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INTERPRETIVE LETTERS - LOAN INTEREST AND PROTECTION LAW

The Department of Banking and Securities uses interpretive letters to provide guidance and clarification of its position on an issue at the time. You should contact your attorney for legal advice regard the Loan Interest and Protection Law.
 
Section 201 - Maximum Lawful Interest Rate
 
06/26/97
Installment Sale of a Boat Trailer  (PDF)
An installment sale of a boat trailer is subject to the provisions of the Motor Vehicle Sales Finance Act and is specifically excluded from the provisions of the Goods and Services Installment Sales Act
Section 301-Residential Mortgage Interest Rates
 
06/26/97
Installment Sale of a Boat Trailer  (PDF)
An installment sale of a boat trailer is subject to the provisions of the Motor Vehicle Sales Finance Act and is specifically excluded from the provisions of the Goods and Services Installment Sales Act
 
Section 405-Prepayment Penalty Prohibited
 
12/15/03
Prepayment Penalties on First and Secondary Mortgage Loans (PDF)
Letter states that, notwithstanding prior interpretations, a prepayment penalty may not be charged on a residential first or secondary mortgage loan in an original principal amount of $50,000 or less