Skip to content
BOL Conferences
Learn More - Click Here!

Thread Options
#1123358 - 02/05/09 01:45 PM pre paid finance charge?????
donna.raisor Offline
Platinum Poster
Joined: Sep 2004
Posts: 554
If we charge $15.00 for a coupon book shouldn't that be disclosed as pre paid finance charge when the initial loan is done?

Return to Top
#1123586 - 02/05/09 03:59 PM Re: pre paid finance charge????? donna.raisor
Ray_ Offline
Platinum Poster
Joined: Aug 2006
Posts: 879
Dallas, TX
If we want to charge consumers a fee for issuing a coupon book at inception of a closed–end installment loan, is that fee considered a finance charge?

Yes. Section 226.4(a). However, if the bank charges a fee only when a previously issued “free” coupon book is lost or stolen and needs to be replaced, that charge is not a finance charge.

Return to Top

Moderator:  Lestie G