APPLICATION FOR LICENSURE AS A SALES FINANCE COMPANY

PART 1 The Pennsylvania Department of Banking and Securities (“the Department”) welcomes your request for this Sales Finance application. This portion of the application provides general information that will be useful when completing the written portion of the application. The Department issues Sales Finance licenses under the provisions of the Consumer Credit Code relating to Motor Vehicles which sets forth the requirements to obtain a license, maintain a license, the authority of the Department, among other critical information. It is imperative that you become familiar with and operate in compliance with the Consumer Credit Code. You may wish to consult with an attorney to ensure that your operations are compliant. The Consumer Credit Code can be found at 12 Pa. C.S. § 6101 et. seq. and is available on the Department's website at www.dobs.pa.gov. License Required § 6211(a). The following persons may engage or continue to engage in this Commonwealth as a principal, employee, agent or broker only as authorized in this chapter and under a license issued by the department: (2) A sales finance company. Where § 6202 provides the following definition of “Sales finance company.” (1) A person engaged as principal, agent or broker in the business of financing or soliciting the financing of an installment sale contract made between other parties. (2) The term includes the following: (i) A person in the business of acquiring, investing in or lending money or credit on the security of an installment sale contract or any interest in the contract, whether by discount, purchase or assignment of the contract, or otherwise. (ii) An installment seller, whether or not licensed under this chapter, who finances an installment sale contract for another seller or a sales finance company. (3) The term excludes a person to the extent that the person is exempt under section 6229(e) (relating to transfer). § 6211(b)(1). Unless revoked or suspended under section 6218 (relating to revocation or suspension of license) or otherwise surrendered, a license shall be valid for one year. § 6211(b)(2). A license shall expire on October 1 annually, after the license is initially approved or renewed. § 6211(c). A license may not be transferred or assigned.

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Records Required

§ 6204(a). A licensee shall maintain, at the place of business designated in the license certificate,records of the business conducted under the license issued for the place of business so as to enablethe department to determine whether the licensee's business contemplated by this chapter is beingoperated in accordance with the provisions of this chapter.

§ 6204(c). Records of a licensee shall be maintained in the English language.

§ 6204(d). Records of a licensee shall be preserved and available for examination by the departmentfor at least two years after making the final entry therein.

Examinations and Investigations

§ 6203(a). The department has the authority to do any of the following:

(1) Investigate the business activities of a licensee and person engaged in a business contemplatedby this chapter by the following means:

(i) Examining the records of the licensee and person.(ii) Accessing the offices and places of business of the licensee and person and the records of thelicensee and person.

(2) Examine the records, safes and vaults of a person described under subsection (b)(2) for the purposeof discovering violations of this chapter.

§ 6203(d). The expenses incurred by the department in connection with an examinationor investigation, including a proportionate part of the salary of an examiner or other employee of thedepartment and counsel assigned by the department, may be assessed by the department upon theparticular person examined or investigated.

Penalty for violation of Consumer Credit Code

§ 6274. A person required to be licensed under this chapter that violates this chapter, directs a violationof this chapter or engages in an activity for which a license could be suspended or revoked undersection 6218 (relating to revocation or suspension of license) shall be subject to a civil penalty leviedby the department of not more than $2,000 for each offense.

Refusal to issue license or license renewal

§ 6217(a). The department may refuse to issue a license or renew a license because of any of thefollowing:

(1) The applicant has made a material misstatement in the application for license or license renewal.(2) The existence of any of the grounds under section 6218(a) (relating to revocation or suspension of license).

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(3) The department is not satisfied that the financial responsibility, character, reputation,integrity and general fitness of the applicant command the confidence of the public and warrantthe belief that the business for which the license application is filed will be operated lawfully,honestly, fairly and inaccordance with this chapter and the general laws of this Commonwealth.In so determining, the department shall consider the applicant's:

(i) owners, partners or members and any managers, if the applicant is a partnership, association orlimited liability company; and(ii) officers and directors, if the applicant is a corporation.

