Laws exist to protect consumers
With holiday gift-buying nearly in full swing, consumers should know that there are numerous laws at the national and state levels to protect them from fraudulent or unethical business practices, and defective products. The following is a sample of some of these laws.
Under the Equal Credit Opportunity Act, a consumer is ensured that he or she has an equal chance to obtain credit to finance a purchase. This does not mean that anyone who applies can receive credit. To be considered worthy of credit, several factors are taken into consideration, including income, expenses, debt and credit history. The law further states that a creditor may not ask you to reveal your sex, race, marital status, national origin and religion.
The Motor Vehicle Retail Installment Sales Act outlines the terms that must be included in a financing agreement for buying a car. It requires that the contract clearly state the amount of the finance charge and other charges you must pay beyond the cash price of the car.
The Illinois Consumer Fraud and Deceptive Business Practices Act prevents sellers from using false or misleading statements. Essentially, the Act imposes penalties on vendors who do anything that is deemed to be deceptive.
If you or a member of your family makes a purchase from a door-to-door salesman - and you change your mind about the purchase - there is a federal law which can protect you. The law enables you - the buyer - to have up to three days to cancel any contract on credit or a cash sale of $25 or more which takes place away from the seller's regular place of business, such as your home or a public place. Furthermore, door-to-door sales contracts must include a prominently displayed notice of this cancellation right.
Note: This information was prepared as a public service by the Illinois State Bar Association and is a joint project with the Illinois Press Association. Its purpose is to inform citizens of their legal rights and obligations.
© Illinois State Bar Association
If you have questions about the application of the law in a particular case, consult your lawyer. The law is constantly changing. Information on this site or any site to which we link does not constitute legal advice.