{
  "tool_id": "art-231-compute-mla-mapr",
  "kernel_id": "art-231-compute-mla-mapr",
  "display_name": "Compute MLA MAPR (closed-end)",
  "tool_version": "2.0.0",
  "mandate_type": "compliance_mandate",
  "purpose": "Computes the Military Annual Percentage Rate for CLOSED-END consumer credit and tests it against the 36 percent limit that 10 USC 987(b) imposes and 32 CFR 232.4(b) sets out. 32 CFR 232.4(c)(2)(i) directs that a closed-end MAPR is calculated by Regulation Z's own rules for the annual percentage rate, based on the wider charge set in 232.4(c)(1), so this node solves the Appendix J actuarial equation from a cash-flow schedule instead of dividing charges by an original principal. A fraction of a unit-period is priced at simple interest per Appendix J (b)(6), only whole unit-periods compound, and the annual figure is the unit-period rate multiplied by the unit-periods in a year per (b)(1). A single advance repaid by a single payment takes its term as the unit-period per (b)(4)(ii), with 365 divided by the days in the term as the unit-periods per year per (b)(5)(vi) and (b)(5)(vii), so the term is day-granular and a 45-day loan is expressible rather than quantised to whole months. Every charge 232.4(c)(1) includes carries its own input: credit insurance premiums, debt cancellation contract fees and debt suspension agreement fees under (c)(1)(i), credit-related ancillary product fees under (c)(1)(ii), finance charges under (c)(1)(iii)(A), application fees under (c)(1)(iii)(B), and participation fees under (c)(1)(iii)(C). Each of them moves the reported rate. The application-fee exception in (c)(1)(iii)(B) is evaluated as the three conjunctive predicates the text states, a Federal credit union or insured depository institution creditor, a short-term small amount loan, and a fee charged not more than once in any rolling 12-month period; with anything less than all three the fee stays in. SCOPE, stated plainly: open-end credit is OUT OF SCOPE. 32 CFR 232.4(c)(2)(ii)(A) prices open-end credit on the balance for a billing cycle under 12 CFR 1026.14(c) and (d), and 232.4(c)(2)(ii)(B) governs a billing cycle with no balance. Neither is computed here, and a call declaring an open-end class or a credit card account returns no rate rather than a closed-end number. Because the bona fide fee exclusion in 232.4(d)(1) reaches only a credit card account under an open-end plan, no such exclusion is available on this path, so a caller-declared bona fide amount is recorded and included anyway. A charge is modelled as collected at consummation and deducted from the amount financed, except a finance charge, which is carried by the payment schedule and never deducted twice. A rate is reported only when a sign-change bracket was established and narrowed, so a schedule with no non-negative rate returns no figure rather than a guess. A schedule of more than 600 payments is out of scope and also returns no rate: that ceiling is a declared structural limit of this node, not a rule of law, and it keeps the work done per call bounded by a constant rather than by a caller-supplied payment count. RELATED NODE, so the two MLA MAPR nodes are told apart: this node DERIVES the payment schedule itself from described loan terms, an amount advanced repaid either by a single payment at a stated term in days or by a level installment series, so it is the one to reach for when the cash flows are not already in hand. Where a caller ALREADY HOLDS the cash flows, art-616-mla-mapr-actuarial-recompute recomputes the same closed-end MAPR by the same Appendix J actuarial method directly from those caller-supplied cash flows and charges, deriving no schedule of its own. DoD MLA rule 80 FR 43560 (22 July 2015): effective 1 October 2015, compliance required from 3 October 2016 and from 3 October 2017 for credit card accounts.",
  "control_description": "Computes the Military Annual Percentage Rate for CLOSED-END consumer credit and tests it against the 36 percent limit that 10 USC 987(b) imposes and 32 CFR 232.4(b) sets out. 32 CFR 232.4(c)(2)(i) directs that a closed-end MAPR is calculated by Regulation Z's own rules for the annual percentage rate, based on the wider charge set in 232.4(c)(1), so this node solves the Appendix J actuarial equation from a cash-flow schedule instead of dividing charges by an original principal. A fraction of a unit-period is priced at simple interest per Appendix J (b)(6), only whole unit-periods compound, and the annual figure is the unit-period rate multiplied by the unit-periods in a year per (b)(1). A single advance repaid by a single payment takes its term as the unit-period per (b)(4)(ii), with 365 divided by the days in the term as the unit-periods per year per (b)(5)(vi) and (b)(5)(vii), so the term is day-granular and a 45-day loan is expressible rather than quantised to whole months. Every charge 232.4(c)(1) includes carries its own input: credit insurance premiums, debt cancellation contract fees and debt suspension agreement fees under (c)(1)(i), credit-related ancillary product fees under (c)(1)(ii), finance charges under (c)(1)(iii)(A), application fees under (c)(1)(iii)(B), and participation fees under (c)(1)(iii)(C). Each of them moves the reported rate. The application-fee exception in (c)(1)(iii)(B) is evaluated as the three conjunctive predicates the text states, a Federal credit union or insured depository institution creditor, a short-term small amount loan, and a fee charged not more than once in any rolling 12-month period; with anything less than all three the fee stays in. SCOPE, stated plainly: open-end credit is OUT OF SCOPE. 32 CFR 232.4(c)(2)(ii)(A) prices open-end credit on the balance for a billing cycle under 12 CFR 1026.14(c) and (d), and 232.4(c)(2)(ii)(B) governs a billing cycle with no balance. Neither is computed here, and a call declaring an open-end class or a credit card account returns no rate rather than a closed-end number. Because the bona fide fee exclusion in 232.4(d)(1) reaches only a credit card account under an open-end plan, no such exclusion is available on this path, so a caller-declared bona fide amount is recorded and included anyway. A charge is modelled as collected at consummation and deducted from the amount financed, except a finance charge, which is carried by the payment schedule and never deducted twice. A rate is reported only when a sign-change bracket was established and narrowed, so a schedule with no non-negative rate returns no figure rather than a guess. A schedule of more than 600 payments is out of scope and also returns no rate: that ceiling is a declared structural limit of this node, not a rule of law, and it keeps the work done per call bounded by a constant rather than by a caller-supplied payment count. RELATED NODE, so the two MLA MAPR nodes are told apart: this node DERIVES the payment schedule itself from described loan terms, an amount advanced repaid either by a single payment at a stated term in days or by a level installment series, so it is the one to reach for when the cash flows are not already in hand. Where a caller ALREADY HOLDS the cash flows, art-616-mla-mapr-actuarial-recompute recomputes the same closed-end MAPR by the same Appendix J actuarial method directly from those caller-supplied cash flows and charges, deriving no schedule of its own. DoD MLA rule 80 FR 43560 (22 July 2015): effective 1 October 2015, compliance required from 3 October 2016 and from 3 October 2017 for credit card accounts.",
  "declared_inputs": [],
  "declared_outputs": [
    "art-232-compute-scra-rate-cap"
  ],
  "kernel_digest": "sha256:302410302655744df0ba87706c7aa12347ad96fd99d175c3ed1d497372abc0d0",
  "trust_label": "independently verified: zkVM execution proof (risc0/groth16-bn254)",
  "data_vintage": "2026-07-10",
  "last_validated": "2026-07-10",
  "conformance_fixtures_vendored": true,
  "compute_proof_ready": "ready",
  "wave": 39,
  "source_url": "https://ainumbers.co/chaingraph/art-231-compute-mla-mapr.html",
  "generated_at": "2026-08-23T15:12:15.412Z"
}