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 345 - Retail Installment Sales › Subchapter B. Retail Installment Contract › Section 345.084. Debt Cancellation Agreement

Sec. 345.084.  DEBT CANCELLATION AGREEMENT.  A debt cancellation agreement under Chapter 354 may be offered in connection with a retail installment contract for a covered vehicle to which this chapter applies.  For purposes of this section, "covered vehicle" has the meaning assigned by Section 354.001.
Added by Acts 2017, 85th Leg., R.S., Ch. 183 (S.B. 1052), Sec. 2, 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 345 - Retail Installment Sales › Subchapter C. Retail Charge Agreement › Section 345.101. Making Retail Charge Agreement

Sec. 345.101.  MAKING RETAIL CHARGE AGREEMENT.  On the request of a retail buyer or prospective buyer, a retail seller or credit card issuer may establish a retail charge agreement.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter C. Retail Charge Agreement › Section 345.102. Agreement General Requirements

Sec. 345.102.  AGREEMENT GENERAL REQUIREMENTS.  (a)  A retail charge agreement must be in writing and signed by the retail buyer.
(b)  An agreement must contain substantially the following notice printed or typed in at least 10-point type that is bold-faced, capitalized, underlined, or otherwise conspicuously set out from the surrounding written material:
"NOTICE TO THE BUYER--DO NOT SIGN THIS AGREEMENT BEFORE YOU READ IT OR IF IT CONTAINS BLANK SPACES.  YOU ARE ENTITLED TO A COPY OF THE AGREEMENT YOU SIGN.  KEEP THIS AGREEMENT TO PROTECT YOUR LEGAL RIGHTS."
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter C. Retail Charge Agreement › Section 345.103. Time Price Differential for Agreement

Sec. 345.103.  TIME PRICE DIFFERENTIAL FOR AGREEMENT.  (a)  Notwithstanding any other law a retail charge agreement may provide for a time price differential for the payment in installments under the agreement.
(b)  The time price differential may not be more than the amount computed on the unpaid amount under the retail charge agreement at a rate equal to:
(1)  15 cents per $10 per month on the part of the unpaid balance that is equal to or less than the amount computed under Subchapter C, Chapter 341, using the reference amount of $500;  and
(2)  10 cents per $10 per month on the part of the unpaid balance that is more than the amount computed for Subdivision (1).
(c)  If the amount computed under Subsection (b) for any month for which a balance is due is less than 75 cents, the time price differential for that month may be 75 cents.
(d)  If the period between installment payments is not a month, the time price differential shall be computed proportionately.
(e)  The time price differential may be computed for all unpaid balances within a $10 range by applying the amount of the time price differential for the median amount within the range to those unpaid balances.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter C. Retail Charge Agreement › Section 345.104. Use of Optional Ceiling

Sec. 345.104.  USE OF OPTIONAL CEILING.
(a)  As an alternative to the maximum rate or amount authorized for a time price differential under Section 345.103, a retail charge agreement may provide for a rate or amount of time price differential that does not exceed  the rate or amount authorized by Chapter 303.
(b)  The provisions of Chapter 303 applicable to open-end accounts apply to a retail charge agreement to which this section applies.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
Amended by:
Acts 2005, 79th Leg., Ch. 1018 (H.B. 955), Sec. 2.16, 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 345 - Retail Installment Sales › Subchapter C. Retail Charge Agreement › Section 345.105. Charges for Collection of Payment of Agreement

Sec. 345.105.  CHARGES FOR COLLECTION OF PAYMENT OF AGREEMENT.  A retail charge agreement may provide for the payment of:
(1)  an attorney's reasonable fee if the agreement is referred for collection to an attorney who is not a salaried employee of the holder;  and
(2)  court costs and disbursements.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter C. Retail Charge Agreement › Section 345.106. Processing Fee for Returned Check

Sec. 345.106.  PROCESSING FEE FOR RETURNED CHECK.  A retail charge agreement may provide that the holder of the agreement may:
(1)  charge the retail buyer, on return of a dishonored check given in payment under the agreement, a reasonable processing fee that does not exceed the amount prescribed by Section 3.506, Business & Commerce Code; and
(2)  add the fee to the unpaid balance under the agreement.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
Amended by:
Acts 2023, 88th Leg., R.S., Ch. 159 (S.B. 1371), Sec. 16, 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 345 - Retail Installment Sales › Subchapter C. Retail Charge Agreement › Section 345.107. Prohibited Fees

