Section 12-623 - Delinquency charge; attorney's fees and court costs. - Maryland Statutes

§ 12-623. Delinquency charge; attorney's fees and court costs.
 

(a)  Delinquency charge.- If an agreement on which the finance charge is computed in advance so provides, the holder of the agreement may collect a delinquency or collection charge of the lesser of $10 or 5 percent of the amount of any payment in default, if the default has continued for at least 10 days. 

(b)  Attorney's fees and court costs.-  

(1) In addition to the delinquency or collection charge, the agreement may provide for the payment of: 

(i) Attorney's fees not exceeding 15 percent of the amount due and payable under the agreement; and 

(ii) Court costs. 

(2) Attorney's fees may be collected only if the agreement is referred for collection to an attorney who is not a salaried employee of the holder. 
 

[An. Code 1957, art. 83, § 145; 1975, ch. 49, § 3; 1980, ch. 386; 1983, ch. 210.]