|SB 0246||Late Payment Credit Charge Raised from $15 to $25|
|Last Action:||07/07/95 - Vetoed by Governor|
|Effective Date:||August 28, 1995|
HCS/SB 246 - This act increases the unpaid principal balance in Chapter 408, RSMo, Legal Tender and Interest, from $1,200 to $2,000. A maximum interest rate of 2.218% per month is imposed on certain loans that do not exceed $2,000, and the maximum interest rate on certain loans in excess of $2,000 is set at 1.67% per month.
In addition, this act would increase the late payment fee a financial institution is allowed to charge on each installment in default for not less than 15 days from $15 to $25, and would increase the minimum late payment fee a financial institution is allowed to charge from $1 to $10. If the contract so provides, a fee for late payment on each $25 or less installment in default for a period of not less than 15 days shall not exceed $5. RONALD J. LEONE