This bill regulates the sale of auto club memberships and vehicle warranties by loan officers.
This bill mandates that licensed loan officers inform borrowers, in writing, that purchasing an auto club membership or vehicle warranty is optional and does not affect loan receipt. If a borrower opts to buy, the loan officer must allow payment with non-loan funds or include the cost in the loan. Borrowers can cancel the membership or warranty within 30 days for a full refund if unused.
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