5686-S.SL

CERTIFICATION OF ENROLLMENT

SUBSTITUTE SENATE BILL 5686

Chapter 481, Laws of 1993

53rd Legislature

1993 Regular Session

CREDIT CARDS‑-LIMITS ON DELINQUENT PAYMENT CHARGES

EFFECTIVE DATE: 7/25/93

Passed by the Senate April 20, 1993

YEAS 37 NAYS 1

JOEL PRITCHARD

President of the Senate

Passed by the House April 7, 1993

YEAS 98 NAYS 0

CERTIFICATE

I, Marty Brown, Secretary of the Senate of the State of Washington, do hereby certify that the attached is SUBSTITUTE SENATE BILL 5686 as passed by the Senate and the House of Representatives on the dates hereon set forth.

BRIAN EBERSOLE

Speaker of the

House of Representatives

MARTY BROWN

Secretary

Approved May 17, 1993

FILED

May 17, 1993 - 2:17 p.m.

MIKE LOWRY

Governor of the State of Washington

Secretary of State

State of Washington

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SUBSTITUTE SENATE BILL 5686

_______________________________________________

AS AMENDED BY THE HOUSE

Passed Legislature - 1993 Regular Session

State of Washington 53rd Legislature 1993 Regular Session

By Senate Committee on Labor & Commerce (originally sponsored by Senators Williams and Pelz)

Read first time 03/03/93.

AN ACT Relating to delinquent payment charges on credit cards; and amending RCW 63.14.090.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

Sec. 1. RCW 63.14.090 and 1984 c 280 s 2 are each amended to read as follows:

(1) The holder of any retail installment contract, retail charge agreement, or lender credit card agreement may not collect any delinquency or collection charges, including any attorney's fee and court costs and disbursements, unless the contract, charge agreement, or lender credit card agreement so provides. In such cases, the charges shall be reasonable, and no attorney's fee may be recovered unless the contract, charge agreement, or lender credit card agreement is referred for collection to an attorney not a salaried employee of the holder.

(2) The contract, charge agreement, or lender credit card agreement may contain other provisions not inconsistent with the purposes of this chapter, including but not limited to provisions relating to refinancing, transfer of the buyer's equity, construction permits, and title reports.

(3) Notwithstanding subsection (1) of this section, where the minimum payment is received within the ten days following the payment due date, delinquency charges for the late payment of a retail charge agreement or lender credit card agreement may not be more than ten percent of the average balance of the delinquent account for the prior thirty-day period when the average balance of the account for the prior thirty-day period is less than one hundred dollars, except that a minimum charge of up to two dollars shall be allowed. This subsection (3) shall not apply in cases where the payment on the account is more than thirty days overdue.