Bond § 6213(a). A bond shall accompany each license application for a sales finance company.

§ 6213(b). The bond shall be in the form prescribed by the Department. (Department prescribed bondform is included at the end of this application.)

§ 6213(c). A bond for a sales finance company shall be in the amount of $10,000.

§ 6213(d)(1). The bond shall be executed by a surety company authorized by the laws of thisCommonwealth to transact business.

Note: Annual bond renewal must accompany each sales finance company license renewal application and be submitted to the Department no later than September 15 of each year.

For additional information on the bonding requirement, please refer to § 6213 of the Consumer Credit Code. Initial license and license renewal fees

An initial licensing fee of $500 for the official place of business must accompany the Sales Finance application for licensure. Checks or money orders should be made payable to the Pennsylvania Department of Banking and Securities.

§ 6214(b). No abatement in the amount of the license fee shall be made if the license is:(1) Issued for less than one year; or(2) Surrendered, cancelled or revoked prior to the expiration of the license period for which the

license was issued.

Sales Finance licenses must be renewed yearly by October 1. An annual renewal fee of $350 and ten thousand ($10,000) surety bond, as prescribed in § 6213 of the Consumer Credit Code, must accompany the renewal application for each official place of business. The annual renewal fee of $350 will be due on or before September 15.

Entire Consumer Credit Code along with other laws and regulations apply

The above is a representation of a few provisions of the Consumer Credit Code, however the entire Consumer Credit Code applies. As such, it is paramount that you read and understand the entire Consumer Credit Code as you must comply with all provisions when conducting business. In addition, there are several PA and Federal Laws and regulations which may apply to your business. It is recommended that you contact an attorney, industry trade group or association, consultant, etc. so that you fully recognize and comprehend the many laws and regulations which impact your operations.

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SALES FINANCE COMPANY APPLICATION

Part 2

For Official Use Only License #

1. Please indicate name of business and how it is structured.

How is business organized?

Name of entity:

D/B/A [if applicable]:

Federal ID Number:

Attach Articles of Incorporation, if a foreign corporation, Foreign Registration Statement to do business in Pennsylvania, or a copy of the Operating Agreement, By-Laws, etc., evidence of registry with the Pennsylvania Department of State, if required [if not required, state reason below] and, if applicable, a copy of the fictitious name registration. Please provide legal opinion if claiming exemption

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Web address must be registered with the Pennsylvania Department of State if it is significantly different from the licensed name or the licensed name is not prominently displayed on the home page.

List all types of business offered on your website:

Explain how business will be conducted via the internet (if applicable):

2. List complete address(es) where business will be conducted.

OFFICIAL LOCATIONS ($500 LICENSING FEE MUST ACCOMPANY APPLICATION):

Street Address:

Zip:

Suite or Room #

State:

Branch Manager:

Fax Number:

City:

County:

Telephone Number:

If any of the following are not applicable, please indicate N/A

Company email address:Company web address:

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A. List full name, corporate or official title in the business, date of birth, social security number, residence address, residencetelephone number, cell phone number and email address of each officer, direct owner, director, partner or members andany managers of the proposed licensed business.. Attach additional sheets if necessary.

Attach additional sheets if necessary

Full Name: Title:

Social Security Number: Date of Birth:

Home Address:

3. Information about officers, directors, owners, partners or members and any managers of the entity.

Home Phone: Cell Phone: Email Address:

Full Name: Title:

Social Security Number: Date of Birth:

Home Address:

Home Phone: Cell Phone: Email Address:

Full Name: Title:

Social Security Number: Date of Birth:

Home Address:

Home Phone: Cell Phone: Email Address:

Full Name: Title:

Social Security Number: Date of Birth:

Home Address:

Home Phone: Cell Phone: Email Address:

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B. Have any of the officers, directors, and/or direct owners ever been involved with an entity that has been licensed or is currentlylicensed by the Department:

List the individual's name, the type of license(s), license number, and the name, city and county of the licensed business(es). If none, please place a check mark in designated location.

