Limitation on default charges in consumer related loans
Ind. Code § 37-2-4-43
in effectSec. 43. (a) The agreement with respect to a consumer related loan may provide for only the following charges as a result of the debtor's default:
(1) reasonable attorney's fees and reasonable expenses incurred in realizing on a security interest;
(2) deferral charges not in excess of twenty-five percent (25%) per year of the amount deferred for the period of deferral; and
(3) other charges that could have been made had the loan been a consumer loan.
(b) A provision in violation of this section is unenforceable.
[Pre-2026 Revision Citation: 24-4.5-3-604.]
As added by P.L.115-2026, SEC.97.
Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://iga.in.gov/laws/2026/ic/titles/37Fetched: 10/17/2026