Section 12-507 – Note Taken as Part of Account
(a) If, as part of a retail credit account, a promissory note is taken by the seller or financial institution, the note shall refer to the account out of which it arises. (b) The note may not contain a confession of judgment or any power of attorney to appear for the buyer or for any surety or […]
Section 12-508 – Attorney’s Fees
If a retail credit account agreement provides for the payment of attorney’s fees, that provision may permit the holder only to receive reasonable attorney’s fees to be set by a court in the event of the filing of suit.
Section 12-509 – Discount to Consumer Paying Cash
Notwithstanding any agreement to the contrary between a seller and the issuer of a credit card, the seller is permitted to offer a cash discount to consumers who pay cash instead of using the credit card.
Section 12-501 – Definitions
(a) In this subtitle the following words have the meanings indicated. (b) “Account” means a retail credit account. (c) (1) “Buyer” means a person who, under a retail credit account transaction, buys goods or obtains services from a seller not principally for the purpose of resale. (2) “Buyer” includes: (i) A person who enters into a prior agreement with a financial […]
Section 12-502 – Application of Subtitle
(a) Each retail credit account established after May 31, 1967 shall comply with this subtitle. (b) (1) Notwithstanding any situs of contract specified in it, a retail credit account is made in this State and is subject to this subtitle if: (i) The seller offers or agrees in this State to sell to a resident buyer of this State; […]
Section 12-503 – Establishment of Account
(a) A retail credit account may be established by a seller or financial institution only on the request of a buyer or with his consent. (b) (1) A seller or financial institution may not discriminate solely on the basis of sex, marital status, geographic area of residence, neighborhood of residence, or age against a buyer who wishes to […]
Section 12-504 – Maximum Finance Charge — in General
(a) Notwithstanding any other statutory law, a seller, financial institution, or the successor in interest of either may charge, collect, and receive under a retail credit account a finance charge, however described, not to exceed the amounts permitted in §§ 12-505 and 12-506 of this subtitle. (b) If the date of performance or delivery of an item […]
Section 12-505 – Maximum Finance Charge — Closed End Account
(a) In a closed end account, the finance charge may not exceed the greater of: (1) An amount computed using the following annual simple interest rates of finance charge: (i) 22 percent on that part of the outstanding balance not exceeding $1,000; and (ii) 18 percent on that part of the outstanding balance exceeding $1,000; or (2) A minimum charge […]
Section 12-505.1 – Maximum Finance Charge — Closed End Account — Refinancing at Higher Rate
Any closed end account made prior to July 1, 1982 which is refinanced at a higher rate pursuant to § 12-505(a)(3) of this subtitle must comply with the following requirements: (1) The holder must give the following disclosure in writing to the buyer prior to the execution by the buyer of the new retail credit account […]
Section 12-505.2 – Maximum Finance Charge — Closed End Account — Change in Finance Charge During Term of Account Prohibited
A seller or holder may not enter into a closed end retail credit account agreement, providing for an initial rate of finance charge pursuant to § 12-505(a)(3) of this subtitle, which contains a provision that permits the seller or holder to increase or decrease the applicable rate of finance charge from time to time during […]