reglab/housing_qa huggingface dataset:
TX Fin Code § 34.107 (2021)
2021 Texas Statutes|Finance Code|Title 3 - Financial Institutions and Businesses|Subtitle A - Banks|Chapter 34 - Investments, Loans, and Deposits|Subchapter B. Investments|Section 34.107. Engaging in Commerce Prohibited

Sec. 34.107.  ENGAGING IN COMMERCE PROHIBITED.  (a)  A state bank may not buy, sell, or otherwise deal in goods in trade or commerce or own or operate a business not part of the business of banking except:(1)  as necessary to avoid or minimize a loss on a loan or investment previously made in good faith;  or(2)  as otherwise provided by this subtitle or rules adopted under this subtitle.(b)  Engaging in an approved activity, directly or through a subsidiary, that is a financial activity or incidental or complementary to a financial activity, whether as principal or agent, is not considered to be engaging in commerce.|Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.  Amended by Acts 2001, 77th Leg., ch. 528, Sec. 11, eff. Sept. 1, 2001.|
TX Fin Code § 34.202 (2021)
2021 Texas Statutes|Finance Code|Title 3 - Financial Institutions and Businesses|Subtitle A - Banks|Chapter 34 - Investments, Loans, and Deposits|Subchapter C. Loans|Section 34.202. Violation of Lending Limit

Sec. 34.202.  VIOLATION OF LENDING LIMIT.  (a)  An officer, director, or employee of a state bank who approves or participates in the approval of a loan with actual knowledge that the loan violates Section 34.201 is jointly and severally liable to the bank for the lesser of the amount by which the loan exceeded applicable lending limits or the bank's actual loss.  The person remains liable for that amount until the loan and all prior indebtedness of the borrower to the bank have been fully repaid.(b)  The bank may initiate a proceeding to collect an amount due under this section at any time before the fourth anniversary of the date the borrower defaults on the subject loan or any prior indebtedness.(c)  A person who is liable for and pays amounts to the bank under this section is entitled to an assignment of the bank's claim against the borrower to the extent of the payments.(d)  For purposes of this section, an officer, director, or employee of a state bank is presumed to know the amount of the bank's lending limit under Section 34.201(a) and the amount of the borrower's aggregate outstanding indebtedness to the bank immediately before a new loan or extension of credit to that borrower.|Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.Amended by: Acts 2007, 80th Leg., R.S., Ch. 237 (H.B. 1962), Sec. 39, eff. September 1, 2007.|
TX Fin Code § 34.203 (2021)
2021 Texas Statutes|Finance Code|Title 3 - Financial Institutions and Businesses|Subtitle A - Banks|Chapter 34 - Investments, Loans, and Deposits|Subchapter C. Loans|Section 34.203. Loan Expenses and Fees

Sec. 34.203.  LOAN EXPENSES AND FEES.  (a)  A bank may require a borrower to pay all reasonable expenses and fees incurred in connection with the making, closing, disbursing, extending, readjusting, or renewing of a loan, regardless of whether those expenses or fees are paid to third parties.  A fee charged by the bank under this section may not exceed the cost the bank reasonably expects to incur in connection with the transaction to which the fee relates.  Payment for those expenses may be:(1)  collected by the bank from the borrower and:(A)  retained by the bank;  or(B)  paid to a person rendering services for which a charge has been made;  or(2)  paid directly by the borrower to a third party to whom they are payable.(b)  This section does not authorize the bank to charge its borrower for payment of fees and expenses to an officer or director of the bank for services rendered in the person's capacity as an officer or director.(c)  A bank may charge a penalty for prepayment or late payment.  Only one penalty may be charged by the bank on each past due payment.  Unless otherwise agreed in writing, prepayment of principal must be applied on the final installment of the note or other obligation until that installment is fully paid, and further prepayments must be applied on installments in the inverse order of their maturity.(d)  Fees and expenses charged and collected as provided by this section are not considered a part of the interest or compensation charged by the bank for the use, forbearance, or detention of money.(e)  To the extent of any conflict between this section and a provision of Subtitle B, Title 4, the provision of Subtitle B, Title 4, prevails.|Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.Amended by: Acts 2007, 80th Leg., R.S., Ch. 237 (H.B. 1962), Sec. 40, eff. September 1, 2007.|
TX Fin Code § 34.204 (2021)
2021 Texas Statutes|Finance Code|Title 3 - Financial Institutions and Businesses|Subtitle A - Banks|Chapter 34 - Investments, Loans, and Deposits|Subchapter C. Loans|Section 34.204. Lease Financing Transaction

