(a) On the extension ofcredit under an open‑end credit or similar plan (including revolvingcredit card plans, and revolving charge accounts, but excluding any loan madedirectly by a lender under a check loan, check credit or other such plan) underwhich no service charge shall be imposed upon the consumer or debtor if theaccount is paid in full within 25 days from the billing date, but upon whichthere may be imposed an annual charge not to exceed twenty‑four dollars($24.00), there may be charged and collected interest, finance charges or otherfees at a rate in the aggregate not to exceed one and one‑half percent(11/2%) per month computed on the unpaid portion of the balance of the previousmonth less payments or credit within the billing cycle or the average dailybalance outstanding during the current billing period.
(a1) If the lenderchooses not to impose an annual charge under this section, the lender mayimpose a service charge not to exceed two dollars ($2.00) per month on thebalance of any account which is not paid in full within 25 days from thebilling date.
(a2) No person, firm orcorporation may charge a discount or fee in excess of six percent (6%) of theprincipal amount of the accounts acquired from or through any vendors or othersproviding services who participate in such plan.
(b) On revolving creditloans (including check loans, check credit or other revolving credit planswhereby a bank, banking institution or other lending agency makes direct loansto a borrower), if agreed to in writing by the borrower, such lender maycollect interest and service charges by application of a monthly periodic ratecomputed on the average daily balance outstanding during the billing period,such rate not to exceed one and one‑half percent (11/2%).
(c) Any extension ofcredit under an open‑end or similar plan under which there is charged amonthly periodic rate greater than one and one‑quarter percent (11/4%)may not be secured by real or personal property or any other thing of value,provided, that this subsection shall not apply to consumer credit salesregulated by Chapter 25A, the Retail Installment Sales Act; provided further,that in any action initiated for the possession of property in which a securityinterest has been taken, a judgment for the possession thereof shall berestricted to commercial units (as defined in G.S. 25‑2‑105(6)) forwhich the cash price was one hundred dollars ($100.00) or more.
(d) The term"billing date" shall mean any date selected by the creditor and thebill for the balance of the account must be mailed to the customer at least 14days prior to the date specified in the statement as being the date by whichpayment of the new balance must be made in order to avoid the imposition of anyfinance charge.
(d1) A lender may chargea party to a loan or extension of credit governed by this section a latepayment charge not to exceed five dollars ($5.00) on accounts having anoutstanding balance of less than one hundred dollars ($100.00) and ten dollars($10.00) on accounts having an outstanding balance of one hundred dollars($100.00) or more, for any payment past due for 30 days or more; provided, inno case shall the late charge exceed the outstanding principal balance. If alate payment charge has been once imposed with respect to a late payment, nolate charge shall be imposed with respect to any future payment which wouldhave been timely and sufficient but for the previous default.
(e) An annual orservice charge pursuant to this section upon an existing credit card accountupon which the charge has not previously been imposed may not be imposed unlessthe lender has given the cardholder at least 30 days notice of the proposedcharge, and has advised the cardholder of his right not to accept the newcharge. This notice shall be bold and conspicuous, and shall be on the face ofthe periodic billing statement or on a separate statement which is clearlynoted on the face of the periodic billing statement provided to the cardholder.If the cardholder does not accept the new charge upon an existing credit cardaccount, the lender may require that the cardholder make no further use of theaccount beyond the 30‑day period in order to avoid paying the annualcharge, but the cardholder shall be entitled to pay off any remaining balanceaccording to the terms of the credit agreement. Nothing in this subsectionshall limit the lender from decreasing any rates or fees to the cardholderforthwith. Should any cardholder within 12 months of the initial imposition ofan annual charge rescind his credit card contract and surrender all cardsissued under the contract to the lender, he shall be entitled to a proratedrefund of the annual fee previously charged, credited to the cardholder'scredit card account. (1967, c. 852, s. 1.1; 1969, c. 1303, s. 7; 1977, c. 148, s. 1; cc.917, 1108; 1979, 2nd Sess., c. 1330, s. 3; 1981, c. 844, s. 1; 1983, c. 126,ss. 5, 10; 1991, c. 506, s. 6; c. 761, s. 45; 1995, c. 387, s. 2; 2009‑570,s. 27.)
