Sec. 204. 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.
Structure Indiana Code
Article 4.5. Uniform Consumer Credit Code
24-4.5-2-106. "Consumer Lease"
24-4.5-2-108. "Revolving Charge Account"
24-4.5-2-109. "Credit Service Charge"
24-4.5-2-111. "Amount Financed"
24-4.5-2-203.5. Delinquency Charges
24-4.5-2-204. Deferral Charges
24-4.5-2-205. Credit Service Charge on Refinancing
24-4.5-2-206. Credit Service Charge on Consolidation
24-4.5-2-208. Advances to Perform Covenants of Buyer
24-4.5-2-210. Rebate Upon Prepayment
24-4.5-2-301. Disclosures Required by Consumer Credit Protection Act; Exempt Transactions
24-4.5-2-402. Use of Multiple Agreements
24-4.5-2-405. Balloon Payments
24-4.5-2-406. Restriction on Liability in Consumer Lease
24-4.5-2-407. Security Interests
24-4.5-2-407.5. Leasing of Live Domestic Animals Prohibited
24-4.5-2-408. Cross-Collateral
24-4.5-2-409. Debt Secured by Cross-Collateral
24-4.5-2-410. No Assignment of Earnings
24-4.5-2-412. Notice of Assignment
24-4.5-2-414. Limitation on Default Charges
24-4.5-2-415. Authorization to Confess Judgment Prohibited
24-4.5-2-501. "Home Solicitation Sale"
24-4.5-2-502. Buyer's Right to Cancel
24-4.5-2-601. Sale Subject to Article by Agreement of Parties
24-4.5-2-603. Applicability of Other Provisions to Consumer Related Sales
24-4.5-2-604. Limitation on Default Charges in Consumer Related Sales