Sec. 34.204.  LEASE FINANCING TRANSACTION.  (a)  Subject to rules adopted under this subtitle, a state bank may, directly or indirectly through an operating subsidiary, provide the equivalent of a financing transaction by acting as lessor under a lease for the benefit of a customer.(b)  Without the written approval of the banking commissioner to continue holding property acquired for leasing purposes under this subsection, the bank may not hold personal property more than six months or real property more than two years after the date of expiration of the original or any extended or renewed lease period agreed to by the customer for whom the property was acquired or by a subsequent lessee.(c)  A rental payment received by the bank in a lease financing transaction under this section is considered to be rent and not interest or compensation for the use, forbearance, or detention of money.  However, a lease financing transaction is considered to be a loan or extension of credit for purposes of Sections 34.201 and 34.202.|Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.  Amended by Acts 2001, 77th Leg., ch. 528, Sec. 13, eff. Sept. 1, 2001.|
TX Fin Code § 34.301 (2021)
2021 Texas Statutes|Finance Code|Title 3 - Financial Institutions and Businesses|Subtitle A - Banks|Chapter 34 - Investments, Loans, and Deposits|Subchapter D. Deposits|Section 34.301. Nature of Deposit Contract

Sec. 34.301.  NATURE OF DEPOSIT CONTRACT.  (a)  A deposit contract between a bank and an account holder is considered a contract in writing for all purposes and may be evidenced by one or more agreements, deposit tickets, signature cards, or notices as provided by Section 34.302, or by other documentation as provided by law.(b)  A cause of action for denial of deposit liability on a deposit contract without a maturity date does not accrue until the bank has denied liability and given notice of the denial to the account holder.  A bank that provides an account statement or passbook to the account holder is considered to have denied liability and given the notice as to any amount not shown on the statement or passbook.(c)  To the extent provided by Section 4.102(c), Business & Commerce Code, the laws of this state govern a deposit contract between a bank and a consumer account holder if the branch or separate office of the bank that accepts the deposit contract is located in this state.|Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.  Amended by Acts 1999, 76th Leg., ch. 344, Sec. 2.012, eff. Sept. 1, 1999.|
TX Fin Code § 34.302 (2021)
2021 Texas Statutes|Finance Code|Title 3 - Financial Institutions and Businesses|Subtitle A - Banks|Chapter 34 - Investments, Loans, and Deposits|Subchapter D. Deposits|Section 34.302. Amendment of Deposit Contract

Sec. 34.302.  AMENDMENT OF DEPOSIT CONTRACT.  (a)  A bank and its account holder may amend the deposit contract by agreement or as permitted by Subsection (b) or other law.(b)  A bank may amend a deposit contract by mailing a written notice of the amendment to the account holder, separately or as an enclosure with or part of the account holder's statement of account or passbook.  The notice must include the text and effective date of the amendment.  The bank is required to deliver the notice to only one of the account holders of a deposit account that has more than one account holder.  The effective date may not be earlier than the 30th day after the date of mailing the notice unless the amendment:(1)  is made to comply with a statute or rule that authorizes an earlier effective date;(2)  does not reduce the interest rate on the account or otherwise adversely affect the account holder;  or(3)  is made for a reason relating to security of an account.(c)  Except for a disclosure required to be made under Section 34.303 or the Truth in Savings Act (12 U.S.C. Section 4301 et seq.) or other federal law, before renewal of an account a notice of amendment is not required under Subsection (b) for:(1)  a change in the interest rate on a variable-rate account, including a money market or negotiable order of withdrawal account;(2)  a change in a term for a time account with a maturity of one month or less if the deposit contract authorizes the change in the term;  or(3)  a change contemplated and permitted by the original contract.(d)  An amendment under Subsection (b) may reduce the rate of interest or eliminate interest on an account without a maturity date.(e)  Amendment of a deposit contract made in compliance with this section is not a violation of the Deceptive Trade Practices-Consumer Protection Act (Section 17.41 et seq., Business & Commerce Code).|Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.|
TX Fin Code § 34.303 (2021)
2021 Texas Statutes|Finance Code|Title 3 - Financial Institutions and Businesses|Subtitle A - Banks|Chapter 34 - Investments, Loans, and Deposits|Subchapter D. Deposits|Section 34.303. Fees; Disclosures

