reglab/statecodes huggingface dataset:
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter I. Insurance › Section 342.411. Insurance or Other Gain Not Interest

Sec. 342.411.  INSURANCE OR OTHER GAIN NOT INTEREST.  Any gain or advantage to the lender or the lender's employee, officer, director, agent, general agent, affiliate, or associate from insurance or from another agreement or contract permitted under this subchapter or the provision or sale of insurance or another agreement or contract permitted under this subchapter is not additional interest or an additional charge in connection with a loan made under this chapter except as specifically provided by this chapter.
Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999;  Acts 2003, 78th Leg., ch. 1265, Sec. 3, eff. June 20, 2003.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter I. Insurance › Section 342.412. Action Under Subchapter Not Sale of Insurance

Sec. 342.412.  ACTION UNDER SUBCHAPTER NOT SALE OF INSURANCE.  Arranging for insurance or collecting an identifiable charge as authorized by this subchapter is not a sale of insurance.
Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter I. Insurance › Section 342.413. Required Agent or Broker Prohibited

Sec. 342.413.  REQUIRED AGENT OR BROKER PROHIBITED.  A lender may not by any direct or indirect method require the purchase of insurance from an agent or broker designated by the lender.
Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter I. Insurance › Section 342.414. Declination of Equal Insurance Coverage Prohibited

Sec. 342.414.  DECLINATION OF EQUAL INSURANCE COVERAGE PROHIBITED.  A lender may not decline at any time existing insurance coverage providing substantially equal benefits that comply with this subchapter.
Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter I. Insurance › Section 342.415. Effect of Unauthorized Insurance Charge

Sec. 342.415.  EFFECT OF UNAUTHORIZED INSURANCE CHARGE.  (a)  If a lender charges for insurance an amount that is not authorized under this subchapter, the lender:
(1)  is not entitled to collect an amount for insurance or interest on an amount for insurance;  and
(2)  shall refund to the borrower or credit to the borrower's account all amounts collected for insurance and interest collected on those amounts.
(b)  An overcharge that results from an accidental or bona fide error may be corrected as provided by Subchapter C, Chapter 349.
(c)  The remedy provided by this section is not exclusive of any other remedy or penalty provided by this subtitle.
Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter I. Insurance › Section 342.416. Nonfiling Insurance

Sec. 342.416.  NONFILING INSURANCE.  (a)  Instead of charging fees for the filing, recording, and releasing of a document securing a loan to which Subchapter E  applies, an authorized lender may include in the loan contract a charge for a nonfiling insurance premium.
(b)  The amount of a charge under Subsection (a) may not exceed the amount of fees authorized for filing and recording an original financing statement in the standard form prescribed by the secretary of state.
(c)  A lender may receive an amount authorized under this section only if the lender purchases nonfiling insurance in connection with the loan contract.
(d)  A lender is not required to furnish to a borrower a policy or certificate of insurance evidencing nonfiling insurance.
Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter J. Authorized Lender's Duties and Authority › Section 342.451. Delivery of Information to Borrower

Sec. 342.451.  DELIVERY OF INFORMATION TO BORROWER.  (a)  When a loan is made under this chapter, the lender shall deliver to the borrower, or to one borrower if there is more than one, a copy of each document signed by the borrower, including the note or loan contract, and a written statement in English that contains:
(1)  the names and addresses of the borrower and the lender;  and
(2)  any type of insurance for which a charge is included in the loan contract and the charge to the borrower for the insurance.
(b)  If the note or loan contract shows the information required by Subsection (a), the written statement is not required.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter J. Authorized Lender's Duties and Authority › Section 342.452. Receipt for Cash Payment

Sec. 342.452.  RECEIPT FOR CASH PAYMENT.  A lender shall give a receipt to a person making a cash payment on a loan.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter J. Authorized Lender's Duties and Authority › Section 342.453. Acceptance of Prepayment

Sec. 342.453.  ACCEPTANCE OF PREPAYMENT.  At any time during regular business hours, the lender shall accept prepayment of a loan in full or, if the amount tendered is less than the amount required to prepay the loan in full, prepayment of an amount equal to one or more full installments.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter J. Authorized Lender's Duties and Authority › Section 342.454. Return of Instruments to Borrower on Repayment

