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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.104. Time Price Differential for Contract With Equal Monthly Successive Payments

Sec. 353.104.  TIME PRICE DIFFERENTIAL FOR CONTRACT WITH EQUAL MONTHLY SUCCESSIVE PAYMENTS.  (a)  A retail installment contract that is payable in substantially equal successive monthly installments beginning one month after the date of the contract may provide for a time price differential that does not exceed the add-on charge provided by this section.
(b)  The add-on charge is $7.50 per $100 per year on the principal balance for a new commercial vehicle, other than a heavy commercial vehicle, designated by the manufacturer by a model year that is not earlier than the year in which the sale is made.
(c)  The add-on charge is $10 per $100 per year on the principal balance for:
(1)  a new commercial vehicle not covered by Subsection (b);
(2)  a used commercial vehicle designated by the manufacturer by a model year that is not more than two years before the year in which the sale is made; or
(3)  a new or used heavy commercial vehicle designated by the manufacturer by a model year that is not more than two years before the year in which the sale is made.
(d)  The add-on charge is $12.50 per $100 per year on the principal balance for a used commercial vehicle not covered by Subsection (c) that is a commercial vehicle designated by the manufacturer by a model year that is not more than four years before the year in which the sale is made.
(e)  For a used commercial vehicle not covered by Subsection (c) or (d), the add-on charge is:
(1)  $15 per $100 per year on the principal balance; or
(2)  $18 per $100 per year on the principal balance if the principal balance under the retail installment contract does not exceed $300.
(f)  The time price differential is computed on the original principal balance under the retail installment contract from the date of the contract until the maturity of the final installment, notwithstanding that the balance is payable in installments.
(g)  If the retail installment contract is payable for a period that is shorter or longer than a year or is for an amount that is less or greater than $100, the amount of the maximum time price differential computed under this section is decreased or increased proportionately.
(h)  For the purpose of a computation under this section, 16 or more days of a month may be considered a full month.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.105. Use of Optional Ceiling

Sec. 353.105.  USE OF OPTIONAL CEILING.  As an alternative to the maximum rate or amount authorized for a time price differential under Section 353.104 or 353.106, a retail installment contract may provide for a rate or amount of time price differential that does not exceed the rate or amount authorized by Chapter 303.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.106. Time Price Differential for Other Contracts

Sec. 353.106.  TIME PRICE DIFFERENTIAL FOR OTHER CONTRACTS.  A retail installment contract that is payable other than in substantially equal successive monthly installments or the first installment of which is not payable one month from the date of the contract may provide for a time price differential that does not exceed an amount that, having due regard for the schedule of payments, provides the same effective return as if the contract were payable in substantially equal successive monthly installments beginning one month from the date of the contract.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.107. Charge for Default in Payment of Installment

Sec. 353.107.  CHARGE FOR DEFAULT IN PAYMENT OF INSTALLMENT.  (a)  A retail installment contract may provide that if an installment remains unpaid after the 10th day after the maturity of the installment for a heavy commercial vehicle or after the 15th day after the maturity of the installment for any other commercial vehicle the holder may collect:
(1)  a delinquency charge that does not exceed five percent of the amount of the installment; or
(2)  interest on the amount of the installment accruing after the maturity of the installment and until the installment is paid in full at a rate that does not exceed the maximum rate authorized for the contract.
(b)  A retail installment contract that provides for the true daily earnings method or the scheduled installment earnings method may provide for the delinquency charge authorized by Subsection (a)(1), the interest authorized by Subsection (a)(2), or both.
(c)  Only one delinquency charge under Subsection (a)(1) may be collected on an installment under this section regardless of the duration of the default.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.108. Charges for Collecting Debt