Sec. 34.303.  FEES;  DISCLOSURES.  (a)  Except as otherwise provided by law, a bank may charge an account holder a fee, service charge, or penalty relating to service or activity of a deposit account, including a fee for an overdraft, insufficient fund check, or stop payment order.(b)  Except as otherwise provided by the Truth in Savings Act (12 U.S.C. Section 4301 et seq.) or other federal law, a bank shall disclose the amount of each fee, charge, or penalty related to an account or, if the amount of a fee, charge, or penalty cannot be stated, the method of computing the fee, charge, or penalty.  The disclosure must be made by written notice delivered or mailed to each customer opening an account not later than the 10th business day after the date the account is opened.  A bank that increases or adds a new fee, charge, or penalty shall give notice of the change to each affected account holder in the manner provided by Section 34.302(b) for notice of an amendment of a deposit contract.|Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.|
TX Fin Code § 34.304 (2021)
2021 Texas Statutes|Finance Code|Title 3 - Financial Institutions and Businesses|Subtitle A - Banks|Chapter 34 - Investments, Loans, and Deposits|Subchapter D. Deposits|Section 34.304. Securing Deposits

Sec. 34.304.  SECURING DEPOSITS.  (a)  A state bank may not create a lien on its assets or secure the repayment of a deposit except as authorized or required by this section, rules adopted under this subtitle, or other law.(b)  A state bank may pledge its assets to secure a deposit of:(1)  any state or an agency, political subdivision, or instrumentality of any state;(2)  the United States or an agency or instrumentality of the United States;(3)  any federally recognized Indian tribe;  or(4)  another entity to the same extent and subject to the same limitations as may be authorized by the law of this state or of the United States for any other depository institution doing business in this state.(c)  This section does not prohibit the pledge of assets to secure the repayment of money borrowed or the purchase of excess deposit insurance from a private insurance company.(d)  An act, deed, conveyance, pledge, or contract in violation of this section is void.|Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.Amended by: Acts 2007, 80th Leg., R.S., Ch. 110 (H.B. 2007), Sec. 11, eff. September 1, 2007.|
TX Fin Code § 34.305 (2021)
2021 Texas Statutes|Finance Code|Title 3 - Financial Institutions and Businesses|Subtitle A - Banks|Chapter 34 - Investments, Loans, and Deposits|Subchapter D. Deposits|Section 34.305. Deposit Account of Minor

