(1) If a creditor makes a change in the terms of a revolving account without complying with this section, any additional cost or charge to the consumer resulting from the change is an excess charge and subject to the remedies available to consumers described in section 5-5-202 and to the administrator described in section 5-6-114.
(2) (a) Except as otherwise provided in paragraph (b) or (c) of this subsection (2), whenever any term of a revolving credit account is changed or the required minimum periodic payment thereon is increased, the creditor shall mail or deliver written notice of the change, at least one billing cycle before the effective date of the change, to each consumer who may be affected by the change.
(b) The notice required by paragraph (a) of this subsection (2) shall be given in advance, but need not be given one billing cycle in advance, if the change has been agreed to by the consumer or if the change is an increase in a finance charge, periodic rate, or other charge permitted under section 5-2-202 as a result of the consumer's delinquency or default.
(c) The notice otherwise required by paragraph (a) of this subsection (2) is not required if the change:
(I) Results from the consumer's delinquency or default but is not of a kind listed in paragraph (b) of this subsection (2);
(II) Results from an agreement related to a court proceeding or arbitration;
(III) Is a reduction of any charge or component thereof; or
(IV) Is a suspension of future credit privileges or termination of a consumer credit transaction.
(3) The notice provisions of subsection (2) of this section shall not apply if:
(a) The consumer, after receiving notice in writing of the specific change, agrees in writing to the change;
(b) The consumer elects to pay an amount designated on a billing statement as including a new charge for a benefit offered to the consumer when the benefit and charge constitutes the change in terms and when the billing statement also states the amount payable if the new charge is excluded;
(c) The change involves no significant cost to the consumer; or
(d) The agreement provides limitations on changing of terms that are more restrictive than the requirements of subsection (2) of this section.
(4) The notice provided for in this section is given to the consumer when mailed to the consumer at the address used by the creditor for sending periodic billing statements.
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