South Carolina § 37-2-405 - Balloon payments.
Full text of South Carolina South Carolina Code of Laws § 37-2-405 — Balloon payments., with citation guidance and answers to common questions.
§ 37-2-405. Balloon payments.
(1) Except as provided in subsection (2), if any scheduled payment of a consumer credit sale is more than twice as large as the average of earlier scheduled payments, the consumer has the right to refinance, without penalty, the amount of that payment at the time it is due. The terms of the refinancing shall be no less favorable to the consumer than the terms of the original transaction.
(2) This section does not apply to:
(a) a transaction pursuant to a revolving charge account;
(b) a transaction to the extent that the payment schedule is adjusted to the seasonal or irregular income or scheduled payments or obligations of the consumer;
(c) a credit transaction to the extent a formula for determining the rate of the credit service charge and any change in the amount of payment upon renegotiation or refinancing is specified in the agreement between the parties or is an alternative mortgage instrument; or
(d) a transaction of a class defined by rule of the administrator as not requiring for the protection of the consumer his right to refinance as provided in this section.
HISTORY: 1962 Code SECTION 8-800.195; 1974 (58) 2879; 1982 Act No. 385, SECTION 22; 1989 Act No. 144, SECTION 3.
Frequently Asked Questions About South Carolina § 37-2-405
What does South Carolina Code of Laws § 37-2-405 cover?
Section 37-2-405 ("Balloon payments.") is part of the South Carolina Code of Laws, the codified statutory law of South Carolina. 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 South Carolina § 37-2-405?
A common citation format is "South Carolina Code of Laws § 37-2-405" (South Carolina). 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 South Carolina law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the South Carolina official source linked on this page or consult a licensed South Carolina attorney.
How does South Carolina § 37-2-405 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in South Carolina 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 South Carolina.