§14A-2-310.1. Disclosure in credit and charge card applications and
2,757 words·~13 min read·
/ok/title-14a-consumer-credit-code/14a-2-310-1·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
solicitation.
Disclosure in credit and charge card applications and solicitation.
(1)Any application to open a credit card account for any person under a revolving charge account plan, or a solicitation to
open such an account without requiring an application that is mailed to consumers shall disclose the following information, subject to subsection
(8)of this section and subsections
(5)through
(8)of Section 2-302 of this title.
(a)Each annual percentage rate applicable to extensions
of credit under such credit plan.
(b)Where an extension of credit is subject to a variable
rate, the fact that the rate is variable, the annual
percentage rate in effect at the time of the mailing,
and how the rate is determined.
(c)Where more than one rate applies, the range of
balances to which each rate applies.
(d)Any annual fee, other periodic fee, or membership fee
imposed for the issuance or availability of a credit
card, including any account maintenance fee or other
charge imposed based on activity or inactivity for the
account during the billing cycle.
(e)Any minimum finance charge imposed for each period
during which any extension of credit which is subject
to a finance charge is outstanding.
(f)Any transaction charge imposed in connection with use
of the card to purchase goods or services.
(g)The date by which or the period within which any
credit extended under such credit plan for purchases
of goods or services must be repaid to avoid incurring
a credit service charge, and, if no such period is
offered, such fact shall be clearly stated.
(h)If the length of such "grace period" varies, the card
issuer may disclose the range of days in the grace
period, the minimum number of days in the grace
period, or the average number of days in the grace
period, if the disclosure is identified as such.
(i)The name of the balance calculation method used in
determining the balance on which the credit service
charge is computed if the method used has been defined
by the Administrator, or a detailed explanation of the
balance calculation method used if the method has not
been so defined.
(j)In prescribing rules to carry out the requirement of
paragraph
(i)of this subsection, the Administrator
shall define and name not more than the five
balance calculation methods determined by the
Administrator to be the most commonly used methods.
(2)In addition to the information required to be disclosed under subsection
(1)of this section each application or solicitation to which such subsection applies shall disclose clearly
and conspicuously the following information, subject to subsections
(8)and
(9)of this section:
(a)Any fee imposed for an extension of credit in the form
of cash.
(b)Any fee imposed for a late payment.
(c)Any fee imposed in connection with an extension of
credit in excess of the amount of credit authorized to
be extended with respect to such account.
(a)In any telephone solicitation to open a credit card
account for any person under a revolving charge
account plan, the person making the solicitation shall
orally disclose the information described in
subsection
(1)of this section.
(b)Paragraph
(a)of this subsection shall not apply to
any telephone solicitation if:
(i)the credit card issuer:
(aa)does not impose any fee described in
paragraph
(d)of subsection
(1)of this
section, or
(bb)does not impose any fee in connection with
telephone solicitations unless the consumer
signifies acceptance by using the card;
(ii)the card issuer discloses clearly and
conspicuously in writing the information
described in subsections
(1)and
(2)of this
section within thirty
(30)days after the
consumer requests the card, but in no event later
than the date of delivery of the card; and
(iii)the card issuer discloses clearly and
conspicuously that the consumer is not obligated
to accept the card or account and the consumer
will not be obligated to pay any of the fees or
charges disclosed unless the consumer elects to
accept the card or account by using the card.
(a)Any application to open a credit card account for any
person under a revolving charge account plan, and any
solicitation to open an account without requiring an
application, that is made available to the public or
contained in catalogs, magazines or other publications
shall meet the disclosure requirements of paragraph
(b), (c), or
(d)of this subsection.
(b)An application or solicitation described in paragraph
(a)of this subsection meets the requirement of this
paragraph if such application or solicitation
contains:
(i)the information:
(aa)described in subsection
(1)of this section
in the form required under subsections
through
(8)of Section 2-302 of this title
subject to subsection
(8)of this section,
and
(bb)described in subsection
(2)of this section
in a clear and conspicuous form, subject to
subsections
(8)and
(9)of this section;
(ii)a statement, in a conspicuous and prominent
location on the application or solicitation,
that:
(aa)the information is accurate as of the date
the application or solicitation was printed;
(bb)the information contained in the application
or solicitation is subject to change after
such date; and
(cc)the applicant should contact the creditor
for information on any change in the
information contained in the application or
solicitation since it was printed;
(iii)a clear and conspicuous disclosure of the date
the application or solicitation was printed; and
(iv)a disclosure, in a conspicuous and prominent
location on the application or solicitation, of a
toll free telephone number or a mailing address
at which the applicant may contact the creditor
to obtain any change in the information provided
in the application or solicitation since it was
printed.
