Mississippi Administrative Code › Title 5 - Banking and Consumer Finance › Part 3 - Consumer Finance Activities › Chapter 6 - Mississippi Credit Availability Act (2016) › Rule 5-3-6-6.2 - Definitions

Current through June 25, 2024
Unless otherwise defined in the MCAA, the following terms
				  shall be defined as follows:
AMOUNT FINANCED.
The amount of money disbursed
				  to the account holder excluding any fees or charges. Pursuant to Regulation Z (
				  12 C.F.R. §
										1026.18(b) ), this may be
				  described to the account holder as "the amount of credit provided to you or on
				  your behalf."
NOTE
: Under the MCAA, the "Amount Financed" is
				  referred to as the "Principal" and is specifically defined below.
BUSINESS DAY.
Any day of the week between and
				  including Monday through Friday, and excluding Saturdays, Sundays and all
				  official national holidays recognized by the United States federal
				  government.
FINANCE CHARGE.
For Truth and Lending Act (TILA)
				  purposes, a finance charge under the MCAA includes the Handling Fee and
				  Origination Fee, if any, charged by the Licensee. This may be described to the
				  account holder as "the dollar amount the credit will cost you."
HANDLING FEE.
A fee paid monthly by the account
				  holder "for services, expenses, and costs" of the Licensee. Said amount may not
				  exceed "twenty-five percent (25%) of the outstanding principal balance of any
				  credit availability account per month, or portion thereof.." The Handling Fee
				  shall not be deemed interest for any purpose of law.
MONTH.
(a) One of the months as named in the
				  calendar or (b) The period from a day of one month to the corresponding day of
				  the next month if such exists, or, if such does not exist, to the last day of
				  the next month (i.e., use of either 360-day or 365-day year is permitted). For
				  the purposes of earning the "monthly Handling Fee" allowed by statute, one (1)
				  calendar day in a calendar month equals one (1) full month of Handling Fees
				  earned unless otherwise prohibited by law (e.g., one-business day statutory
				  right of rescission by account holder at Miss. Code Ann. §
									75-67-621(2)).
ORIGINATION FEE.
A fee, in addition to the
				  Handling Fee, that may be charged by a Licensee to cover "costs associated with
				  providing a credit availability transaction." Miss. Code Ann. Section
				  75-67-619(c).
				  This fee may not exceed "one percent (1%) of the amount disbursed to the
				  account holder or five dollars ($5.00), whichever is greater." The Origination
				  Fee shall not be deemed interest for any purpose of law.
OUTSTANDING PRINCIPAL BALANCE.
The
lesser
of (a) the amount of money
initially
borrowed at the consummation of the transaction (i.e., the Principal/Amount
				  Financed) or (b) the actual amount outstanding Principal/Amount Financed (not
				  including any late fees) on the date the monthly payment is due and
				  owing.
PAST DUE AMOUNT.
For purposes of calculating
				  late fees, the past due amount is the amount of a single payment that is more
				  than 10
business day
s in arrears during a Calendar Month.
PRINCIPAL.
The amount of money initially
				  borrowed by the consumer at the consummation of the transaction. Also referred
				  to as the "Amount Financed." This amount does not include any Handling Fee,
				  Origination Fee or late fees.
REFUND.
The amount due and owing to the account
				  holder for overpayments or credits of any nature.
Miss. Code Ann.
				  §§
										75-67-603
				  and
				  75-67-619;
				  12 C.F.R. §
											1026.18.