Sec. 342.454.  RETURN OF INSTRUMENTS TO BORROWER ON REPAYMENT.  Within a reasonable time after a loan is repaid in full or an open-end account is terminated according to the terms of the contract, a lender shall cancel and return to a borrower any instrument, including a note, assignment, security agreement, or mortgage that:
(1)  secured the loan;  and
(2)  does not secure another indebtedness of the borrower to the lender.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19, eff. Sept. 1, 1999.  Amended by Acts 1999, 76th Leg., ch. 909, Sec. 2.18, eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter J. Authorized Lender's Duties and Authority › Section 342.455. Agreement for More Than One Loan or Cash Advance

Sec. 342.455.  AGREEMENT FOR MORE THAN ONE LOAN OR CASH ADVANCE.  (a)  A lender and a borrower may enter an agreement under which one or more loans or cash advances are from time to time made to or for the account of the borrower.
(b)  An agreement under this section may provide for a maximum loan charge on the unpaid principal amounts from time to time outstanding at a rate that does not exceed the rate that produces the maximum interest charge computed under Section 342.201 for an equivalent loan amount.
(c)  An agreement under this section must be written and signed by the lender and borrower.
(d)  An agreement under this section must contain:
(1)  the date of the agreement;
(2)  the name and address of each borrower;  and
(3)  the name and address of the lender.
(e)  If a charge for insurance coverage is to be included in a loan contract, an agreement under this section must clearly set forth a simple statement of the amount of the charge or the method by which the charge is to be computed.
(f)  The lender shall deliver a copy of an agreement under this section to the borrower.
(g)  The commissioner may prescribe monthly rates of charge that produce the maximum interest charge computed under Section 342.201 for use under Subsection (b).
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
Sec. 342.456.  AGREEMENT TO MODIFY TERM OF SECONDARY MORTGAGE LOAN CONTRACT.  (a)  A lender and a borrower may enter into an agreement under which a term of a secondary mortgage loan contract is amended, restated, or rescheduled.
(b)  An agreement under this section must be written and signed by the lender and borrower.
(c)  An agreement under this section must contain:
(1)  the date of the agreement;
(2)  the name and address of the lender;  and
(3)  the name and address of each borrower.
(d)  The lender shall deliver a copy of an agreement under this section to the borrower.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter J. Authorized Lender's Duties and Authority › Section 342.457. Automobile Club Membership Offered in Connection With a Loan

Sec. 342.457.  AUTOMOBILE CLUB MEMBERSHIP OFFERED IN CONNECTION WITH A LOAN.  (a)  An authorized lender may, at the time or after a loan under Subchapter E is made, offer to sell to the borrower and finance in the loan contract a charge for an automobile club membership.
(b)  The lender may not require the purchase of the membership authorized under Subsection (a) as a condition for approval of the loan.
(c)  The borrower shall provide the lender with written acknowledgment of the borrower's intent to purchase the membership.
(d)  The lender shall give the borrower written notice at the time the loan is made that the borrower:
(1)  is not required to purchase the membership as a condition for approval of the loan; and
(2)  is entitled to cancel the transaction and receive a full refund of the purchase price of the membership before the 31st day after the date the loan is made.
(e)  The commissioner shall:
(1)  adopt a rule providing for disclosure in Spanish of the information required by Subsection (d); and
(2)  establish a form for the disclosure of the information required by Subsection (d) that conforms to the plain language and readability requirements applicable to loan contracts under Section 341.502.
(f)  The amount charged for a membership as authorized by Subsection (a) must be reasonable.
Added by Acts 2005, 79th Leg., Ch. 252 (H.B. 1088), Sec. 2, eff. September 1, 2005.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter K. Limitations on Authorized Lender › Section 342.501. Obligation Under More Than One Contract

Sec. 342.501.  OBLIGATION UNDER MORE THAN ONE CONTRACT.  (a)  An authorized lender may not induce or permit a person or a husband and wife to be directly or indirectly obligated under more than one loan contract at any time for the purpose or with the effect of obtaining an amount of interest greater than the amount of interest otherwise authorized under this chapter for a loan of that aggregate amount with a maximum interest charge computed under Section 342.201(a), Section 342.201(e), Section 342.252, or any combination of those sections.
(b)  Subsection (a) does not prohibit the purchase of a bona fide retail installment contract or revolving charge agreement of a borrower for the purchase of goods or services.
(c)  A lender who purchases all or substantially all of the loan contracts of another authorized lender and who at the time of purchase has a loan contract with a borrower whose loan contract is purchased may collect principal and authorized charges according to the terms of each loan contract.
Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999;  Acts 2001, 77th Leg., ch. 916, Sec. 5, eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter K. Limitations on Authorized Lender › Section 342.502. Amount Authorized

