Public-domain · open source
OpenJurist

Ind. Code § 24-4.5-5-204

Debtor's right to rescind; accruing interest prohibited during rescission period; disbursement of proceeds

Known as the Uniform Consumer Credit Code

The act spans §§ 24-4.5-1-101 to 24-4.5-7-414 (251 sections).

Formerly: Acts 1971, P.L.366, SEC.6

Sec. 204. Debtor's Right to Rescind Certain Transactions — (1) A violation by a creditor of Section 125 of the Consumer Credit Protection Act (as defined in IC 24-4.5-1-302) concerning the debtor's right to rescind a transaction that is a consumer credit sale or a consumer loan constitutes a violation of IC 24-4.5. A creditor may not accrue interest during the period when a consumer loan may be rescinded under Section 125 of the Consumer Credit Protection Act (15 U.S.C. 1635).

(2) A creditor must make available for disbursement the proceeds of a transaction subject to subsection (1) on the later of:

(A) the date the creditor is reasonably satisfied that the consumer has not rescinded the transaction; or

(B) the first business day after the expiration of the rescission period under subsection (1).

Official source: Indiana General Assembly. Reproduced from public-domain Indiana statutes; confirm against the official source for the current text. Not legal advice.