Car Purchase Installment Agreement Template for Belgium

The Car Purchase Installment Agreement is essential for transactions where vehicles are purchased through structured payment plans in Belgium. This document serves as both a sales contract and a credit agreement, ensuring compliance with Belgian consumer protection laws, particularly the Consumer Credit Act and Book VI of the Code of Economic Law. It is typically used when customers wish to purchase vehicles but prefer to spread the cost over time through regular installment payments. The agreement covers crucial aspects such as vehicle specifications, payment terms, interest rates, ownership rights, and obligations of all parties involved. It must incorporate mandatory consumer protection provisions required by Belgian law and EU directives, including clear disclosure of the Annual Percentage Rate (APR) and total cost of credit. The document is designed to protect both the seller's interest in securing payment and the buyer's consumer rights under Belgian law.

1. Parties: Identification of the seller, financier (if different from seller), and purchaser, including full legal names, addresses, and registration numbers

2. Background: Context of the agreement, including the purchaser's intention to buy the vehicle through installment payments

3. Definitions: Definitions of key terms used throughout the agreement, including 'Vehicle', 'Purchase Price', 'Installments', 'APR', etc.

4. Vehicle Description: Detailed description of the vehicle including make, model, year, VIN, color, and current mileage

5. Purchase Price and Payment Terms: Total purchase price, down payment, installment amounts, payment schedule, and APR calculation as required by Belgian law

6. Delivery and Transfer of Ownership: Terms regarding vehicle delivery, transfer of title, and registration requirements under Belgian law

7. Seller's Representations and Warranties: Mandatory warranties and representations about the vehicle's condition and compliance with Belgian regulations

8. Purchaser's Obligations: Responsibilities including insurance, maintenance, and usage restrictions during the installment period

9. Default and Remedies: Consequences of payment default and other breaches, compliant with Belgian consumer protection laws

10. Insurance Requirements: Mandatory insurance coverage requirements and responsibilities for maintaining insurance

11. Termination: Conditions for early termination, including early repayment rights as per Belgian Consumer Credit Act

12. Governing Law and Jurisdiction: Specification of Belgian law as governing law and jurisdiction for disputes