Sec. 353.108.  CHARGES FOR COLLECTING DEBT.  A retail installment contract may provide for the payment of:
(1)  reasonable attorney's fees if the contract is referred for collection to an attorney who is not a salaried employee of the holder;
(2)  court costs and disbursements; and
(3)  reasonable out-of-pocket expenses incurred in connection with the repossession or sequestration of the commercial vehicle securing the payment of the contract or foreclosure of a security interest in the vehicle, including the costs of storing, reconditioning, and reselling the vehicle, subject to the standards of good faith and commercial reasonableness set by Title 1, Business & Commerce Code.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.109. Acceleration of Debt Maturity

Sec. 353.109.  ACCELERATION OF DEBT MATURITY.  A retail installment contract may not authorize the holder to accelerate the maturity of all or a part of the amount owed under the contract unless:
(1)  the retail buyer is in default in the performance of any of the buyer's obligations;
(2)  the holder believes in good faith that the prospect of the buyer's payment or performance is impaired; or
(3)  the retail buyer or an affiliate of the retail buyer is in default in its obligations under another financing agreement or leasing agreement held by the same holder or an affiliate of the holder.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.110. Delivery of Copy of Contract

Sec. 353.110.  DELIVERY OF COPY OF CONTRACT.  A retail seller shall:
(1)  deliver to the retail buyer a copy of the retail installment contract as accepted by the retail seller; or
(2)  mail to the retail buyer at the address shown on the retail installment contract a copy of the retail installment contract as accepted by the retail seller.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.111. Buyer's Right to Rescind Contract

Sec. 353.111.  BUYER'S RIGHT TO RESCIND CONTRACT.  Until the retail seller complies with Section 353.110, a retail buyer who has not received delivery of the commercial vehicle is entitled to:
(1)  rescind the contract;
(2)  receive a refund of all payments made under or in contemplation of the contract; and
(3)  receive the return of all goods traded in to the retail seller under or in contemplation of the contract or, if those goods cannot be returned, to receive the value of those goods.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.112. Buyer's Acknowledgment of Delivery of Contract Copy

Sec. 353.112.  BUYER'S ACKNOWLEDGMENT OF DELIVERY OF CONTRACT COPY.  (a)  Any retail buyer's acknowledgment of delivery of a copy of the retail installment contract must:
(1)  be in at least 10-point type that is boldfaced, capitalized, or underlined or otherwise conspicuously set out from the surrounding written material; and
(2)  appear directly above the buyer's signature.
(b)  Any retail buyer's acknowledgment conforming to this section of delivery of a copy of the retail installment contract is, in an action or proceeding by or against a holder of the contract who was without knowledge to the contrary when the holder purchased it, conclusive proof:
(1)  that the copy was delivered to the buyer;
(2)  that the contract did not contain a blank space that was required to have been completed under this chapter when the contract was signed by the buyer; and
(3)  of compliance with Sections 353.011, 353.101, 353.205, 353.403, 353.404, and 353.405.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.113. Amendment of Retail Installment Contract

Sec. 353.113.  AMENDMENT OF RETAIL INSTALLMENT CONTRACT.  On request by a retail buyer, the holder may agree to one or more amendments to the retail installment contract to:
(1)  extend or defer the scheduled due date of all or a part of one or more installments; or
(2)  renew, restate, or reschedule the unpaid balance under the contract.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, eff. September 1, 2011.
Sec. 353.114.  CHARGES FOR DEFERRING INSTALLMENT.  (a)  If a retail installment contract is amended to defer all or a part of one or more installments for not longer than three months, the holder may collect from the retail buyer:
(1)  an amount computed on the amount deferred for the period of deferment at a rate that does not exceed the effective return for time price differential permitted for a monthly payment retail installment contract; and
(2)  the amount of the additional cost to the holder for:
(A)  premiums for continuing in force any insurance coverages provided for by the contract; and
(B)  any additional necessary official fees.
(b)  The minimum charge under Subsection (a)(1) is $1.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, eff. September 1, 2011.
Sec. 353.115.  CHARGE FOR OTHER AMENDMENT.  (a)  If the unpaid balance of a retail installment contract is extended, renewed, restated, or rescheduled under this subchapter and Section 353.114 does not apply, the holder may collect an amount computed on the principal balance of the amended contract for the term of the amended contract at the time price differential for a retail installment contract that is applicable after reclassifying the commercial vehicle by its model year at the time of the amendment.
(b)  The principal balance of the amended contract is computed by:
(1)  adding:
(A)  the unpaid balance as of the date of amendment;
(B)  the cost of any insurance incidental to the amendment;
(C)  the amount of each additional necessary official fee; and
(D)  the amount of each accrued delinquency or collection charge; and
(2)  if the time price differential was computed using the precomputed earnings method or the scheduled installment earnings method, subtracting from the total computed under Subdivision (1) an amount equal to the prepayment refund credit required by Section 353.120 or 353.121, as applicable.
(c)  Subsection (b)(2) does not apply to a retail installment contract in which the time price differential is computed using the true daily earnings method.
(d)  The provisions of this chapter relating to acquisition costs under the refund schedule under Section 353.120 do not apply in computing the principal balance of the amended contract.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.116. Confirmation of Amendment