(a) On the extension ofcredit under an open‑end credit or similar plan (including revolvingcredit card plans, and revolving charge accounts, but excluding any loan madedirectly by a lender under a check loan, check credit or other such plan) underwhich no service charge shall be imposed upon the consumer or debtor if theaccount is paid in full within 25 days from the billing date, but upon whichthere may be imposed an annual charge not to exceed twenty‑four dollars($24.00), there may be charged and collected interest, finance charges or otherfees at a rate in the aggregate not to exceed one and one‑half percent(11/2%) per month computed on the unpaid portion of the balance of the previousmonth less payments or credit within the billing cycle or the average dailybalance outstanding during the current billing period.
(a1) If the lenderchooses not to impose an annual charge under this section, the lender mayimpose a service charge not to exceed two dollars ($2.00) per month on thebalance of any account which is not paid in full within 25 days from thebilling date.
(a2) No person, firm orcorporation may charge a discount or fee in excess of six percent (6%) of theprincipal amount of the accounts acquired from or through any vendors or othersproviding services who participate in such plan.
(b) On revolving creditloans (including check loans, check credit or other revolving credit planswhereby a bank, banking institution or other lending agency makes direct loansto a borrower), if agreed to in writing by the borrower, such lender maycollect interest and service charges by application of a monthly periodic ratecomputed on the average daily balance outstanding during the billing period,such rate not to exceed one and one‑half percent (11/2%).
(c) Any extension ofcredit under an open‑end or similar plan under which there is charged amonthly periodic rate greater than one and one‑quarter percent (11/4%)may not be secured by real or personal property or any other thing of value,provided, that this subsection shall not apply to consumer credit salesregulated by Chapter 25A, the Retail Installment Sales Act; provided further,that in any action initiated for the possession of property in which a securityinterest has been taken, a judgment for the possession thereof shall berestricted to commercial units (as defined in G.S. 25‑2‑105(6)) forwhich the cash price was one hundred dollars ($100.00) or more.
(d) The term"billing date" shall mean any date selected by the creditor and thebill for the balance of the account must be mailed to the customer at least 14days prior to the date specified in the statement as being the date by whichpayment of the new balance must be made in order to avoid the imposition of anyfinance charge.
(d1) A lender may chargea party to a loan or extension of credit governed by this section a latepayment charge not to exceed five dollars ($5.00) on accounts having anoutstanding balance of less than one hundred dollars ($100.00) and ten dollars($10.00) on accounts having an outstanding balance of one hundred dollars($100.00) or more, for any payment past due for 30 days or more; provided, inno case shall the late charge exceed the outstanding principal balance. If alate payment charge has been once imposed with respect to a late payment, nolate charge shall be imposed with respect to any future payment which wouldhave been timely and sufficient but for the previous default.
(e) An annual orservice charge pursuant to this section upon an existing credit card accountupon which the charge has not previously been imposed may not be imposed unlessthe lender has given the cardholder at least 30 days notice of the proposedcharge, and has advised the cardholder of his right not to accept the newcharge. This notice shall be bold and conspicuous, and shall be on the face ofthe periodic billing statement or on a separate statement which is clearlynoted on the face of the periodic billing statement provided to the cardholder.If the cardholder does not accept the new charge upon an existing credit cardaccount, the lender may require that the cardholder make no further use of theaccount beyond the 30‑day period in order to avoid paying the annualcharge, but the cardholder shall be entitled to pay off any remaining balanceaccording to the terms of the credit agreement. Nothing in this subsectionshall limit the lender from decreasing any rates or fees to the cardholderforthwith. Should any cardholder within 12 months of the initial imposition ofan annual charge rescind his credit card contract and surrender all cardsissued under the contract to the lender, he shall be entitled to a proratedrefund of the annual fee previously charged, credited to the cardholder'scredit card account. (1967, c. 852, s. 1.1; 1969, c. 1303, s. 7; 1977, c. 148, s. 1; cc.917, 1108; 1979, 2nd Sess., c. 1330, s. 3; 1981, c. 844, s. 1; 1983, c. 126,ss. 5, 10; 1991, c. 506, s. 6; c. 761, s. 45; 1995, c. 387, s. 2; 2009‑570,s. 27.)
