{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/6.2-318.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/6.2-318.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/6.2-318.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/6.2-318.html"}],"law_id":86413,"edition_id":1,"section_id":86413,"structure_id":13915,"section_number":"6.2-318","catch_line":"Loans by credit unions","history":"1987, c. 622, \u00a7 6.1-330.64; 2006, c. 753; 2010, c. 794; 2015, cc. 453, 454.","full_text":"A\n\nAs used in this section, “average daily balance” means, for any billing period, that amount which is the sum of the actual amounts outstanding each day during the billing period divided by the number of days in the billing period.B\n\nNotwithstanding any other statute or provision relating to interest or usury, any credit union may charge interest as agreed by the borrower provided such interest is not charged in advance.C\n\nAny open-end credit plan offered by a credit union shall provide:1\n\nFor computation of any finance charges by application of a rate, at the option of the credit union, to:\n\t\t\t\ta. The average daily balance for the period ending on the billing date;\n\t\t\t\tb. The balance existing on the billing date of the month; or\n\t\t\t\tc. Any other balance which does not result in the credit union charging or receiving any sum in excess of what would be charged or received under subdivision a or b;2\n\nThat no finance charge shall be imposed unless the bill is mailed not later than eight days, excluding Saturdays, Sundays and holidays, after the billing date, except that such time limitation shall not apply in any case where the credit union has been prevented, delayed, or hindered in mailing or delivering the bill within such time period because of an act of God, war, civil disorder, natural disaster, strike, or other excusable or justifiable cause; and3\n\nThat in the event of the extension of open-end credit by a credit union to be effected by the use of a credit card for the purchase of merchandise or services, no finance charge shall be imposed upon the member or cardholder on such extension of credit if payment in full of the unpaid balance owing for extensions of credit for merchandise or services is received at the place designated by the credit union prior to the payment due date, which shall be at least 25 days later than the billing date.D\n\nNotwithstanding any provision of this chapter other than § 6.2-327 and subsection C, a credit union engaged in extending credit under an open-end credit plan may impose, on credit extended under the plan, finance charges and other charges and fees at such rates and in such amounts and manner as may be agreed upon by the credit union and the obligor, if under the plan a finance charge is imposed upon the obligor.","order_by":null,"text":{"0":{"id":309523,"text":"As used in this section, “average daily balance” means, for any billing period, that amount which is the sum of the actual amounts outstanding each day during the billing period divided by the number of days in the billing period.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":309524,"text":"Notwithstanding any other statute or provision relating to interest or usury, any credit union may charge interest as agreed by the borrower provided such interest is not charged in advance.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"C"},"2":{"id":309525,"text":"Any open-end credit plan offered by a credit union shall provide:","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B","next_prefix":"C1"},"3":{"id":309526,"text":"For computation of any finance charges by application of a rate, at the option of the credit union, to:\n\t\t\t\ta. The average daily balance for the period ending on the billing date;\n\t\t\t\tb. The balance existing on the billing date of the month; or\n\t\t\t\tc. Any other balance which does not result in the credit union charging or receiving any sum in excess of what would be charged or received under subdivision a or b;","type":"section","prefixes":["C","1"],"prefix":"1","entire_prefix":"C1","prefix_anchor":"C1","level":2,"prior_prefix":"C","next_prefix":"C2"},"4":{"id":309527,"text":"That no finance charge shall be imposed unless the bill is mailed not later than eight days, excluding Saturdays, Sundays and holidays, after the billing date, except that such time limitation shall not apply in any case where the credit union has been prevented, delayed, or hindered in mailing or delivering the bill within such time period because of an act of God, war, civil disorder, natural disaster, strike, or other excusable or justifiable