Sec. 353.116.  CONFIRMATION OF AMENDMENT.  An amendment to a retail installment contract must be confirmed in a writing signed by the retail buyer.  The holder shall:
(1)  deliver a copy of the confirmation to the buyer; or
(2)  mail a copy of the confirmation to the buyer at the buyer's most recent address shown on the records of the holder.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.117. Contract After Amendment

Sec. 353.117.  CONTRACT AFTER AMENDMENT.  After amendment the retail installment contract is the original contract and each amendment to the original contract.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.118. Prepayment of Contract

Sec. 353.118.  PREPAYMENT OF CONTRACT.  A retail buyer may prepay a retail installment contract in full at any time before maturity. This section prevails over a conflicting provision of the contract.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.119. Refund Credit on Prepayment

Sec. 353.119.  REFUND CREDIT ON PREPAYMENT.  (a)  This section does not apply to a retail installment contract in which the time price differential is computed using the true daily earnings method.
(b)  If a retail buyer prepays a retail installment contract in full or if the holder of the contract demands payment of the unpaid balance of the contract in full before the contract's final installment is due and the time price differential is computed using the precomputed earnings method or the scheduled installment earnings method, the buyer is entitled to receive a refund credit as provided by Section 353.120 or 353.121, as applicable.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.120. Amount of Refund Credit for Monthly Installment Contract

Sec. 353.120.  AMOUNT OF REFUND CREDIT FOR MONTHLY INSTALLMENT CONTRACT.  (a)  This section:
(1)  applies only to a refund credit on the prepayment of a retail installment contract that is payable in substantially equal successive monthly installments beginning one month after the date of the contract; and
(2)  does not apply to a retail installment contract in which the time price differential is computed using the true daily earnings method or the scheduled installment earnings method.
(b)  On a contract for a commercial vehicle other than a heavy commercial vehicle the minimum amount of the refund credit is computed by:
(1)  subtracting an acquisition cost of $25 from the original time price differential; and
(2)  multiplying the amount computed under Subdivision (1) by the percentage of refund computed under Subsection (d).
(c)  On a contract for a heavy commercial vehicle the minimum amount of the refund credit is computed by:
(1)  multiplying the amount of the original time price differential by the percentage of refund computed under Subsection (d); and
(2)  subtracting an acquisition cost of $150 from the amount computed under Subdivision (1).
(d)  The percentage of refund is computed by:
(1)  computing the sum of all of the monthly balances under the contract's schedule of payments; and
(2)  dividing the amount computed under Subdivision (1) into the sum of the unpaid monthly balances under the contract's schedule of payments beginning:
(A)  on the first day, after the date of the prepayment or demand for payment in full, that is the date of a month that corresponds to the date of the month that the first installment is due under the contract; or
(B)  if the prepayment or demand for payment in full is made before the first installment date under the contract, one month after the next monthly anniversary date of the contract occurring after the prepayment or demand.
(e)  A refund credit is not required if the amount of the refund credit is less than $1.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.121. Refund on Contracts Using Scheduled Installment Earnings Method

