537.5103 Creditor’s obligations on repossession — restriction on deficiency judgments. 1. This section applies to a consumer credit sale of goods or services and a consumer loan. A consumer is not liable for a deficiency unless the creditor has disposed of repossessed orsurrendered goods in good faith and in a commercially reasonable manner. 2. If the seller repossesses or voluntarily accepts surrender either of goods which were the subject of the sale and in which the seller has a security interest, or of goods which were notthe subject of the sale but in which the seller has a security interest to secure a debt arisingfrom a sale of goods or services or a combined sale of goods and services, the seller’s duty todispose of the collateral is governed by the provisions on disposition of collateral in chapter554, article 9, part 6. 3. If a lender takes possession or voluntarily accepts surrender of goods in which the lender has a security interest to secure a debt arising from a consumer loan, the lender’s dutyto dispose of the collateral is governed by the provisions on disposition of collateral in chapter554, article 9, part 6. rity interest to secure a debt arising from a consumer loan, the lender’s dutyto dispose of the collateral is governed by the provisions on disposition of collateral in chapter554, article 9, part 6. [C75, 77, 79, 81, §537.5103]2000 Acts, ch 1149, §171, 187 Sat Dec 23 01:40:49 2023 Iowa Code 2024, Section 537.5103 (18, 0)
Iowa Legal Code