License Number:

County:

License Number:

County:

License Number:

County:

License Number:

None

Individual Name:

Type of License:

Business Name:

City:

Individual Name:

Type of License:

Business Name:

City:

Individual Name:

Type of License:

Business Name:

City:

Individual Name:

Type of License:

Business Name:

City:

Individual Name:

Type of License:

Business Name:

City:

County:

License Number:

County:

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4. Please complete the following information to identify the person(s) the Department should contact to addresslicensing, consumer complaint, billing, compliance and examination concerns.

A. Licensing Contact:

Title:

State: Zip:

Office Fax:

Full Name:

Address:

City:

Office Phone:

B. Consumer Complaint Contact:

Title:

State: Zip:

Office Fax:

Full Name:

Address:

City:

Office Phone:

C. Billing Contact:

Title:

State: Zip:

Office Fax:

Full Name:

Address:

City:

Office Phone:

D. Compliance Contact:

Title:

State: Zip:

Office Fax:

Full Name:

Address:

City:

Office Phone:

E. Examination Contact:

Full Name: Title:

Address:

City: State: Zip:

Office Phone: Office Fax:

Email Address:

Email Address:

Email Address:

Email Address:

Email Address:

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5. Have any officers, directors, owners, partners or members and any managers identified on this application ever beenconvicted of, pled guilty to, or pled nolo contendere (no contest) or given a diversionary sentence in lieu of conviction toany felony in this Commonwealth or anywhere else? Section 6217(a)(3) of the Consumer Credit Code.

No Yes

If yes, please provide a detailed explanation of the circumstances.

6. The Department of Banking and Securities requires all applicants to provide both National Criminal History RecordInformation (fingerprint cards) and Pennsylvania Criminal Record Checks for all officers, directors, owners, partners ormembers and any managers as per Section 6217(a)(3) of the Consumer Credit Code. Instructions for completing allrequired criminal history checks (PATCH and IdentoGo) and can be found at the end of the application.

7. Within the past ten (10) years, has the applicant or applicant’s affiliate, owner, partner, member, officer, director,employee or agent pleaded guilty to, entered a plea of nolo contender (no contest) to or been convicted of a violation underSection 6271 {relating to operating without a license} or subsection A of section 37 of the former act known as the MotorVehicle Sales Finance Act? Section 6217(b)(2) of the Consumer Credit Code.

No Yes

If yes, please provide a detailed explanation of the circumstances:

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8. Designate Pennsylvania agent for service of process [for foreign entities only]

The applicant corporation, in pursuance of action taken at a regular meeting of the Board of Directors of said corporation does hereby appoint:

Full Name:

Address:

Telephone Number:

its true and lawful attorney and authorized agent upon whom all lawful process in any proceeding against it may be served and agrees that service of process on its attorney or agent herein named shall be of the same legal force and validity as if served upon it, the said corporation, and the authority for such service of process shall continue in force as long as any liability remains outstanding against it in the Commonwealth of Pennsylvania.

In the case of death, removal from the Commonwealth of Pennsylvania, or any legal disability or disqualification of its attorney or agent herein named, the said corporation does hereby appoint the Secretary of Banking and Securities of the Commonwealth of Pennsylvania, and successor in office, to be its true and lawful attorney and authorized agent upon whom all lawful process in any proceeding against it may be served and agrees that service of process on the Secretary of Banking and Securities shall be of the same legal force and validity as if served upon it, the said corporation, and the authority for such service of process shall continue in force as long as any liability remains outstanding against it in the Commonwealth of Pennsylvania.