Sec. 353.121.  REFUND ON CONTRACTS USING SCHEDULED INSTALLMENT EARNINGS METHOD.  (a)  This section:
(1)  applies to a retail installment contract:
(A)  that includes precomputed time price differential; and
(B)  to which Section 353.120 does not apply; and
(2)  does not apply to a retail installment contract in which the time price differential is computed using the true daily earnings method.
(b)  If a retail installment contract is prepaid in full or if the holder demands payment in full of the unpaid balance before final maturity of the contract, the holder earns time price differential for the period beginning on the date of the contract and ending on the date of the earlier of the prepayment or demand, in an amount that does not exceed the amount allowed by this section.
(c)  If prepayment in full or demand for payment in full occurs during an installment period, the holder may retain, in addition to time price differential that accrued during any elapsed installment periods, an amount computed by:
(1)  multiplying the simple annual rate under the contract by the unpaid principal balance of the contract determined according to the schedule of payments to be outstanding on the preceding installment due date;
(2)  dividing 365 into the product computed under Subdivision (1); and
(3)  multiplying the number of days in the period, beginning on the day after the installment due date and ending on the date of the earlier of the prepayment or demand, by the result obtained under Subdivision (2).
(d)  In addition to the earned time price differential computed under this section, the holder may also earn a $150 acquisition fee for a heavy commercial vehicle, or a $25 acquisition fee for other commercial vehicles, if the sum of the earned time price differential and the acquisition fee does not exceed the time price differential disclosed in the contract.
(e)  The holder shall refund or credit, as applicable, to the retail buyer the amount computed by subtracting the total amount earned or retained under Subsections (b), (c), and (d) from the total amount of time price differential contracted for and precomputed in the contract.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter B. Retail Installment Contract › Section 353.122. Reinstatement of Contract After Demand for Payment

Sec. 353.122.  REINSTATEMENT OF CONTRACT AFTER DEMAND FOR PAYMENT.  After a demand for payment in full under a retail installment contract, the retail buyer and holder of the contract may:
(1)  agree to reinstate the contract; and
(2)  amend the contract as provided by Section 353.113.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter C. Insurance › Section 353.201. Property Insurance

Sec. 353.201.  PROPERTY INSURANCE.  (a)  A holder may require a retail buyer to insure the commercial vehicle purchased under a retail installment transaction and accessories and related goods subject to the holder's security interest.
(b)  The holder may offer to provide insurance on a commercial vehicle purchased under a retail installment transaction and accessories and related goods subject to the holder's security interest, regardless of whether the holder requires a retail buyer to insure the commercial vehicle.
(c)  The insurance required by the holder, and the premiums or charges for any insurance that is provided by the holder, must bear a reasonable relationship to:
(1)  the amount, term, and conditions of the retail installment contract; and
(2)  the existing hazards or risk of loss, damage, or destruction.
(d)  Any insurance under this section may not:
(1)  cover unusual or exceptional risks; or
(2)  provide coverage not ordinarily included in policies issued to the public or for commercial purposes.
(e)  The holder may include the cost of the insurance as a separate charge in the contract.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter C. Insurance › Section 353.202. Credit Life and Credit Health and Accident Insurance

Sec. 353.202.  CREDIT LIFE AND CREDIT HEALTH AND ACCIDENT INSURANCE.  (a)  A holder may require a retail buyer to provide credit life insurance and credit health and accident insurance.
(b)  The holder may offer to provide credit life insurance and credit health and accident insurance, regardless of whether the holder requires a retail buyer to provide the insurance under Subsection (a).
(c)  A retail seller may offer involuntary unemployment insurance to the buyer at the time the contract is negotiated or executed.
(d)  A holder may include the cost of insurance provided under this section, and a policy or agent fee charged in connection with insurance provided under Subsection (b) or (c), as a separate charge in the contract.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter C. Insurance › Section 353.203. Maximum Amount of Credit Life and Credit Health and Accident Coverage