Sec. 342.502.  AMOUNT AUTHORIZED.  (a)  A lender may not directly or indirectly charge, contract for, or receive an amount that is not authorized under this chapter in connection with a loan to which this chapter applies, including any fee, compensation, bonus, commission, brokerage, discount, expense, and any other charge of any nature, whether or not listed by this subsection.
(b)  On a loan subject to Subchapter E  or a secondary mortgage loan subject to Subchapter G  a lender may assess and collect from the borrower an amount incurred by the lender for:
(1)  court costs;
(2)  attorney's fees assessed by a court, in addition to those provided by Section 342.307;
(3)  a fee authorized by law for filing, recording, or releasing in a public office a security for a loan;
(4)  a reasonable amount spent for repossessing, storing, preparing for sale, or selling any security;
(5)  a fee for recording a lien on or transferring a certificate of title to a motor vehicle offered as security for a loan made under this chapter;  or
(6)  a premium or an identifiable charge received in connection with the sale of insurance authorized under this chapter.
(c)  Deleted by Acts 1999, 76th Leg., ch. 935, Sec. 2.04, eff. Sept. 1, 1999.
(d)  On a loan subject to this chapter a lender may assess and collect a fee that does not exceed the amount prescribed by Section 3.506, Business & Commerce Code, for the return by a depository institution of a dishonored check, negotiable order of withdrawal, or share draft offered in full or partial payment of a loan.
Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999;  Acts 1999, 76th Leg., ch. 909, Sec. 2.19, eff. Sept. 1, 1999;  Acts 1999, 76th Leg., ch. 935, Sec. 2.03, 2.04, eff. Sept. 1, 1999.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 1182 (H.B. 3453), Sec. 5, eff. September 1, 2011.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter K. Limitations on Authorized Lender › Section 342.503. Security for Loan

Sec. 342.503.  SECURITY FOR LOAN.  (a)  A lender may not take as security for a loan made under this chapter an assignment of wages.
(b)  A lender may not take as security for a loan made under Subchapter E or F  a lien on real property other than a lien created by law on the recording of an abstract of judgment.
(c)  A lender may take as security for a loan made under Subchapter E or F an assignment of:
(1)  a warrant drawn against a state fund;  or
(2)  a claim against a state fund or a state agency.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.  Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter K. Limitations on Authorized Lender › Section 342.504. Confession of Judgment; Power of Attorney

Sec. 342.504.  CONFESSION OF JUDGMENT;  POWER OF ATTORNEY.  A lender may not take a confession of judgment or a power of attorney authorizing the lender or a third person to confess judgment or to appear for a borrower in a judicial proceeding.
Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter K. Limitations on Authorized Lender › Section 342.505. Disclosure of Amount Financed and Schedule of Payments

Sec. 342.505.  DISCLOSURE OF AMOUNT FINANCED AND SCHEDULE OF PAYMENTS.  A lender may not take a promise to pay or loan obligation that does not disclose the amount financed and the schedule of payments, except for an open-end account.
Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter K. Limitations on Authorized Lender › Section 342.506. Instrument With Blank Prohibited

Sec. 342.506.  INSTRUMENT WITH BLANK PROHIBITED.  A lender may not take an instrument in which a blank is left to be filled in after the loan is made.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter K. Limitations on Authorized Lender › Section 342.507. Waiver of Borrower's Right Prohibited

Sec. 342.507.  WAIVER OF BORROWER'S RIGHT PROHIBITED.  A lender may not take an instrument in which a borrower waives any right accruing to the borrower under this chapter.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter K. Limitations on Authorized Lender › Section 342.508. Maximum Loan Term

Sec. 342.508.  MAXIMUM LOAN TERM.  A lender may not enter a loan contract under Section 342.201(a) or Section 342.201(e) under which the borrower agrees to make a scheduled payment of principal more than:
(1)  37 calendar months after the date on which the contract is made, if the contract is for a cash advance of $1,500 or less;
(2)  49 calendar months after the date on which the contract is made, if the contract is for a cash advance of more than $1,500 but not more than $3,000;  or
(3)  60 months after the date on which the contract is made, if the contract is for a cash advance of more than $3,000.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.  Amended by Acts 2001, 77th Leg., ch. 916, Sec. 6, eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter L. Administration of Chapter › Section 342.551. Adoption of Rules

