A retail installment agreement is an agreement signed by the Purchaser involving a finance charge and providing for the sale of goods or services. Federal and some State Laws (Consumer Credit Protection Acts) require the disclosure of what the Purchaser is being charged for the credit he/she is receiving. These disclosures include such things as the amount being financed; finance charges; the annual percentage rate; and the number of payments and when due. However, such disclosures are usually only required when a person regularly extends consumer credit (e.g. more than 25 times in the preceding calendar year).
This form is for a casual seller who does not enter into such transactions on a regular basis. It can also be used in commercial transactions (e.g., credit that is not being extended primarily for personal, family, or household purposes).
The Purchaser in this form grants the Seller a security interest in the collateral being sold. A security interest is an interest in personal property or fixtures that secures payment or performance of an obligation. The Seller requires the Purchaser to secure the obligation with the personal property being purchased so that if the Purchaser does not pay as promised, the Purchaser can take the collateral back, sell it, and apply the proceeds against the unpaid obligation of the Purchaser.
A Retail Installment Contract or Agreement in Idaho refers to a legally binding document entered into between a buyer and a seller in the context of purchasing goods or services through installment payments. This agreement outlines the terms and conditions that both parties must adhere to during the repayment period. The Idaho Retail Installment Contract or Agreement typically includes important clauses such as the description and pricing of the goods or services being purchased, the total amount financed, the down payment made by the buyer, the finance charge or interest rate applicable, the installment amount, and the duration of the repayment period. In Idaho, there are two types of Retail Installment Contract or Agreement: 1. Simple Interest Retail Installment Contract: This type of agreement specifies that the finance charge or interest is calculated based on the remaining principal balance at any given time. The installment payments made by the buyer are first applied to the accumulated interest and then to the principal amount, reducing the outstanding balance over time. This type of agreement allows the buyer to save on interest in paying off the loan earlier. 2. Add-on Interest Retail Installment Contract: In this type of agreement, the finance charge or interest is calculated based on the original principal amount throughout the entire repayment period. Unlike the simple interest contract, the interest charges are added on to the principal upfront, resulting in a higher overall finance charge. This means that even if the buyer pays off the loan earlier, the total interest paid doesn't change significantly. It is important for both buyers and sellers to carefully review and understand the terms and conditions stated in the Idaho Retail Installment Contract or Agreement before signing it. Buyers should pay attention to the interest rates, installment amounts, and any penalties or fees for late payments or early payoffs. Sellers, on the other hand, should ensure that the contract complies with all relevant Idaho laws and regulations.A Retail Installment Contract or Agreement in Idaho refers to a legally binding document entered into between a buyer and a seller in the context of purchasing goods or services through installment payments. This agreement outlines the terms and conditions that both parties must adhere to during the repayment period. The Idaho Retail Installment Contract or Agreement typically includes important clauses such as the description and pricing of the goods or services being purchased, the total amount financed, the down payment made by the buyer, the finance charge or interest rate applicable, the installment amount, and the duration of the repayment period. In Idaho, there are two types of Retail Installment Contract or Agreement: 1. Simple Interest Retail Installment Contract: This type of agreement specifies that the finance charge or interest is calculated based on the remaining principal balance at any given time. The installment payments made by the buyer are first applied to the accumulated interest and then to the principal amount, reducing the outstanding balance over time. This type of agreement allows the buyer to save on interest in paying off the loan earlier. 2. Add-on Interest Retail Installment Contract: In this type of agreement, the finance charge or interest is calculated based on the original principal amount throughout the entire repayment period. Unlike the simple interest contract, the interest charges are added on to the principal upfront, resulting in a higher overall finance charge. This means that even if the buyer pays off the loan earlier, the total interest paid doesn't change significantly. It is important for both buyers and sellers to carefully review and understand the terms and conditions stated in the Idaho Retail Installment Contract or Agreement before signing it. Buyers should pay attention to the interest rates, installment amounts, and any penalties or fees for late payments or early payoffs. Sellers, on the other hand, should ensure that the contract complies with all relevant Idaho laws and regulations.
