June 12, 2007, Introduced by Rep. Young and referred to the Committee on Banking and Financial Services.
A bill to amend 1995 PA 162, entitled
"Credit reform act,"
by amending section 4 (MCL 445.1854).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 4. (1) Except as provided in subsection (2), a regulated
lender may charge, collect, and receive any rate of interest or
finance
charge for an extension of credit not to that does not
exceed 25% per annum.
(2)
A depository institution regulated
lender may charge,
collect, and receive any rate of interest or finance charge for a
credit card arrangement or a residential mortgage loan that does
not exceed 15% per annum.
(3) Except for a fee or charge provided for in section 6 or 7,
in connection with an extension of credit made to an individual for
personal, family, or household purposes, the interest or finance
charge that is calculated on the principal balance shall be
computed only on the basis of the unpaid balance.