Finance

Ask a Finance Question, Get an Answer ASAP!

Have your own Finance question?

4 Financial Professionals are Online Now

characters left:

Not a Finance Question?

Question

A friend purchased a car from Beach Cars of West Palm, Inc. with a balance financed of $6192. The finance charge rate is set at 29.14 percent. If I understand Florida Laws, the rate should be a maximum of 30% on the first $2000, 24% on the next $3000, and 18% on the balance. Is my understanding correct? And, if so, what can be done to correct this problem? Thanks, JWL

Submitted: 31 days and 17 hours ago.

Category: Finance

Value: $15

Status: AWAITING CUSTOMER ACTION

State/Country relating to question: Florida

Already Tried:
Tried to talk to the Dealer but he just said they are right because they have been in business for 50 years.

Accepted Answer

Thanks for the question.

I'm sorry to see this happening.

You're correct.

By charging a rate higher than 24%, I believe they have commited a misdemeanor.

They may be liable to forfeit all interest and pay steep fines.

This is something you don't want to delay.

Contact the Florida Department of Financial Services immediately.

Here's a link:

http://www.myfloridacfo.com/Contact/

Regards.

Accepts:
Expert:	James Heal
Pos. Feedback:	100.0 %
Answered:	10/20/2009

Financial Advisor

15 years expertise in all ares of personal finance, including credit cards, mortgages, real estate.

8 days and 16 hours ago.

Reply

I contacted the Florida Dept of Fin. Ser. and they said the answer was wrong. According to the person I talked to a used car dealer can charge any interest percentage they desire??? I really don't belive that, but that is what they told me.

John

Posted by Taxtom 8 days and 8 hours ago.

Answer

Here is a statute I found http://www.leg.state.fl.us/statutes/index.cfm?mode=View%20Statutes&SubMenu=1&App_mode=Display_Statute&Search_String=maximum+interest+rates&URL=CH0516/Sec031.HTM I'm not sure this covers used cars but that is this figures were quoting. Call back the bureau and ask them if this pertains to used cars. Below you will find a link top the title page I found this under. Tom http://www.leg.state.fl.us/Statutes/index.cfm?App_mode=Display_Statute&URL=Ch0520/part01.htm&StatuteYear=2009&Title=->2009->Chapter 520->Part I

Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Finance

Have your own Finance question?

Related Finance Topics:

Question

Optional Information

State/Country relating to question: Florida

Already Tried:
Tried to talk to the Dealer but he just said they are right because they have been in business for 50 years.

Accepted Answer

Reply

I contacted the Florida Dept of Fin. Ser. and they said the answer was wrong. According to the person I talked to a used car dealer can charge any interest percentage they desire??? I really don't belive that, but that is what they told me.

John

Answer

Finance

Have your own Finance question?

Related Finance Topics:

Question

Optional Information

State/Country relating to question: Florida Already Tried: Tried to talk to the Dealer but he just said they are right because they have been in business for 50 years.

Accepted Answer

Reply

I contacted the Florida Dept of Fin. Ser. and they said the answer was wrong. According to the person I talked to a used car dealer can charge any interest percentage they desire??? I really don't belive that, but that is what they told me. John

Answer

Related Finance Questions

State/Country relating to question: Florida

Already Tried:
Tried to talk to the Dealer but he just said they are right because they have been in business for 50 years.

I contacted the Florida Dept of Fin. Ser. and they said the answer was wrong. According to the person I talked to a used car dealer can charge any interest percentage they desire??? I really don't belive that, but that is what they told me.

John