Section 490.111. Definitions.

Rule 1.  (1) As used in these rules:

(a)  "Act" means 2003 PA 215, MCL 490.101 to  490.601,  and  any amendments thereto.

(b)  "Delinquent loan" means a loan on which the aggregate of payments made is less than the aggregate of principal and interest due under the terms of the loan.

(c)   "Obligation" means a loan or a  group  of  loans  or  an  installment contract or a group of installment  contracts  on  which  the  interest  is computed on the basis of unpaid balances.

(d)   "Months delinquent" means the number of whole months that have elapsed since a payment or partial payment has become due and remains unpaid. All payments or partial payments made shall apply successively to the  first occurring payment that has become due and remains unpaid. The original terms of the promissory note or extension agreement, including loans in bankruptcy or judgment proceedings, are to be used for the purpose of calculating months delinquent.

(2) Terms defined in the act have the same meanings when used in these rules.

History: 2005 AACS.