Legal Definitions - consumer-credit sale

Definition: A consumer-credit sale is a type of sale where the seller extends credit to the consumer. It includes a lease where the rental payments equal or exceed the retail value of the item rented.

Examples: If you buy a car and the dealership allows you to make payments over time, that is a consumer-credit sale. If you rent a TV and the rental payments add up to more than the retail value of the TV, that is also a consumer-credit sale.

Explanation: In a consumer-credit sale, the seller is essentially loaning the consumer the money to make the purchase. The consumer agrees to make payments over time, usually with interest, until the full amount is paid off. This type of sale is common for big-ticket items like cars, furniture, and appliances.