6-613. Restrictions; voidable loans
A. Except as the result of an accidental or bona fide error, if the licensee
charges, contracts for or receives any amount in excess of the finance charges and other
fees permitted by this chapter the following restrictions apply:
1. If the original principal amount of a consumer loan is five thousand dollars or
less, that consumer loan is voidable and the licensee has no right to collect or receive
any principal, finance charges or other fees in connection with that consumer loan.
2. If the original principal amount of a consumer loan is more than five thousand
dollars, the licensee has no right to collect or receive any finance charges in
connection with that consumer loan.
3. If the aggregate amount of advances borrowed on a consumer revolving loan or
home equity revolving loan is five thousand dollars or less, that consumer revolving loan
or home equity revolving loan is voidable and the licensee has no right to collect or
receive any principal, finance charges or other fees in connection with that consumer
revolving loan or home equity revolving loan.
4. If the aggregate amount of advances borrowed on a consumer revolving loan or
home equity revolving loan is more than five thousand dollars, the licensee has no right
to collect or receive any finance charges in connection with that consumer revolving loan
or home equity revolving loan.
B. Any consumer lender loan that is made by a person who is required to be licensed
pursuant to this chapter but who is not licensed is void, and the person making that
consumer lender loan has no right to collect, receive or retain any principal, finance
charges or other fees in connection with that consumer lender loan.
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