(c)An application or solicitation described in paragraph
(a)of this subsection meets the requirement of this
paragraph if such application or solicitation:
(i)contains a statement, in a conspicuous and
prominent location on the application or
solicitation, that:
(aa)there are costs associated with the use of
credit cards; and
(bb)the applicant may contact the creditor to
request disclosure of specific information
of such costs by calling a toll free
telephone number or by writing to an address
specified in the application;
(ii)contains a disclosure, in a conspicuous and
prominent location on the application or
solicitation, of a toll free telephone number and
a mailing address at which the applicant may
contact the creditor to obtain such information;
and
(iii)does not contain any of the items described in
subsections
(1)and
(2)of this section.
(d)An application or solicitation meets the requirements
of this subsection if it contains, or is accompanied
by
(i)the disclosures required by paragraphs
through
(f)of subsection
(1)of Section 2-310 of
this title;
(ii)the disclosures required by subsections
(1)and
(2)of this section included clearly and
conspicuously, except that the provisions of
subsections
(5)through
(8)of Section 2-302 of
this title shall not apply; and
(iii)a toll free telephone number or a mailing address
at which the applicant may contact the creditor
to obtain any change in the information provided.
(e)Upon receipt of a request for any of the information
referred to in paragraph (b),
(c)or
(d)of this
subsection, the card issuer or the agent of such
issuer shall promptly disclose all of the information
described in subsections
(1)and
(2)of this section.
(a)Any application or solicitation to open a charge card
account shall disclose clearly and conspicuously the
following information in the form required by
subsections
(5)through
(8)of Section 2-302 of this
title subject to subsection
(8)of this section:
(i)Any annual fee, other periodic fee, or membership
fee imposed for the issuance or availability of
the charge card, including any account
maintenance fee or other charge imposed based on
activity or inactivity for the account during the
billing cycle.
(ii)Any transaction charge imposed in connection with
use of the card to purchase goods or services.
(iii)A statement that charges incurred by use of the
charge card are due and payable upon receipt of a
periodic statement rendered for such charge card
account.
(b)In addition to the information required to be
disclosed under paragraph
(a)of this subsection each
written application or solicitation to which such
paragraph applies shall disclose clearly and
conspicuously the following information, subject to
subsections
(8)and
(9)of this section:
Any fee imposed for an extension of credit in the
form of cash.
(ii)Any fee imposed for a late payment.
(iii)Any fee imposed in connection with an extension
of credit in excess of the amount of credit
authorized to be extended with respect to such
account.
(c)Any application to open a charge card account, and any
solicitation to open such an account without requiring
an application, that is made available to the public
or contained in catalogs, magazines, or other
publications shall contain:
(i)the information:
(aa)described in paragraph
(a)of this
subsection in the form required under
subsections
(5)through
(8)of Section 2-302
of this title subject to subsection
(8)of
this section; and
(bb)described in paragraph
(b)of this
subsection in a clear and conspicuous form,
subject to subsections
(8)and
(9)of this
section;
(ii)a statement, in a conspicuous and prominent
location on the application or solicitation,
that:
(aa)the information is accurate as of the date
the application or solicitation was printed;
(bb)the information contained in the application
or solicitation is subject to change after
such date; and
(cc)the applicant should contact the creditor
for information on any change in the
information contained in the application or
solicitation since it was printed;
(iii)a clear and conspicuous disclosure of the date
the application or solicitation was printed; and
(iv)a disclosure, in a conspicuous and prominent
location on the application or solicitation, of a
toll free telephone number or a mailing address
at which the applicant may contact the creditor
to obtain any change in the information provided
in the application or solicitation since it was
printed.
(d)If a charge card permits the card holder to receive an
extension of credit under a revolving charge account
plan which is not maintained by the charge card issuer
the charge card issuer may provide the information
described in paragraphs
(a)and
(b)of this subsection
in the form required by such paragraphs in lieu of the
information required to be provided under subsections
(1), (2),
(3)or
(4)of this section with respect to
any credit extended under such plan, if the charge
card issuer discloses clearly and conspicuously to the
consumer in the application or solicitation that:
(i)the charge card issuer will make an independent
decision as to whether to issue the card;
(ii)the charge card may arrive before the decision is
made with respect to an extension of credit under
a revolving charge account plan; and
(iii)approval by the charge card issuer does not
constitute approval by the issuer of the
extension of credit.
