Pennsylvania Act 2001-44 — GOODS AND SERVICES INSTALLMENT SALES ACT - LATE FEES

Act text

Session of 2001

No. 2001-44

HB 1118

AN ACT

Amending the act of October 28, 1966 (1st Sp.Sess., P.L.55, No.7), entitled "An act defining, regulating and relating to retail installment contracts for all goods and services except certain motor vehicles and home improvements; prescribing the requirements of such contracts and limitations on the enforcement thereof; and providing remedies and penalties," further providing for late fees.

The General Assembly of the Commonwealth of Pennsylvania hereby enacts as follows:

Section 1. Section 306.1 of the act of October 28, 1966 (1st Sp.Sess., P.L.55, No.7), known as the Goods and Services Installment Sales Act, added May 27, 1994 (P.L.253, No.39), is amended to read:

Section 306.1. On each retail installment account or revolving account a late fee [not in excess of twelve dollars ($12)] may be assessed on each minimum payment not paid in full [within fifty-nine (59) days following the billing] on the payment due date of the statement on which such minimum payment first appears.

Section 2. The act is amended by adding a section to read:

Section 306.2. A seller or holder may increase the late fee by providing the buyer with a notice of the increase to the extent required and in the manner specified by the Truth in Lending Act (Public Law 90-321, 15 U.S.C. § 1601 et seq.) and the regulations issued pursuant thereto by the Board of Governors of the Federal Reserve System (Regulation Z) as such act and regulations may from time to time be amended.

Section 3. This act shall take effect immediately.

APPROVED--The 22nd day of June, A. D. 2001.

THOMAS J. RIDGE