Indiana Code
Chapter 3. Loans
24-4.5-3-602. "Consumer Related Loan"; Loan Finance Charge; Licensing and Annual Notice to Department Not Required

Sec. 602. (1) A "consumer related loan" is a loan in which the following apply:
(a) The loan is made by a person who is not regularly engaged as a lender in credit transactions of the same kind.
(b) The debtor is a person other than an organization.
(c) The debt is primarily for a personal, family, or household purpose.
(d) Either the debt is payable in installments or a loan finance charge is made.
(e) Either:
(i) the amount of credit extended, the written credit limit, or the initial advance does not exceed the exempt threshold amount, as adjusted in accordance with the annual adjustment of the exempt threshold amount, specified in Regulation Z (12 CFR 226.3 or 12 CFR 1026.3(b), as applicable); or
(ii) the debt is secured by an interest in land or by personal property used or expected to be used as the principal dwelling of the debtor.
(2) With respect to a consumer related loan, including one made pursuant to a revolving loan account, the parties may contract for the payment by the debtor of a loan finance charge, calculated according to the actuarial method, not to exceed twenty-five percent (25%) per year on the unpaid principal balance.
(3) A person engaged in consumer related loans is not required to comply with:
(a) the licensing requirements set forth in section 503 of this chapter; or
(b) IC 24-4.5-6-201 through IC 24-4.5-6-203.
Formerly: Acts 1971, P.L.366, SEC.4. As amended by Acts 1981, P.L.219, SEC.6; Acts 1982, P.L.149, SEC.6; Acts 1982, P.L.150, SEC.6; P.L.14-1992, SEC.40; P.L.122-1994, SEC.28; P.L.27-2012, SEC.24; P.L.216-2013, SEC.11; P.L.137-2014, SEC.13; P.L.73-2016, SEC.12; P.L.69-2018, SEC.23.

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