Title 19
Financial Institutions

Chapter 14.2
Small Loan Lenders

R.I. Gen. Laws § 19-14.2-4

§ 19-14.2-4. Documents delivered to borrower — Advance payments — Release of security.

Every small loan lender who is the holder of any note shall:

(1) Give to the borrower or the borrower’s agent making payment a plain and complete receipt for all payments on the loan at the time the payment is made, in person, at the small loan lender’s office;

(2) Permit payment to be made in advance in any amount on any contract of loan at any time, but the small loan lender may apply the payment first to all interest in full at the agreed rate and other permitted charges, up to the date of the payment; and

(3) Upon repayment of the loan in full, mark indelibly every obligation and security signed by the borrower with the word “paid” or “canceled” and restore any pledge; cancel and return any note or a copy of the note; and cancel and return any assignment, or a copy of the assignment, given to the small loan lender by the borrower.

History of Section.
P.L. 1995, ch. 82, § 54.