Sec. 345.107.  PROHIBITED FEES.  An annual, membership, or participation fee may not be charged to or collected from a retail buyer in connection with a retail charge agreement.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter C. Retail Charge Agreement › Section 345.108. Prohibition on Signing of Agreement With Blank Spaces

Sec. 345.108.  PROHIBITION ON SIGNING OF AGREEMENT WITH BLANK SPACES.  A retail buyer may not sign a retail charge agreement that contains blank spaces.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter C. Retail Charge Agreement › Section 345.109. Delivery of Copy of Agreement

Sec. 345.109.  DELIVERY OF COPY OF AGREEMENT.  (a)  A retail seller or credit card issuer shall deliver or mail a copy of the executed retail charge agreement to the retail buyer before the date on which the first payment under the agreement is due.
(b)  If a copy of the retail charge agreement is not retained by the retail seller, a notation in the seller's permanent record showing that the agreement was mailed and the date of mailing is presumptive proof of the mailing.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter C. Retail Charge Agreement › Section 345.110. Buyer's Acknowledgment of Delivery of Agreement Copy

Sec. 345.110.  BUYER'S ACKNOWLEDGMENT OF DELIVERY OF AGREEMENT COPY.  (a)  Any retail buyer's acknowledgment of delivery of a copy of a retail charge agreement that is contained in the body of the agreement must:
(1)  be in at least 10-point type that is bold-faced, capitalized, or underlined or otherwise conspicuously set out from the surrounding written material;  and
(2)  appear directly above the buyer's signature.
(b)  A retail buyer's acknowledgment, conforming to this section, of delivery of a copy of the agreement is, in an action or proceeding, presumptive proof that:
(1)  the copy was delivered to the buyer;  and
(2)  the agreement did not contain a blank space when it was signed by the buyer.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter C. Retail Charge Agreement › Section 345.111. Statement of Cash Price

Sec. 345.111.  STATEMENT OF CASH PRICE.  The cash price in a retail installment transaction under a retail charge agreement shall be stated in a sales slip or other memorandum furnished by a retail seller to a retail buyer under or in connection with the agreement.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter C. Retail Charge Agreement › Section 345.112. Agreement Balance Statement

Sec. 345.112.  AGREEMENT BALANCE STATEMENT.  (a)  At the end of each statement period of a retail charge agreement in which an unpaid balance exists, the retail seller shall provide to the retail buyer a statement of the unpaid balance.
(b)  The statement must set out that the retail buyer at any time may pay all or any part of the unpaid balance.
(c)  In this section, "statement period" means a monthly period, which is not required to be a calendar month.  The term may include a regular period, other than a monthly period, to which the retail charge agreement parties agree in writing.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter C. Retail Charge Agreement › Section 345.113. Compliance With Federal Law Considered Compliance With Chapter's Disclosure Requirements

Sec. 345.113.  COMPLIANCE WITH FEDERAL LAW CONSIDERED COMPLIANCE WITH CHAPTER'S DISCLOSURE REQUIREMENTS.  A retail charge agreement that complies with the applicable disclosure provisions of the Consumer Credit Protection Act (15 U.S.C. Section 1601 et seq.) is considered to comply with the disclosure requirements of Section 345.112.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter D. Alternate Finance Charge Ceiling › Section 345.155. Time Price Differential Computation and Amount

Sec. 345.155.  TIME PRICE DIFFERENTIAL COMPUTATION AND AMOUNT.  (a)  A time price differential authorized under Subchapter C shall be computed using the average daily balance method.
(b)  If the amount of a time price differential otherwise authorized under Subchapter C for a billing cycle in which a balance is due is less than 75 cents a month, the holder may charge an amount that does not exceed 75 cents a month.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 1182 (H.B. 3453), Sec. 7, 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 345 - Retail Installment Sales › Subchapter D. Alternate Finance Charge Ceiling › Section 345.156. When Charging of Time Price Differential Prohibited