Sec. 342.551.  ADOPTION OF RULES.  (a)  The Finance Commission of Texas may adopt rules to enforce this chapter.
(b)  The commissioner shall recommend proposed rules to the Finance Commission of Texas.
(c)  Repealed by Acts 2023, 88th Leg., R.S., Ch. 159 (S.B. 1371), Sec. 34(1), eff. September 1, 2023.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
Amended by:
Acts 2023, 88th Leg., R.S., Ch. 159 (S.B. 1371), Sec. 34(1), eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter L. Administration of Chapter › Section 342.552. Examination of Lenders; Access to Records

Sec. 342.552.  EXAMINATION OF LENDERS;  ACCESS TO RECORDS.  (a)  The commissioner or the commissioner's representative shall, at the times the commissioner considers necessary:
(1)  examine each place of business of each authorized lender;  and
(2)  investigate the lender's transactions, including loans, and records, including books, accounts, papers, and correspondence, to the extent the transactions and records pertain to the business regulated under this chapter.
(b)  The lender shall:
(1)  give the commissioner or the commissioner's representative free access to the lender's office, place of business, files, safes, and vaults;  and
(2)  allow the commissioner or the commissioner's authorized representative to make a copy of an item that may be investigated under Subsection (a)(2).
(c)  During an examination the commissioner or the commissioner's representative may administer oaths and examine any person under oath on any subject pertinent to a matter that the commissioner is authorized or required to consider, investigate, or secure information about under this chapter.
(d)  Information obtained under this section is confidential.
(e)  A lender's violation of Subsection (b) is a ground for the suspension or revocation of the lender's license.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter L. Administration of Chapter › Section 342.553. General Investigation

Sec. 342.553.  GENERAL INVESTIGATION.  (a)  To discover a violation of this chapter or to obtain information required under this chapter, the commissioner or the commissioner's representative may investigate the records, including books, accounts, papers, and correspondence, of a person, including an authorized lender, who the commissioner has reasonable cause to believe is violating this chapter regardless of whether the person claims to not be subject to this chapter.
(b)  For the purposes of this section, a person who advertises, solicits, or otherwise represents that the person is willing to make a loan with a cash advance less than or equal to the amount computed under Subchapter C, Chapter 341, using the reference base amount of $2,500 is presumed to be engaged in the business described by Section 342.051.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter L. Administration of Chapter › Section 342.554. Certificate; Certified Document

Sec. 342.554.  CERTIFICATE;  CERTIFIED DOCUMENT.  On application by any person and on payment of any associated cost, the commissioner shall furnish under the commissioner's seal and signed by the commissioner or an assistant of the commissioner:
(1)  a certificate of good standing;  or
(2)  a certified copy of a license, rule, or order.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter L. Administration of Chapter › Section 342.555. Transcript of Hearing: Public

Sec. 342.555.  TRANSCRIPT OF HEARING:  PUBLIC.  The transcript of a hearing held by the commissioner under this chapter is a public record.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter L. Administration of Chapter › Section 342.556. Appointment of Agent

Sec. 342.556.  APPOINTMENT OF AGENT.  (a)  An authorized lender shall maintain on file with the commissioner the name and address of the lender's registered agent for service.
(b)  Repealed by Acts 2023, 88th Leg., R.S., Ch. 159 (S.B. 1371), Sec. 34(2), eff. September 1, 2023.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
Amended by:
Acts 2023, 88th Leg., R.S., Ch. 159 (S.B. 1371), Sec. 14, eff. September 1, 2023.
Acts 2023, 88th Leg., R.S., Ch. 159 (S.B. 1371), Sec. 34(2), eff. September 1, 2023.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter L. Administration of Chapter › Section 342.557. Payment of Examination Costs and Administration Expenses

Sec. 342.557.  PAYMENT OF EXAMINATION COSTS AND ADMINISTRATION EXPENSES.  An authorized lender shall pay to the commissioner an amount assessed by the commissioner to cover the direct and indirect cost of an examination of the lender under Section 342.552 and a proportionate share of general administrative expense.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter L. Administration of Chapter › Section 342.558. Authorized Lender's Records

