Limits the amount of certain credit service charges in motor vehicle retail installment contracts

Bill A 8423 establishes a new cap on the credit service charges applied to motor vehicle retail installment contracts. It limits these charges to a maximum annual rate of sixteen dollars per one hundred dollars. This change directly affects consumers who purchase motor vehicles using installment plans and the dealerships that provide this financing. The bill also specifies how these charges are to be calculated, based on the vehicle's cash sale price, down payment, official fees, and insurance.