Sec. 34.305.  DEPOSIT ACCOUNT OF MINOR.  (a)  Except as otherwise provided by this section, a bank lawfully doing business in this state may enter into a deposit account with a minor as the sole and absolute owner of the account and may pay checks and withdrawals and otherwise act with respect to the account on the order of the minor.  A payment or delivery of rights to a minor who holds a deposit account evidenced by an acquittance signed by the minor discharges the bank to the extent of the payment made or rights delivered.(b)  The disabilities of minority of a minor who is the sole and absolute owner of the deposit account are removed for the limited purpose of enabling:(1)  the minor to enter into a depository contract with the bank;  and(2)  the bank to enforce the contract against the minor, including collection of an overdraft or account fee and submission of account history to an account reporting agency or credit reporting bureau.(c)  A parent or legal guardian of a minor may deny the minor's authority to control, transfer, draft on, or make a withdrawal from the minor's deposit account by notifying the bank in writing.  On receipt of the notice by the bank, the minor may not control, transfer, draft on, or make a withdrawal from the account during minority except with the joinder of a parent or legal guardian of the minor.(d)  If a minor with a deposit account dies, the acquittance of the minor's parent or legal guardian discharges the liability of the bank to the extent of the acquittance, except that the aggregate discharges under this subsection may not exceed $3,000.(e)  Subsection (a) does not authorize a loan to the minor by the bank, whether on pledge of the minor's savings account or otherwise, or bind the minor to repay a loan made except as provided by Subsection (b) or other law or unless the depository institution has obtained the express consent and joinder of a parent or legal guardian of the minor.  This subsection does not apply to an inadvertent extension of credit because of an overdraft from insufficient funds, a returned check or deposit, or another shortage in a depository account resulting from normal banking operations.|Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.|
TX Fin Code § 34.307 (2021)
2021 Texas Statutes|Finance Code|Title 3 - Financial Institutions and Businesses|Subtitle A - Banks|Chapter 34 - Investments, Loans, and Deposits|Subchapter D. Deposits|Section 34.307. Right of Set-Off

Sec. 34.307.  RIGHT OF SET-OFF.  (a)  Except as otherwise provided by the Truth in Lending Act (15 U.S.C. Section 1601 et seq.) or other federal law, a bank has a right of set-off, without further agreement or action, against all accounts owned by a depositor to whom or on whose behalf the bank has made an advance of money by loan, overdraft, or otherwise if the bank has previously disclosed this right to the depositor.  If the depositor defaults in the repayment or satisfaction of the obligation, the bank, without notice to or consent of the depositor, may set off or cancel on its books all or part of the accounts owned by the depositor and apply the value of the accounts in payment of and to the extent of the obligation.(b)  For purposes of this section, a default occurs when an obligor has failed to make a payment as provided by the terms of the loan or other credit obligation and a grace period provided for by the agreement or law has expired.  An obligation is not required to be accelerated or matured for a default to authorize set-off of the depositor's obligation against the defaulted payment.(c)  A bank may not exercise its right of set-off under this section against an account unless the account is due the depositor in the same capacity as the defaulted credit obligation.  A trust account for which a depositor is trustee, including a trustee under a certificate of trust delivered under Section 34.306(b), is not subject to the right of set-off under this section unless the trust relationship is solely evidenced by the account card as provided by Subchapter B, Chapter 111, and Chapters 112 and 113, Estates Code.(d)  This section does not limit the exercise of another right of set-off, including a right under contract or common law.|Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.Amended by: Acts 2015, 84th Leg., R.S., Ch. 1236 (S.B. 1296), Sec. 20.009, eff. September 1, 2015.|
TX Fin Code § 35.0001 (2021)
2021 Texas Statutes|Finance Code|Title 3 - Financial Institutions and Businesses|Subtitle A - Banks|Chapter 35 - Enforcement Actions|Subchapter A. Enforcement Orders: Banks and Management|Section 35.0001. Applicability to Bank Subsidiaries

Sec. 35.0001.  APPLICABILITY TO BANK SUBSIDIARIES.  This subchapter applies to a subsidiary of a state bank, a present or former officer, director, or employee of a subsidiary, or a controlling shareholder or other person participating in the affairs of a subsidiary in the same manner as the subchapter applies to a state bank, a present or former officer, director, or employee of a state bank, or a controlling shareholder or other person participating in the affairs of a state bank.|Added by Acts 2015, 84th Leg., R.S., Ch. 422 (H.B. 3555), Sec. 3, eff. September 1, 2015.|
TX Fin Code § 35.001 (2021)
2021 Texas Statutes|Finance Code|Title 3 - Financial Institutions and Businesses|Subtitle A - Banks|Chapter 35 - Enforcement Actions|Subchapter A. Enforcement Orders: Banks and Management|Section 35.001. Determination Letter