Sec. 342.558.  AUTHORIZED LENDER'S RECORDS.  (a)  An authorized lender shall maintain a record of each loan made under this chapter as is necessary to enable the commissioner to determine whether the lender is complying with this chapter.
(b)  An authorized lender shall keep the record, make it available in this state, or, if the lender makes, transacts, or negotiates loans principally by mail, keep the record or make it available at the lender's principal place of business, until the later of:
(1)  the fourth anniversary of the date of the loan;  or
(2)  the second anniversary of the date on which the final entry is made in the record.
(c)  A record described by Subsection (a) must be prepared in accordance with accepted accounting practices.
(d)  The commissioner shall accept a lender's system of records if the system discloses the information reasonably required under Subsection (a).
(e)  An authorized lender shall keep each obligation signed by a borrower at an office in this state designated by the lender unless the obligation is transferred under an agreement that gives the commissioner access to the obligation.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter L. Administration of Chapter › Section 342.559. Annual Report

Sec. 342.559.  ANNUAL REPORT.  (a)  Each year, not later than May 1 or a later date set by the commissioner, an authorized lender shall file with the commissioner a report that contains relevant information required by the commissioner concerning the lender's business and operations during the preceding calendar year for each office of the lender in this state where business is conducted under this chapter.
(b)  A report under this section must be:
(1)  under oath;  and
(2)  in the form prescribed by the commissioner.
(c)  A report under this section is confidential.
(d)  Annually the commissioner shall prepare and publish a consolidated analysis and recapitulation of reports filed under this section.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter L. Administration of Chapter › Section 342.560. Conducting Associated Business

Sec. 342.560.  CONDUCTING ASSOCIATED BUSINESS.  An authorized lender may conduct business under this chapter in an office, office suite, room, or place of business in which any other business is conducted or in combination with any other business unless the commissioner:
(1)  finds after a hearing that the lender's conducting of the other business in that office, office suite, room, or place of business has concealed an evasion of this chapter;  and
(2)  orders the lender in writing to desist from that conduct in that office, office suite, room, or place of business.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter M. Deferred Presentment Transactions › Section 342.601. Definitions

Sec. 342.601.  DEFINITIONS.  In this subchapter:
(1)  "Lender" means a lender licensed under this chapter.
(2)  "Member of the United States military" means:
(A)  a member of the armed forces of the United States; or
(B)  a member of the Texas National Guard who is called to federal active duty.
Added by Acts 2005, 79th Leg., Ch. 394 (S.B. 1479), Sec. 1, eff. September 1, 2005.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter M. Deferred Presentment Transactions › Section 342.602. Disclosures to Military Borrowers

Sec. 342.602.  DISCLOSURES TO MILITARY BORROWERS.  Before engaging in a deferred presentment transaction, a lender shall provide to a customer who is a member of the United States military or the member's spouse a written statement that clearly and conspicuously states that:
(1)  the lender is prohibited by law from:
(A)  garnishing the wages of any borrower, including a borrower who is a member of the United States military;
(B)  conducting any collection activity against a borrower who is:
(i)  a member of the armed forces of the United States who is deployed to combat or a combat support posting, for the duration of the posting;
(ii)  a member of the Texas National Guard who is called to federal active duty, for the duration of the duty;
(iii)  the spouse of a person described by Paragraph (i), for the duration of the posting; or
(iv)  the spouse of a person described by Paragraph (ii), for the duration of the duty; or
(C)  from contacting the employer of a member of the United States military about a deferred presentment debt of the member or the member's spouse;
(2)  the lender shall honor the terms of a repayment agreement entered into with a member of the United States military or the member's spouse, including a repayment agreement negotiated through military counselors or third-party credit counselors; and
(3)  the lender shall honor any statement made by a commanding officer of a member of the United States military declaring any location where deferred presentment transaction business is to be conducted by the lender to be a place at which a member of the United States military or the member's spouse is prohibited from transacting business.
Added by Acts 2005, 79th Leg., Ch. 394 (S.B. 1479), Sec. 1, eff. September 1, 2005.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter M. Deferred Presentment Transactions › Section 342.603. Prohibited Practices

Sec. 342.603.  PROHIBITED PRACTICES.  A lender may not contact the employer of a member of the United States military about a deferred presentment debt of the member or the member's spouse.
Added by Acts 2005, 79th Leg., Ch. 394 (S.B. 1479), Sec. 1, eff. September 1, 2005.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter M. Deferred Presentment Transactions › Section 342.604. Military Borrower

