N.D. Cent. Code § 51-14-02

Current through 2024 Legislative Session

Section 51-14-02 - Contents of revolving charge agreements - Requirements for delivery of monthly statements - Exception

Every revolving charge agreement must be in writing and must be accepted by the retail buyer. As used in this section, "accepted" means the buyer has signed the revolving charge agreement, the buyer has used the account issued under a revolving charge agreement, or within thirty days from the date of issuance the buyer has not canceled by written notice a credit card or other access device issued under a revolving charge agreement. A copy of the revolving charge agreement must be delivered or mailed to the retail buyer by the retail seller before the date on which the first payment is due under the agreement. A revolving charge agreement must state the amount and rate of the credit service charge to be charged and paid under the agreement. The credit service charge, exclusive of late payment or other fees included therein, must be set forth in the revolving charge agreement in terms of a monthly or annual percentage rate to be applied to the balance outstanding from time to time under the agreement, as of the beginning or end of each billing period or on a daily basis. Upon written notice, a seller may change the terms of any revolving charge agreement, including the credit service charge, if this right of amendment has been reserved. A change under this authority is effective as to existing balances, if within twenty-five days of the effective date of the change, the buyer does not furnish written notice to the seller that the buyer does not agree to abide by the changes. Upon receipt of this written notice by the seller, the buyer has the remainder of the time under the existing terms in which to pay all sums owed to the seller. Any request for additional credit under a revolving charge agreement, including use of a credit card issued under the agreement, after the effective date of the change of terms, including a change in the credit service charge, is deemed to be an acceptance of the new terms, even though the twenty-five days has not expired. The retail seller under a revolving charge agreement shall promptly supply the retail buyer under the agreement with a statement as of the end of each monthly period or other regular period agreed upon by the retail seller and the retail buyer, in which there is any unpaid balance thereunder. Such statement must recite the following:

1. The unpaid balance under the revolving charge agreement at the beginning or end of the period.

2. An identification of the goods or services purchased, the cash purchase price and the date of each purchase, unless otherwise furnished by the retail seller to the retail buyer by sales slip, memorandum, or otherwise.

3. The payments made by the retail buyer to the retail seller and any other credits to the retail buyer during the period.

4. The amount of the credit service charge, if any, and also the percentage annual simple interest equivalent of this amount.

5. A legend to the effect that the retail buyer may at any time pay the total indebtedness. The items need not be stated in the sequence or order set forth in this section. Additional items may be included to explain the computations made in determining the amount to be paid by the retail buyer. If a revolving charge or credit account is also subject to the Truth in Lending Act [15 U.S.C. 1601-1667e], the seller may, instead of complying with this section, comply with all requirements of the Truth in Lending Act.

N.D.C.C. § 51-14-02