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(1) Every applicant for license under the Montana Consumer Loan Act shall file with the commissioner in duplicate, at the time of filing an application for a license, a full and accurate schedule of all charges, fees, and rate(s) of interest to be exacted in connection with any and all loans to be made by the applicant and the method of computing the same.

(2) Licensees shall thereafter maintain on file with the commissioner in duplicate a current schedule of all charges, fees, and rate(s) of interest to be exacted in connection with all loans to be made by the licensee and shall not exact charges, fees, or rate(s) of interest in excess of those contained in the schedule.

(3) Licensees shall display the schedule, which shall include examples of principal, rate(s) of interest, monthly payments, and the contract period covered, prominently in each licensed place of business where loans are made or negotiated so as to be easily readable by borrowers and prospective borrowers.

(4) Licensees may not make loans without having the schedule displayed.

(5) Licensees operating more than one licensed location in Montana shall advise the commissioner at which location or locations each schedule is to be used, if there is more than one schedule.

(6) Licensees shall observe the following procedures in computing interest:

(a) interest shall be computed at the applicable rate on the balance of the loan from the date of the previous payment to the date of the following payment; and

(b) licensees shall compute interest using a 365-day year, or in the case of a leap year a 366-day year, and by counting the actual number of days from one payment to the next.

(7) Licensees shall not fix the due date of the first installment on any loan contract providing for monthly installments, for a term exceeding 45 actual days from the date of loan.

(8) Licensees shall interpret 32-5-301(2), MCA, of the Act "only once" to mean on the same default; i.e., a borrower who defaults in one or more payments may be subject to a penalty as specified in 32-5-301(2), MCA, for each payment in default.

(9) Licensees shall not add to the amount of any balance, which remains after the terminal date of a loan contract, including extensions or charges for payments in default, interest or charges which in the aggregate exceed the legal rate authorized by 31-1-106, MCA.

History: 32-5-401, MCA; IMP, 31-1-106, 32-5-301, MCA; Eff. 12/31/72; TRANS, from Commerce, 2001 MAR p. 1178; AMD, 2010 MAR p. 213, Eff. 1/29/10; AMD, 2013 MAR p. 666, Eff. 4/26/13.

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