Bill Text: NC S829 | 2017-2018 | Regular Session | Amended
Bill Title: Retail Installment Sales Act Amendments
Spectrum: Bipartisan Bill
Status: (Introduced - Dead) 2018-12-04 - Ref To Com On Rules and Operations of the Senate [S829 Detail]
Download: North_Carolina-2017-S829-Amended.html
GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2017
S 1
SENATE BILL 829
|
Short Title: Retail Installment Sales Act Amendments. |
(Public) |
|
|
Sponsors: |
Senators D. Davis and Gunn (Primary Sponsors). |
|
|
Referred to: |
Rules and Operations of the Senate |
|
December 4, 2018
A BILL TO BE ENTITLED
AN ACT to amend the retail installment sales act.
The General Assembly of North Carolina enacts:
SECTION 1. G.S. 25A‑10 reads as rewritten:
"§ 25A‑10. "Official fees" defined.
"Official fees" means:
(1) Fees and charges
prescribed by law which actually are or will be paid to public officials or
any other person for determining the existence of or for perfecting,
releasing, or satisfying a security interest related to a consumer credit sale;
sale, including any lien notation fee; or
(2) Premiums payable for insurance in lieu of perfecting a security interest otherwise required by the seller in connection with a consumer credit sale if the premium does not exceed the fees or charges described in subdivision (1) of this section which would otherwise be payable."
SECTION 2. G.S. 25A‑15 reads as rewritten:
"§ 25A‑15. Finance charge rates for consumer credit installment sale contracts.
(a) With respect to a
consumer credit installment sale contract, a seller may contract for and
receive a finance charge not exceeding that permitted by this section. A
consumer credit installment sale contract may be either precomputed or interest‑bearing.
All balances due under a consumer credit installment sale contract from any
person as a buyer or as an endorser, guarantor, or surety for any buyer or
otherwise jointly or severally, shall be considered a part of the amount
financed with regard to the contract for the purpose of computing interest or
charges. For the purposes of this section, the finance charge rates are the
rates that are required to be disclosed by the Consumer Credit Protection Act.simple
interest rates.
(b) Except as hereinafter provided, the finance charge rate for a consumer credit installment sales contract may not exceed:
(1) Twenty‑four percent
(24%) per annum where the amount financed is less than one thousand five
hundred dollars ($1,500);three thousand five hundred dollars ($3,500);
(2) Twenty‑two percent
(22%) per annum where the amount financed is one thousand five hundred
dollars ($1,500) three thousand five hundred dollars ($3,500) or
greater, but less than two thousand dollars ($2,000);five thousand
dollars ($5,000);
(3) Twenty percent (20%)
where the amount financed is two thousand ($2,000) five thousand
dollars ($5,000) or greater, but less than three thousand dollars
($3,000);seven thousand five hundred dollars ($7,500);
(4) Eighteen percent (18%)
per annum where the amount financed is three thousand dollars ($3,000) seven
thousand five hundred dollars ($7,500) or greater,
except that a minimum finance charge of five dollars ($5.00) may be imposed.
…."
SECTION 3. This act becomes effective October 1, 2019, and applies to contracts entered into, renewed, or modified on or after that date.
