WILLIAM DONALD SCHAEFER, Governor Ch. 456
Article - Commercial Law

12-905.

(a) With respect to an unsecured open end credit plan, fees or charges may not
be imposed on a consumer borrower in addition to interest or finance charges as
permitted by this subtitle, except as follows:

(1) If the plan is offered by a seller of goods or services, or both, and may
be used only for the purchase or lease of the seller's goods and services, the seller may
charge one of the following fees:

(i) An annual charge in any amount the agreement provides for the
privileges made available to the consumer borrower under the plan;

(ii) A transaction charge or charges in such amount or amounts as
the agreement may provide for each separate purchase under the plan; or

(iii) A minimum charge for each scheduled billing period under the
plan during any portion of which there is an outstanding unpaid indebtedness under the
plan.

(2) If the plan is offered by any other credit grantor, the credit grantor
may impose any or all of the following fees:

(i) An annual charge in any amount the agreement provides for the
privileges made available to the consumer borrower under the plan;

(ii) A transaction charge or charges in such amount or amounts as
the agreement may provide for each separate purchase or loan under the plan; and

(iii) A minimum charge for each scheduled billing period under the
plan during any portion of which there is an outstanding unpaid indebtedness under the
plan.

(b) [With] EXCEPT AS PROVIDED IN SUBSECTION (F) OF THIS
SECTION, WITH respect to a secured open end credit plan, fees or charges may not be
imposed on a consumer borrower in addition to interest or finance charges except for
actual and verifiable fees incurred by the credit grantor and not retained by the credit
grantor for the following:

(1) Attorney's fees for services rendered in connection with the
preparation, closing, or disbursement of the loan;

(2) Any expense, tax, or charge paid to a governmental agency;

(3) Examination of title, appraisal, or other costs necessary or appropriate
to the security of the loan; and

(4) Premiums for any insurance coverage permitted under this subtitle,
(c) If a plan is established for a consumer borrower, a fee or charge may not be

- 1873 -