Consumer complaint received 2023-12-29
Product: Vehicle loan or lease — Loan
Issue: Getting a loan or lease — Confusing or misleading advertising or marketing
Company: Open Dealer Exchange, LLC (PA)

( a ) The definitions and rules of construction set forth in this section are applicable for the purposes of this subchapter.15 U.S. Code 1601- Congressional findings and declaration of purpose ( a ) Informed use of credit The Congress finds that economic stabilization would be enhanced and the competition among the various financial institutions and other firms engaged in the extension of consumer credit would be strengthened by the informed use of credit. The informed use of credit results from an awareness of the cost thereof by consumers. It is the purpose of this subchapter to assure a meaningful disclosure of credit terms so that the consumer will be able to compare more readily the various credit terms available to him and avoid the uninformed use of credit, and to protect the consumer against inaccurate and unfair credit billing and credit card practices.

( b ) Terms of personal property leases The Congress also finds that there has been a recent trend toward leasing automobiles and other durable goods for consumer use as an alternative to installment credit sales and that these leases have been offered without adequate cost disclosures. It is the purpose of this subchapter to assure a meaningful disclosure of the terms of leases of personal property for personal, family, or household purposes so as to enable the lessee to compare more readily the various lease terms available to him, limit balloon payments in consumer leasing, enable comparison of lease terms with credit terms where appropriate, and to assure meaningful and accurate disclosures of lease terms in advertisements. 


( a ) The definitions and rules of construction set forth in this section are applicable for the purposes of this subchapter.

15 U.S. Code 1602 - Definitions and rules of construction ( d ) The term organization means a corporation, government or governmental subdivision or agency, trust, estate, partnership, cooperative, or association.

( e ) The term person means a natural person or an organization.

( f ) The term credit means the right granted by a creditor to a debtor to defer payment of debt or to incur debt and defer its payment. ( g ) The term creditor refers only to a person who both ( 1 ) regularly extends, whether in connection with loans, sales of property or services, or otherwise, consumer credit which is payable by agreement in more than four installments or for which the payment of a finance charge is or may be required, and ( 2 ) is the person to whom the debt arising from the consumer credit transaction is initially payable on the face of the evidence of indebtedness or, if there is no such evidence of indebtedness, by agreement. Notwithstanding the preceding sentence, in the case of an open-end credit plan involving a credit card, the card issuer and any person who honors the credit card and offers a discount which is a finance charge are creditors. For the purpose of the requirements imposed under part D of this subchapter and sections 1637 ( a ) ( 5 ), 1637 ( a ) ( 6 ), 1637 ( a ) ( 7 ), 1637 ( b ) ( 1 ), 1637 ( b ) ( 2 ), 1637 ( b ) ( 3 ), 1637 ( b ) ( 8 ), and 1637 ( b ) ( 10 ) of this title, the term creditor shall also include card issuers whether or not the amount due is payable by agreement in more than four installments or the payment of a finance charge is or may be required, and the Bureau shall, by regulation, apply these requirements to such card issuers, to the extent appropriate, even though the requirements are by their terms applicable only to creditors offering open-end credit plans. Any person who originates 2 or more mortgages referred to in subsection ( aa ) in any 12-month period or any person who originates 1 or more such mortgages through a mortgage broker shall be considered to be a creditor for purposes of this subchapter. The term creditor includes a private educational lender ( as that term is defined in section 1650 of this title ) for purposes of this subchapter.

( i ) The adjective consumer, used with reference to a credit transaction, characterizes the transaction as one in which the party to whom credit is offered or extended is a natural person, and the money, property, or services which are the subject of the transaction are primarily for personal, family, or household purposes. ( k ) The term adequate notice, as used in section 1643 of this title, means a printed notice to a cardholder which sets forth the pertinent facts clearly and conspicuously so that a person against whom it is to operate could reasonably be expected to have noticed it and understood its meaning. Such notice may be given to a cardholder by printing the notice on any credit card, or on each periodic statement of account, issued to the cardholder, or by any other means reasonably assuring the receipt thereof by the cardholder. ( p ) The term unauthorized use, as used in section 1643 of this title, means a use of a credit card by a person other than the cardholder who does not have actual, implied, or apparent authority for such use and from which the cardholder receives no benefit. 
( i ) consistent with the consumer protections against abusive lending provided by the amendments made by subtitle B of title I of the XXXX XXXX XXXX and Regulatory Improvement Act of 1994 ; and ( ii ) warranted by the need for XXXX ) does not include any person who is ( i ) not otherwise described in subparagraph ( A ) or ( B ) and who performs purely administrative or clerical tasks on behalf of a person who is described in any such subparagraph ; or ( ii ) a retailer of manufactured or modular homes or an employee of the retailer if the retailer or employee, as applicable ( I ) does not receive compensation or gain for engaging in activities described in subparagraph ( A ) that is in excess of any compensation or gain received in a comparable cash transaction ; ( II ) discloses to the consumer ( aa ) in writing any corporate affiliation with any creditor ; and ( bb ) if the retailer has a corporate affiliation with any creditor, at least 1 unaffiliated creditor ; and ( III ) does not directly negotiate with the consumer or lender on loan terms ( including rates, fees, and other costs ). ( iii ) is with respect to a sale for which the seller determines in good faith and documents that the buyer has a reasonable ability to repay the loan ;