2012 South Dakota Codified Laws
Title 54 DEBTOR AND CREDITOR
Chapter 11. Credit Cards And Revolving Charge Accounts
§54-11-10 Modification of credit card agreement--Right to reject changes-Notice-Acceptance.

54-11-10. Modification of credit card agreement--Right to reject changes-Notice-Acceptance. Upon written notice, a credit card issuer may change the terms of any credit card agreement, if such right of amendment has been reserved, regardless of whether the card holder can use the card for new purchases. However, the following changes to the credit card agreement, effective as to existing balances, do not become binding on the parties if the card holder, within twenty-five days of the effective date of the change, furnishes written notice to the issuer, at the address designated by the issuer, that the card holder does not agree to abide by such changes:

(1) Modifying the circumstances under which a finance charge will be imposed;

(2) Altering the method used to calculate finance charges; or

(3) Increasing finance charges, fees, and other costs.

Any other change to the credit card agreement modifying the manner in which the issuer and card holder resolve disputes arising out of their relationship do not become binding on the parties if the card holder, within twenty-five days of the effective date of the change, furnishes written notice to the issuer, at the address designated by the issuer, that the card holder does not agree to abide by such changes.

Use of the card after the effective date of the change of terms is deemed to be an acceptance of the new terms, even if the twenty-five-day period has not expired. Unless otherwise required by 12 C.F.R. § 226, in effect on February 22, 2010, a written change of terms notice is not required if the proposed change in terms has been communicated by the issuer to the card holder and the card holder agrees.

Source: SL 1983, ch 365, § 3; SL 2005, ch 259, § 1; SL 2008, ch 254, § 1; SL 2010, ch 231, § 1.