Please note that there has been a revision made to the LAW®553-MI(4P)8/21 contract as well as the LAW®553-MI-ARB8/21. The new form numbers are LAW®553-MI(4P)9/24 and LAW®553-MI-ARB9/24.
In late July, Michigan enacted House Bill 5460, which requires an additional customer notice printed prominently under the Truth-in-Lending Act (TILA) disclosure box. The notice is required for new motor vehicle credit sales. We added the notice to the contracts directly below the TILA box. The bill went into effect immediately upon the Governor’s signature.
As a result of user requests and to continually update and increase acceptance of our LAW® 553® contracts, we made the following changes to our 553 contracts in Michigan:
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Added Cell and Email fields to the Buyer and Co-Buyer boxes
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Changed ‘Returned Check Charge’ heading to ‘Returned Payment Charge’
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Removed the NO COOLING OFF PERIOD disclosure box
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We made additions, deletions and revisions of language in the following sections on the back of the contract:
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6. – Added a new sentence at the beginning and 2 additional sentences to the end of the section
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8. – Added new section as NEGATIVE CREDIT REPORT NOTICE
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Made several additions, deletions, and revisions to the ARBITRATION PROVISION language on the ARB contract version
New programming will be required for the new revision. The standard and ARB versions will not line up the same as each other for programming purposes.
Inventory for the new product will be available by August 23, 2024. Dealers should begin using the new contract immediately. The Bankers Systems® brand Motor Vehicle Retail Installment Sale Contracts will also be revised and announced in a separate message.