Bill Text: IA SF503 | 2017-2018 | 87th General Assembly | Enrolled

Iowa Senate Bill 503 (Prior Session Legislation)

Bill Title: A bill for an act providing for the deferral of unpaid installments and deferral charges for certain interest-bearing consumer credit transactions. (Formerly SSB 1016 and SF 177.) Effective 7-1-17.

Spectrum: Committee Bill

Status: (Passed) 2017-05-11 - Signed by Governor. S.J. 1137. [SF503 Detail]

Download: Iowa-2017-SF503-Enrolled.html


Senate File 503 - Enrolled




                              SENATE FILE       
                              BY  COMMITTEE ON WAYS AND
                                  MEANS

                              (SUCCESSOR TO SF 177)
                              (SUCCESSOR TO SSB
                                  1016)
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                                   A BILL FOR
 \1
                                        Senate File 503

                             AN ACT
 PROVIDING FOR THE DEFERRAL OF UNPAID INSTALLMENTS AND
    DEFERRAL CHARGES FOR CERTAIN INTEREST=BEARING CONSUMER
    CREDIT TRANSACTIONS.

 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
    Section 1.  Section 537.2503, subsection 1, Code 2017, is
 amended to read as follows:
    1.  a.  Before or after default in payment of a scheduled
 installment of a precomputed consumer credit transaction, the
 parties to the transaction may agree in writing to a deferral
 of all or part of one or more unpaid installments and the
 creditor may make at the time of deferral and receive at that
 time or at any time thereafter a deferral charge which is
 not in excess of one and one=half percent per month for the
 period of time for which it is deferred, but not to exceed the
 rate of finance charge which was required to be disclosed in
 the transaction to the consumer pursuant to section 537.3201
 applied to each amount deferred for the period for which it
 is deferred. In computing a deferral charge for one or more
 months, any month may be counted as one=twelfth of a year and
 in computing a deferral charge for part of a month, a day shall
 be counted as one three hundred sixty=fifth of a year.
    b.  With respect to an interest=bearing consumer credit
 transaction not pursuant to an open=end credit arrangement
 and other than a consumer lease or consumer rental purchase
 agreement, the parties to the transaction may agree in writing
 to a deferral of all or part of one or more unpaid installments
 in addition to any interest accrued pursuant to the terms of
 the consumer credit transaction. The creditor may make at
 the time of deferral and receive at that time or at any time
 thereafter a deferral charge which shall not exceed thirty
 dollars per deferred installment.


                                                                                            JACK WHITVER


                                                                                            LINDA UPMEYER


                                                                                            W. CHARLES SMITH


                                                                                            TERRY E. BRANSTA

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