9. Assurance of reimbursement for examination/investigation expenses incurred by the Pennsylvania Department ofBanking and Securities. (For Foreign Entities Only)

Approval of an application for licensure made of a Sales Finance company office located outside of the Commonwealth of Pennsylvania is contingent upon the applicant’s assurance that ALL expenses for an examination/investigation incurred by the Department of Banking and Securities will be reimbursed by the applicant. A signature by the owner or an officer of the entity in the designated space below acknowledges your acceptance of all expenses incurred by the Department for any required examination/investigation

Name: Title:

Signature: Date:

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I understand by submitting this Sales Finance Company Application:

I am agreeing to be bound by the following declaration: "I declare that all of my answers on this License Application are complete, true and correct. I make this declaration subject to the penalties of 18 PA.C.S. § 4904 relating to unsworn falsification to authorities."

I attest that I have read and understand the following (click each for link):

1.) Consumer Credit Code

2.) Motor Vehicle FAQs

3.) Motor Vehicle Sales Finance Examination Guide

Authorization/Affirmation

Owner, Officer or Partner

Name: Title:Signature:

Name: Title:Signature:

Name: Title:Signature:

Name: Title:Signature:

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Date:

Have you….

Answered all questions or indicated N/A? Checked answers for accuracy? Authorized/Affirmed the application? Attached a copy of the Articles of Incorporation, Operating Agreement and/or Foreign Registration Statement? Attached a copy of the approved fictitious name registration if applicable? Completed all criminal record checks? Made and retained a copy of the entire application for your records? Enclosed a check for the appropriate amount?

PENNSYLVANIA DEPARTMENT OF BANKING AND SECURITIES NON-DEPOSITORY LICENSING OFFICE 17 N 2ND ST, STE 1300 HARRISBURG, PA 17101-2290

10. Please review before mailing this application.

11. Please mail completed original application to:

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The Pennsylvania Department of Banking and Securities (“the Department”) regulates the financial service industry in Pennsylvania and requires license applicant(s) to complete a Pennsylvania State Police criminal background history check and an FBI Fingerprint Check when applying for licensure.

Please review the following requirements and conditions for the Pennsylvania Check:

1. Each applicant or control person listed on the license application must complete an online criminalbackground history check using the Pennsylvania Access to Criminal History (PATCH) located athttps://epatch.state.pa.us All criminal history background checks must be completed within 30 days ofsubmission of the application.

2. Cost of the online criminal background history check is $8.00 for each request and is payable throughPATCH by credit card.

3. Please select Company Request under Requestor Details

4. When completing the application, the “Personal Information” section of the PATCH application mustcontain identifying information for the Department to ensure the results of the criminal background historycheck are forwarded directly to this Department. Results of the criminal background history checkwill not be accepted directly from the applicant and will only be accepted from PATCH. Below isthe information that must be entered in the “Company Details” section of the PATCH application:

Reason for Request: EmploymentCompany Name: PADOBSCompany Address Line 1: Market Square PlazaCompany Address Line 2: 17 N 2nd St, Ste 1300City: Harrisburg State: PA Zip: 17101 Phone Number: (717) 787-3717

Below is the information that must be entered in the “Company Contact Details” section of the PATCH application:

First Name: NonDepository Last Name: Licensing Email Address: ra-asklicensing@pa.gov

After completing the “Personal Information” section of the PATCH application, navigate to the “Record Check Request Form” section of the application and enter the information of the applicant or control person. Although not required by PATCH, it is a requirement of the Department to provide your Social Security number in the “Record Check Request Form” section of the application.

5. After making payment for the criminal background history check, you will be provided with a “RequestResults” page which must be provided to the Department in order to verify the background historycheck was completed and to track the results of any “No Record” responses. Print the “RequestResults” page and send it with the other state specific information. The “Request Results” page willcontain your First and Last name as you typed them into the system, the date that you submitted therequest and a control number

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In addition to the Pennsylvania State Police criminal background history check, all applicants are also subject to a search of the national criminal history database via an FBI Fingerprint Check.

