Quantity Identification Number � […]
Section 12-1027 – Lender’s Inspection Fee
(a) In this section, “lender’s inspection fee” means a fee imposed by a credit grantor to pay for a visual inspection of residential real property. (b) Except as provided in subsection (c) of this section, a credit grantor may not impose a lender’s inspection fee in connection with a loan made to a consumer borrower that is […]
Section 12-1028 – Fees
(a) This section applies only to a loan to a consumer borrower secured by a first mortgage or first deed of trust on residential real property used as the consumer borrower’s primary residence. (b) A credit grantor may require a consumer borrower to pay for services rendered by the credit grantor’s attorney only if the attorney’s fee: […]
Section 12-1029 – Homeowner Equity Protection
(a) (1) In this section the following words have the meanings indicated. (2) “Fully indexed rate” means the index rate, as defined in the mortgage loan documents, prevailing at the time the mortgage loan is approved by the credit grantor, plus the margin that will apply after the expiration of an introductory interest rate. (3) (i) “Mortgage loan” has the […]
Section 12-1101 – Definitions
(a) In this subtitle the following words have the meanings indicated. (b) (1) “Advertisement” means a commercial message in any medium that aids, promotes, or assists, directly or indirectly, a rental–purchase agreement. (2) “Advertisement” does not include in–store merchandising ads. (c) “Cash price” means the price at which the lessor would have sold rental property covered by a rental–purchase agreement […]
Section 12-1102 – Effect and Applicability of Subtitle
(a) A rental-purchase agreement that complies with this subtitle may not be deemed to be: (1) A “retail sale”, as defined in § 12-601(s) of this title; (2) An “installment sale agreement”, as defined in § 12-601(m) of this title; or (3) A “security interest”, as defined in § 1-201(37) of this article. (b) This subtitle does not apply to: […]
Section 12-1103 – Disclosures — in General
(a) (1) A lessor shall disclose to a consumer the information required under this subtitle. (2) In a transaction involving more than 1 lessor, only 1 lessor need make the disclosures required under this subtitle, but all lessors shall be bound by the disclosures made. (b) A lessor shall make the disclosures required under this subtitle before consummation of […]
Section 12-1104 – Disclosures — Specific Information; Tags
(a) The lessor shall disclose in each rental–purchase agreement, as applicable: (1) The total number, total amount, and timing of all rental payments necessary to acquire ownership of the rental property; (2) A statement that the consumer will not own the rental property until the consumer has paid the total of payments necessary to acquire ownership; (3) A brief […]