17:9A-59.27 - Interest rate - New Jersey Statutes

17:9A-59.27.  Interest rate    (a) Notwithstanding the provisions of R.S. 31:1-1 or any other law to the contrary, a bank may contract for and receive interest on a small business loan  calculated according to the actuarial method, at a rate or rates agreed on by  the bank and the borrower.  This subsection shall not limit or restrict the  manner of contracting for the interest charge, whether by way of add-on, discount or otherwise, so long as such charge does not exceed the limitation imposed by this section.  In the case of a precomputed loan, the interest charge may be computed on the assumption that all scheduled payments will be made when due, and all scheduled installment payments made on a precomputed loan may be applied as if they were received on their scheduled due dates.  In the case of nonprecomputed loans, all installment payments shall be applied no later than the next day, other than a public holiday, after the date of receipt, and a day shall be counted as one three-hundred-sixty-fifth of a year.

    (b) (Deleted by amendment.)

     L.1964, c. 162, s. 3.  Amended by L.1968, c. 36, s. 1, eff. May 9, 1968; L.1972, c. 119, s. 1, eff. Aug. 4, 1972;  L.1979, c. 319, s. 2, eff. Jan. 18, 1980;  L.1981, c. 103, s. 5, eff. March 31, 1981.