Please review the following requirements and conditions for the FBI Fingerprint Check:

ALL CRIMINAL HISTORY REQUESTS MUST BE DATED WITHIN 30 DAYS OF SUBMISSION OF THE APPLICATION

Available to Pennsylvania residents and those working in the Commonwealth of Pennsylvania:

To Schedule your ten-minute fingerprint appointment, simply click on the link associated with yourlicense type below:

Collector Repossessor Consumer Discount Company

Installment Seller Sales Finance Company

PLEASE BRING ONE OF THE IDENTIFICATION DOCUMENTS FROM THE LIST BELOW TO YOUR ENROLLMENT

APPOINTMENT:

Driver's License issued by a State or outlying possession of the U.S.

Driver's License PERMIT issued by a State or outlying possession of the U.S.

ID card issued by a federal, state, or local government agency or by a Territory of the United States

State ID Card (or outlying possession of the U.S.) with a seal or logo from State or State Agency

Commercial Driver's License issued by a State or outlying possession of the U.S.

Canadian Driver's License

Department of Defense Common Access Card

Employment Authorization Card/ Document (I-766) with Photo

Foreign Driver's License (Mexico and Canada only)

Foreign passport

Military Dependent's Identification Card

Permanent Resident Card or Alien Registration Receipt Card (Form I-551)

U.S. Coastguard Merchant Mariner Card

U.S. Military Identification Card

U.S. Passport

Enhanced Tribal Identification Card (for federally recognized U.S. tribes)

U.S. Visa issued by the U.S. Department of Consular Affairs for travel to or within, or residence within, the United States

Uniformed Services Identification Card (Form DD-1172-2)

IdentoGO locations are updated regularly.

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For all other applicants residing or working in states other than Pennsylvania a fingerprint card must be submitted by mail to IdentoGO

Non-Resident Cardscan Universal Enrollment Platform Processing Overview

Cardscan processing is available for those applicants residing outside of Pennsylvania and/or Pennsylvania residents physically unable to visit an IdentoGO location. To complete the process, applicants must complete the following steps.

1. Obtain fingerprints on FBI (FD-258) fingerprint card and complete personal information fields onfingerprint card.

2. Click on the link associated with your license type on the previous page.3. Click on the ‘Submit A Fingerprint Card by Mail’ link and complete the pre-enrollment information

necessary to submit a fingerprint card enrollment by mail. All processing fees will be collected during thepre-enrollment process. A pre-enrollment confirmation page will be provided once registration iscomplete.

4. Print and sign the completed pre-enrollment confirmation page, which includes the barcode printed onthe top right of the page. Mail the signed pre-enrollment confirmation page and the completed fingerprintcard to IdentoGO using the mailing address provided during this pre-enrollment process.

DO NOT MAIL THE COMPLETED FBI CARD TO THE DEPARTMENT OF BANKING AND SECURITIES

Third Party Investigatory Background Checks: Each control person (including the qualifying individual) who does not or has not resided in the US for at least 5 years must provide an investigative background report. The report must be prepared by an acceptable search firm and submitted directly to the Department in addition to other background information required in the application. At a minimum, the report must contain the following:

A comprehensive credit report/history

Civil court and bankruptcy court records for the past 5 years, including a search of the court data in thecountry(ies), states, towns where the individual resided and worked and in contiguous areas

Criminal records for the past 5 years, including felonies, misdemeanors and violations including a searchof court data in the countries, states, towns where the individual resided and worked and in contiguousareas.

Results of the background checks are not mailed to applicants. If there is a problem with the results of your background check you will be notified.

Applicant Notification and Record Challenge: Your fingerprints will be used to check the criminal history records of the FBI. You have the opportunity to complete or challenge the accuracy of the information contained in the FBI identification record. The procedure for obtaining a change, correction, or updating the FBI identification record are set for the in Title 28, CFR, 16.34.

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Sales Finance Company Bond

1 of 4

MARKET SQUARE PLAZA | 17 N SECOND STREET, Suite 1300 | HARRISBURG, PA 17101

Ph 717.787.3717 Fx 717.787.8773 W www.dobs.pa.gov

Bond No.

