Georgia § 10-1-42 - Advancement of money to satisfy lease, lien, or security interest in motor vehicle; inclusion in gross capitalized cost.
Full text of Georgia Official Code of Georgia Annotated § 10-1-42 — Advancement of money to satisfy lease, lien, or security interest in motor vehicle; inclusion in gross capitalized cost., with citation guidance and answers to common questions.
§ 10-1-42. Advancement of money to satisfy lease, lien, or security interest in motor vehicle; inclusion in gross capitalized cost.
A lessor or the entity which sells the motor vehicle to the lessor for lease to a lessee may advance money to a lessee or pay money to a third party on behalf of the lessee to satisfy a lease on or a lien on or a security interest in a motor vehicle used as a trade-in on a motor vehicle which is the subject of a motor vehicle lease contract. Any amount so advanced or paid may be included in the gross capitalized cost under the motor vehicle lease contract and shall not be considered a loan. Such advance and the seller or lessor making such advance or payment shall be exempt from the provisions of Chapter 3 of Title 7, relating to installment loans, from the provisions of Chapter 4 of Title 7, relating to interest and usury, and from any other provision of Georgia law regulating loans. (Code 1981, § 10-1-42 , enacted by Ga. L. 1999, p. 1229, § 4; Ga. L. 2020, p. 156, § 8/SB 462.) The 2020 amendment, effective June 30, 2020, substituted "installment loans" for "industrial loans" in the last sentence. See the Editor's notes for applicability. Editor's notes. - Ga. L. 2020, p. 156, § 10/SB 462, not codified by the General Assembly, provides that: "This Act shall apply to all installment loan agreements entered into on and after July 1, 2020."
Source: official Georgia text · Last verified 2026-08-27
Frequently Asked Questions About Georgia § 10-1-42
What does Official Code of Georgia Annotated § 10-1-42 cover?
Section 10-1-42 ("Advancement of money to satisfy lease, lien, or security interest in motor vehicle; inclusion in gross capitalized cost.") is part of the Official Code of Georgia Annotated, the codified statutory law of Georgia. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Georgia § 10-1-42?
A common citation format is "Official Code of Georgia Annotated § 10-1-42" (Georgia). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Georgia law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Georgia official source linked on this page or consult a licensed Georgia attorney.
How does Georgia § 10-1-42 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Georgia can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Georgia.