16a-2-402. (1) This section applies only to consumer loans pursuant to open-end credit.
(2) A charge may be made in each billing cycle which is a percentage of an amount no greater than:
(a) The average daily balance of the account, which is the sum of the actual amounts outstanding each day during the billing cycle divided by the number of days in the cycle; or
(b) the unpaid balance of the account on the last day of the billing cycle.
(3) If the billing cycle is monthly, the charge may not exceed 1/12 of the annual rate agreed to by the consumer. If the billing cycle is not monthly, the maximum charge is that percentage which bears the same relation to the applicable monthly percentage as the number of days in the billing cycle bears to 30. For the purposes of this section, a variation of not more than four days from month to month is "the last day of the billing cycle."
History: L. 1973, ch. 85, § 28; L. 1999, ch. 107, § 16; L. 2024, ch. 6, § 50; January 1, 2025.
KANSAS COMMENT, 2000
The actual rate ceilings for open end consumer loans are set forth in K.S.A. 16a-2-401. This section establishes rules for determining the amount of the unpaid balance against which the finance charge rates will be applied. The various methods of computing the unpaid balance, and the effect of these rules, are explained in Kansas comment 2 to K.S.A. 16a-2-202.
Law Review and Bar Journal References:
"The New Kansas Consumer Legislation," Barkley Clark, 42 J.B.A.K. 147, 194 (1973).
LEGISLATIVE COORDINATING COUNCIL
12/17/2024
Meeting Notice Agenda
12/02/2024 Meeting Notice Agenda 11/14/2024 Meeting Notice Agenda 10/23/2024 Meeting Notice Agenda 09/09/2024 Meeting Notice Agenda 08/21/2024 Meeting Notice Agenda LCC Policies REVISOR OF STATUTES
Chapter 72 Statute Transfer List
Kansas School Equity & Enhancement Act Gannon v. State A Summary of Special Sessions in Kansas Bill Brief for Senate Bill No. 1 Bill Brief for House Bill No. 2001 2024 New, Amended & Repealed Statutes By Bill 2024 New, Amended & Repealed Statutes By KSA 2023 New, Amended & Repealed Statutes By Bill 2023 New, Amended & Repealed Statutes By KSA USEFUL LINKS
Session Laws
OTHER LEGISLATIVE SITES
Kansas LegislatureAdministrative Services Division of Post Audit Research Department |