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(5) In order to participate in a retail rate support
program, independent GM dealers had to elect to be in the
program.
(6) The retail rate support program required
participating independent GM dealers to charge the retail
customers an interest rate that was no higher than the
below-market interest rate offered under the retail rate
support program.
(7) GM (through its car divisions), GMAC, and the
independent GM dealers announced the retail rate support
program to the public.
Interest rates in a retail rate support program often varied
based on the term of the RISC. Generally, an RISC with a term of
49-to-60 months bore a higher interest rate than an RISC with a
term of 48 months or less.
3. Sale of a Car
When a participating independent GM dealer sold a qualifying
vehicle to a retail customer under a retail rate support program,
the customer could elect to make a cash downpayment and finance
the balance of the purchase price not paid in cash. The retail
customer satisfied the balance due by entering into an RISC with
the independent GM dealer at the below-market interest rate
established under the rate support program. The independent GM
dealer credited the face value of the RISC towards the retail
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