Sec. 8.
(1) Notwithstanding contrary provisions of a retail installment contract, a buyer may prepay in full the unpaid balance of the retail installment contract at any time before its final due date and, if the buyer does so, shall receive a refund credit for the prepayment, except as provided in section 23. The amount of the refund credit shall not be less than the amount that would be refunded using the actuarial method.
(2) A refund credit of less than $1.00 need not be made.
History: 1966, Act 224, Eff. Mar. 10, 1967 ;-- Am. 1978, Act 97, Imd. Eff. Apr. 5, 1978 ;-- Am. 1995, Act 167, Eff. Mar. 28, 1996
Structure Michigan Compiled Laws
Chapter 445 - Trade and Commerce
Act 224 of 1966 - Retail Installment Sales Act (445.851 - 445.873)
Section 445.851 - Retail Installment Sales Act; Short Title.
Section 445.851a - Truth in Lending Act; Effect of Compliance.
Section 445.852 - Definitions.
Section 445.856 - Retail Installment Contracts; Blank Space; Filling.
Section 445.857 - Time Price Differential; Limitation; Computation; Minimum Time Price Differential.
Section 445.858 - Prepayment of Unpaid Balance; Amount of Refund Credit.
Section 445.862a - Submission of Invoice Evidencing Credit Card Sale.
Section 445.866 - Waiver of Act as to Buyers' Protection Prohibited.
Section 445.867 - Violation of Act; Misdemeanor.
Section 445.868 - Violation of Act; Effect as to Recovery Rights of Seller.
Section 445.869 - Violation of Act; Actions; Penalties.
Section 445.871 - Violation of Order of Circuit Court; Civil Penalty.