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SB 379 - Check Dishonor Fees - change fee

Crotts, Mike D (17th)

Status Summary	SC:	B&FI	HC:		FR:	02/01/00	LA:	02/01/00	S - Read 1st time

First Reader Summary

A bill to be entitled an Act to amend Code Section 10-1-7 of the Official Code of Georgia Annotated, relating to certain retail installment contract check dishonor fees, so as to change the fee amount; to repeal conflicting laws; and for other purposes.

SB 379 00                                          LC 11 9978 
 
      SENATE BILL 379 
 
      By:  Senator Crotts of the 17th 
 
 
                        A BILL TO BE ENTITLED 
                               AN ACT 
 
 
  1- 1  To amend Code Section 10-1-7 of the Official Code of Georgia 
  1- 2  Annotated, relating to certain retail installment contract 
  1- 3  check dishonor fees, so as to change the fee amount; to 
  1- 4  repeal conflicting laws; and for other purposes. 
 
  1- 5       BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA: 
 
  1- 6                           SECTION 1. 
 
  1- 7  Code Section 10-1-7 of the Official Code of Georgia 
  1- 8  Annotated, relating to certain retail installment contract 
  1- 9  check dishonor fees, is amended by striking subsection (b) 
  1-10  thereof and inserting in its place the following: 
 
  1-11    "(b) A retail installment contract or a revolving account 
  1-12    may provide that if the buyer submits to the retail seller 
  1-13    as payment for an unpaid balance, or portion thereof, in 
  1-14    that account or pursuant to that contract, a check, draft, 
  1-15    or order for the payment of money on any bank or other 
  1-16    depository, which check, draft, or order is not honored by 
  1-17    the drawee, then a fee not to exceed $20.00 $25.00 or 5 
  1-18    percent of the face amount of the check, draft, or order, 
  1-19    whichever is greater, may be charged to the buyer and will 
  1-20    be added to the unpaid balance on the buyer's account if 
  1-21    ten days have elapsed since the retail seller has mailed 
  1-22    to the buyer at his or her last known address written 
  1-23    notice of the failure to honor the check, draft, or order 
  1-24    without the check, draft, or order having been made good. 
  1-25    If a fee is charged under this subsection, then no 
  1-26    delinquency charge shall be made as to the first 
  1-27    installment which is in default but would not have been in 
  1-28    default if the check, draft, or order had not been 
  1-29    dishonored.  A fee authorized by this Code section shall 
  1-30    not be deemed to be time price differential, interest, or 
  1-31    any other type of finance charge and shall not be included 
  1-32    in determining whether any limitations on time price 
  1-33    differential, interest, or other finance charges have been 
  1-34    exceeded." 
 
 
 
                                 -1- 
 
 
 
  2- 1                           SECTION 2. 
 
  2- 2  All laws and parts of laws in conflict with this Act are 
  2- 3  repealed. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                 -2-