Made available by Touch N' Go Systems, Inc., and the
Law Offices of James B. Gottstein.

You can also go to The Alaska Legal Resource Center or search the entire website search.

Touch N' Go, the DeskTop In-and-Out Board makes your office run smoother. Visit Touch N' Go's Website to see how.
Title 3 . Commerce, Community, and Economic Development
Chapter 7 . Land Sales
Section 335. Refund of unearned service charge on prepaid accounts

3 AAC 07.335. Refund of unearned service charge on prepaid accounts

(a) A borrower may prepay the outstanding balance on a premium finance agreement in full at any time before the due date of the final installment. If a borrower does prepay the outstanding balance in full, the borrower is entitled to receive a refund credit of the unearned service charge on the account, computed from the date that the prepayment is received by the licensee.

(b) A refund credit of the unearned service charge made under this section must be computed by the licensee in accordance with the sum-of-the-digits method, commonly known as the Rule of 78's.

(c) The nonrefundable charge of a maximum of $10 per premium finance agreement may be excluded from the computation for a refund under this section, since interest may not be charged for that fee.

History: Eff. 4/16/2000, Register 154

Authority: AS 06.40.120

AS 06.40.180

Note to HTML Version:

The Alaska Administrative Code was automatically converted to HTML from a plain text format. Every effort has been made to ensure its accuracy, but neither Touch N' Go Systems nor the Law Offices of James B. Gottstein can be held responsible for any possible errors. This version of the Alaska Administrative Code is current through June, 2006.

If it is critical that the precise terms of the Alaska Administrative Code be known, it is recommended that more formal sources be consulted. Recent editions of the Alaska Administrative Journal may be obtained from the Alaska Lieutenant Governor's Office on the world wide web. If any errors are found, please e-mail Touch N' Go systems at E-mail. We hope you find this information useful. Copyright 2006. Touch N' Go Systems, Inc. All Rights Reserved.

Last modified 7/05/2006