Title 14A, Title 14A — Consumer Credit Code

This act shall be known and may be cited as Uniform Consumer Credit Code. Added by Laws 1969, c. 352, § 1-101, eff. July 1, 1969.

(1) This act shall be liberally construed and applied to promote its underlying purposes and policies. (2) The underlying purposes and policies of this act are (a) to simplify, clarify and modernize the law governing retail installment sales, consumer credit, small loans and usur…

Unless displaced by the particular provisions of this act, the Uniform Commercial Code and the principles of law and equity, including the law relative to capacity to contract, principal and agent, estoppel, fraud, misrepresentation, duress, coercion, mistake, bankruptcy, or othe…

This act being a general act intended as a unified coverage of its subject matter, no part of it shall be deemed to be impliedly repealed by subsequent legislation if such construction can reasonably be avoided. Added by Laws 1969, c. 352, § 1-104, eff. July 1, 1969.

(1) From time to time the dollar amounts in paragraphs (a), (b) and (c) of subsection (2) of Section 2-201, paragraph (a) of subsection (1) of Section 2-203, subsection (1) of Section 2-407, Section 2-413, paragraph (b) of subsection (1) of Section 3-203, Section 3-203.1, subsect…

claims. (1) Except as otherwise provided in this act, a buyer, lessee or debtor may not waive or agree to forego rights or benefits under this act. (2) A claim by a buyer, lessee, or debtor against a creditor for an excess charge, other violation of this act, or civil penalty, or…

(1) This act prescribes maximum charges for all creditors, except lessors and those excluded (Section 1-202), extending consumer credit including consumer credit sales (Section 2-104), consumer loans (Section 3-104), and consumer related sales and loans (Section 2-602 and Section…

or marital status prohibited. (1) With respect to a "Consumer Credit Sale", "Consumer Lease", or "Consumer Loan", no creditor shall limit or refuse to extend credit solely on the basis of the sex or marital status of the consumer. (2) The provisions of this section shall be enfor…

With respect to a credit card which may be used for extensions of credit in sales transactions in which the seller is a person other than the card issuer, the card issuer may not, by contract or otherwise, prohibit any such seller from offering a discount to a cardholder to induc…

Amendments to this title for purposes of complying with the Federal Consumer Credit Protection Act shall be located in Article 3 of this title. Added by Laws 2013, c. 99, § 1, eff. July 1, 2013.

(1) Except as otherwise provided in this section, the Uniform Consumer Credit Code applies to sales, leases, and loans made in this state and to modifications, including refinancings, consolidations, and deferrals, made in this state, of sales, leases, and loans, wherever made. F…

With respect to a consumer credit sale or consumer loan to which this Code does not otherwise apply by reason of Section 1-201, if, pursuant to a solicitation relating to a consumer credit sale or loan received in this state, a person who is a resident of this state sends a signe…

This act does not apply to (1) Extensions of credit to government or governmental agencies or instrumentalities; (2) The sale of insurance by an insurer, except as otherwise provided in the article on insurance (Article 4); (3) Transactions under public utility or common carrier …

In addition to definitions appearing in subsequent articles, in this title: (1) "Actuarial Method" means the method, defined by rules adopted by the Administrator, of allocating payments made on a debt between principal or amount financed and loan finance charge or credit service…

In this title, "Federal Consumer Credit Protection Act" means the Consumer Credit Protection Act (Public Law 90-321; 82 Stat. 146), as amended, including the amendments to the Federal Consumer Credit Protection Act in the Truth in Lending Simplification and Reform Act (Public Law…

Definitions in this title and the sections in which they appear are: “Actuarial method” - Section 1-301(1) “Administrator” - Section 1-301(2) “Administrator” - Section 6-103 “Agreement” - Section 1-301(3) “Agricultural purpose” - Section 1-301(4) “Amount financed” - Section 2-111…

This article shall be known and may be cited as Uniform Consumer Credit Code - Credit Sales. Added by Laws 1969, c. 352, § 2-101, eff. July 1, 1969.

This article applies to consumer credit sales, including home solicitation sales, and consumer leases. Added by Laws 1969, c. 352, § 2-102, eff. July 1, 1969. Amended by Laws 1982, c. 335, § 5, operative June 1, 1982.

The following definitions apply to this act and appear in this article as follows: "Amount financed" - Section 2-111 "Annual percentage rate" - Section 2-304(2) "Cash price" - Section 2-110 "Consumer credit sale" - Section 2-104 "Consumer lease" - Section 2-106 "Corresponding nom…

(1) Except as provided in subsection (2), "consumer credit sale" is a sale of goods, services or an interest in land in which (a) credit is granted by a person who regularly engages as a seller in credit transactions of the same kind; (b) the buyer is a person other than an organ…

"Services"; "Sale of goods"; "Sale of services"; "Sale of an interest in land"; "Precomputed". (1) "Goods" includes goods not in existence at the time the transaction is entered into and merchandise certificates, but excludes money, chattel paper, documents of title, and instrume…

(1) "Consumer lease" means a lease of goods (a) which a lessor regularly engaged in the business of leasing makes to a person, other than an organization, who takes under the lease primarily for a personal, family or household purpose; (b) in which the amount payable under the le…

Except as otherwise provided, "seller" includes an assignee of the seller's right to payment but use of the term does not in itself impose on an assignee any obligation of the seller with respect to events occurring before the assignment. Added by Laws 1969, c. 352, § 2-107, eff.…

"Revolving charge account" means an open end credit plan between a seller and a buyer under (1) which the seller reasonably contemplates repeated transactions, which prescribes the terms of such transactions, and pursuant to which the seller will permit the buyer to purchase good…

