Legal Dictionary of Pakistan

service charge.

1. A charge assessed for the performing of a service, such as the charge assessed by a bank against the expenses of maintaining or servicing a customer's checking account. 2. The sum of (1) all charges payable by the buyer and imposed by the seller as an incident to the extension of credit and (2) charges incurred for investigating the collateral or creditworthiness of the buyer or for commissions for obtaining the credit. UCCC § 2.109. -Also termed (in sense 2) credit service charge.