Sec. 345.156.  WHEN CHARGING OF TIME PRICE DIFFERENTIAL PROHIBITED.  A time price differential may not be charged for a billing cycle of a retail charge agreement that provides for a time price differential under this subchapter if:
(1)  the payments received for the agreement and amounts credited during the billing cycle that are attributable to amounts included in the balance owed at the end of the preceding billing cycle equal or exceed the balance owed under the agreement at the end of the preceding billing cycle;  or
(2)  a balance is not owed at the end of the preceding billing cycle.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter D. Alternate Finance Charge Ceiling › Section 345.157. Delinquency Charge

Sec. 345.157.  DELINQUENCY CHARGE.  (a)  A retail charge agreement may provide for the payment of:
(1)  a delinquency charge on each installment that is in default for a period that is longer than 21 days;
(2)  an attorney's reasonable fee if the agreement is referred for collection to an attorney who is not a salaried employee of the holder; and
(3)  court costs and disbursements.
(b)  The amount of a delinquency charge may not exceed $15.
(c)  Only one delinquency charge may be collected on an installment regardless of the duration of the default.
(d)  The holder shall remit 50 cents of each delinquency charge in excess of $10 collected under this section to the comptroller, in the time and manner established by the comptroller, for deposit to the credit of an account in the general revenue fund. One-half of the money in the account may be appropriated only to finance research conducted by the commissioner under Section 11.305 and the other one-half of the money in the account may be appropriated only to finance educational activities and counseling services under Section 394.001.
(e)  A customer's monthly statement must contain the following notice printed or typed in at least 10-point type that is boldfaced, capitalized, underlined, or otherwise conspicuously set out from the surrounding written material:  "A DELINQUENCY CHARGE OF $15 MAY BE ASSESSED FOR A PAYMENT THAT IS IN DEFAULT FOR A PERIOD THAT IS LONGER THAN 21 DAYS."
(f)  If the commissioner determines that a retail seller or creditor that was operating under this subchapter on September 1, 1999, and that charges a delinquency charge in excess of $10, moved its credit operations out of this state after September 1, 1999, in a manner that results in the retail seller's or creditor's retail charge agreements not being subject to this subchapter, the commissioner shall collect from the retail seller or creditor an amount equal to 25 cents for each delinquency charge in excess of $10 collected during the 12-month period preceding the date of the move.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.  Amended by Acts 1999, 76th Leg., ch. 1348, Sec. 4, eff. Sept. 1, 1999.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 1182 (H.B. 3453), Sec. 8, eff. September 1, 2011.
Acts 2019, 86th Leg., R.S., Ch. 767 (H.B. 1442), Sec. 27, 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 345 - Retail Installment Sales › Subchapter D. Alternate Finance Charge Ceiling › Section 345.158. Retail Charge Agreement to Which Subchapter Does Not Apply

Sec. 345.158.  RETAIL CHARGE AGREEMENT TO WHICH SUBCHAPTER DOES NOT APPLY.  This subchapter does not apply to a retail charge agreement that:
(1)  is a home solicitation transaction that is subject to Chapter 601, Business & Commerce Code;
(2)  is secured by a lien on the obligor's homestead; and
(3)  provides for credit that is extended by the retail seller or the seller's owner, subsidiary, or corporate affiliate.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 2.18, eff. April 1, 2009.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter E. Insurance › Section 345.201. Property Insurance

Sec. 345.201.  PROPERTY INSURANCE.  (a)  A holder may request or require a retail buyer to insure the property purchased or improved under a retail installment transaction, including the purchase of title insurance on real property that is involved in the retail installment contract or retail charge agreement and that is subject to a security interest of the holder, including a lien.
(b)  If the property is a boat that may be enrolled or licensed as a yacht with the United States Coast Guard and subject to the maritime laws of the United States, a holder may also require a retail buyer to provide in connection with the boat:
(1)  protection and indemnity insurance;
(2)  longshoremen's and harbor worker's compensation insurance;  and
(3)  medical payments insurance.
(c)  The insurance and the premiums or charges for the insurance must bear a reasonable relationship to:
(1)  the amount, term, and conditions of the retail installment contract or retail charge agreement;
(2)  the existing hazards or risk of loss, damage, or destruction;  or
(3)  the potential liability.
(d)  The insurance may not:
(1)  cover unusual or exceptional risks;  or
(2)  provide coverage not ordinarily included in policies issued to the public.
(e)  The holder may include the cost of insurance provided under this section as a separate charge in the contract or agreement.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter E. Insurance › Section 345.202. Credit Life, Credit Health and Accident, and Credit Involuntary Unemployment Insurance

