Katapult's LTO program is subject to state LTO laws (including marketing and advertising specific regulations), which vary by state. Katapult also looks to other laws, where applicable, related to marketing and/or advertising its program.
Download our full legal guide and see the most relevant lease-to-own regulations in the table below.
While the below is not an exhaustive list of regulations that apply to Katapult or consumer lease-purchase agreements, these are the most relevant ones to consider when presenting and communicating financing options to your customers.
|State LTO and Deceptive Trade Practices Laws||Most state LTO statutes include advertising requirements, including trigger terms, which prompt specific disclosure requirements. Further, certain other state laws prohibit advertising that is deceptive and/or misleading in nature. Katapult works to ensure that the marketing and advertising of its LTO program complies with these laws|
|LTO is Separate and Distinct From Other Forms of Financing||Katapult's LTO program must not be presented as a credit sale, installment sale, traditional financing or credit, loan, buy now, pay later option, or any other form of credit or financing|
|Lease-to-own Transaction Provider||All advertisements and/or marketing materials for Katapult lease-to-own solutions must indicate that "Katapult" is the lease-to-own lessor or provider|
|CAN-SPAM||CAN-SPAM sets forth requirements for commercial email messages, including marketing and advertising materials sent, delivered or promoted via email message. Further, CAN-SPAM provides rules allowing consumers to request that they no longer wish to receive commercial email messages and penalties for not abiding with such requests.|
|Telephone Consumer Protection Act- "TCPA"||The TCPA regulates telephone calls, including text messages, utilizing an Automatic Telephone Dialing System ("ATDS") or a pre-recorded message. The TCPA requires prior written customer consent before advertising to that customer using an ATDS or a pre-recorded message. As with other Katapult-related marketing, retailers should not contact customers about Katapult's LTO program using an ATDS or pre-recorded message without first requesting consent from Katapult.|
Download the full legal guide.
Updated almost 2 years ago