§ 58-35-80. Credit upon anticipation of payments.
§58‑35‑80. Credit upon anticipation of payments.
(a) Notwithstanding theprovisions of any insurance premium finance agreement to the contrary, anyinsured may pay it in full at any time before the maturity of the finalinstallment of the balance thereof; and, if he does so and the agreementincluded an amount for service charge, he shall receive and be entitled toreceive for such anticipation a refund credit thereon.
(b) The amount of anysuch refund credit shall represent at least as great proportion of the servicecharge, if any, as the sum of the periodic balances after the month in whichprepayment is made bears to the sum of all periodic balances under the scheduleof installments in the agreement. Where the amount of the refund credit foranticipation of payment is less than one dollar ($1.00), no refund need bemade. This section does not relieve the premium finance company of its duty toreport and deliver these unrefunded monies to the State Treasurer in accordancewith G.S. 116B‑29(b). (1963, c. 1118; 1981, c. 394,s. 2; 1999‑157, s. 5.)