Sec. 353.203.  MAXIMUM AMOUNT OF CREDIT LIFE AND CREDIT HEALTH AND ACCIDENT 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 may not exceed:
(1)  the total amount repayable under the contract; 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 in force on one retail buyer on one retail installment contract may not exceed the total amount payable under the contract, and the amount of each periodic indemnity payment may not exceed the scheduled periodic payment on the indebtedness.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter C. Insurance › Section 353.204. Insurance Statement

Sec. 353.204.  INSURANCE STATEMENT.  (a)  If insurance is required in connection with a retail installment contract, the holder shall give to the retail buyer a written statement that clearly and conspicuously states that:
(1)  insurance is required in connection with the contract; and
(2)  the buyer as an option may furnish the required insurance through:
(A)  an existing policy of insurance owned or controlled by the buyer; or
(B)  an insurance policy obtained through an insurance company authorized to do business in this state.
(b)  A statement under Subsection (a) may be provided with or as part of the retail installment contract or separately.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter C. Insurance › Section 353.205. Statement if Liability Insurance Not Included in Contract

Sec. 353.205.  STATEMENT IF LIABILITY INSURANCE NOT INCLUDED IN CONTRACT.  If liability insurance coverage for bodily injury and property damage caused to others is not included in a retail installment contract, the retail installment contract or a separate writing must contain, in at least 10-point type that is boldfaced, capitalized, underlined, or otherwise conspicuously set out from the surrounding written material, a specific statement that liability insurance coverage for bodily injury and property damage caused to others is not included.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter C. Insurance › Section 353.206. Buyer's Failure to Provide Evidence of Insurance

Sec. 353.206.  BUYER'S FAILURE TO PROVIDE EVIDENCE OF INSURANCE.  (a)  If a 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, the holder may:
(1)  obtain substitute insurance coverage that is substantially equal to or more limited than the coverage required; and
(2)  add the amount of the premium advanced for the substitute insurance to the unpaid balance of the contract.
(b)  Substitute insurance coverage under Subsection (a)(1):
(1)  may at the holder's option 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 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 on the records of the holder specific written notice that the holder has obtained substitute insurance.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter C. Insurance › Section 353.207. Charges for Other Insurance and Forms of Protection Included in Retail Installment Contract

Sec. 353.207.  CHARGES FOR OTHER INSURANCE AND FORMS OF PROTECTION INCLUDED IN RETAIL INSTALLMENT CONTRACT.  (a)  A retail installment contract may include as a separate charge an amount for insurance coverage that is:
(1)  for a risk of loss or liability reasonably related to:
(A)  the commercial vehicle;
(B)  the use of the commercial vehicle; or
(C)  goods or services that:
(i)  are related to the commercial vehicle; and
(ii)  may ordinarily be insured with a commercial vehicle;
(2)  written on policies or endorsement forms prescribed or approved by the commissioner of insurance; and
(3)  ordinarily available in policies or endorsements offered to the public or for commercial purposes.
(b)  A retail installment contract may include as a separate charge an amount for:
(1)  motor vehicle property damage or bodily injury liability insurance;
(2)  mechanical breakdown insurance;
(3)  participation in a motor vehicle theft protection plan;
(4)  insurance to pay all or part of the amount computed by subtracting the proceeds of the retail buyer's basic collision policy on the commercial vehicle from the amount owed on the vehicle in the event of a total loss or theft of the vehicle;
(5)  a warranty or service contract relating to the commercial vehicle;
(6)  an identity recovery service contract; or
(7)  a debt cancellation agreement.
(b-1)  In this section, "identity recovery service contract" means an agreement:
(1)  to provide identity recovery, as defined by Section 1304.003, Occupations Code;
(2)  that is entered into for a separately stated consideration and for a specified term; and
(3)  that is financed through a retail installment contract.
(c)  Notwithstanding any other law, service contracts and debt cancellation agreements sold by a retail seller of a commercial vehicle to a retail buyer are not subject to Chapter 101 or 226, Insurance Code.
(d)  In addition to the charges for insurance coverage permitted under Subsection (a) or (b), a retail installment contract may include a charge for insurance coverage relating to:
(1)  the commercial vehicle;
(2)  the use of the commercial vehicle; or
(3)  the retail installment contract.
(e)  Insurance coverage under Subsection (d) may be provided only by:
(1)  an insurer authorized under the Insurance Code to engage in the business of insurance in this state; or
(2)  if permitted under the Insurance Code, a surplus lines insurer eligible to provide the insurance under Chapter 981, Insurance Code.
(f)  A retail installment contract must set forth the amount of each charge for insurance coverage under Subsection (d) and the type of the coverage provided for that charge.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, eff. September 1, 2011.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 1207 (S.B. 1388), Sec. 2, eff. September 1, 2013.
2023 Texas Statutes › Finance Code › Title 4 - Regulation of Interest, Loans, and Financed Transactions › Subtitle B - Loans and Financed Transactions › Chapter 353 - Commercial Motor Vehicle Installment Sales › Subchapter C. Insurance › Section 353.208. Holder's Duty if Insurance Is Adjusted or Terminated

