§ 24-4.5-2-204 — Deferral charges

Deferral Charges — (1) This section
applies only to a consumer credit sale, refinancing, or consolidation,
that is entered into before July 1, 2020. With respect to a precomputed
consumer credit sale, refinancing, or consolidation, the parties before
or after default may agree in writing to a deferral of all or part of one
(1) or more unpaid installments, and the seller may make and collect
a charge not exceeding the lesser of thirty-six percent (36%) per year
or the rate previously stated to the buyer pursuant to the provisions on
disclosure (Part 3) applied to the amount or amounts deferred for the
period of deferral calculated without regard to differences in lengths of
months, but proportionately for a part of a month, counting each day as
one-thirtieth (1/30) of a month. A deferral charge may be collected at
the time it is assessed or at any time thereafter.
(2) The seller, in addition to the deferral charge, may make
appropriate additional charges (IC 24-4.5-2-202), and the amount of
these charges which is not paid in cash may be added to the amount
deferred for the purpose of calculating the deferral charge.
(3) The parties may agree in writing at the time of a precomputed
consumer credit sale, refinancing, or consolidation that if an
installment is not paid within ten (10) days after its due date, the seller
may unilaterally grant a deferral and make charges as provided in this
section. No deferral charge may be made for a period after the date that
the seller elects to accelerate the maturity of the agreement.
(4) A delinquency charge made by the seller on an installment may
not be retained if a deferral charge is made pursuant to this section with
respect to the period of delinquency.
Formerly: Acts 1971, P.L.366, SEC.3. As amended by
P.L.186-2015, SEC.12; P.L.85-2020, SEC.3.