Sec. 345.202.  CREDIT LIFE, CREDIT HEALTH AND ACCIDENT, AND CREDIT INVOLUNTARY UNEMPLOYMENT INSURANCE.  (a)  As additional protection for the contract or agreement, a holder may:
(1)  request or require a retail buyer to provide credit life insurance and credit health and accident insurance;  and
(2)  request or allow a retail buyer to provide credit involuntary unemployment insurance.
(b)  A holder may include the cost of insurance provided under Subsection (a) as a separate charge in the contract or agreement.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter E. Insurance › Section 345.203. Maximum Amount of Insurance Coverage

Sec. 345.203.  MAXIMUM AMOUNT OF INSURANCE COVERAGE.  (a)  At any time the total amount of the policies of credit life insurance in force on one retail buyer on one retail installment contract or retail charge agreement may not exceed:
(1)  the total amount repayable under the contract or agreement;  and
(2)  the greater of the scheduled or actual amount of unpaid indebtedness if the indebtedness is repayable in substantially equal installments.
(b)  At any time the total amount of the policies of credit health and accident insurance or credit involuntary unemployment insurance in force on one retail buyer on one retail installment contract or retail charge agreement may not exceed the total amount repayable under the contract or agreement, and the amount of each periodic indemnity payment may not exceed the scheduled periodic payment on the indebtedness.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter E. Insurance › Section 345.204. Insurance Statement

Sec. 345.204.  INSURANCE STATEMENT.  (a)  If insurance is required in connection with a retail installment contract or retail charge agreement, the holder shall give to the retail buyer a statement that clearly and conspicuously states that:
(1)  insurance is required in connection with the contract or agreement;  and
(2)  the buyer as an option may furnish the insurance through:
(A)  an existing policy of insurance owned or controlled by the buyer;  or
(B)  an insurance policy obtained from an insurance company authorized to do business in this state.
(b)  If requested or required insurance is sold or obtained by the holder and the retail installment contract or retail charge agreement includes a premium or rate of charge that is not fixed or approved by the commissioner of insurance, the holder shall deliver or mail to the retail buyer a written statement that includes that fact.
(c)  A statement under Subsection (a) or (b) may be provided with or as part of the retail installment contract or the retail charge agreement, as appropriate, or separately.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter E. Insurance › Section 345.205. Insurance May Be Furnished by Buyer

Sec. 345.205.  INSURANCE MAY BE FURNISHED BY BUYER.  (a)  If insurance is requested or required in connection with a retail installment contract or retail charge agreement and the retail installment contract or retail charge agreement includes a premium or rate of charge that is not fixed or approved by the commissioner of insurance, the retail buyer is entitled to furnish the insurance coverage not later than the 10th day after the date of the contract or agreement or the delivery or mailing of the written statement required under Section 345.204, as appropriate, through:
(1)  an existing insurance policy owned or controlled by the buyer;  or
(2)  an insurance policy obtained from an insurance company authorized to do business in this state.
(b)  When a retail installment contract or retail charge agreement is executed, the retail buyer is entitled to purchase the insurance described by Section 345.201, 345.202, or 345.207 and select:
(1)  the agent or broker;  and
(2)  an insurance company acceptable to the holder.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter E. Insurance › Section 345.206. Buyer's Failure to Provide Evidence of Insurance

Sec. 345.206.  BUYER'S FAILURE TO PROVIDE EVIDENCE OF INSURANCE.  (a)  If the retail buyer fails to present to the holder reasonable evidence that the buyer has obtained or maintained a coverage required by the retail installment contract or retail charge agreement, the holder may:
(1)  obtain substitute insurance coverage that is substantially equivalent to or more limited than the coverage required;  and
(2)  add the amount of the premium advanced for the substitute coverage to the unpaid balance of the contract or agreement.
(b)  Substitute insurance coverage under Subsection (a)(1):
(1)  may be limited to coverage only of the interest of the holder or the interest of the holder and the buyer;  and
(2)  must be written at lawful rates and in accordance with the Insurance Code by a company authorized to do business in this state.
(c)  If substitute insurance is obtained by the holder under Subsection (a), the amendment adding the premium or rescheduling the contract is not required to be signed by the retail buyer.  The holder shall deliver to the buyer or send to the buyer's most recent address shown in the records of the holder specific written notice that the holder has obtained substitute insurance.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter E. Insurance › Section 345.207. Charges for Other Insurance Included in Retail Installment Contract

