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Can you summarize MSCO 97-19-81?
False Pretenses and Cheats > Right of lender to add fee to amount of loan when payment on loan made with bad check.
Short Summary
According to the Mississippi Code 1972, when a lender in Mississippi is paid by check to retire all or part of a loan or extension of credit, and the check is returned due to insufficient funds, the lender is authorized to add the actual amount of the fee or service charge resulting from the returned check, up to a maximum of $15, to the principal of the unpaid balance of the loan or extension of credit. This provision allows lenders to recover the costs incurred due to bad checks. The law does not specify any penalties for non-compliance. It is important for lenders in Mississippi to be aware of this provision when dealing with loan repayments made by check.
Whom does it apply to?
Entities authorized by the laws of Mississippi to make loans or grant extensions of credit.
What does it govern?
The right of a lender to add a fee to the amount of a loan when payment on the loan is made with a bad check.
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Mississippi