2015 Oklahoma Statutes
Title 14A. Consumer Credit Code
§14A-2-310.1. Disclosure in credit and charge card applications and solicitation.

Disclosure in credit and charge card applications and solicitation.

(1) Any application to open a credit card account for any person under a revolving charge account plan, or a solicitation to open such an account without requiring an application that is mailed to consumers shall disclose the following information, subject to subsection (8) of this section and subsections (5) through (8) of Section 2-302 of this title.

(a)Each annual percentage rate applicable to extensions of credit under such credit plan.

(b)Where an extension of credit is subject to a variable rate, the fact that the rate is variable, the annual percentage rate in effect at the time of the mailing, and how the rate is determined.

(c)Where more than one rate applies, the range of balances to which each rate applies.

(d)Any annual fee, other periodic fee, or membership fee imposed for the issuance or availability of a credit card, including any account maintenance fee or other charge imposed based on activity or inactivity for the account during the billing cycle.

(e)Any minimum finance charge imposed for each period during which any extension of credit which is subject to a finance charge is outstanding.

(f)Any transaction charge imposed in connection with use of the card to purchase goods or services.

(g)The date by which or the period within which any credit extended under such credit plan for purchases of goods or services must be repaid to avoid incurring a credit service charge, and, if no such period is offered, such fact shall be clearly stated.

(h)If the length of such "grace period" varies, the card issuer may disclose the range of days in the grace period, the minimum number of days in the grace period, or the average number of days in the grace period, if the disclosure is identified as such.

(i)The name of the balance calculation method used in determining the balance on which the credit service charge is computed if the method used has been defined by the Administrator, or a detailed explanation of the balance calculation method used if the method has not been so defined.

(j)In prescribing rules to carry out the requirement of paragraph (i) of this subsection, the Administrator shall define and name not more than the five (5) balance calculation methods determined by the Administrator to be the most commonly used methods.

(2) In addition to the information required to be disclosed under subsection (1) of this section each application or solicitation to which such subsection applies shall disclose clearly and conspicuously the following information, subject to subsections (8) and (9) of this section:

(a)Any fee imposed for an extension of credit in the form of cash.

(b)Any fee imposed for a late payment.

(c)Any fee imposed in connection with an extension of credit in excess of the amount of credit authorized to be extended with respect to such account.

(3) (a)In any telephone solicitation to open a credit card account for any person under a revolving charge account plan, the person making the solicitation shall orally disclose the information described in subsection (1) of this section.

(b)Paragraph (a) of this subsection shall not apply to any telephone solicitation if:

(i)the credit card issuer:

(aa)does not impose any fee described in paragraph (d) of subsection (1) of this section, or

(bb)does not impose any fee in connection with telephone solicitations unless the consumer signifies acceptance by using the card;

(ii)the card issuer discloses clearly and conspicuously in writing the information described in subsections (1) and (2) of this section within thirty (30) days after the consumer requests the card, but in no event later than the date of delivery of the card; and

(iii)the card issuer discloses clearly and conspicuously that the consumer is not obligated to accept the card or account and the consumer will not be obligated to pay any of the fees or charges disclosed unless the consumer elects to accept the card or account by using the card.

(4) (a)Any application to open a credit card account for any person under a revolving charge account plan, and any solicitation to open an account without requiring an application, that is made available to the public or contained in catalogs, magazines or other publications shall meet the disclosure requirements of paragraph (b), (c), or (d) of this subsection.

(b)An application or solicitation described in paragraph (a) of this subsection meets the requirement of this paragraph if such application or solicitation contains:

(i)the information:

(aa)described in subsection (1) of this section in the form required under subsections (5) through (8) of Section 2-302 of this title subject to subsection (8) of this section, and

(bb)described in subsection (2) of this section in a clear and conspicuous form, subject to subsections (8) and (9) of this section;

(ii)a statement, in a conspicuous and prominent location on the application or solicitation, that:

(aa)the information is accurate as of the date the application or solicitation was printed;

(bb)the information contained in the application or solicitation is subject to change after such date; and

(cc)the applicant should contact the creditor for information on any change in the information contained in the application or solicitation since it was printed;

(iii)a clear and conspicuous disclosure of the date the application or solicitation was printed; and

(iv)a disclosure, in a conspicuous and prominent location on the application or solicitation, of a toll free telephone number or a mailing address at which the applicant may contact the creditor to obtain any change in the information provided in the application or solicitation since it was printed.