SALES FINANCE COMPANY BOND

WHEREAS, Department means the Department of Banking and Securities of the

Commonwealth of Pennsylvania located at 17 N. 2nd Street, Suite 1300, Harrisburg, Pennsylvania

17101, and

WHEREAS, Principal means , (Name of Sales Finance Company)

with its principal place of business at (Principal’s Address)

and phone number of . (Principal’s Phone Number)

WHEREAS, Surety means , (Name of Surety Company)

incorporated under the laws of the State of , (State of Surety Company’s Incorporation)

with its principal place of business at (Surety’s Address)

and phone number of . (Surety’s Phone Number)

WHEREAS, Surety is licensed to do business in the Commonwealth of Pennsylvania, and

is approved by the Secretary of Banking and Securities of the Commonwealth of Pennsylvania

(“Secretary”) as an acceptable Surety, and

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Sales Finance Company Bond

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WHEREAS, reference is made herein to the “Consumer Credit Code” related to motor

vehicle sales finance (12 Pa. C. S. §6201, et. seq.), and

WHEREAS, Principal has applied to the Department for a license under the provisions of

the Consumer Credit Code (“Code”), and

WHEREAS, the granting of the license by the Department to Principal is conditioned upon

Principal obtaining a bond in the amount of ten thousand dollars ($10,000), and

NOW THEREFORE, KNOW ALL MEN BY THESE PRESENTS that Principal and

Surety, are held and firmly bound unto the Commonwealth of Pennsylvania in the just and full

sum of ten thousand dollars ($10,000) to the payment whereof, well and truly to be made, we bind

ourselves, and our heirs, executors, administrators, successors and assigns, jointly and severally

firmly by these presents:

1. Condition of the Obligation. If Principal shall faithfully:

a. comply with and abide by the provisions of the Code; and

b. comply with and abide by all the rules and regulations of the Department of

Banking issued in accordance with the Code; and

c. pay any moneys due to the Commonwealth, the Department, or any person

or persons who were residents of the Commonwealth at the time the cause

of actions arose, any and all monies due under the provisions of this Code,

then this obligation shall be null and void, otherwise to be and remain in full force and effect.

2. Effective Date. The effective date of this bond is set forth below.

3. Duration of Bond. This bond shall continue in full force and effect indefinitely,

subject, however, to cancellation.

4. Cancellation. Surety may elect to cancel this bond at any time by filing with the

Secretary a thirty (30) day written notice of such cancellation. The bond cancellation shall be

effective on the thirtieth (30th) day after the filing of the written notice of cancellation. Surety shall

remain liable for all transactions associated with the loaning of money at interest by Principal

during the term of this bond until the effective date of the cancellation.

5. Surety’s Liability. Regardless of the number of years this bond remains in force,

the aggregate liability of Surety for any and all claims or judgments to one or more claimants in

no event shall exceed the full penal sum.

6. Default. Upon the happening of any default of the conditions and obligations

assumed under this bond and the declaration of a default by the Secretary, or his designee, the

Secretary, or his designee, shall notify the Principal and Surety of such default. Said Surety shall

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Sales Finance Company Bond

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pay the amount claimed within 30 days of the date of notice. If the Surety does not pay the amount

claimed within 30 days after the notice of default, Principal and Surety hereby authorize and

empower any attorney of record in Pennsylvania or elsewhere to appear for them, or either of them,

and after one or more declarations filed to confess judgment against them in favor of the

Commonwealth, to its use or the use of its certain attorney or assigns, for an amount up to the

penal sum of the bond, together with costs of suit and five percentum, added as attorney fee, and

they do further release all errors, and waive the right of exemption, and stay of execution and

authorize the levy of their monies.

