Flex Buy is a Ford Credit Retail contract with a 37th month payment adjustment. Flex Buy`s unique structure offers merchants and customers an excellent combination of benefits. Let`s take a closer look. The Committee`s study has shown that, in the case of the sale of motor vehicles in the retail trade in tranches, the buyer is too often granted insurance which only insures the interest of the finance company on the outstanding balance of retail sales contracts, which is not unfair, provided that the buyer knows and acknowledges the nature of the insurance thus granted – but the information is too often found in fine print and is not communicated to the buyer. will be;  In addition, a review of the Act shows that its main purpose is to establish licensing and procedural rules for the sale of motor vehicles on an instalment basis.   In short, a person cannot participate in the sale of motor vehicles under instalment contracts unless the seller holds a licence under the law.  MCL 492.103.   An application for a licence for instalment sales must be made in writing to the Administrator, Mr.C.L. § 492.104, with the Administrator defined as Commissioner of the Bureau of Financial Institutions, Department of Commerce.   MCL 492.102(17).   Existing licences must be renewed annually.

 MCL 492.104(e).   To obtain the license, a deposit must be attached to the application to the administrator, M.C.L. § 492.105, and the fees based on the fees charged to the applicant are established by law.  MCL 492.106.   Upon receipt of a licence, it must be posted in a conspicuous place in the business, the licence is non-transferable or transferable, and the rejection of an application may be challenged in the District Court.  MCL 492.107;  MCL 492.108. d) Such other fees paid or payable to the Buyer shall not exceed the amount that the Seller spends or intends to spend on them.   Costs that the Seller has received from the Buyer or that have been included in the Buyer`s obligation under the hire-purchase agreement, that are not paid by the Seller as planned, will be refunded or credited to the Buyer immediately. Although the Act contains a definition section, M.C.L. § 492.102, it does not define travel emergency services.

  The trial court found that the extended service contracts contained language indicating that coverage for rental vehicles and tow repairs was included in the extended service contracts.   Therefore, in so far as those elements were not regulated by virtue of the freedom of contract as regards profits, the Court of First Instance held that the part of the emergency travel services of the renewed service contracts did not constitute a breach of the law.   However, the sentence at issue in paragraph 16(a) also contains the vague words `other` and `supplementary insurance`: 5. The applicants have not disputed, by the assertion in the complaint or by written evidence, that the purchase of the extended service contract was the result of negotiation between the buyer and the seller. The applicants claim that consumers need the protection of the MVSFA in order to prevent the setting of prices in relation to renewed service contracts.   However, an educated consumer has the opportunity to negotiate the purchase price of an extended service contract.   Extended warranties can be purchased from the automaker, new and used car dealers, as well as independent companies or third parties.8 Extended warranties can be purchased online 9 and can extend beyond the period offered by a dealer or manufacturer.   Consumers are advised to consider whether an extended warranty is necessary given the cost.   In fact, in a consumer warning on the Attorney General`s website,10 the Michigan Attorney General issued a warning regarding extended service contracts that states the following: The issue in this dispute is whether merchants have the right to profit from the sale of extended service contracts or extended warranties given the provisions of the MVSFA, which are subject to fees.   After the de novo review, Stone, on top of that, we come to the conclusion that challenging the profit made with an extended service contract is not regulated by the SVSFA.   § 17 SVMSA, M.C.L.

Section 492.117 deals with hire-purchase agreements and related additional costs and charges and provides: In a recent study by this committee, it was found that with respect to financing costs resulting from the installment sale of motor vehicles in the State of Michigan, 28.48% of these fees are greater than 25%, 14,7 % of these fees are greater than 50 %, 7,66 % of these fees are greater than 75 % and 5 % of these fees are greater than 100 %;  and with a retail installment purchase agreement, you may have additional rights under your state law (for example. B the ability to stop payments to the dealer) if there is a defect in your vehicle. A written decision was made whereby the incidental applications for summary determination were partially granted and partially dismissed.   The Court of First Instance found that MVSFA had not prohibited the sale or financing of extended service contracts by the concessionaires.   Accordingly, the defendants were successful on this issue and the first part of the plaintiffs` amended complaint was dismissed.   The trial court also held that mvSFA did not limit the price that defendants could charge and that it could fund an emergency travel service component of an extended service contract.   Therefore, in so far as Head II of the first amended complaint alleges infringement of the sale of an extended service contract with a profit for the emergency travel services component, the tax was rejected.   The trial court held that the MVSFA limited the price of non-travel emergency services of extended service contracts and that the defendants could not calculate and fund an amount greater than the actual cost of the non-travel emergency services component.   Thus, the applicants` request for summary decisions concerning that part of Part Two was granted and the defendant`s application was dismissed.

  The Trial Court also found that, to the extent that a profit had been made in excess of the cost of non-travel emergency services under the extended service contracts, the defendants had breached their contracts with the plaintiffs and that a summary injunction in favour of the plaintiffs in respect of Head IV was admissible.   Finally, the Court of First Instance finally held that the MVSFA provided for a private right of action. (a) In addition to the cost of insurance premiums and emergency travel services approved in the preceding section of this Act, the seller of a motor vehicle may, under a phased purchase contract, require the purchaser to pay certain other expenses incurred in the sale of a motor vehicle under such a contract: (b) The seller of a motor vehicle under a hire purchase agreement may also enter into a contract with the purchaser against payment; on behalf of the Buyer, these other costs associated with the sale of a motor vehicle and voluntarily contractually agreed by the Buyer are as follows: Based on the clear wording of subsection 17(a), In re MCI, loc. cit., extended service contracts or extended warranties are not covered by the articles as they are not a matter, that the buyer must buy.   Rather, an extended service contract, such as the sale of a motor vehicle, is the result of negotiation between the buyer and the seller.5 The decision that led to the enactment of the act, the preamble to the act, and the text of the law show that it was intended to prevent the addition of usurious fees and costs after the negotiation of a purchase price for a motor vehicle. not to limit profit margins on goods sold in connection with a motor vehicle ….