New Hampshire Banking Department announcement regarding HB 1243 relating to retail installment sales of motor vehicles

On August 2, 2024, Governor Christopher T. Sununu signed HB 1243 into law.  HB 1243 revises RSA chapter 361-A, the state law that governs retail installment sales of motor vehicles in New Hampshire and the licensing and regulation of persons engaged in the business of sales finance companies and retail sellers in our state.

HB 1243 was drafted at the request of the Banking Department with input from stakeholders and industry experts.  During the legislative process, the Banking Department introduced an amendment to HB 1243 that extended the effective date of the new law to January 1, 2025.  Subsequent amendments to HB 1243 by the Legislature, however, resulted in the final version of the new law bearing an effective date of July 1, 2024.

The Banking Department is mindful that businesses need time to educate themselves about the changes in HB 1243 and come into compliance with those changes.  The Banking Department further understands that it may be challenging for businesses to achieve full compliance immediately given the change to the effective date of the law.  For these reasons, the Banking Department intends to engage in outreach and education on HB 1243 until January 1, 2025.

Businesses facing compliance challenges due to the July 1, 2024 effective date should contact the Banking Department for further guidance.  Staff at the Banking Department are available to answer any questions that may arise about this legislative change.  Please direct all such correspondence to nhbd@banking.nh.gov.  Additionally, the Banking Department intends to issue guidance to frequently asked questions about the law in the coming days.

Until RSA 361-A is updated on the New Hampshire General Court website, please refer to this link for the final form of HB 1243.