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Committee approves compromise to protect lenders and rent‑to‑own wheel dealers after repossession

INSURANCE & COMMERCE - SENATE · April 2, 2019
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Summary

HB 19‑14, a negotiated bill between creditors and rent‑to‑own wheels-and-rims dealers, passed the Senate Insurance & Commerce Committee. The measure requires dealers who repossess rented wheels to replace them with factory-standard wheels and directs secured creditors to coordinate return of dealer-owned rims before auction.

The Senate Insurance & Commerce Committee passed House Bill 19‑14 after a sponsor described a negotiated compromise intended to resolve a recurring problem when rent‑to‑own wheels and rims are repossessed.

Representative Kavanaugh told the committee the statute previously allowed a situation where a lender who repossessed a vehicle could find it stripped of non‑factory wheels and rims,…

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