§ 6-27-4 Maximum charge – Refunds.– (a) No creditor shall impose a finance charge in excess of an amount equal toeighteen percent (18%) simple interest per annum. This subsection shall notapply to any transaction in connection with which the finance charge does notexceed ten dollars ($10.00). Notwithstanding the provision of any retailinstallment contract to the contrary, a buyer may prepay in full the unpaidbalance of any retail installment contract at any time before its final duedate and, if the buyer does so, shall receive a refund credit on the retailinstallment contract for the prepayment. The amount of the refund credit offinance charges on precomputed loans, made for an original term of sixty (60)months or less, may be calculated on the method commonly referred to as therule of 78's or sum of the digits. Refund credits of finance charges onprecomputed loans, made for an original term greater than sixty (60) months,must be at least the amount as that produced by the rule of anticipation.
(b) Where the amount of refund credit is less than one dollar($1.00), no refund credit need be made.
(c) Notwithstanding any contrary provision of law, themaximum finance charge which may be applied under a revolving or open-endcredit plan in connection with a transaction arising out of a retail sale ofconsumer goods, including the retail sale of gasoline, or services shall notexceed the rate or rates agreed to by the creditor and a retail buyer comparedon the average daily balance of the open-end or revolving account or the unpaidbalance of the open-end or revolving account outstanding as of the end of thecurrent billing cycle. Regardless of any agreement to the contrary, atransaction under a revolving or open-end credit plan is subject to thissection whenever a solicitation for the extension of credit is made by acreditor whose primary activity in Rhode Island is soliciting Rhode Islandcustomers through the mails, and the solicitation originates outside RhodeIsland but is directed to and received by a retail buyer who resides, andresponds to the solicitation, in Rhode Island.
(d) This section shall not apply to any person doing businessunder and as permitted by any general or special law of this state or of theUnited States relating to: (1) financial institutions, (2) credit unions, or(3) licensees pursuant to title 19, chapter 44 of title 6, and § 6-26-2.
(e) Under each revolving or open-end credit plan a late feenot to exceed twelve dollars ($12.00) may be assessed on each minimum paymentnot paid in full within forty (40) days following the billing date of thestatement on which the minimum payment first appears.
§ 6-27-4 Maximum charge – Refunds.– (a) No creditor shall impose a finance charge in excess of an amount equal toeighteen percent (18%) simple interest per annum. This subsection shall notapply to any transaction in connection with which the finance charge does notexceed ten dollars ($10.00). Notwithstanding the provision of any retailinstallment contract to the contrary, a buyer may prepay in full the unpaidbalance of any retail installment contract at any time before its final duedate and, if the buyer does so, shall receive a refund credit on the retailinstallment contract for the prepayment. The amount of the refund credit offinance charges on precomputed loans, made for an original term of sixty (60)months or less, may be calculated on the method commonly referred to as therule of 78's or sum of the digits. Refund credits of finance charges onprecomputed loans, made for an original term greater than sixty (60) months,must be at least the amount as that produced by the rule of anticipation.
(b) Where the amount of refund credit is less than one dollar($1.00), no refund credit need be made.
(c) Notwithstanding any contrary provision of law, themaximum finance charge which may be applied under a revolving or open-endcredit plan in connection with a transaction arising out of a retail sale ofconsumer goods, including the retail sale of gasoline, or services shall notexceed the rate or rates agreed to by the creditor and a retail buyer comparedon the average daily balance of the open-end or revolving account or the unpaidbalance of the open-end or revolving account outstanding as of the end of thecurrent billing cycle. Regardless of any agreement to the contrary, atransaction under a revolving or open-end credit plan is subject to thissection whenever a solicitation for the extension of credit is made by acreditor whose primary activity in Rhode Island is soliciting Rhode Islandcustomers through the mails, and the solicitation originates outside RhodeIsland but is directed to and received by a retail buyer who resides, andresponds to the solicitation, in Rhode Island.
(d) This section shall not apply to any person doing businessunder and as permitted by any general or special law of this state or of theUnited States relating to: (1) financial institutions, (2) credit unions, or(3) licensees pursuant to title 19, chapter 44 of title 6, and § 6-26-2.
(e) Under each revolving or open-end credit plan a late feenot to exceed twelve dollars ($12.00) may be assessed on each minimum paymentnot paid in full within forty (40) days following the billing date of thestatement on which the minimum payment first appears.
§ 6-27-4 Maximum charge – Refunds.– (a) No creditor shall impose a finance charge in excess of an amount equal toeighteen percent (18%) simple interest per annum. This subsection shall notapply to any transaction in connection with which the finance charge does notexceed ten dollars ($10.00). Notwithstanding the provision of any retailinstallment contract to the contrary, a buyer may prepay in full the unpaidbalance of any retail installment contract at any time before its final duedate and, if the buyer does so, shall receive a refund credit on the retailinstallment contract for the prepayment. The amount of the refund credit offinance charges on precomputed loans, made for an original term of sixty (60)months or less, may be calculated on the method commonly referred to as therule of 78's or sum of the digits. Refund credits of finance charges onprecomputed loans, made for an original term greater than sixty (60) months,must be at least the amount as that produced by the rule of anticipation.
(b) Where the amount of refund credit is less than one dollar($1.00), no refund credit need be made.
(c) Notwithstanding any contrary provision of law, themaximum finance charge which may be applied under a revolving or open-endcredit plan in connection with a transaction arising out of a retail sale ofconsumer goods, including the retail sale of gasoline, or services shall notexceed the rate or rates agreed to by the creditor and a retail buyer comparedon the average daily balance of the open-end or revolving account or the unpaidbalance of the open-end or revolving account outstanding as of the end of thecurrent billing cycle. Regardless of any agreement to the contrary, atransaction under a revolving or open-end credit plan is subject to thissection whenever a solicitation for the extension of credit is made by acreditor whose primary activity in Rhode Island is soliciting Rhode Islandcustomers through the mails, and the solicitation originates outside RhodeIsland but is directed to and received by a retail buyer who resides, andresponds to the solicitation, in Rhode Island.
(d) This section shall not apply to any person doing businessunder and as permitted by any general or special law of this state or of theUnited States relating to: (1) financial institutions, (2) credit unions, or(3) licensees pursuant to title 19, chapter 44 of title 6, and § 6-26-2.
(e) Under each revolving or open-end credit plan a late feenot to exceed twelve dollars ($12.00) may be assessed on each minimum paymentnot paid in full within forty (40) days following the billing date of thestatement on which the minimum payment first appears.