Sec. 342.604.  MILITARY BORROWER.  (a)  A lender may not engage in collection activity against a borrower who is:
(1)  a member of the armed forces of the United States who is deployed to combat or a combat support posting, for the duration of the posting;
(2)  a member of the Texas National Guard who is called to federal active duty, for the duration of the duty;
(3)  the spouse of a person described by Subdivision (1), for the duration of the posting; or
(4)  the spouse of a person described by Subdivision (2), for the duration of the duty.
(b)  A lender may not garnish the wages of a borrower who is a member of the United States military or the member's spouse.
(c)  A lender who engages in a deferred presentment transaction with a member of the United States military or a dependent of a member of the United States military must comply with 10 U.S.C. Section 987 and any regulations adopted under that law, to the extent applicable.
Added by Acts 2005, 79th Leg., Ch. 394 (S.B. 1479), Sec. 1, eff. September 1, 2005.
Amended by:
Acts 2017, 85th Leg., R.S., Ch. 835 (H.B. 2008), Sec. 1, eff. September 1, 2017.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 342 - Consumer Loans › Subchapter M. Deferred Presentment Transactions › Section 342.605. Repayment Agreement

Sec. 342.605.  REPAYMENT AGREEMENT.  With respect to a deferred presentment transaction, a lender shall honor a repayment agreement entered into with a borrower who is a member of the United States military or the member's spouse, including a repayment agreement negotiated through a military counselor or a third-party credit counselor.
Added by Acts 2005, 79th Leg., Ch. 394 (S.B. 1479), Sec. 1, eff. September 1, 2005.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 343 - Home Loans › Subchapter A. General Provisions › Section 343.001. Definitions

Sec. 343.001.  DEFINITIONS.  In this chapter:
(1)  "Bridge loan" means temporary or short-term financing requiring payment of only interest until the entire unpaid balance is due.
(2)  "Home loan" means a loan that is:
(A)  made to one or more individuals for personal, family, or household purposes;  and
(B)  secured in whole or part by:
(i)  a manufactured home, as defined by Section 347.002, used or to be used as the borrower's principal residence;  or
(ii)  real property improved by a dwelling designed for occupancy by four or fewer families and used or to be used as the borrower's principal residence.
(3)  "Restructure" means a change in the payment schedule or other terms of a home loan as a result of the borrower's default.
Added by Acts 2001, 77th Leg., ch. 622, Sec. 1, eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 343 - Home Loans › Subchapter A. General Provisions › Section 343.002. Applicability

Sec. 343.002.  APPLICABILITY.  (a)  This chapter applies to a loan under this chapter that is extended to a person who is located in this state at the time the loan is made.
(b)  This chapter does not apply to:
(1)  a reverse mortgage; or
(2)  an open-end account, as defined by Section 301.002.
Added by Acts 2001, 77th Leg., ch. 622, Sec. 1, eff. Sept. 1, 2001.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 767 (H.B. 1442), Sec. 25, eff. September 1, 2019.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 343 - Home Loans › Subchapter A. General Provisions › Section 343.003. Conflict With Other Provisions of Title

Sec. 343.003.  CONFLICT WITH OTHER PROVISIONS OF TITLE.  If this chapter conflicts with another provision of this title, this chapter controls.
Added by Acts 2001, 77th Leg., ch. 622, Sec. 1, eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 343 - Home Loans › Subchapter B. Provisions Relating to Home Loans in General › Section 343.101. Refinancing

Sec. 343.101.  REFINANCING.  (a)  For purposes of this section, a low-rate home loan is a home loan that at its inception carries an interest rate two percentage points or more below the yield on treasury securities having comparable periods of maturity to the loan maturity, except that if the loan's interest rate is a discounted introductory rate or a rate that automatically steps up over time, the fully indexed rate or the fully stepped-up rate, as appropriate, shall be used instead of the rate at the loan's inception to determine whether the loan is a low-rate loan.
(b)  A lender may not replace or consolidate a low-rate home loan directly made by a government or nonprofit lender before the seventh anniversary of the date of the loan unless the new or consolidated loan has a lower interest rate and requires payment of a lesser amount of points and fees than the original loan or is a restructure to avoid foreclosure.
Added by Acts 2001, 77th Leg., ch. 622, Sec. 1, eff. Sept. 1, 2001.
Notwithstanding the approval by the voters on Sept. 13, 2003, of the constitutional amendment authorizing the continuation of this section, this section expired as provided by Subsection (b) on  Sept. 1, 2003.
Sec. 343.102.  DISCLOSURE IN CONNECTION WITH CERTAIN HOME LOANS.  (a)  For a home loan with an interest rate of 12 percent or greater a year, when the lender makes the disclosure required under the Real Estate Settlement Procedures Act of 1974 (12 U.S.C. Section 2601 et seq.), as amended, for the good faith estimate, or if that Act does not apply, three business days after the date the application is made, the lender shall also provide to the borrower:
(1)  a statement regarding the value of mortgage counseling before taking out a home loan;
(2)  a list of the nearest available housing counseling agencies approved by the United States Department of Housing and Urban Development;
(3)  a list of other resources where mortgage information can be found, including toll-free telephone numbers and online resources; and
(4)  other disclosures required by the finance commission, including an official notice regarding high-cost home loans.
(b)  This section expires September 1, 2003.
Added by Acts 2001, 77th Leg., Ch. 622 (S.B. 1581), Sec. 1, eff. Sept. 1, 2001. Amended by Acts 2003, 78th Leg., Ch. 1207 (S.B. 1067), Sec. 4, eff. Sept. 13, 2003.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 343 - Home Loans › Subchapter B. Provisions Relating to Home Loans in General › Section 343.103. Disclosure of Mortgage Information to Surviving Spouse