cause; and","type":"section","prefixes":["C","2"],"prefix":"2","entire_prefix":"C2","prefix_anchor":"C2","level":2,"prior_prefix":"C1","next_prefix":"C3"},"5":{"id":309528,"text":"That in the event of the extension of open-end credit by a credit union to be effected by the use of a credit card for the purchase of merchandise or services, no finance charge shall be imposed upon the member or cardholder on such extension of credit if payment in full of the unpaid balance owing for extensions of credit for merchandise or services is received at the place designated by the credit union prior to the payment due date, which shall be at least 25 days later than the billing date.","type":"section","prefixes":["C","3"],"prefix":"3","entire_prefix":"C3","prefix_anchor":"C3","level":2,"prior_prefix":"C2","next_prefix":"D"},"6":{"id":309529,"text":"Notwithstanding any provision of this chapter other than § 6.2-327 and subsection C, a credit union engaged in extending credit under an open-end credit plan may impose, on credit extended under the plan, finance charges and other charges and fees at such rates and in such amounts and manner as may be agreed upon by the credit union and the obligor, if under the plan a finance charge is imposed upon the obligor.","type":"section","prefixes":["D"],"prefix":"D","entire_prefix":"D","prefix_anchor":"D","level":1,"prior_prefix":"C3"}},"ancestry":[{"id":13915,"edition_id":1,"name":"Loans Exempt From Limit on Contract Rate of Interest","identifier":"4","label":"article","depth":4,"order_by":1,"parent_id":13814,"metadata":{},"date_created":"2026-06-26 03:46:17","date_modified":"2026-06-26 03:46:17","permalink":{"id":263377,"object_type":"structure","relational_id":13915,"identifier":"4","token":"6.2\/I\/3\/4","url":"\/6.2\/I\/3\/4\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13814,"edition_id":1,"name":"Interest and Usury","identifier":"3","label":"chapter","depth":3,"order_by":1,"parent_id":12853,"metadata":{},"date_created":"2026-06-26 03:45:57","date_modified":"2026-06-26 03:45:57","permalink":{"id":263333,"object_type":"structure","relational_id":13814,"identifier":"3","token":"6.2\/I\/3","url":"\/6.2\/I\/3\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12853,"edition_id":1,"name":"General Provisions","identifier":"I","label":"subtitle","depth":2,"order_by":1,"parent_id":12852,"metadata":{},"date_created":"2026-06-26 03:43:56","date_modified":"2026-06-26 03:43:56","permalink":{"id":263251,"object_type":"structure","relational_id":12853,"identifier":"I","token":"6.2\/I","url":"\/6.2\/I\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12852,"edition_id":1,"name":"Financial Institutions and Services","identifier":"6.2","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:56","date_modified":"2026-06-26 03:43:56","permalink":{"id":263249,"object_type":"structure","relational_id":12852,"identifier":"6.2","token":"6.2","url":"\/6.2\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":64100,"structure_id":13915,"section_number":"6.2-309","catch_line":"Charges by banks and savings institutions on installment loans","url":"\/6.2-309\/","token":"6.2\/I\/3\/4\/6.2-309","metadata":false},{"id":77440,"structure_id":13915,"section_number":"6.2-310","catch_line":"Rate of interest chargeable by state banks and savings institutions","url":"\/6.2-310\/","token":"6.2\/I\/3\/4\/6.2-310","metadata":false},{"id":68100,"structure_id":13915,"section_number":"6.2-311","catch_line":"Closed-end installment loans by sellers of goods or services","url":"\/6.2-311\/","token":"6.2\/I\/3\/4\/6.2-311","metadata":false},{"id":71317,"structure_id":13915,"section_number":"6.2-312","catch_line":"Open-end credit plans","url":"\/6.2-312\/","token":"6.2\/I\/3\/4\/6.2-312","metadata":false},{"id":71741,"structure_id":13915,"section_number":"6.2-313","catch_line":"Open-end credit extended by banks or savings institutions","url":"\/6.2-313\/","token":"6.2\/I\/3\/4\/6.2-313","metadata":false},{"id":55614,"structure_id":13915,"section_number":"6.2-314","catch_line":"Motor vehicle purchase loans by subsidiaries and affiliates of banks and savings institutions","url":"\/6.2-314\/","token":"6.2\/I\/3\/4\/6.2-314","metadata":false},{"id":57088,"structure_id":13915,"section_number":"6.2-315","catch_line":"Loans by certain financial institutions or brokers payable on demand or having a term up to one year","url":"\/6.2-315\/","token":"6.2\/I\/3\/4\/6.2-315","metadata":false},{"id":80987,"structure_id":13915,"section_number":"6.2-316","catch_line":"Loans of $5,000 or more made by certain financial institutions","url":"\/6.2-316\/","token":"6.2\/I\/3\/4\/6.2-316","metadata":false},{"id":69996,"structure_id":13915,"section_number":"6.2-317","catch_line":"Loans