NC H787

Defines "servicemember" as a member of the uniformed services under 10 U.S.C. § 101(a)(5) and creates separate finance charge rate limits for servicemembers and non-servicemembers in consumer credit installment sales contracts.

Expands the definition of "official fees" to include fees paid by the seller (for non-servicemembers) in addition to fees paid to public officials (for servicemembers) for perfecting, releasing, or satisfying security interests.

Increases maximum finance charge rates for non-servicemembers on amounts under $7,500: 24% for amounts under $3,500; 22% for $3,500-$4,999; 20% for $5,000-$7,499; and 18% for amounts $7,500 and above, with a $5.00 minimum finance charge.

Sets different finance charge rates for motor vehicle contracts based on vehicle model year, with rates ranging from 18%-29% per annum for non-servicemembers depending on vehicle age.

Takes effect October 1, 2019, and applies to contracts entered into, renewed, or modified on or after that date.