2010 Pennsylvania Code
Chapter 69 - Particular Rights and Immunities
6903 - Required disclosures in connection with rental-purchase agreement.

     § 6903.  Required disclosures in connection with rental-purchase
        (a)  General rule.--A lessor shall disclose all of the
     following in a clear and conspicuous manner:
            (1)  A brief description of the rented property
        sufficient to identify it to the lessee and lessor and a
        statement as to whether the property is new, used or
        previously rented. If a rental is for multiple items of
        property, a description of each item may be provided in a
        separate statement incorporated by reference in the rental-
        purchase agreement or primary disclosure statement.
            (2)  The total amount of any initial payment, including
        any advance payment, delivery charge or any trade-in
        allowance, to be paid by the lessee at or before consummation
        of the rental-purchase agreement.
            (3)  The amount and timing of rental payments.
            (4)  The amount of all other charges, individually
        itemized, payable by the lessee to the lessor that are not
        included in the rental payments.
            (5)  The party who is liable for loss, damage in excess
        of normal wear and tear or destruction of the rented
            (6)  The right of the lessee to reinstate under section
        6906 (relating to lessee's right to reinstate agreement after
        termination) and the amount of or method of determining the
        amount of the delinquency charges, reinstatement fee or
        delivery charge for reinstatement.
            (7)  The party responsible for maintaining or servicing
        the rental property and a brief description of the
            (8)  The conditions upon which the lessee or lessor may
        terminate the rental agreement prior to the expiration of the
        rental term.
            (9)  The total of all initial payments, all rental
        payments and all other charges necessary to acquire ownership
        of the rented property.
            (10)  That the lessee has the option to purchase the
        rented property at any time and at what price or by what
        formula or method the purchase price will be determined.
            (11)  The cash price of the personal property that is the
        subject of the rental-purchase agreement.
            (12)  The cost of lease services, which is the difference
        between the total of payments disclosed under paragraph (9)
        and the cash price of the property disclosed under paragraph
            (13)  That if any part of a manufacturer's warranty
        exists on the leased property when a lessee acquires
        ownership of the property, the warranty will be transferred
        to the lessee if permitted by the terms of the warranty.
            (14)  That the lessee is not required to purchase
        insurance or liability damage waiver for the property that is
        the subject of the rental agreement from the lessor or from
        any vendor owned or controlled by the lessor.
        (b)  Notice required.--Every primary disclosure statement
     shall include a notice in a prominent place in at least ten-
     point type in substantially the following form:
            You are renting this property. You will not own it until
            you make all of the regularly scheduled payments or you
            use the early purchase option. You do not have the right
            to keep the property if you do not make required payments
            or do not use the early purchase option. Subject to your
            grace periods and reinstatement rights, the lessor may
            repossess the property if you fail to make rental
            payments as scheduled. Your rights and responsibilities
            are fully explained in this rental-purchase agreement.
        (c)  Time of disclosure.--Every rental-purchase agreement
     shall be in writing. The information required by this section
     shall be disclosed by the lessor prior to the signing of the
     rental-purchase agreement by the lessee and shall be disclosed
     either in the rental-purchase agreement or on a dated, separate
     piece of paper that identifies the rental-purchase agreement and
     the parties to it.
        (d)  Manner of disclosure.--The disclosures required by
     subsection (a)(2), (3), (9), (11) and (12) shall be printed or
     typed in at least ten-point boldface type and grouped together.
     All other disclosures required by this section shall be printed
     or typed in at least eight-point type. All numerical amounts and
     percentages shall be stated in figures. All information required
     by this section shall be written, organized and designed so that
     it is easy to read and understand. The information shall be
     appropriately divided and captioned by its sections.
        (e)  Disclosure of additional information.--A lessor may
     disclose information that is not required by this section if the
     additional information is not stated, used or placed in a manner
     that will contradict, obscure or distract attention from the
     required information.
        (f)  Compliance with Federal law.--With respect to matters
     specifically governed by the Consumer Credit Protection Act
     (Public Law 90-321, 15 U.S.C. § 1601 et seq.), compliance with
     that act satisfies the requirements of this section.

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