Three states updated their late fee requirements on July 1st. As a result, the following adjustments have been made to the Late Fee Matrix and the ConformX Late Fee Table, both of which have been republished on the Matrices webpage:
Oklahoma:
As per annual requirements, Oklahoma has updated its laws regarding the maximum dollar amounts which can be charged for late fees.
Per Okla. Stat. Ann. tit. 14A, § 3-203(1) & (5), the Oklahoma Department of Consumer Credit has increased the maximum late charge for delinquent payments on a consumer loan or a revolving loan account from $31.00 to $32.00. ConformX Late Fee Defaults have been updated to reflect these changes.
South Carolina:
As per biennial requirements, South Carolina has updated its laws regarding the minimum and maximum dollar amounts which can be charged for late fees.
Per S.C. Code Ann. § 37-3-203(1) & (2), the South Carolina Department of Consumer Affairs has increased the minimum and maximum late charge for delinquent payments on a consumer loan or an open-end consumer loan. The minimum late charge has been increased from $9.20 to $10.20, and the maximum late charge has been increased from $23.00 to $25.50. ConformX Late Fee Defaults have been updated to reflect these changes.
Additionally, South Carolina has increased the loan amounts for which the prepayment prohibition applies in accordance with S.C. Code Ann. §§ 37-10-103 & 37-23-80. That amount has changed from $690,000 to $765,000, and the Prepayment Penalty Matrix has been updated accordingly.
Minnesota:
As per biennial requirements, Minnesota has updated its laws regarding the “minimum” default late charge.
Per Minn. Stat. Ann. § 47.59(6)(a)(4), the Minnesota Department of Commerce has increased the “minimum” default late charge for conventional loans or credit sales from $9.36 to $9.88. However, this change does not impact ConformX Late Fee Defaults since these Defaults do not take into consideration permissible (rather than mandatory) “minimum” amounts.
If you have any questions or concerns about these changes, please contact Client Support at 1.800.497.3584.
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