{"data":{"id":"us-ca/civ-1802.20","jurisdiction":"us-ca","citation":"CIV § 1802.20","heading":"","body":"“Simple-interest basis” means the determination of a finance charge, other than an administrative finance charge, by applying a constant rate to the unpaid balance as it changes from time to time, either:\n(a) Calculated on the basis of a 365-day year and actual days elapsed (although the seller may, but need not, adjust its calculations to account for leap years); reference in this chapter to the “365-day basis” shall mean this method of determining the finance charge, or\n(b) For contracts entered into prior to January 1, 1988, calculated on the basis of a 360-day year consisting of 12 months of 30 days each and on the assumption that all payments will be received by the seller on their respective due dates; reference in this chapter to the “360-day basis” shall mean this method of determining the finance charge.","path":["Civil Code - CIV","DIVISION 3. OBLIGATIONS [1427. - 3273.91.]","PART 4. OBLIGATIONS ARISING FROM PARTICULAR TRANSACTIONS [1738. - 3273.91.]","TITLE 2. CREDIT SALES [1801. - 1812.35.]","CHAPTER 1. Retail Installment Sales [1801. - 1812.20.]","ARTICLE 2. Definitions [1802. - 1802.21.]"],"source_url":"https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zip","current_through":"2026-09-13","vintage":"","retrieved_at":"2026-09-14T05:56:33Z","sha256":"07447bbe4f8b95711054de4b3b6e1ea04718672ac89723d0196061c95a94625a","source_id":"us-ca","stale":false,"prev":"us-ca/civ-1802.19","next":"us-ca/civ-1802.21"},"notice":"GroundRules: Original legal text. Not legal advice."}