Sec. 35.001.  DETERMINATION LETTER.  (a)  If the banking commissioner determines from examination or other credible evidence that a state bank is in a condition that may warrant the issuance of an enforcement order under this chapter, the banking commissioner may notify the bank in writing of the determination, the requirements the bank must satisfy to abate the determination, and the time in which the requirements must be satisfied to avert further administrative action.  The determination letter must be delivered by personal delivery or by registered or certified mail, return receipt requested.(b)  The determination letter may be issued in connection with the issuance of a cease and desist, removal, or prohibition order under this subchapter or an order of supervision or conservatorship under Subchapter B.|Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.|
TX Fin Code § 35.002 (2021)
2021 Texas Statutes|Finance Code|Title 3 - Financial Institutions and Businesses|Subtitle A - Banks|Chapter 35 - Enforcement Actions|Subchapter A. Enforcement Orders: Banks and Management|Section 35.002. Cease and Desist Order

Sec. 35.002.  CEASE AND DESIST ORDER.  (a)  The banking commissioner has grounds to issue a cease and desist order to an officer, employee, or director of a state bank, or the bank itself acting through an authorized person, if the banking commissioner determines from examination or other credible evidence that the bank or person directly or indirectly has:(1)  violated this subtitle or another applicable law;(2)  engaged in a breach of trust or other fiduciary duty;(3)  refused to submit to examination or examination under oath;(4)  conducted business in an unsafe or unsound manner; or(5)  violated a condition of the bank's charter or an agreement between the bank or the person and the banking commissioner or the department.(b)  If the banking commissioner has grounds for action under Subsection (a) and finds that an order to cease and desist from a violation appears to be necessary and in the best interest of the bank involved and its depositors, creditors, and shareholders, the banking commissioner may serve a proposed cease and desist order on the bank and each person who committed or participated in the action.  The proposed order must:(1)  be delivered by personal delivery or by registered or certified mail, return receipt requested;(2)  state with reasonable certainty the grounds for the proposed order; and(3)  state the effective date of the order, which may not be before the 21st day after the date the proposed order is delivered or mailed.(b-1)  A proposed cease and desist order may require an officer, employee, or director of a state bank, or the bank itself acting through an authorized person, to cease or desist from a violation or other practice or to take affirmative action to correct the conditions resulting from a violation or other practice, including the payment of restitution or other action that the banking commissioner determines is appropriate.(c)  The order takes effect if the bank or person against whom the proposed order is directed does not request a hearing in writing before the effective date.  After taking effect, the order is final and nonappealable as to that bank or person.|Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.Amended by: Acts 2007, 80th Leg., R.S., Ch. 237 (H.B. 1962), Sec. 41, eff. September 1, 2007.Acts 2015, 84th Leg., R.S., Ch. 422 (H.B. 3555), Sec. 4, eff. September 1, 2015.|
TX Fin Code § 35.004 (2021)
2021 Texas Statutes|Finance Code|Title 3 - Financial Institutions and Businesses|Subtitle A - Banks|Chapter 35 - Enforcement Actions|Subchapter A. Enforcement Orders: Banks and Management|Section 35.004. Hearing on Proposed Order

Sec. 35.004.  HEARING ON PROPOSED ORDER.  (a)  A requested hearing on a proposed order shall be held not later than the 30th day after the date the first request for a hearing on the order was received by the department unless the parties agree to a later hearing date.  Not later than the 11th day before the date of the hearing, each party shall be given written notice by personal delivery or by registered or certified mail, return receipt requested, of the date set by the banking commissioner for the hearing.  At the hearing, the department has the burden of proof and each person against whom the proposed order is directed may cross-examine and present evidence to show why the proposed order should not be issued.(b)  After the hearing, the banking commissioner shall issue or decline to issue the proposed order.  The proposed order may be modified as necessary to conform to the findings at the hearing and to require the board to take necessary affirmative action to correct the conditions cited in the order.(c)  An order issued under this section is immediately final for purposes of enforcement and appeal.  The order may be appealed as provided by Sections 31.202 and 31.204.|Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.Amended by: Acts 2019, 86th Leg., R.S., Ch. 20 (S.B. 614), Sec. 15, eff. September 1, 2019.|