MS SB2359

Requires all contracts, credit sales, obligations, or extensions of credit with a principal balance exceeding $2,000 to include a provision allowing borrowers to skip one payment per calendar year.

When a borrower elects to skip a payment, the contract term extends by one month to accommodate the missed payment.

Applies to any credit extension regardless of other existing laws or contractual provisions.

Effective date is July 1, 2011.