"Bridge loan" means a consumer loan with a maturity of less than twelve months to facilitate the acquisition or construction of residential real property intended to be occupied by the borrower. All bridge loans shall be offered under the following terms and conditions:

1. (1) the loan may be prepaid by the borrower at any time, without penalty; and
2. (2) the balloon payment, upon coming due, is allowed to be extended one time at the borrower's request for a period of three months, provided that the borrower continues to make monthly installments set forth in the original loan agreement.

HISTORY: 2026 Act No. 172 (S.787), SECTION 1, eff May 18, 2026. Part 2 Maximum Charges