Sec. 353.208.  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 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.
(b)  If the amount to be applied or credited under Subsection (a) is more than the amount unpaid on the retail installment contract, 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.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter C. Insurance › Section 353.209. Gain or Advantage From Insurance Not Additional Charge

Sec. 353.209.  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 except as specifically provided by this chapter.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter C. Insurance › Section 353.210. Adding to Retail Installment Contract Premiums for Insurance Acquired After Transaction

Sec. 353.210.  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 obtained after the date of the retail installment transaction for coverages of the types allowed under Sections 353.201, 353.202, and 353.207, 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 requirements of Sections 353.201, 353.202, 353.203, and 353.207, as applicable.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter C. Insurance › Section 353.211. Effect of Adding Premium to Contract

Sec. 353.211.  EFFECT OF ADDING PREMIUM TO CONTRACT.  If a premium is added to the unpaid balance of a retail installment contract under Section 353.206 or 353.210, the rate applicable to the 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 Sections 353.114 and 353.115, without reclassifying the commercial vehicle by its year model at the time of the amendment.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter C. Insurance › Section 353.212. Financing Entity May Not Require Insurance From Particular Source

Sec. 353.212.  FINANCING ENTITY MAY NOT REQUIRE INSURANCE FROM PARTICULAR SOURCE.  If a retail installment contract presented to a financing entity for acceptance includes any insurance coverage, the financing entity may not directly or indirectly require, as a condition of its agreement to finance the commercial vehicle, that the retail buyer purchase the insurance coverage from a particular source.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter D. Acquisition of Contract or Balance › Section 353.301. Authority to Acquire

Sec. 353.301.  AUTHORITY TO ACQUIRE.  A person may acquire a retail installment contract or an outstanding balance under a contract from another person on the terms, including the price, to which they agree.  Notwithstanding any other law of this state, a person acquiring or assigning a retail installment contract, or any balance under a contract, does not have a duty to disclose to any other person the terms on which a contract or balance under a contract is acquired or assigned, including the consideration for the acquisition or assignment and any discount or difference between the rates, charges, or balance under the contract and the consideration rates, charges, or balance acquired or assigned, as applicable.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter D. Acquisition of Contract or Balance › Section 353.302. Lack of Notice Does Not Affect Validity as to Certain Creditors

Sec. 353.302.  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 an outstanding balance under the contract or a requirement that the retail seller be deprived of dominion over payments on a retail installment contract or over the commercial vehicle if returned to or repossessed by the retail seller is not necessary for a written assignment or negotiation of the contract or balance to be valid as against a creditor, subsequent purchaser, pledgee, mortgagee, or lien claimant of the retail seller.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter D. Acquisition of Contract or Balance › Section 353.303. Payment by Buyer

