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Administrative Code

Virginia Administrative Code
11/21/2024

Chapter 414. Bad Check Charges and Late Payment Charges

20VAC5-414-10. Definitions.

The following words and terms when used in this chapter shall have the following meanings unless the context clearly indicates otherwise:

"Bad check charge" means a service charge imposed for a check received in payment of a customer's account, which check is lawfully dishonored by the payor bank.

"Commission" means the State Corporation Commission.

"Customer" means any person, firm, partnership, corporation, or lawful entity that purchases local exchange telecommunications services.

"Late payment charge" means a fee assessed against any customer charges not timely paid.

"Local exchange carrier (LEC)" means a provider, certificated pursuant to Chapter 10.1 (§ 56-265.1 et seq.) of Title 56 of the Code of Virginia, offering local exchange services.

Statutory Authority

§ 12.1-13 of the Code of Virginia.

Historical Notes

Derived from Virginia Register Volume 25, Issue 7, eff. December 1, 2008.

20VAC5-414-20. (Reserved).

Historical Notes

Derived from Virginia Register Volume 25, Issue 7, eff. December 1, 2008.

20VAC5-414-30. Bad check charge.

A LEC's bad check charge shall be governed by this section notwithstanding 20VAC5-10-10. A LEC may impose and collect a charge for every check received in payment of a customer's account, which check is lawfully dishonored by the payor bank. Provided, however, the charge shall be uniformly applied to all customers of the LEC, but in no event shall the individual charge exceed $30.

Statutory Authority

§ 12.1-13 of the Code of Virginia.

Historical Notes

Derived from Virginia Register Volume 25, Issue 7, eff. December 1, 2008.

20VAC5-414-40. (Reserved).

Historical Notes

Derived from Virginia Register Volume 25, Issue 7, eff. December 1, 2008.

20VAC5-414-50. Late payment charge.

A. A LEC's late payment charge shall be governed by this section notwithstanding 20VAC5-10-10.

B. A LEC may assess a late payment charge for any charges not timely paid by the customer.

C. Calculation of the late payment charge shall be as follows:

1. A LEC may assess a late payment charge of one and one-half percent per month.

2. Appropriate calculation of the late payment charge shall be made at the time of each successive, usual billing date.

3. The amount of any late payment charge shall be included as a separately identified line item upon the current bill.

D. Before implementing a late payment charge program, the LEC must show on a customer's bill, in addition to other necessary and required information, the date on which the bill is delivered to the United States mail, or delivered to the customer's premises, together with showing the date by which payment must be received by the LEC to avoid late payment charges.

E. In no case shall payment for current service be considered overdue if received by the LEC within 20 days from the mailing date or delivered date of the bill.

F. The late payment charge shall not be applied to any amount billed as taxes that the LEC is required to collect on behalf of a local government.

Statutory Authority

§ 12.1-13 of the Code of Virginia.

Historical Notes

Derived from Virginia Register Volume 25, Issue 7, eff. December 1, 2008.

20VAC5-414-60. (Reserved).

Historical Notes

Derived from Virginia Register Volume 25, Issue 7, eff. December 1, 2008.

20VAC5-414-70. Commission authority.

The commission may, at its discretion, grant exceptions to any provision of this chapter.

Statutory Authority

§ 12.1-13 of the Code of Virginia.

Historical Notes

Derived from Virginia Register Volume 25, Issue 7, eff. December 1, 2008.

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