of $5,000 or more for business or investment purposes","url":"\/6.2-317\/","token":"6.2\/I\/3\/4\/6.2-317","metadata":false},{"id":86413,"structure_id":13915,"section_number":"6.2-318","catch_line":"Loans by credit unions","url":"\/6.2-318\/","token":"6.2\/I\/3\/4\/6.2-318","metadata":false},{"id":73942,"structure_id":13915,"section_number":"6.2-319","catch_line":"Loans by pension plans to participants","url":"\/6.2-319\/","token":"6.2\/I\/3\/4\/6.2-319","metadata":false},{"id":80507,"structure_id":13915,"section_number":"6.2-320","catch_line":"Loans by industrial loan associations","url":"\/6.2-320\/","token":"6.2\/I\/3\/4\/6.2-320","metadata":false},{"id":63304,"structure_id":13915,"section_number":"6.2-321","catch_line":"Loans pursuant to stock option financing programs","url":"\/6.2-321\/","token":"6.2\/I\/3\/4\/6.2-321","metadata":false},{"id":59573,"structure_id":13915,"section_number":"6.2-322","catch_line":"Extensions of credit on pledged securities","url":"\/6.2-322\/","token":"6.2\/I\/3\/4\/6.2-322","metadata":false},{"id":54963,"structure_id":13915,"section_number":"6.2-323","catch_line":"Educational loans by banks or savings institutions","url":"\/6.2-323\/","token":"6.2\/I\/3\/4\/6.2-323","metadata":false},{"id":77770,"structure_id":13915,"section_number":"6.2-324","catch_line":"Educational loans by private institution of higher education","url":"\/6.2-324\/","token":"6.2\/I\/3\/4\/6.2-324","metadata":false},{"id":81140,"structure_id":13915,"section_number":"6.2-325","catch_line":"Certain loans secured by first deed of trust or mortgage","url":"\/6.2-325\/","token":"6.2\/I\/3\/4\/6.2-325","metadata":false},{"id":57847,"structure_id":13915,"section_number":"6.2-326","catch_line":"Fees and charges in connection with loans by real estate lenders","url":"\/6.2-326\/","token":"6.2\/I\/3\/4\/6.2-326","metadata":false},{"id":66025,"structure_id":13915,"section_number":"6.2-327","catch_line":"Certain loans secured by a subordinate deed of trust or mortgage","url":"\/6.2-327\/","token":"6.2\/I\/3\/4\/6.2-327","metadata":false},{"id":55296,"structure_id":13915,"section_number":"6.2-328","catch_line":"Charges allowed on loan secured by subordinate mortgage","url":"\/6.2-328\/","token":"6.2\/I\/3\/4\/6.2-328","metadata":false},{"id":71049,"structure_id":13915,"section_number":"6.2-329","catch_line":"Loans insured or guaranteed by certain governmental agencies","url":"\/6.2-329\/","token":"6.2\/I\/3\/4\/6.2-329","metadata":false}],"previous_section":{"id":69996,"structure_id":13915,"section_number":"6.2-317","catch_line":"Loans of $5,000 or more for business or investment purposes","url":"\/6.2-317\/","token":"6.2\/I\/3\/4\/6.2-317","metadata":false},"next_section":{"id":73942,"structure_id":13915,"section_number":"6.2-319","catch_line":"Loans by pension plans to participants","url":"\/6.2-319\/","token":"6.2\/I\/3\/4\/6.2-319","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/6.2-318\/","history_text":"

This law was first created in 1987. The record of its establishment is cataloged in chapter 622 of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. Unfortunately, the 1987 \u201cActs\u201d aren\u2019t available online. It has been modified 3 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 2006, chapter 753<\/a>; in 2010, chapter 794<\/a>; in 2015, chapters 453<\/a> and 454<\/a>.<\/p>","references":false,"refers_to":[{"id":66025,"section_number":"6.2-327","catch_line":"Certain loans secured by a subordinate deed of trust or mortgage","order_by":null,"url":"\/6.2-327\/"}],"permalink":{"id":263415,"object_type":"law","relational_id":86413,"identifier":"6.2-318","token":"6.2\/I\/3\/4\/6.2-318","url":"\/6.2-318\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/6.2-318\/","token":"6.2\/I\/3\/4\/6.2-318","dublin_core":{"Title":"Loans by credit unions","Type":"Text","Format":"text\/html","Identifier":"\u00a7 6.2-318","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> As used in this section, “average daily balance” means, for any billing period, that amount which is the sum of the actual amounts outstanding each day during the billing period divided by the number of days in the billing period. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> Notwithstanding any other statute<\/span> or provision relating to interest or usury, any credit union<\/span> may charge interest as agreed by the borrower provided such interest is not charged in advance. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> Any open-end credit plan<\/span> offered by a credit union<\/span> shall provide: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> For computation of any finance charges by application of a rate, at the option of the credit union<\/span>, to:\n\t\t\t\ta. The average daily balance for the period ending on the billing date;\n\t\t\t\tb. The balance existing on the billing date of the month; or\n\t\t\t\tc. Any other balance which does not result in the credit union<\/span> charging or receiving any sum in excess of what would be charged or received under subdivision a or b; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> That no finance charge shall be imposed unless the bill is mailed not later than eight days, excluding Saturdays, Sundays and holidays, after the billing date, except that such time limitation shall not apply in any case where the credit union<\/span> has been prevented, delayed, or hindered in mailing or delivering the bill within such time period because of an act of God, war, civil disorder, natural disaster, strike, or other excusable or justifiable cause; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> That in the event of the extension of open-end credit by a credit union<\/span> to be effected by the use of a credit card for the purchase of merchandise or services, no finance charge shall be imposed upon the member or cardholder on such extension of credit if payment in full of the unpaid balance owing for extensions of credit for merchandise or services is received at the place designated by the credit union<\/span> prior to the payment due date, which shall be at least 25 days later than the billing date. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

D.<\/span> Notwithstanding any provision of this chapter other than § 6.2-327<\/a> and subsection C, a credit union<\/span> engaged in extending credit under an open-end credit plan<\/span> may impose, on credit extended under the plan, finance charges and other charges and fees at such rates and in such amounts and manner as may be agreed upon by the credit union<\/span> and the obligor, if under the plan a finance charge is imposed upon the obligor. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nLOANS BY CREDIT UNIONS (\u00a7 6.2-318)\n\nA. As used in this section, “average daily balance” means, for any\nbilling period, that amount which is the sum of the actual amounts outstanding\neach day during the billing period divided by the number of days in the billing\nperiod.\n\nB. Notwithstanding any other statute or provision relating to interest or usury,\nany credit union may charge interest as agreed by the borrower provided such\ninterest is not charged in advance.\n\nC. Any open-end credit plan offered by a credit union shall provide:\n\n 1. For computation of any finance charges by application of a rate, at the\n option of the credit union, to:\n \t\t\t\ta. The average daily balance for the period ending on the billing date;\n \t\t\t\tb. The balance existing on the billing date of the month; or\n \t\t\t\tc. Any other balance which does not result in the credit union charging or\n receiving any sum in excess of what would be charged or received under\n subdivision a or b;\n\n 2. That no finance charge shall be imposed unless the bill is mailed not later\n than eight days, excluding Saturdays, Sundays and holidays, after the billing\n date, except that such time limitation shall not apply in any case where the\n credit union has been prevented, delayed, or hindered in mailing or delivering\n the bill within such time period because of an act of God, war, civil\n disorder, natural disaster, strike, or other excusable or justifiable cause;\n and\n\n 3. That in the event of the extension of open-end credit by a credit union to\n be effected by the use of a credit card for the purchase of merchandise or\n services, no finance charge shall be imposed upon the member or cardholder on\n such extension of credit if payment in full of the unpaid balance owing for\n extensions of credit for merchandise or services is received at the place\n designated by the credit union prior to the payment due date, which shall be\n at least 25 days later than the billing date.\n\nD. Notwithstanding any provision of this chapter other than § 6.2-327 and\nsubsection C, a credit union engaged in extending credit under an open-end\ncredit plan may impose, on credit extended under the plan, finance charges and\nother charges and fees at such rates and in such amounts and manner as may be\nagreed upon by the credit union and the obligor, if under the plan a finance\ncharge is imposed upon the obligor.\n\nHISTORY: 1987, c. 622, \u00a7 6.1-330.64; 2006, c. 753; 2010, c. 794; 2015, cc. 453,\n454.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}