7. Events Not Affecting Bond Liability. This bond shall not be discharged by:

a. the recovery of any specific amount of charges for examination, damages,

costs, judgments, fines or penalties obtained in any specific action. The

bond shall be in full force and effect until the full amount of the bond of ten

thousand dollars ($10,000) shall have been paid by reason of any number

of charges for examination, damages, costs, judgments, fines or penalties to

which the Principal may have become subjected; or

b. sums due, where the right to which sums did not arise during the license

year for which the license found on the application which this bond

accompanied was granted.

8. Department Remedies. Nothing herein shall limit the Department from seeking

any remedy, in addition to the forfeiture of this bond, which may be authorized or provided under

any law.

9. Remedies. If any person shall be aggrieved by the misconduct of a licensee and

shall recover judgment against such licensee, such person may, on any execution issued under such

judgment, maintain an action upon the bond of the licensee in any court having jurisdiction of the

amount claimed provided the Department assents thereto.

10. Disclosure. Principal and Surety agree that the Department may publish, divulge

or otherwise disclose to any person or government entity this bond, the contents of this bond, and

any information or material related to this bond. The information which may be disclosed includes,

but is not limited to, pleadings, other submissions and orders related to any administrative

proceedings, when such publication divulgement or disclosure is related to an administrative,

judicial or other legal proceeding concerning this bond.

11. Headings. The headings used herein are for descriptive purposes only and have no

legal force or effect.

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Sales Finance Company Bond

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IN WITNESS WHEREOF, Principal and Surety have set their hand, intending to be legally

bound as of the day of , 20 (“Effective Date”).

PRINCIPAL:

(Print Principal Name)

Signed this day of , 20 .

By:

(Signature)

(Title: i.e. Attorney in Fact)

ATTEST OR WITNESS:

(Where Required)

SURETY:

(Print Surety Name)

Signed this day of , 20 .

By:

(Signature)

(Title: i.e. Attorney in Fact)

ATTEST OR WITNESS:

(Where Required)

Approved as to legality and form:

PRE-APPROVED OAG 10/27/14

/Robert A. Mulle/

Office of Attorney General

PRE-APPROVED OGC 9/5/14

/Shawn E. Smith/

Office of General Counsel

Form No. 3-FA-12.1

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Sales Finance Company Bond – Pennsylvania Financial Institution

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MARKET SQUARE PLAZA | 17 N SECOND STREET, Suite 1300 | HARRISBURG, PA 17101

Ph 717.787.3717 Fx 717.787.8773 W www.dobs.pa.gov

Bond No.

SALES FINANCE COMPANY BOND – PENNSYLVANIA FINANCIAL INSTITUTION

WHEREAS, Department means the Department of Banking and Securities of the

Commonwealth of Pennsylvania located at 17 N. 2nd Street, Suite 1300, Harrisburg, Pennsylvania

17101, and

WHEREAS, Principal means , (Name of Pennsylvania Financial Institution)

with its principal place of business at (Principal’s Address)

and phone number of . (Principal’s Phone Number)

WHEREAS, reference is made herein to the “Consumer Credit Code” related to motor

vehicle sales finance (12 Pa. C. S. §6201, et. seq.), and

WHEREAS, Principal, is a financial institution incorporated under the laws of the

Commonwealth of Pennsylvania, incorporated under the laws of the United States and authorized

to execute bonds of suretyship in the Commonwealth of Pennsylvania on its own behalf under the

provisions of the Consumer Credit Code (“Code”), and

WHEREAS, Principal has applied to the Department for a license under the provisions of

the Code, and

WHEREAS, the granting of the license by the Department to Principal is conditioned upon

Principal obtaining a bond in the amount of ten thousand dollars ($10,000), and

NOW THEREFORE, KNOW ALL MEN BY THESE PRESENTS that Principal and is

held and firmly bound unto the Commonwealth of Pennsylvania in the just and full sum of ten

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thousand dollars ($10,000) to the payment whereof, well and truly to be made, we bind ourselves,

and our heirs, executors, administrators, successors and assigns, jointly and severally firmly by

these presents:

1. Condition of the Obligation. If Principal shall faithfully:

a. comply with and abide by the provisions of the Code; and

b. comply with and abide by all the rules and regulations of the Department

issued in accordance with the Code; and

c. pay any moneys due to the Commonwealth, the Department, or any person

or persons who were residents of the Commonwealth at the time the cause

of actions arose, any and all moneys due under the provisions of this Code,

then this obligation shall be null and void, otherwise to be and remain in full force and effect.

