Nevada § 104.9616 - Explanation of calculation of surplus or deficiency

§ 104.9616. Explanation of calculation of surplus or deficiency

1. In this section: (a) “ Explanation ” means a record that: (1) States the amount of the surplus or deficiency; (2) Provides an explanation in accordance with subsection 3 of how the secured party

calculated the surplus or deficiency; (3) States, if applicable, that future debits, credits, charges, including additional

credit service charges or interest rebates, and expenses may affect the amount of

the surplus or deficiency; and (4) Provides a telephone number or mailing address from which additional information

concerning the transaction is available. (b) “ Request ” means a record: (1) Signed by a debtor or consumer obligor; (2) Requesting that the recipient provide an explanation; and (3) Sent after disposition of the collateral under NRS 104.9610 . 2. In a consumer-goods transaction in which the debtor is entitled to a surplus or

a consumer obligor is liable for a deficiency under NRS 104.9615 , the secured party shall: (a) Send an explanation to the debtor or consumer obligor, as applicable, after the

disposition and: (1) Before or when the secured party accounts to the debtor and pays any surplus or

first makes demand in a record on the consumer obligor after the disposition for payment

of the deficiency; and (2) Within 14 days after receipt of a request; or (b) In the case of a consumer obligor who is liable for a deficiency, within 14 days

after receipt of a request, send to the consumer obligor a record waiving the secured

party's right to a deficiency. 3. To comply with subparagraph (2) of paragraph (a) of subsection 1, an explanation

must provide the following information in the following order: (a) The aggregate amount of obligations secured by the security interest under which

the disposition was made, and, if the amount reflects a rebate of unearned interest

or credit service charge, an indication of that fact, calculated as of a specified

date: (1) If the secured party takes or receives possession of the collateral after default,

not more than 35 days before the secured party takes or receives possession; or (2) If the secured party takes or receives possession of the collateral before default

or does not take possession of the collateral, not more than 35 days before the disposition; (b) The amount of proceeds of the disposition; (c) The aggregate amount of the obligations after deducting the amount of proceeds; (d) The amount, in the aggregate or by type, and types of expenses, including expenses

of retaking, holding, preparing for disposition, processing and disposing of the collateral,

and attorney's fees secured by the collateral which are known to the secured party

and relate to the current disposition; (e) The amount, in the aggregate or by type, and types of credits, including rebates

of interest or credit service charges, to which the obligor is known to be entitled

and which are not reflected in the amount in paragraph (a); and (f) The amount of the surplus or deficiency. 4. A particular phrasing of the explanation is not required. An explanation complying substantially with the requirements of paragraph (a) of

subsection 1 is sufficient, even if it includes minor errors that are not seriously

misleading. 5. A debtor or consumer obligor is entitled without charge to one response to a request

under this section during any 6-month period in which the secured party did not send

to the debtor or consumer obligor an explanation pursuant to paragraph (a) of subsection

2. The secured party may require payment of a charge not exceeding $25 for each additional

response.