(a) On the extension ofcredit under an open‑end credit or similar plan (including revolvingcredit card plans, and revolving charge accounts, but excluding any loan madedirectly by a lender under a check loan, check credit or other such plan) underwhich no service charge shall be imposed upon the consumer or debtor if theaccount is paid in full within 25 days from the billing date, but upon whichthere may be imposed an annual charge not to exceed twenty‑four dollars($24.00), there may be charged and collected interest, finance charges or otherfees at a rate in the aggregate not to exceed one and one‑half percent(11/2%) per month computed on the unpaid portion of the balance of the previousmonth less payments or credit within the billing cycle or the average dailybalance outstanding during the current billing period.
(a1) If the lenderchooses not to impose an annual charge under this section, the lender mayimpose a service charge not to exceed two dollars ($2.00) per month on thebalance of any account which is not paid in full within 25 days from thebilling date.
(a2) No person, firm orcorporation may charge a discount or fee in excess of six percent (6%) of theprincipal amount of the accounts acquired from or through any vendors or othersproviding services who participate in such plan.
(b) On revolving creditloans (including check loans, check credit or other revolving credit planswhereby a bank, banking institution or other lending agency makes direct loansto a borrower), if agreed to in writing by the borrower, such lender maycollect interest and service charges by application of a monthly periodic ratecomputed on the average daily balance outstanding during the billing period,such rate not to exceed one and one‑half percent (11/2%).
(c) Any extension ofcredit under an open‑end or similar plan under which there is charged amonthly periodic rate greater than one and one‑quarter percent (11/4%)may not be secured by real or personal property or any other thing of value,provided, that this subsection shall not apply to consumer credit salesregulated by Chapter 25A, the Retail Installment Sales Act; provided further,that in any action initiated for the possession of property in which a securityinterest has been taken, a judgment for the possession thereof shall berestricted to commercial units (as defined in G.S. 25‑2‑105(6)) forwhich the cash price was one hundred dollars ($100.00) or more.
(d) The term"billing date" shall mean any date selected by the creditor and thebill for the balance of the account must be mailed to the customer at least 14days prior to the date specified in the statement as being the date by whichpayment of the new balance must be made in order to avoid the imposition of anyfinance charge.
(d1) A lender may chargea party to a loan or extension of credit governed by this section a latepayment charge not to exceed five dollars ($5.00) on accounts having anoutstanding balance of less than one hundred dollars ($100.00) and ten dollars($10.00) on accounts having an outstanding balance of one hundred dollars($100.00) or more, for any payment past due for 30 days or more; provided, inno case shall the late charge exceed the outstanding principal balance. If alate payment charge has been once imposed with respect to a late payment, nolate charge shall be imposed with respect to any future payment which wouldhave been timely and sufficient but for the previous default.
(e) An annual orservice charge pursuant to this section upon an existing credit card accountupon which the charge has not previously been imposed may not be imposed unlessthe lender has given the cardholder at least 30 days notice of the proposedcharge, and has advised the cardholder of his right not to accept the newcharge. This notice shall be bold and conspicuous, and shall be on the face ofthe periodic billing statement or on a separate statement which is clearlynoted on the face of the periodic billing statement provided to the cardholder.If the cardholder does not accept the new charge upon an existing credit cardaccount, the lender may require that the cardholder make no further use of theaccount beyond the 30‑day period in order to avoid paying the annualcharge, but the cardholder shall be entitled to pay off any remaining balanceaccording to the terms of the credit agreement. Nothing in this subsectionshall limit the lender from decreasing any rates or fees to the cardholderforthwith. Should any cardholder within 12 months of the initial imposition ofan annual charge rescind his credit card contract and surrender all cardsissued under the contract to the lender, he shall be entitled to a proratedrefund of the annual fee previously charged, credited to the cardholder'scredit card account. (1967, c. 852, s. 1.1; 1969, c. 1303, s. 7; 1977, c. 148, s. 1; cc.917, 1108; 1979, 2nd Sess., c. 1330, s. 3; 1981, c. 844, s. 1; 1983, c. 126,ss. 5, 10; 1991, c. 506, s. 6; c. 761, s. 45; 1995, c. 387, s. 2; 2009‑570,s. 27.)
