{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/6.2-402.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/6.2-402.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/6.2-402.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/6.2-402.html"}],"law_id":80258,"edition_id":1,"section_id":80258,"structure_id":14626,"section_number":"6.2-402","catch_line":"Notice of use of Rule of 78 rebate method","history":"1990, c. 941, \u00a7 6.1-330.85:1; 2010, c. 794.","full_text":"Where any loan or sale on credit contains a provision that a rebate of unearned interest shall be calculated in accordance with the Rule of 78 rebate method as defined in \u00a7 6.2-403, the note or other instrument evidencing the loan or sale on credit shall contain a notice advising the borrower of the effect of the interest calculation. The notice shall be in all capital letters and in 10-point type, and shall be substantially as follows:\n\t\tNOTICE: IF YOU PAY THIS LOAN OR SALE ON CREDIT PARTIALLY OR IN FULL BEFORE ITS DUE DATE, THE AMOUNT OF INTEREST YOU PAY WILL BE GREATER THAN THE AMOUNT OF INTEREST YOU WOULD PAY FOR A SIMPLE INTEREST LOAN OF THE SAME PRINCIPAL AMOUNT.","order_by":null,"text":{"0":{"id":287331,"text":"Where any loan or sale on credit contains a provision that a rebate of unearned interest shall be calculated in accordance with the Rule of 78 rebate method as defined in \u00a7 6.2-403, the note or other instrument evidencing the loan or sale on credit shall contain a notice advising the borrower of the effect of the interest calculation. The notice shall be in all capital letters and in 10-point type, and shall be substantially as follows:\n\t\tNOTICE: IF YOU PAY THIS LOAN OR SALE ON CREDIT PARTIALLY OR IN FULL BEFORE ITS DUE DATE, THE AMOUNT OF INTEREST YOU PAY WILL BE GREATER THAN THE AMOUNT OF INTEREST YOU WOULD PAY FOR A SIMPLE INTEREST LOAN OF THE SAME PRINCIPAL AMOUNT.","type":"section","prefixes":[""],"prefix":"","entire_prefix":"","prefix_anchor":"","level":1}},"ancestry":[{"id":14626,"edition_id":1,"name":"Late Charges and Rebates of Unearned Interest","identifier":"1","label":"article","depth":4,"order_by":1,"parent_id":12854,"metadata":{},"date_created":"2026-06-26 03:48:58","date_modified":"2026-06-26 03:48:58","permalink":{"id":263465,"object_type":"structure","relational_id":14626,"identifier":"1","token":"6.2\/I\/4\/1","url":"\/6.2\/I\/4\/1\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12854,"edition_id":1,"name":"Certain Lending Practices","identifier":"4","label":"chapter","depth":3,"order_by":1,"parent_id":12853,"metadata":{},"date_created":"2026-06-26 03:43:56","date_modified":"2026-06-26 03:43:56","permalink":{"id":263463,"object_type":"structure","relational_id":12854,"identifier":"4","token":"6.2\/I\/4","url":"\/6.2\/I\/4\/","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":85650,"structure_id":14626,"section_number":"6.2-400","catch_line":"Amount of late charge; when charge can be made","url":"\/6.2-400\/","token":"6.2\/I\/4\/1\/6.2-400","metadata":false},{"id":85289,"structure_id":14626,"section_number":"6.2-401","catch_line":"Acceleration clause in note evidencing installment loan; effect of acceleration","url":"\/6.2-401\/","token":"6.2\/I\/4\/1\/6.2-401","metadata":false},{"id":80258,"structure_id":14626,"section_number":"6.2-402","catch_line":"Notice of use of Rule of 78 rebate method","url":"\/6.2-402\/","token":"6.2\/I\/4\/1\/6.2-402","metadata":false},{"id":78834,"structure_id":14626,"section_number":"6.2-403","catch_line":"The Rule of 78","url":"\/6.2-403\/","token":"6.2\/I\/4\/1\/6.2-403","metadata":false},{"id":56171,"structure_id":14626,"section_number":"6.2-404","catch_line":"When use of Rule of 78 prohibited or permitted","url":"\/6.2-404\/","token":"6.2\/I\/4\/1\/6.2-404","metadata":false},{"id":63347,"structure_id":14626,"section_number":"6.2-405","catch_line":"References to sections regulating rebates of unearned interest and prepayment penalties","url":"\/6.2-405\/","token":"6.2\/I\/4\/1\/6.2-405","metadata":false}],"previous_section":{"id":85289,"structure_id":14626,"section_number":"6.2-401","catch_line":"Acceleration clause in note evidencing installment loan; effect of acceleration","url":"\/6.2-401\/","token":"6.2\/I\/4\/1\/6.2-401","metadata":false},"next_section":{"id":78834,"structure_id":14626,"section_number":"6.2-403","catch_line":"The Rule of 78","url":"\/6.2-403\/","token":"6.2\/I\/4\/1\/6.2-403","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/6.2-402\/","history_text":"

This law was first created in 1990. The record of its establishment is cataloged in chapter 941 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 1990 \u201cActs\u201d aren\u2019t available online. It has been modified 1 time. 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. That modification is as follows: in 2010, chapter 794<\/a>.<\/p>","references":false,"refers_to":[{"id":78834,"section_number":"6.2-403","catch_line":"The Rule of 78","order_by":null,"url":"\/6.2-403\/"}],"permalink":{"id":263475,"object_type":"law","relational_id":80258,"identifier":"6.2-402","token":"6.2\/I\/4\/1\/6.2-402","url":"\/6.2-402\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/6.2-402\/","token":"6.2\/I\/4\/1\/6.2-402","dublin_core":{"Title":"Notice of use of Rule of 78 rebate method","Type":"Text","Format":"text\/html","Identifier":"\u00a7 6.2-402","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

Where any loan or sale on credit contains a provision that a rebate of unearned interest shall be calculated in accordance with the Rule of 78 rebate method as defined in \u00a7 6.2-403<\/a>, the note or other instrument evidencing the loan or sale on credit shall contain a notice advising the borrower of the effect of the interest calculation. The notice shall be in all capital letters and in 10-point type, and shall be substantially as follows:\n\t\tNOTICE: IF YOU PAY THIS LOAN OR SALE ON CREDIT PARTIALLY OR IN FULL BEFORE ITS DUE DATE, THE AMOUNT OF INTEREST YOU PAY WILL BE GREATER THAN THE AMOUNT OF INTEREST YOU WOULD PAY FOR A SIMPLE INTEREST LOAN OF THE SAME PRINCIPAL AMOUNT.<\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nNOTICE OF USE OF RULE OF 78 REBATE METHOD (\u00a7 6.2-402)\n\nWhere any loan or sale on credit contains a provision that a rebate of unearned\ninterest shall be calculated in accordance with the Rule of 78 rebate method as\ndefined in \u00a7 6.2-403, the note or other instrument evidencing the loan or sale\non credit shall contain a notice advising the borrower of the effect of the\ninterest calculation. The notice shall be in all capital letters and in 10-point\ntype, and shall be substantially as follows:\n\t\tNOTICE: IF YOU PAY THIS LOAN OR SALE ON CREDIT PARTIALLY OR IN FULL BEFORE ITS\nDUE DATE, THE AMOUNT OF INTEREST YOU PAY WILL BE GREATER THAN THE AMOUNT OF\nINTEREST YOU WOULD PAY FOR A SIMPLE INTEREST LOAN OF THE SAME PRINCIPAL AMOUNT.\n\nHISTORY: 1990, c. 941, \u00a7 6.1-330.85:1; 2010, c. 794.","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}}