Sec. 343.103.  DISCLOSURE OF MORTGAGE INFORMATION TO SURVIVING SPOUSE.  (a)  In this section:
(1)  "Estate" has the meaning assigned by Section 22.012, Estates Code.
(2)  "Heir" has the meaning assigned by Section 22.015, Estates Code.
(3)  "Mortgage servicer" and "mortgagor" have the meanings assigned by Section 51.0001, Property Code.
(b)  Not later than the 30th day after a mortgage servicer of a home loan receives a request for the information from the surviving spouse of a mortgagor of the home loan, accompanied by the proof required under Subsection (c), the mortgage servicer shall provide the surviving spouse with information that the mortgagor would have received in a standard monthly statement, including:
(1)  the current balance information, including the due dates and the amount of any installments;
(2)  whether the loan is current and any amounts that are delinquent;
(3)  any loan number; and
(4)  the amount of any escrow deposit for taxes and insurance purposes.
(c)  A surviving spouse must prove the person's status by providing:
(1)  a death certificate of the mortgagor;
(2)  an affidavit of disinterested witnesses that is in the form referenced in Section 203.002, Estates Code, including language stating that the surviving spouse was married to the mortgagor at the time of the mortgagor's death; and
(3)  an affidavit signed by the surviving spouse stating that the surviving spouse is currently residing in the underlying mortgaged property as the primary residence.
(d)  The request from the surviving spouse must also include a notice to the mortgage servicer that states in bold-faced, capital, or underlined letters: "THIS REQUEST IS MADE PURSUANT TO TEXAS FINANCE CODE SECTION 343.103. SUBSEQUENT DISCLOSURE OF INFORMATION IS NOT IN CONFLICT WITH THE GRAMM-LEACH-BLILEY ACT UNDER 15 U.S.C. SECTION 6802(e)(8)."
(e)  A mortgage servicer that provides the information as required under this section is not liable to the estate of the mortgagor or any heir or beneficiary of the mortgagor as a result of providing this information to the surviving spouse.
Added by Acts 2015, 84th Leg., R.S., Ch. 511 (H.B. 831), Sec. 1, eff. September 1, 2015.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 343 - Home Loans › Subchapter B. Provisions Relating to Home Loans in General › Section 343.104. Restrictions on Single Premium Credit Insurance

