371.300 Requisites of retail charge agreement.
645 words·~3 min read·
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(1)Each retail charge agreement shall be in writing and signed or accepted by the
buyer. A retail charge agreement shall be deemed to be signed or accepted by the
buyer if, after a request for a retail charge account, the agreement or application for
a retail charge account is in fact signed by the buyer, or if the retail charge account
is used by the buyer, or if the retail charge account is used by another person
authorized by the buyer to use it. The agreement shall not become effective until the
buyer has received the disclosures required pursuant to the Federal Truth-in-
Lending Act, 15 U.S.C. secs. 1601 et seq., and the buyer or person authorized by the
buyer uses the retail charge account. A copy of any such agreement executed or
accepted by the buyer on or after January 1, 1963, shall be delivered or mailed to
the buyer by the seller prior to the date on which the first payment is due thereunder.
Any acknowledgment by the buyer of delivery of a copy of the agreement contained
in the body thereof shall be in a size equal to at least ten
(10)point bold type and
shall appear directly above the buyer's signature. No agreement executed on or after
January 1, 1963, shall be signed or accepted by the buyer when it contains blank
spaces to be filled in after it has been signed. The buyer's acknowledgment,
conforming to the requirements of this subsection, of delivery of a copy of an
agreement, shall be presumptive proof, in any action or proceeding, of such delivery
and that the agreement, when signed or accepted, did not contain any blank spaces
as provided in KRS 371.210 to 371.330. All retail charge agreements executed on
or after January 1, 1963, shall state the maximum amount or rate of the time price
differential to be charged and paid pursuant thereto. Any such agreement shall
contain substantially the following notice printed or typed in a size equal to at least
ten
(10)point bold type: "NOTICE TO THE BUYER -- DO NOT SIGN THIS
AGREEMENT BEFORE YOU READ IT OR IF IT CONTAINS BLANK
SPACES. YOU ARE ENTITLED TO A COPY OF THE AGREEMENT YOU
SIGN."
(2)The seller shall promptly supply the buyer under the retail charge agreement with a
statement as of the end of each monthly period, which need not be a calendar
month, or other regular period agreed upon in writing by the seller and the buyer, in
which there is any unpaid balance thereunder, which statement shall recite the
following:
(a)The unpaid balance under the retail charge agreement at the beginning and at
the end of the period;
(b)Unless otherwise furnished by the seller to the buyer by sales slip,
memorandum, or otherwise, a description or identification of the goods or
services purchased during the period, the cash sale price and the date of each
purchase;
(c)The payments made by the buyer to the seller and any other credits to the
buyer during the period;
(d)The amount, if any, of any time price differential for such period; and
(e)A legend to the effect that the buyer may at any time pay his total unpaid
balance or any part thereof.
(3)A retail charge agreement may provide for, and the seller or holder may then,
notwithstanding the provisions of any other law, charge, collect and receive, in
addition to the cash price, a time price differential for the privilege of paying in
installments thereunder.
(4)The holder of a retail charge agreement, if it so provides, may collect a delinquency
and collection charge on each minimum payment in default for a period of more
than ten
(10)days in an amount not to exceed five percent (5%) of each minimum
payment, or ten dollars ($10), whichever is greater.