MARVIN MANDEL, Governor

461

"add-on" rates. (Cf. subsection (b)(1) of this
section.)

For purposes of clarity, in this section, the
words "principal balance" are substituted for
"unpaid balance." This conforms to the usage
with respect to installment agreements; see,
e.g., present Art. 83, §132A.

In subsection (b) of this section, references
to "monthly" instalments are deleted as
unnecessary and as inconsistent with the
provisions of subsection (c) of this section.

In subsection (e) (1) of this section, the
words "without penalty" are added for purposes
of clarity and to conform to similar usage
elsewhere in this title.

In subsections (e) and (f) of this section,
the word "seller" is deleted as unnecessary in
light of the definition of "holder" in
§12—501. The words "contract for...and
collect and receive" are deleted as
unnecessary since the right to "charge"
obviously presupposes the right to contract
for and collect.

The only other changes are in style.

With respect to the substitution of "finance
charge" for "service charge" see revisor's
note to §12—501(f). With respect to the use
of the tern "closed end account," see
revisor's note to §12—501(e).

The Commission notes that the last sentence of
each of present Art. 83, §153D(b)(4) and (e) —
now, respectively, subsection (d) and the
first sentence of subsection (e)(4) of this
section - refer expressly to a "seller." This
limited reference appears inconsistent with
the scope of the balance of the section; see,
e.g., the general provisions of present
§153D(a) — now §12—504(a) — which refers to
both a seller and a financial institution (and
their successors in interest); and §153D(e)
which, in its general introductory language —
now subsection (e)(2) of this section — refers
to a "holder." The Commission is uncertain as
to whether or not the limitation was intended
and, therefore, has retained the word "seller"
to avoid making any inadvertent substantive
change.