2. Effective Date. The effective date of this bond is set forth below.

3. Duration of Bond. This bond shall continue in full force and effect indefinitely,

subject, however, to cancellation.

4. Cancellation. Principal may elect to cancel this bond at any time by filing with the

Secretary of Banking and Securities of the Commonwealth of Pennsylvania (“Secretary”) a thirty

(30) day written notice of such cancellation. The bond cancellation shall be effective on the

thirtieth (30th) day after the filing of the written notice of cancellation. Principal shall remain liable

for all transactions associated with the loaning of money at interest by Principal during the term

of this bond until the effective date of the cancellation.

5. Principal’s Liability. Regardless of the number of years this bond remains in

force, the aggregate liability of Principal for any and all claims or judgments to one or more

claimants in no event shall exceed the full penal sum.

6. Default. Upon the happening of any default of the conditions and obligations

assumed under this bond and the declaration of a default by the Secretary, or his designee, the

Secretary, or his designee, shall notify the Principal and Surety of such default. Said Surety shall

pay the amount claimed within 30 days of the date of notice. If the Surety does not pay the amount

claimed within 30 days after the notice of default, Principal and Surety hereby authorize and

empower any attorney of record in Pennsylvania or elsewhere to appear for them, or either of them,

and after one or more declarations filed to confess judgment against them in favor of the

Commonwealth, to its use or the use of its certain attorney or assigns, for an amount up to the

penal sum of the bond, together with costs of suit and five percentum, added as attorney fee, and

they do further release all errors, and waive the right of exemption, and stay of execution and

authorize the levy of their monies.

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7. Events Not Affecting Bond Liability. This bond shall not be discharged by:

a. the recovery of any specific amount of charges for examination, damages,

costs, judgments, fines or penalties obtained in any specific action. The

bond shall be in full force and effect until the full amount of the bond of ten

thousand dollars ($10,000) shall have been paid by reason of any number

of charges for examination, damages, costs, judgments, fines or penalties to

which the Principal may have become subjected; or

b. sums due, where the right to which sums did not arise during the license

year for which the license found on the application which this bond

accompanied was granted.

8. Department Remedies. Nothing herein shall limit the Department from seeking

any remedy, in addition to the forfeiture of this bond, which may be authorized or provided under

any law.

9. Remedies. If any person shall be aggrieved by the misconduct of a licensee and

shall recover judgment against such licensee, such person may, on any execution issued under such

judgment, maintain an action upon the bond of the licensee in any court having jurisdiction of the

amount claimed provided the Department assents thereto.

10. Disclosure. Principal agrees that the Department may publish, divulge or otherwise

disclose to any person or government entity this bond, the contents of this bond, and any

information or material related to this bond. The information which may be disclosed includes,

but is not limited to, pleadings, other submissions and orders related to any administrative

proceedings, when such publication divulgement or disclosure is related to an administrative,

judicial or other legal proceeding concerning this bond.

11. Headings. The headings used herein are for descriptive purposes only and have no

legal force or effect.

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IN WITNESS WHEREOF, Principal has set its hand, intending to be legally bound as of

the day of , 20 (“Effective Date”).

PRINCIPAL:

(Print Principal Name)

Signed this day of , 20 .

By: (Signature)

(Title: i.e. Attorney in Fact)

ATTEST OR WITNESS:

(Where Required)

Approved as to legality and form:

PRE-APPROVED OAG 6/21/16

/David E. Stover/ Office of Attorney General

PRE-APPROVED OGC 6/3/16

/Tyrone A. Powell/ Office of General Counsel

Form No. 3-FA-13.2

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