Sec. 343.104.  RESTRICTIONS ON SINGLE PREMIUM CREDIT INSURANCE.  A lender may not offer any individual or group credit life, disability, or unemployment insurance on a prepaid single premium basis in conjunction with a home loan unless the following notice is provided to each applicant for the loan by hand delivery or mail to the applicant not later than the third business day after the date the applicant's application for a home loan is received:
INSURANCE NOTICE TO APPLICANT
You may elect to purchase credit life, disability, or involuntary unemployment insurance in conjunction with this mortgage loan.  If you elect to purchase this insurance coverage, you may pay for it either on a monthly premium basis or with a single premium payment at the time the lender closes this loan.  If you choose the single premium payment, the cost of the premium will be financed at the interest rate provided for in the mortgage loan.
This insurance is NOT required as a condition of closing the mortgage loan and will be included with the loan only at your request.
You have the right to cancel this credit insurance once purchased.  If you cancel it within 30 days of the date of your loan, you will receive either a full refund or a credit against your loan account.  If you cancel this insurance at any other time, you will receive either a refund or credit against your loan account of any unearned premium.  YOU MUST CANCEL WITHIN 30 DAYS OF THE DATE OF THE LOAN TO RECEIVE A FULL REFUND OR CREDIT.
To assist you in making an informed choice, the following estimates of premiums are being provided along with an example of the cost of financing.  The examples assume that the term of the insurance product is ____ years and that the interest rate is ______ percent (a rate that has recently been available for the type of loan you are seeking). PLEASE NOTE THAT THE ACTUAL LOAN TERMS YOU QUALIFY FOR MAY VARY FROM THIS EXAMPLE. "Total amount paid" is the amount that would be paid if you financed only the total insurance premium for a ___ year period and is equal to the amount you would have paid if you made all scheduled payments.  This is NOT the total of payments on your loan.
CREDIT LIFE INSURANCE:  Estimated premium of $_______
DISABILITY INSURANCE:  Estimated premium of $_______
INVOLUNTARY UNEMPLOYMENT INSURANCE:  Estimated premium of $________
TOTAL INSURANCE PREMIUMS:  $_______
TOTAL AMOUNT PAID:  $_______
Added by Acts 2001, 77th Leg., ch. 622, Sec. 1, eff. Sept. 1, 2001.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 343 - Home Loans › Subchapter B. Provisions Relating to Home Loans in General › Section 343.105. Notice of Penalties for Making False or Misleading Written Statement

Sec. 343.105.  NOTICE OF PENALTIES FOR MAKING FALSE OR MISLEADING WRITTEN STATEMENT.  (a)  A lender, mortgage banker, or licensed mortgage broker shall provide to each applicant for a home loan a written notice at closing.
(b)  The notice must:
(1)  be provided on a separate document;
(2)  be in at least 14-point type; and
(3)  have the following or substantially similar language:
"Warning: Intentionally or knowingly making a materially false or misleading written statement to obtain property or credit, including a mortgage loan, is a violation of Section 32.32, Texas Penal Code, and, depending on the amount of the loan or value of the property, is punishable by imprisonment for a term of 2 years to 99 years and a fine not to exceed $10,000.
"I/we, the undersigned home loan applicant(s), represent that I/we have received, read, and understand this notice of penalties for making a materially false or misleading written statement to obtain a home loan.
"I/we represent that all statements and representations contained in my/our written home loan application, including statements or representations regarding my/our identity, employment, annual income, and intent to occupy the residential real property secured by the home loan, are true and correct as of the date of loan closing."
(c)  On receipt of the notice, the loan applicant shall verify the information and execute the notice.
(d)  The failure of a lender, mortgage banker, or licensed mortgage broker to provide a notice complying with this section to each applicant for a home loan does not affect the validity or enforceability of the home loan by any holder of the loan.
Added by Acts 2007, 80th Leg., R.S., Ch. 285 (H.B. 716), Sec. 1, eff. September 1, 2007.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 343 - Home Loans › Subchapter B. Provisions Relating to Home Loans in General › Section 343.108. Release of Lien After Payoff by Mortgagor

Sec. 343.108.  RELEASE OF LIEN AFTER PAYOFF BY MORTGAGOR.  (a)  In this section:
(1)  "Mortgage servicer," "mortgagee," and "mortgagor" have the meanings assigned by Section 51.0001, Property Code.
(2)  "Release of lien" means a release of a deed of trust or other lien securing a home loan.
(b)  Except as provided by Subsection (c), not later than the 60th day after the date a mortgage servicer or mortgagee, as applicable, receives the correct payoff amount for a home loan from a mortgagor, the mortgage servicer or mortgagee shall:
(1)  deliver to the mortgagor a release of lien for the home loan; or
(2)  file the release of lien with the appropriate county clerk's office for recording in the real property records of the county.
(c)  If, on or before the 20th day after the date of the payoff of the home loan, the mortgagor delivers a written request to the mortgagee or mortgage servicer for the release of lien to be delivered to the mortgagor or filed with the county clerk, the mortgagee or mortgage servicer shall deliver or file the release of lien not later than the 30th day after the date the mortgagee or mortgage servicer receives the written request from the mortgagor.
(d)  Chapter 349 does not apply to this section.
(e)  A mortgage servicer is required to comply with this section only if the mortgage servicer has the authority to deliver or file a release of lien for the home loan.
Added by Acts 2023, 88th Leg., R.S., Ch. 303 (H.B. 219), Sec. 1, eff. September 1, 2023.