Sec. 345.207.  CHARGES FOR OTHER INSURANCE INCLUDED IN RETAIL INSTALLMENT CONTRACT.  A retail buyer and retail seller may agree in a retail installment contract to include charges for insurance coverage that is:
(1)  for risk of loss or liability reasonably related to:
(A)  the goods or services sold;
(B)  the anticipated use of the goods or services sold;  or
(C)  goods or services that:
(i)  are related to the goods or services sold;  and
(ii)  may be insured with the goods and services sold;
(2)  written on policies or endorsement forms prescribed or approved by the commissioner of insurance;  and
(3)  ordinarily offered in policies or endorsements offered to the public.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter E. Insurance › Section 345.208. Requirements for Including Insurance Charge in Contract or Agreement

Sec. 345.208.  REQUIREMENTS FOR INCLUDING INSURANCE CHARGE IN CONTRACT OR AGREEMENT.  (a)  For insurance to be included as an itemized charge in a retail installment contract or a retail charge agreement:
(1)  the insurance must be written:
(A)  at lawful rates;
(B)  in accordance with the Insurance Code;  and
(C)  by a company authorized to do business in this state;  and
(2)  the disclosure requirements of this section must be satisfied.
(b)  If the insurance is described by Section 345.201, 345.202, or 345.207, the retail installment contract or retail charge agreement, or a separate written statement or specimen copy of a certificate or policy of insurance that is given to the retail buyer, must identify the:
(1)  type of the coverage;
(2)  term of the coverage;  and
(3)  amount of the premium for the coverage.
(c)  If the insurance is described by Section 345.207, the retail installment contract must also clearly indicate that the coverage is optional.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter E. Insurance › Section 345.209. Delivery of Insurance Document to Buyer

Sec. 345.209.  DELIVERY OF INSURANCE DOCUMENT TO BUYER.  A holder who obtains insurance shall, not later than the 45th day after the date of the delivery of goods or the furnishing of services under a retail installment contract or retail charge agreement, deliver, mail, or cause to be mailed to the retail buyer at the buyer's address specified in the contract or agreement a policy or certificate of insurance that clearly sets forth:
(1)  the amount of the premium;
(2)  the kind of insurance provided;
(3)  the coverage of the insurance;  and
(4)  all terms, including options, limitations, restrictions, and conditions, of the policy.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter E. Insurance › Section 345.210. Holder's Duty if Insurance Is Adjusted or Terminated

Sec. 345.210.  HOLDER'S DUTY IF INSURANCE IS ADJUSTED OR TERMINATED.  (a)  If insurance for which a charge is included in or added to a retail installment contract or retail charge agreement is canceled, adjusted, or terminated, the holder shall, at the holder's option:
(1)  apply the amount of the refund for unearned insurance premiums received by the holder to replace required insurance coverage;  or
(2)  credit the refund to the final maturing installments of the retail installment contract or retail charge agreement.
(b)  If the amount to be applied or credited under Subsection (a) is more than the amount unpaid on the retail installment contract or retail charge agreement, the holder shall refund to the retail buyer the difference between those amounts.
(c)  A cash refund is not required under this section if the amount of the refund is less than $1.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter E. Insurance › Section 345.211. Gain or Advantage From Insurance Not Additional Charge

Sec. 345.211.  GAIN OR ADVANTAGE FROM INSURANCE NOT ADDITIONAL CHARGE.  Any gain or advantage to the holder or the holder's employee, officer, director, agent, general agent, affiliate, or associate from insurance or the provision or sale of insurance under this subchapter is not an additional charge or additional time price differential in connection with a retail installment contract or retail sales agreement made under this chapter except as specifically provided by this chapter.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter E. Insurance › Section 345.212. Nonfiling Insurance