(c)An application or solicitation described in paragraph (a) of this subsection meets the requirement of this paragraph if such application or solicitation:

(i)contains a statement, in a conspicuous and prominent location on the application or solicitation, that:

(aa)there are costs associated with the use of credit cards; and

(bb)the applicant may contact the creditor to request disclosure of specific information of such costs by calling a toll free telephone number or by writing to an address specified in the application;

(ii)contains a disclosure, in a conspicuous and prominent location on the application or solicitation, of a toll free telephone number and a mailing address at which the applicant may contact the creditor to obtain such information; and

(iii)does not contain any of the items described in subsections (1) and (2) of this section.

(d)An application or solicitation meets the requirements of this subsection if it contains, or is accompanied by

(i)the disclosures required by paragraphs (a) through (f) of subsection (1) of Section 2-310 of this title;

(ii)the disclosures required by subsections (1) and (2) of this section included clearly and conspicuously, except that the provisions of subsections (5) through (8) of Section 2-302 of this title shall not apply; and

(iii)a toll free telephone number or a mailing address at which the applicant may contact the creditor to obtain any change in the information provided.

(e)Upon receipt of a request for any of the information referred to in paragraph (b), (c) or (d) of this subsection, the card issuer or the agent of such issuer shall promptly disclose all of the information described in subsections (1) and (2) of this section.

(5)(a)Any application or solicitation to open a charge card account shall disclose clearly and conspicuously the following information in the form required by subsections (5) through (8) of Section 2-302 of this title subject to subsection (8) of this section:

(i)Any annual fee, other periodic fee, or membership fee imposed for the issuance or availability of the charge card, including any account maintenance fee or other charge imposed based on activity or inactivity for the account during the billing cycle.

(ii)Any transaction charge imposed in connection with use of the card to purchase goods or services.

(iii)A statement that charges incurred by use of the charge card are due and payable upon receipt of a periodic statement rendered for such charge card account.

(b)In addition to the information required to be disclosed under paragraph (a) of this subsection each written application or solicitation to which such paragraph applies shall disclose clearly and conspicuously the following information, subject to subsections (8) and (9) of this section:

(i)Any fee imposed for an extension of credit in the form of cash.

(ii)Any fee imposed for a late payment.

(iii)Any fee imposed in connection with an extension of credit in excess of the amount of credit authorized to be extended with respect to such account.

(c)Any application to open a charge card account, and any solicitation to open such an account without requiring an application, that is made available to the public or contained in catalogs, magazines, or other publications shall contain:

(i)the information:

(aa)described in paragraph (a) of this subsection in the form required under subsections (5) through (8) of Section 2-302 of this title subject to subsection (8) of this section; and

(bb)described in paragraph (b) of this subsection in a clear and conspicuous form, subject to subsections (8) and (9) of this section;

(ii)a statement, in a conspicuous and prominent location on the application or solicitation, that:

(aa)the information is accurate as of the date the application or solicitation was printed;

(bb)the information contained in the application or solicitation is subject to change after such date; and

(cc)the applicant should contact the creditor for information on any change in the information contained in the application or solicitation since it was printed;

(iii)a clear and conspicuous disclosure of the date the application or solicitation was printed; and

(iv)a disclosure, in a conspicuous and prominent location on the application or solicitation, of a toll free telephone number or a mailing address at which the applicant may contact the creditor to obtain any change in the information provided in the application or solicitation since it was printed.

(d)If a charge card permits the card holder to receive an extension of credit under a revolving charge account plan which is not maintained by the charge card issuer the charge card issuer may provide the information described in paragraphs (a) and (b) of this subsection in the form required by such paragraphs in lieu of the information required to be provided under subsections (1), (2), (3) or (4) of this section with respect to any credit extended under such plan, if the charge card issuer discloses clearly and conspicuously to the consumer in the application or solicitation that:

(i)the charge card issuer will make an independent decision as to whether to issue the card;

(ii)the charge card may arrive before the decision is made with respect to an extension of credit under a revolving charge account plan; and

(iii)approval by the charge card issuer does not constitute approval by the issuer of the extension of credit.