(e)The information required to be disclosed under
subsections
(1)and
(2)of this section shall be
provided to the charge card holder by the creditor
which maintains such revolving charge account plan
before the first extension of credit under such plan.
(f)For the purposes of this subsection, the term "charge
card" means a card, plate, or other single credit
device that may be used from time to time to obtain
credit which is not subject to a finance charge.
(6)The Administrator may, by rule, require the disclosure of information in addition to that otherwise required by subsections
(1)through
(7)of this section, and modify any disclosure of information required by subsections
(1)through
(7)of this section, in any application to open a credit card account for any person under a revolving charge account plan or any application to open a charge card account for any person, or a solicitation to open any such account without requiring an application, if the Administrator determines that such action is necessary to carry out the purposes of, or prevent evasions of, any subsection of this section.
(a)Except as provided in paragraph
(b)of this
subsection, a card issuer that imposes any fee
described in subsections (1)(d) or (5)(a)(i) of this
section shall transmit to a consumer at least thirty
(30)days prior to the scheduled renewal date of the
consumer's credit or charge card account a clear and
conspicuous disclosure of:
(i)the date by which, the month by which, or the
billing period at the close of which, the account
will expire if not renewed;
(ii)the information described in subsections
(1)or
(5)(a) of this section that would apply if the
account were renewed, subject to subsection
of this section; and
(iii)the method by which the consumer may terminate
continued credit availability under the account.
(i)The disclosures required by this subsection may
be provided:
(aa)prior to posting a fee described in
subsection (1)(d) or paragraph (a)(i) of
subsection
(5)of this section to the
account; or
(bb)with the periodic billing statement first
disclosing that the fee has been posted to
the account.
(ii)disclosures may be provided under subparagraph
(i)of this paragraph only if:
(aa)the consumer is given a thirty-day period to
avoid payment of the fee or to have the fee
recredited to the account in any case where
the consumer does not wish to continue the
availability of the credit; and
(bb)the consumer is permitted to use the card
during such period without incurring an
obligation to pay such fee.
(c)The Administrator may, by rule, provide for fewer
disclosures than are required by paragraph
(a)of this
subsection in the case of an account which is
renewable for a period of less than six
(6)months.
(a)If the amount of any fee required to be disclosed
under the previous subsections of this section is
determined on the basis of a percentage of another
amount, the percentage used in making such
determination and the identification of the amount
against which such percentage is applied shall be
disclosed in lieu of the amount of such fee.
(b)If a credit or charge card issuer does not impose any
fee required to be disclosed under any provision of
the previous subsections of this section, such
provision shall not apply with respect to such issuer.
(9)If the amount of any fee required to be disclosed by a credit or charge card issuer under subsections (2), (4)(b)(i)(bb), (5)(b) or (5)(c)(i)(bb) of this section varies from state to state, the card issuer may disclose the range of such fees for purposes of subsections
(1)through
(5)of this section in lieu of the amount for each applicable state, if such disclosure includes a statement that the amount of such fee varies from state to state.
(a)Whenever a card issuer that offers any guarantee or
insurance for repayment of all or part of the
outstanding balance of a revolving charge account
plan, proposes to change the person providing that
guarantee or insurance, the card issuer shall send
each insured consumer written notice of the proposed
change not less than thirty
(30)days prior to the
change, including notice of any increase in the rate
or substantial decrease in coverage or service which
will result from such change. Such notice may be
included on or with the monthly statement provided to
the consumer prior to the month in which the proposed
change would take effect.
(b)In any case in which a proposed change described in
paragraph
(a)of this subsection occurs, the insured
consumer shall be given the name and address of the
new guarantor or insurer and a copy of the policy or
group certificate containing the basic terms and
conditions, including the premium rate to be charged.
(c)The notices required under paragraphs
(a)and
(b)of
this subsection shall each include a statement that
the consumer has the option to discontinue the
insurance or guarantee.
(d)No provision of this subsection shall be construed as
superseding any provision of Oklahoma law which is
applicable to the regulation of insurance.
(e)The Administrator shall define, in rules, what
constitutes a "substantial decrease in coverage or
service" for purposes of paragraph
(a)of this
subsection. Added by Laws 1990, c. 260, § 17, operative July 1, 1990.