Sec. 345.212.  NONFILING INSURANCE.  (a)  Instead of charging fees for the filing, recording, and releasing of documents for the perfection of a security interest created in connection with a retail installment transaction, the holder may include in the retail installment contract or retail charge agreement 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 holder may receive a charge authorized by this section only if the holder purchases nonfiling insurance in connection with the retail installment transaction.
(d)  A holder is not required to furnish to a retail buyer a policy or certificate of insurance evidencing nonfiling insurance.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter E. Insurance › Section 345.213. Inclusion of Insurance Premiums

Sec. 345.213.  INCLUSION OF INSURANCE PREMIUMS.  A retail seller may include any type of insurance premium in the billing of its accounts if:
(1)  a charge, other than the premium, is not made to the retail buyer in connection with that inclusion;  and
(2)  a charge is not made and a premium is not charged under a retail credit agreement when there is no monthly balance or the monthly balances are paid in full.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter E. Insurance › Section 345.214. Adding to Retail Installment Contract Premiums for Insurance Acquired After Transaction

Sec. 345.214.  ADDING TO RETAIL INSTALLMENT CONTRACT PREMIUMS FOR INSURANCE ACQUIRED AFTER TRANSACTION.  (a)  A retail buyer and holder may agree to add to the unpaid balance of a retail installment contract premiums for insurance policies covering goods or services sold in a prior retail installment transaction under the contract or goods or services related to those goods or services, including premiums for the renewal of a policy included in the contract.
(b)  A policy of insurance described by Subsection (a) must comply with the applicable requirements of Sections 345.201, 345.203, 345.207, and 345.208.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter E. Insurance › Section 345.215. Effect of Adding Premium to Contract or Agreement

Sec. 345.215.  EFFECT OF ADDING PREMIUM TO CONTRACT OR AGREEMENT.  (a)  If a premium is added to the unpaid balance of a retail installment contract under Section 345.206 or 345.214, the rate of time price differential agreed to in the retail installment contract remains in effect and shall be applied to the new unpaid balance or the contract may be rescheduled in accordance with Section 345.070.
(b)  If a premium is added under a retail charge agreement, the premium shall be added to the unpaid balance under the agreement.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter F. Special Fees and Finance Rates › Section 345.251. Documentary Fee for Certain Vehicles

Sec. 345.251.  DOCUMENTARY FEE FOR CERTAIN VEHICLES.  (a)  A retail seller may charge a documentary fee for services rendered to, for, or on behalf of a retail buyer in handling and processing documents relating to the sale of a motorcycle, moped, all-terrain vehicle, boat, boat motor, boat trailer, or towable recreational vehicle.
(b)  If a documentary fee is charged under this section the fee:
(1)  must be charged to cash buyers and credit buyers;
(2)  may not exceed a reasonable amount agreed to by the retail seller and retail buyer for the documentary services, subject to a reasonable maximum amount set by rule by the finance commission; and
(3)  must be disclosed on the buyer's order or retail installment contract as a separate itemized charge.
(c)  A preliminary work sheet on which a sale price is computed and that is shown to the retail buyer, an order from the buyer, or a retail installment contract must include in reasonable proximity to the place on the document where the documentary fee is disclosed:
(1)  the amount of the fee; and
(2)  the following notice in type that is bold-faced, capitalized, or underlined or otherwise conspicuously set out from the surrounding written material:
"A DOCUMENTARY FEE IS NOT AN OFFICIAL FEE.  A DOCUMENTARY FEE IS NOT REQUIRED BY LAW, BUT MAY BE CHARGED TO BUYERS FOR HANDLING DOCUMENTS RELATING TO THE SALE.  A DOCUMENTARY FEE MAY NOT EXCEED A REASONABLE AMOUNT AGREED TO BY THE PARTIES THAT IS NOT MORE THAN THE MAXIMUM AMOUNT ALLOWED BY THE STATE.  THIS NOTICE IS REQUIRED BY LAW."
(d)  If the language primarily used in an oral sales presentation is not the same as the language in which the retail installment contract is written, the retail seller shall furnish to the retail buyer a written statement containing the notice set out in Subsection (c) in the language primarily used in the oral sales presentation.
(e)  The finance commission may adopt rules necessary to implement and enforce this section.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 43 (S.B. 1248), Sec. 1, eff. September 1, 2013.
Acts 2019, 86th Leg., R.S., Ch. 882 (H.B. 3171), Sec. 2.01, 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 345 - Retail Installment Sales › Subchapter F. Special Fees and Finance Rates › Section 345.252. Time Price Differential for Certain Prepaid Funeral Benefits