(e)The information required to be disclosed under subsections (1) and (2) of this section shall be provided to the charge card holder by the creditor which maintains such revolving charge account plan before the first extension of credit under such plan.

(f)For the purposes of this subsection, the term "charge card" means a card, plate, or other single credit device that may be used from time to time to obtain credit which is not subject to a finance charge.

(6) The Administrator may, by rule, require the disclosure of information in addition to that otherwise required by subsections (1) through (7) of this section, and modify any disclosure of information required by subsections (1) through (7) of this section, in any application to open a credit card account for any person under a revolving charge account plan or any application to open a charge card account for any person, or a solicitation to open any such account without requiring an application, if the Administrator determines that such action is necessary to carry out the purposes of, or prevent evasions of, any subsection of this section.

(7)(a)Except as provided in paragraph (b) of this subsection, a card issuer that imposes any fee described in subsections (1)(d) or (5)(a)(i) of this section shall transmit to a consumer at least thirty (30) days prior to the scheduled renewal date of the consumer's credit or charge card account a clear and conspicuous disclosure of:

(i)the date by which, the month by which, or the billing period at the close of which, the account will expire if not renewed;

(ii)the information described in subsections (1) or (5)(a) of this section that would apply if the account were renewed, subject to subsection (8) of this section; and

(iii)the method by which the consumer may terminate continued credit availability under the account.

(b)(i)The disclosures required by this subsection may be provided:

(aa)prior to posting a fee described in subsection (1)(d) or paragraph (a)(i) of subsection (5) of this section to the account; or

(bb)with the periodic billing statement first disclosing that the fee has been posted to the account.

(ii)disclosures may be provided under subparagraph (i) of this paragraph only if:

(aa)the consumer is given a thirty-day period to avoid payment of the fee or to have the fee recredited to the account in any case where the consumer does not wish to continue the availability of the credit; and

(bb)the consumer is permitted to use the card during such period without incurring an obligation to pay such fee.

(c)The Administrator may, by rule, provide for fewer disclosures than are required by paragraph (a) of this subsection in the case of an account which is renewable for a period of less than six (6) months.

(8) (a)If the amount of any fee required to be disclosed under the previous subsections of this section is determined on the basis of a percentage of another amount, the percentage used in making such determination and the identification of the amount against which such percentage is applied shall be disclosed in lieu of the amount of such fee.

(b)If a credit or charge card issuer does not impose any fee required to be disclosed under any provision of the previous subsections of this section, such provision shall not apply with respect to such issuer.

(9) If the amount of any fee required to be disclosed by a credit or charge card issuer under subsections (2), (4)(b)(i)(bb), (5)(b) or (5)(c)(i)(bb) of this section varies from state to state, the card issuer may disclose the range of such fees for purposes of subsections (1) through (5) of this section in lieu of the amount for each applicable state, if such disclosure includes a statement that the amount of such fee varies from state to state.

(10) (a)Whenever a card issuer that offers any guarantee or insurance for repayment of all or part of the outstanding balance of a revolving charge account plan, proposes to change the person providing that guarantee or insurance, the card issuer shall send each insured consumer written notice of the proposed change not less than thirty (30) days prior to the change, including notice of any increase in the rate or substantial decrease in coverage or service which will result from such change. Such notice may be included on or with the monthly statement provided to the consumer prior to the month in which the proposed change would take effect.

(b)In any case in which a proposed change described in paragraph (a) of this subsection occurs, the insured consumer shall be given the name and address of the new guarantor or insurer and a copy of the policy or group certificate containing the basic terms and conditions, including the premium rate to be charged.

(c)The notices required under paragraphs (a) and (b) of this subsection shall each include a statement that the consumer has the option to discontinue the insurance or guarantee.

(d)No provision of this subsection shall be construed as superseding any provision of Oklahoma law which is applicable to the regulation of insurance.

(e)The Administrator shall define, in rules, what constitutes a "substantial decrease in coverage or service" for purposes of paragraph (a) of this subsection.

Added by Laws 1990, c. 260, § 17, operative July 1, 1990.