Such plans are defined as those which the lender reasonably contemplates repeated transactions, the lender may impose a finance charge from time to time on an outstanding unpaid balance, and the amount of credit is generally made available to the extent that balances are repaid up to any limit set by the lender.

Simple interest as agreed to by the parties is authorized.

The act incorporates, by reference, existing law relating to default, notice of default, acceleration, deficiency actions, and damages that applies to motor vehicle time sales licenses.

The act places the following limitations on fees:

• An annual fee not to exceed $50;

• A credit advance fee of up to the lesser of $75 or 10% of the credit advanced from time to time from the line of credit which may be added to the outstanding credit along with interest;

• A minimum charge for billing during which there is an outstanding unpaid balance;

• Late payment charges on each minimum payment in default for a period of not less than 15 days in an amount not to exceed 5% of the minimum payment due or 15$, whichever is greater, up to $50;

• Charges for processing a returned payment of not more than $25;

• Fees paid by the lender for filings and recordings;

• Reasonable towing costs and costs for retaking, holding, preparing for sale, and selling personal property; and

• Attorney's fees up to 15% of the amount due and payable with court costs.

CHRIS HOGERTY