Colorado § 5-2-204 - Deferral charges - rules.
Full text of Colorado Colorado Revised Statutes § 5-2-204 — Deferral charges - rules., with citation guidance and answers to common questions.
§ 5-2-204. Deferral charges - rules.
(1) With respect to a precomputed consumer credit transaction, the parties before or after default may agree in writing to a deferral of all or part of one or more unpaid installments, and the creditor may make and collect a charge not exceeding the rate previously stated to the consumer pursuant to the provisions on disclosure contained in section 5-3-101 applied to the amount or amounts deferred for the period of deferral calculated without regard to differences in the lengths of months, but proportionally for a part of a month, counting each day as one-thirtieth of a month. A deferral charge may be collected at the time it is assessed or at any time thereafter.
(2) The creditor, in addition to the deferral charge, may make appropriate additional charges described in section 5-2-202, and the amount of these charges that is not paid in cash may be added to the amount deferred for the purpose of calculating the deferral charge.
(3) The parties may agree in writing at the time of a precomputed consumer credit transaction that, if an installment is not paid within ten days after its due date, the creditor may unilaterally grant a deferral and make charges as provided in this section. No deferral charge may be made for a period after the date that the creditor elects to accelerate the maturity of the agreement.
(4) A delinquency charge made by the creditor on an installment may not be retained if a deferral charge is made pursuant to this section with respect to the period of delinquency.
(5) A deferral charge made according to this section is earned pro rata during the period in which no installment is scheduled to be paid by reason of the deferral and is fully earned on the last day of that period.
(6) The administrator may adopt rules regarding deferral charges for nonrecourse consumer credit transactions that have no periodic payments and are secured by an unvested, contingent future interest in the potential net proceeds of a settlement or judgment obtained from the consumer's associated legal claim.
Source: L. 2000: Entire article R&RE, p. 1200, § 1, effective July 1. L. 2023: (6) added, (HB 23-1162), ch. 286, p. 1719, § 1, effective August 7.
Editor's note: This section is similar to former § 5-2-204, as it existed prior to 2000.
Frequently Asked Questions About Colorado § 5-2-204
What does Colorado Revised Statutes § 5-2-204 cover?
Section 5-2-204 ("Deferral charges - rules.") is part of the Colorado Revised Statutes, the codified statutory law of Colorado. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Colorado § 5-2-204?
A common citation format is "Colorado Revised Statutes § 5-2-204" (Colorado). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Colorado law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Colorado official source linked on this page or consult a licensed Colorado attorney.
How does Colorado § 5-2-204 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Colorado can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Colorado.