Sec. 345.252.  TIME PRICE DIFFERENTIAL FOR CERTAIN PREPAID FUNERAL BENEFITS.  Prepaid funeral benefits regulated under Chapter 154 may be financed only at rates authorized by Chapter 303.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter F. Special Fees and Finance Rates › Section 345.253. Time Price Differential for Medical and Dental Services

Sec. 345.253.  TIME PRICE DIFFERENTIAL FOR MEDICAL AND DENTAL SERVICES.  Medical or dental services may be financed only at rates authorized by Chapter 303.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter G. Acquisition of Contract, Agreement, or Balance › Section 345.301. Authority to Acquire

Sec. 345.301.  AUTHORITY TO ACQUIRE.  Notwithstanding any other law, a person may acquire a retail installment contract or retail charge agreement or an outstanding balance under a contract or agreement from another person on the terms, including the price, to which they agree.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter G. Acquisition of Contract, Agreement, or Balance › Section 345.302. Lack of Notice Does Not Affect Validity as to Certain Creditors

Sec. 345.302.  LACK OF NOTICE DOES NOT AFFECT VALIDITY AS TO CERTAIN CREDITORS.  Notice to a retail buyer of an assignment or negotiation of a retail installment contract or retail charge agreement or an outstanding balance under a contract or agreement or a requirement that the retail seller be deprived of dominion over payments on a contract or agreement or over the goods if returned to or repossessed by the seller is not necessary for a written assignment or negotiation of the contract or agreement or an outstanding balance under the contract or agreement to be valid as against a creditor, subsequent purchaser, pledgee, mortgagee, or lien claimant of the seller.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter G. Acquisition of Contract, Agreement, or Balance › Section 345.303. Payment by Buyer

Sec. 345.303.  PAYMENT BY BUYER.  Unless a retail buyer has notice of the assignment or negotiation of the buyer's retail installment contract or retail charge agreement or an outstanding balance under the contract or agreement, a payment by the buyer to the holder last known to the buyer is binding on all subsequent holders.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter G. Acquisition of Contract, Agreement, or Balance › Section 345.304. Preservation of Buyer's Right of Action or Defense

Sec. 345.304.  PRESERVATION OF BUYER'S RIGHT OF ACTION OR DEFENSE.  (a)  A right of action or defense of a retail buyer arising out of a retail installment transaction is not affected by the negotiation of the retail installment contract or retail charge agreement to a third party except as authorized by other law and the third party:
(1)  acquires the contract relying in good faith on a certificate of completion or certificate of satisfaction, if required by Section 345.081;
(2)  gives notice of the negotiation to the buyer under Subsection (b);  and
(3)  does not receive from the buyer, before the 31st day after the day on which that notice is mailed, written notice of a fact that gives rise to a claim or defense of the buyer.
(b)  A notice of negotiation must:
(1)  be in writing addressed to the retail buyer at the address shown on the contract;
(2)  identify the contract;
(3)  state the names and addresses of the retail seller and retail buyer;
(4)  describe the goods or services;
(5)  state the time balance and a description of the payment schedule;  and
(6)  contain the following warning in at least 10-point type that is bold-faced, capitalized, or underlined or otherwise conspicuously set out from the surrounding written material:
ARE THE TERMS OF THE CONTRACT DESCRIBED ABOVE CORRECT AND ARE YOU SATISFIED WITH THE GOODS OR SERVICES FURNISHED?  IF NOT, YOU SHOULD NOTIFY US GIVING DETAILS WITHIN 30 DAYS FROM THE DATE THE ABOVE NOTICE WAS MAILED.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter H. Other Provisions Applicable to Contracts and Agreements › Section 345.351. Registration of Holder

