15-61 - Consumer Finance Charges

15-61. Consumer Finance Charges

A. Maximum Charges Permitted (Initial Charge): [Section 34-29-140(a)]

*PRIOR CASH ADVANCE

*NEW CASH ADVANCE

REFINANCING PERIOD

MAXIMUM INITIAL CHARGE ALLOWED

*1.

$1,000 or less

$1,000 or less

Within 3 months

6% of the excess of the new cash advance over the prior cash advance. Provided, however, the aggregate of all initial charges received within the first 3 months of the original loan, regardless of the number of renewals, shall not exceed 6% of the highest cash advance within such 3 months period or $18.00, whichever is less.

2.

$1,000 or less

$1,000 or less

After 3 months

6% of New Cash Advance or $18.00 whichever is less.

*3.

$1,000 or less

In excess of $1,000

Within 3 months

5% of excess of the New Cash Advance over prior cash advance or $200.00, whichever is less.

4.

$1,000, or less

In excess of $1,000.00

After 3 months

5% of New Cash Advance or $200.00 whichever is less.

*5.

In excess of $1,000

In excess of $1,000

Within 12 months

5% of excess of the New Cash Advance over the prior cash advance. Provided, however, the aggregate of all initial charges received within the first 12 months of the original loan,

           

regardless of the number of renewals, shall not exceed 5% of the highest cash advance within such 12 months period or $200.00 whichever is less.

*6.

In excess of $1,000

In excess of $1,000

After 12 months from inception date of original loan.

2% of the New Cash Advance. (See Footnote 1)

7.

In excess of $1,000

$1,000 or less

Within 12 months

None.

8.

In excess of $1,000

$1,000 or less

After 12 months

6% of New Cash Advance or $18.00, whichever is less.

B. Definitions:

1. "New Cash Advance" shall mean the cash actually given the borrower or paid out at his direction or on his behalf, including the unpaid balance of the refinanced loan accompanying a renewed contract.

2. "Prior Cash Advance" shall mean the next preceding cash advance.

3. "Renewal Loan" shall mean carrying forward an old obligation by virtue of a new paper, whether or not a new cash advance is made.

4. The applicable rate for determining the initial charge for a cash advance is that rate specified for the class of loans in which the new cash advance falls.

5. "Refinancing period" shall mean that period stated in the provisions for the class of loan in which the prior cash advance fell.

The following state regulations pages link to this page.