South Carolina Company Setup Guide:
Here is the link to APR Calculations and Common Percentages
Note: Most of our SC customers doing title loans are doing loans on an installment basis. The following instructions will work for both installment loans and daily interest loans, assuming that the default APR on both types of loans is the same. If you are doing installment loans, be sure to select the appropriate payment method and enter the number of terms (payments) on each loan, because if the default payment method is daily interest, as configured in the Title Loan section of the company setup.
South Carolina TL Setup: Please note that the guidelines below are simply comments about how we have seen clients set up their companies, and South Carolina state regulations obviously supersede these comments. You should be very careful to make sure your company setup complies with all current South Carolina and Federal regulations, which are subject to change and interpretation.
Use loan suffixes: This option is not generally used by our clients. However, if you want your loan number to be suffixed with an N for new loan, R for a renewal or an I for a loan increase, check this check box. Please note that you should not use the renewal or loan increase features on an installment loan. An installment loan must always be paid off in full and rewritten "from scratch" as a new loan.
Interest rate: 300.00% APR (just an example of a rate we've seen). For daily interest loans, the initial box will be unchecked and recurring will be checked.
If there is a Title Lien Fee and daily interest is being used, the title lien fee (normally $15.00) should be set up as a "Fixed Rate" with Initial and Financed checked and Recurring not checked. This should not be entered on the line immediately below the Interest line, but on the next line below (line two is reserved for origination fees that convert to renewal fees and other special instances).
Assuming daily interest is being used, the accrual period should be "daily," the max days should normally be 240, and the due date calculation will be either blank or "default" if the due date is to be changed in fixed 30 day periods, or "with payment" if the next due day is to be 30 days from the day a client pays bringing his or her account current, or "buying days" if the payment is divided by the daily interest amount to determine how many days have been "bought" with the payment.
Alternate interest, renewals and special minimum payment calculations do not apply to SC, and these fields should be left blank.
For the contract, select "SC3-Installment Capable," unless you prefer one of the lower numbered SC contracts (these contracts should not be used with installment loans, however).
Although you would not normally select it as the default contract, there is an SC4-Spanish contract, which is available when needed on a loan-by-loan basis. This is a Spanish version of the "SC3-Installment Capable" contract.
For the receipt, select Receipt3 or higher. Some clients find Receipt3 confusing when used with daily interest, so you may want to use Receipt4 or higher. If you are doing installment loans, we have been told that SC auditors require the payoff figure as of the date of the payment to be shown on the receipt, in which case you should use Receipt4.