In a retail installment sale to a consumer as defined by Regulation Z of the Federal Trade Commission (FTC), the creditor must make the disclosures required by Regulation Z clearly and conspicuously in writing, in a form that the consumer may keep. The disclosures must be grouped, must be segregated from everything else, and must not contain any information not directly related to the disclosures required by Regulation Z (although the disclosures may include an acknowledgment of receipt, the date of the transaction, and the consumer's name, address, and account number). 12 C.F.R. § 226.17(a)(1). Regulation Z sets forth several closed-end model forms and clauses which illustrate other formats for these disclosures. 12 C.F.R. Part 226, Appendix H.
A federal notice regarding preservation of the consumer's claims and defenses is
required on all consumer credit contracts by Federal Trade Commission regulation. 16
C.F.R. § 433.2. The notice must appear in at least 10- point, bold face, type or print and
must be worded as shown if the form.
Iowa Retail Installment Contract and Security Agreement: The Iowa Retail Installment Contract and Security Agreement is a legally binding document that outlines the terms and conditions for purchasing goods or services through a retail installment plan in the state of Iowa. This agreement is typically used when a consumer wishes to make a purchase and agrees to pay for it in installments over a specified period of time. The agreement includes several key components to protect both the buyer and the seller. It specifies the names and contact information of the buyer and seller, along with a detailed description of the item(s) being purchased. Additionally, it states the total purchase price, the amount of any down payment, and the repayment structure, including the number and amount of installments. In order to secure the agreement, the buyer typically grants the seller a security interest in the purchased item(s). This means that if the buyer fails to make the required payments, the seller has the right to repossess the goods to satisfy the debt. The security agreement establishes the terms of this arrangement, including the procedures for repossession and the buyer's rights in the event of default. It is important to note that there are different types of Iowa Retail Installment Contract and Security Agreements based on the nature of the purchase. Some specific types include: 1. Automobile Retail Installment Contract and Security Agreement: This type of agreement is used for the purchase of vehicles, such as cars, motorcycles, or trucks, through a retail installment plan. It incorporates the specific terms related to the vehicle, such as make, model, year, and identification number. 2. Retailer-Sponsored Credit Card Retail Installment Contract and Security Agreement: This type of agreement is utilized when a retailer offers its own credit card for financing purchases. It outlines the terms of the credit card agreement and the repayment structure for purchases made with the card. 3. Furniture/ Appliance Retail Installment Contract and Security Agreement: This type of agreement is specifically designed for the purchase of furniture, appliances, or other household goods. It includes detailed descriptions of the items being purchased and outlines the repayment terms. The Iowa Retail Installment Contract and Security Agreement serves as an essential tool for both buyers and sellers, enabling a transparent and lawful process for purchasing goods or services through installment plans. It ensures that all parties involved clearly understand their rights and obligations, promoting fair and secure transactions in the state of Iowa.