Sec. 345.351.  REGISTRATION OF HOLDER.  (a)  A holder who is not an authorized lender under Chapter 342 or a credit union shall:
(1)  register with the Office of Consumer Credit Commissioner; and
(2)  pay a fee in an amount determined under Section 14.107 for each location at which a retail installment transaction is originated, serviced, or collected.
(b)  Subject to Section 14.112, the finance commission by rule may establish procedures to facilitate the registration and collection of fees under this section.
(c)  A registration issued under this section is valid for the period prescribed by finance commission rule adopted under Section 14.112.
(d)  The commissioner may refuse to renew the registration of a holder who fails to comply with an order issued by the commissioner to enforce this chapter.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.  Amended by Acts 2001, 77th Leg., ch. 867, Sec. 96, eff. Sept. 1, 2001.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 767 (H.B. 1442), Sec. 28, eff. September 1, 2019.
Acts 2023, 88th Leg., R.S., Ch. 159 (S.B. 1371), Sec. 17, 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 345 - Retail Installment Sales › Subchapter H. Other Provisions Applicable to Contracts and Agreements › Section 345.352. Seller's Promise to Pay or Tender of Cash to Buyer as Part of Transaction

Sec. 345.352.  SELLER'S PROMISE TO PAY OR TENDER OF CASH TO BUYER AS PART OF TRANSACTION.  A retail seller may not promise to pay, pay, or otherwise tender cash to a retail buyer as a part of a transaction under this chapter unless specifically authorized by this chapter.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter H. Other Provisions Applicable to Contracts and Agreements › Section 345.353. Making of Contract or Agreement by Mail or Telephone

Sec. 345.353.  MAKING OF CONTRACT OR AGREEMENT BY MAIL OR TELEPHONE.  The designation requirement of Section 345.051(b) and the notice requirement of Section 345.052(d) do not apply to a sale under a retail installment contract or retail charge agreement negotiated and entered into by mail or telephone without solicitation in person by a salesperson or other representative of the retail seller if the contract or agreement is based on a printed solicitation, including a catalog of the seller, that clearly sets forth the cash price of sales to be made through the printed solicitation.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter H. Other Provisions Applicable to Contracts and Agreements › Section 345.354. Prohibition on Power of Attorney to Confess Judgment and Assignment of Wages

Sec. 345.354.  PROHIBITION ON POWER OF ATTORNEY TO CONFESS JUDGMENT AND ASSIGNMENT OF WAGES.  A retail installment contract or retail charge agreement may not contain:
(1)  a power of attorney to confess judgment;  or
(2)  an assignment of wages.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter H. Other Provisions Applicable to Contracts and Agreements › Section 345.355. Prohibition on Certain Acts of Repossession

Sec. 345.355.  PROHIBITION ON CERTAIN ACTS OF REPOSSESSION.  A retail installment contract or retail charge agreement may not:
(1)  authorize the holder or a person acting on the holder's behalf to:
(A)  enter the retail buyer's premises unlawfully;  or
(B)  commit a breach of the peace in the repossession of goods;  or
(2)  provide for the retail buyer to execute a power of attorney appointing, as the buyer's agent in the repossession of goods, the holder or a person acting on the holder's behalf.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter H. Other Provisions Applicable to Contracts and Agreements › Section 345.356. Buyer's Waiver

Sec. 345.356.  BUYER'S WAIVER.  (a)  A retail installment contract or retail charge agreement may not:
(1)  provide for a waiver of the retail buyer's rights of action against the holder or a person acting on the holder's behalf for an illegal act committed in:
(A)  the collection of payments under the contract or agreement;  or
(B)  the repossession of goods;  or
(2)  provide that the retail buyer agrees not to assert against the retail seller a claim or defense arising out of the sale.
(b)  A retail buyer may not waive any provision of this chapter before or at the time of the making of a retail installment contract, retail charge agreement, or purchase under the contract or agreement.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 345 - Retail Installment Sales › Subchapter H. Other Provisions Applicable to Contracts and Agreements › Section 345.357. Prohibition on Certain Liens

Sec. 345.357.  PROHIBITION ON CERTAIN LIENS.  A retail installment contract or retail charge agreement may not provide for a first lien on real property to secure the obligation, other than a lien:
(1)  created by law on the recording of an abstract of judgment;  or
(2)  provided for or granted by a contract or series of contracts for the sale or construction and sale of a structure to be used as a residence if the time price differential provided in the contract or agreement does not exceed an annual percentage rate permitted under this chapter or Chapter 303.
Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.