"Credit service charge" means a finance charge composed of the sum of (1) all charges payable directly or indirectly by the buyer and imposed directly or indirectly by the seller as an incident to the extension of credit, including any of the following types of charges which are …

Except as the Administrator may otherwise prescribe by rule, the "cash price" of goods, services, or an interest in land means the price at which the goods, services, or interest in land are offered for sale by the seller to cash buyers in the ordinary course of business, and may…

"Amount financed" means the total of the following items to the extent that payment is deferred: (1) the cash price of the goods, services, or interest in land, less the amount of any down payment whether made in cash or in property traded in; (2) the amount actually paid or to b…

vehicles. A seller in a consumer credit sale of a motor vehicle may secure the debt arising from the sale by contracting for a security interest in any other motor vehicle used for the purpose of transportation of persons or property, as well as the motor vehicle which is the sub…

than revolving charge accounts. (1) With respect to a consumer credit sale, other than a sale pursuant to a revolving charge account, a seller may contract for and receive a credit service charge not exceeding that permitted by this section. (2) The credit service charge, calcula…

(1) In addition to the credit service charge permitted by this part, a seller may contract for and receive the following additional charges in connection with a consumer credit sale: (a) official fees that are itemized and disclosed in accordance with rules of the Administrator, …

withdrawal or share draft - fee. The seller may charge and collect from the buyer a fee for each return by a bank or other depository institution of a dishonored check, negotiable order of withdrawal or share draft issued by the buyer in connection with a consumer credit sale. Th…

The seller on a revolving charge account accessed by a seller credit card or similar arrangement may contract for and collect from the buyer an over-the-limit charge of Ten Dollars ($10.00) for each time the buyer exceeds the designated credit limit on the amount. This charge sha…

(1) With respect to a consumer credit sale, refinancing, or consolidation, including a revolving charge account, the parties may contract for a delinquency charge on any installment not paid in full within ten (10) days after its scheduled due date as follows: (a) an amount, not …

(1) With respect to any consumer credit sale, refinancing or consolidation, the parties before or after default may agree in writing to a deferral of all or part of one or more unpaid installments. (2) With respect to a consumer credit sale, refinancing, or consolidation, which i…

With respect to a consumer credit sale, refinancing, or consolidation, the seller may by agreement with the buyer refinance the unpaid balance and may contract for and receive a credit service charge based on the amount financed resulting from the refinancing at a rate not exceed…

If a buyer owes an unpaid balance to a seller with respect to a consumer credit sale, refinancing, or consolidation, and becomes obligated on another consumer credit sale, refinancing, or consolidation, with the same seller, the parties may agree to a consolidation resulting in a…

(1) With respect to a consumer credit sale made pursuant to a revolving charge account, the parties to the sale may contract for the payment by the buyer of a credit service charge not exceeding that permitted in this section. (2) A charge may be made in each billing cycle which …

(1) If the agreement with respect to a consumer credit sale, refinancing, or consolidation contains covenants by the buyer to perform certain duties pertaining to insuring or preserving collateral and the seller pursuant to the agreement pays for performance of the duties on beha…

Subject to the provisions on rebate upon prepayment (Section 2- 210), the buyer may prepay in full the unpaid balance of a consumer credit sale, refinancing, or consolidation at any time without penalty. Added by Laws 1969, c. 352, § 2-209, eff. July 1, 1969.

(1) Except as provided in subsection (2), upon prepayment in full of the unpaid balance of a precomputed consumer credit sale, refinancing, or consolidation, an amount not less than the unearned portion of the credit service charge calculated according to this section shall be re…

means. A. With respect to all sales, service, and lease transactions including, but not limited to, any consumer credit sales transaction, a discount which a seller offers, allows, or otherwise makes available for the purpose of inducing payment by cash, check, debit card, or sim…

(1) For purposes of this part, this part covers and consumer credit sale includes the sale of an interest in land without regard to the rate of the credit service charge if the sale is otherwise a consumer credit sale as defined by Section 2-104 of this title; a sale of personal …

Effective July 1, 2014, the seller or lessor shall disclose to the buyer to whom credit is extended or lessee with respect to a consumer credit sale or consumer lease the information required by the Federal Consumer Credit Protection Act as defined in Section 1- 302 of Title 14A …

The disclosure of an amount or percentage which is greater than the amount or percentage required to be disclosed under this part does not in itself constitute a violation of this part if the overstatement is not materially misleading and is not used to avoid meaningful disclosur…

(1) Except as otherwise specifically provided, if a seller is required to give to a buyer a statement of the rate of the credit service charge he shall state the rate in terms of an annual percentage rate as defined in subsection (2) or in terms of a corresponding nominal annual …

(1) With respect to a consumer credit sale, other than a sale made pursuant to a revolving charge account, if the seller receives a purchase order or offer by mail or telephone without personal solicitation, the seller complies with this part if (a) he makes the disclosures at th…

account. (1) This section applies to a consumer credit sale not made pursuant to a revolving charge account (Section 2-310). (2) The seller shall give to the buyer the following information: (a) the identity of the seller required to make disclosure; (b) (i) the amount financed, …

(1) Except as rules adopted by the Administrator not inconsistent with the Federal Consumer Credit Protection Act may otherwise prescribe, if the seller refinances an existing balance owing with respect to a consumer credit sale, refinancing or consolidation pursuant to the provi…

If a seller expressly agrees in writing with a subsequent buyer to accept that buyer as a primary obligor on an existing transaction in which a mortgage, deed of trust, purchase money security interest arising under an installment sales contract, or equivalent consensual security…

(1) In the case of a transaction in which a mortgage, deed of trust, purchase money security interest arising under an installment sales contract, or equivalent consensual security interest is created or retained in the buyer's principal dwelling to finance the acquisition or ini…