California Codes, Civil Code - CIV, Division 3 — Obligations, Part 4 — Obligations Arising from Particular Transactions, Title 2 — Credit Sales, Chapter 1 — Retail Installment Sales, Article 5 — Finance Charge Limitation, Section 1805.9
No contract shall provide for a finance charge which is determined in part by the precomputed basis and in part by the simple-interest basis, except for any finance charge permitted by Section 1805.8.
Notes
Prohibits a contract from calculating a finance charge partly on a precomputed basis and partly on a simple-interest basis. Exempts from that prohibition any finance charge permitted by the referenced provision, so mixed-basis finance charges are barred unless they fall within that stated authorization.
Use as reference
Lexinter.net | California Code, Civil Code - CIV § 1805.9 | https://laws.lexinter.net/codes/california/civil-code/division-3/part-4/title-2/chapter-1/article-5/section-1805-9