§ 18235 Loan Disclosure Requirements

Financial Code·California

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Key Takeaways

•Loan papers must show the real loan amount, how long you have to pay it back, and the interest rate.
•No blank spaces can be left in the loan papers to fill in later.
•The lender can't trick you by hiding or changing these details after you sign.

Example

You take out a loan to buy a car.

The loan paper must clearly say how much money you borrowed, how many months you have to pay it back, and how much extra you’ll pay in interest. If the paper has empty spaces or doesn’t show these details, the lender is breaking the law.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source

View on CA.gov

§ 18235 Loan Disclosure Requirements

An industrial loan company shall not take any note, promise to pay, or security agreement that does not accurately disclose the actual amount of the loan, the time for which it is made, and the agreed rate of charge, nor any instrument in which blanks are left to be filled in after execution. (Added by Stats. 1976, Ch. 964.)

Last verified: January 23, 2026

Key Terms

industrial loan company note promise to pay security agreement actual amount of the loan time for which it is made agreed rate of charge blanks are left to be filled in after execution

References

Official text at leginfo.legislature.ca.gov
California Legislature. Financial Code. Section 18235.

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Key Takeaways

Example

Key Terms

Related Statutes

References