Eastern Iowa Car Dealership Ordered to Refund Customers

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By Aaron Hepker

DES MOINES, Iowa (AP) — A used car dealership in eastern Iowa has been ordered to refund fees that officials say were improperly collected from customers.

Urbana Motors Inc. was accused of collecting improper fees, sidestepping legal protections for consumers behind on payments, and not disclosing some costs. They have 90 days to contact affected customers.

Attorney General Tom Miller said in a news release Thursday that Urbana Motors will return fees that state law did not entitle the company to collect. That includes late fees assessed before 10 days after a payment was due.

Urbana Motors says it will accurately disclose total sales prices, annual percentage rates and other amounts. The company said it will forgive any outstanding balance for customers whose vehicles were improperly repossessed in the past two years.

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