Md. Code Regs. 11.15.33.05

Current through Register Vol. 51, No. 25, December 13, 2024

Section 11.15.33.05 - Trade-in Allowance

A. A dealer determines the trade-in allowance that is deducted from the purchase price of another vehicle.

B. A trade-in allowance may not be divided or deducted from the purchase price of more than one vehicle.

C. Only one traded-in vehicle can be applied to a sales transaction for purposes of the trade-in allowance deduction.

D. A vehicle titled in Maryland or out-of-State may be used as a trade-in.

E. If the vehicle traded-in is subject to a lien, the owner or co-owners of the vehicle are entitled to the full trade-in allowance, as stated in §A of this regulation, and deducted from the total purchase price. The trade-in allowance is not limited to the amount of equity the owner has in the vehicle.

F. If the trade-in allowance exceeds the trade-in value indicated in a national publication of used car values adopted for use by the Administration, the dealer shall provide documentation that satisfies the Administration that the higher trade-in value is justified. Documentation includes:

(1) Evidence of the amount required to release the lien on the trade-in vehicle;

(2) Evidence of the vehicle customization that increases the vehicle value;

(3) A current valuation from an alternative national publication; or

(4) If the traded-in vehicle has already been sold, the actual resale price of the trade-in vehicle.

Md. Code Regs. 11.15.33.05

Regulation .05 amended effective 41:23 Md. R. 1374, eff.11/24/2014