2784                                          LAWS OF MARYLAND                                      Ch. 733

(G) IF INTEREST CHARGED PURSUANT TO THIS SUBTITLE IN
RESPECT OF A LOAN TO A BUYER HAS BEEN PRECOMPUTED, THEN, IN THE
EVENT OF PREPAYMENT OF THE ENTIRE LOAN, THE HOLDER SHALL REFUND
OR CREDIT TO THE BUYER THE UNEARNED PORTION OF THE PRECOMPUTED
INTEREST CHARGE. THIS REFUND OR CREDIT SHALL BE IN AN AMOUNT NOT
LESS THAN THE AMOUNT WHICH WOULD BE REFUNDED OR CREDITED IF THE
UNEARNED PRECOMPUTED INTEREST CHARGE WERE CALCULATED IN
ACCORDANCE WITH THE ACTUARIAL METHOD, EXCEPT THAT THE BUYER MAY
NOT BE ENTITLED TO A REFUND OR CREDIT OF LESS THAN $5. THE
UNEARNED PORTION OF THE PRECOMPUTED INTEREST CHARGE IS, AT THE
OPTION OF THE HOLDER, EITHER:

(1) THAT PORTION OF THE PRECOMPUTED INTEREST CHARGE
WHICH IS ALLOCABLE TO ALL ORIGINALLY SCHEDULED OR, IF DEFERRED,
ALL DEFERRED PAYMENT PERIODS, OR PORTIONS OF PAYMENT PERIODS,
ENDING SUBSEQUENT TO THE DATE OF PREPAYMENT. THE UNEARNED
PRECOMPUTED INTEREST CHARGE IS THE TOTAL OF THAT WHICH WOULD HAVE
BEEN EARNED FOR EACH PERIOD, OR PORTION OF A PERIOD, HAD THE LOAN
NOT BEEN PRECOMPUTED, BY APPLYING TO THE UNPAID BALANCES OF
PRINCIPAL, ACCORDING TO THE ACTUARIAL METHOD, AN ANNUAL
PERCENTAGE RATE BASED ON THE PRECOMPUTED INTEREST CHARGES,
ASSUMING THAT ALL PAYMENTS WERE MADE AS SCHEDULED, OR AS
DEFERRED, IF DEFERRED. THE HOLDER AT ITS OPTION, MAY ROUND THIS
ANNUAL PERCENTAGE RATE TO THE NEAREST 1/4 OF 1 PERCENT; OR

(2) THE TOTAL PRECOMPUTED INTEREST CHARGE LESS THE
EARNED PRECOMPUTED INTEREST CHARGE. THE EARNED PRECOMPUTED
INTEREST CHARGE SHALL BE DETERMINED BY APPLYING AN ANNUAL
PERCENTAGE RATE BASED ON THE TOTAL PRECOMPUTED INTEREST CHARGE,
UNDER THE ACTUARIAL METHOD, TO THE UNPAID BALANCES FOR THE ACTUAL
TIME THOSE BALANCES WERE UNPAID UP TO THE DATE OF PREPAYMENT.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall
take effect July 1, 1986.

Approved May 27, 1986.

CHAPTER 733

(House Bill 652)

AN ACT concerning

Health Care - Rehabilitation Beds

Trauma Victims

FOR the purpose of requiring a certificate of need before a
person builds, develops, or establishes a certain health
care facility to provide long-term rehabilitation care for
certain trauma victims; excluding certain individuals from
the scope of trauma victims; redefining a health care