16a-2-510.   (UCCC) Prepayment; minimum charges;judgments; rebate.(1) Upon prepayment in full, but not upon a refinancing (K.S.A. 16a-2-504,and amendments thereto), of a consumercredit transactionother than one pursuant to open end credit, the creditor may collect orretain a minimum charge of $5 in a transaction which had anamount financed of $75 or less, or $7.50 in a transaction which had an amountfinanced of morethan $75, if the minimum charge was contracted forand the finance charge earned at the time of prepayment is less than theminimum charge contracted for. In those instances where the amountsfinanced are under or over $75 and the financecharge is less than the minimum provided therefor, then the finance chargeso contracted may be retained as the minimum finance charge.

      (2)   If the maturity is accelerated for any reason and judgmentis obtained,the judgment shall be taken in accordance with the provisions ofK.S.A. 16-205, and amendments thereto.

      (3)   Upon prepayment in full of a consumer credit contract by proceeds ofconsumer credit insurance, K.S.A. 16a-4-103, and amendments thereto, theconsumer or the consumer's estate is entitled to the same rebate as though theconsumer had prepaid the agreement on the date the proceeds of the insuranceare paid to the creditor, but no later than 10 business days after satisfactoryproof of loss is furnished to the creditor.

      History:   L. 1973, ch. 85, § 38; L. 1974, ch. 90, § 2; L. 1982,ch. 93, § 4;L. 1988, ch. 85, § 8; L. 1988, ch. 86, § 5;L. 1993, ch. 200, § 12;L. 1999, ch. 107, § 21; July 1.