R.I. Gen. Laws § 19-9-8: Lending institutions — Negative amortization loans.

Notwithstanding the provisions of any other laws, any person doing business under and as permitted by any law of this state or of the United States relating to lending institutions is authorized, in connection with the making of any loan, to contract for the accrual of interest, at a rate of interest, equal to or less than the note or contractual rate of interest, on unpaid interest accruing during previous billing or payment periods. Accrued and unpaid interest that is thus added to the principal balance of the loan for the purposes of further interest accrual shall, for the purposes of chapter 26 of title 6, be deemed to constitute additional net proceeds or additional principal of the loan, but shall for all other purposes and all other laws constitute interest on the original loan.