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Last modified
8/16/2009 2:54:13 PM
Creation date
10/4/2006 6:44:16 AM
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Board Meetings
Board Meeting Date
5/11/1998
Description
CF Section - Policy for Charges on Late Payments
Board Meetings - Doc Type
Memo
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<br />c, . <br /> <br />Procedure Late Charge on Loan Payments <br />Page 2 <br /> <br />/,;.c~ <br />~ " <br />J" <br /> <br />, <br />Saturday 9/29, day 2 - Friday 9/28, day 3 - Thursday 9/27) which is Thursday September <br />27. The loan payment is considered on time if the due date is September 27 or later. <br />The loan payment is considered late if the due date is September 26 or before. <br /> <br />NOTIFICATION OF APPLICATION OF PAYMENT. <br /> <br />A letter is sent to the Borrower within five days of receipt of the payment to advise how <br />the payment was applied. If the Borrower owed a late charge, but did not include it in the <br />payment, the options are outlined in the letter: (1) pay the late charge now, or (2) let it <br />stay on the loan balance and accrue interest. <br /> <br />WAIVING THE LATE CHARGE. <br /> <br />The wording of the late charge provision in the promissory note allows the State to waive <br />imposing the late charge. <br /> <br />Situations that may warrant waiving the late charge: <br /> <br />If the Borrower contacts CWCB 10 days prior to the due date to discuss financial <br />problems and/or <br /> <br />- The financial situation is beyond the control of the Borrower (an unexpected ~ ... c, <br />occurrence) and/or ' <br /> <br />- The Borrower is responsive and willing to work out a remedy. <br /> <br />,:...- <br />
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