Sec. 353.303.  PAYMENT BY BUYER.  Unless a retail buyer has notice of the assignment or negotiation of the buyer's retail installment contract or an outstanding balance under the contract, a payment by the buyer to the most recent holder known to the buyer is binding on all subsequent holders.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter E. Holder's Rights, Duties, and Limitations › Section 353.401. Seller's Promise to Pay or Tender of Cash to Buyer as Part of Transaction

Sec. 353.401.  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.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter E. Holder's Rights, Duties, and Limitations › Section 353.402. Seller's Action for Incentive Program or to Pay for Buyer's Motor Vehicle

Sec. 353.402.  SELLER'S ACTION FOR INCENTIVE PROGRAM OR TO PAY FOR BUYER'S MOTOR VEHICLE.  (a)  A retail seller may pay, promise to pay, or tender cash or another thing of value to the manufacturer, distributor, or retail buyer of the product if the payment, promise, or tender is made in order to participate in a financial incentive program offered by the manufacturer or distributor of the vehicle to the buyer.
(b)  A retail seller, in connection with a retail installment transaction, may:
(1)  advance money to retire:
(A)  an amount owed against a motor vehicle used as a trade-in or a motor vehicle owned by the buyer that has been declared a total loss by the buyer's insurer; or
(B)  the retail buyer's outstanding obligation under a motor vehicle lease contract, a credit transaction for the purchase of a motor vehicle, or another retail installment transaction; and
(2)  finance repayment of that money in a retail installment contract.
(c)  A retail seller may pay in cash to the retail buyer any portion of the net cash value of a motor vehicle owned by the buyer and used as a trade-in in a transaction involving the sale of a commercial vehicle. In this subsection, "net cash value" means the cash value of a motor vehicle after payment of all amounts secured by the motor vehicle.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter E. Holder's Rights, Duties, and Limitations › Section 353.403. Statement of Payments and Amount Due Under Contract

Sec. 353.403.  STATEMENT OF PAYMENTS AND AMOUNT DUE UNDER CONTRACT.  (a)  On written request of a retail buyer, the holder of a retail installment contract shall give or send to the buyer a written statement of the dates and amounts of payments and the total amount unpaid under the contract.
(b)  A retail buyer is entitled to one statement during a six-month period without charge.  The charge for each additional requested statement may not exceed $1.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter E. Holder's Rights, Duties, and Limitations › Section 353.404. Receipt for Cash Payment

Sec. 353.404.  RECEIPT FOR CASH PAYMENT.  A holder of a retail installment contract shall give the retail buyer a written receipt for each cash payment.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter E. Holder's Rights, Duties, and Limitations › Section 353.405. Outstanding Balance Information; Payment in Full

Sec. 353.405.  OUTSTANDING BALANCE INFORMATION; PAYMENT IN FULL.  (a)  The holder of a retail installment contract who gives the retail buyer or the buyer's designee outstanding balance information relating to the contract is bound by that information and shall honor that information for a reasonable time.
(b)  If the retail buyer or the buyer's designee tenders to the holder as payment in full an amount derived from that outstanding balance information, the holder shall:
(1)  accept the amount as payment in full; and
(2)  release the holder's lien against the commercial vehicle within a reasonable time not later than the 10th day after the date on which the amount is tendered.
(c)  A retail seller must pay in full the outstanding balance of a vehicle traded in to the retail seller as part of the retail installment transaction not later than the 25th day after the date that:
(1)  the retail installment contract is signed by the retail buyer and the retail buyer receives delivery of the commercial vehicle; and
(2)  the retail seller receives delivery of the motor vehicle traded in and the necessary and appropriate documents to transfer title from the buyer.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter E. Holder's Rights, Duties, and Limitations › Section 353.406. Liability Relating to Outstanding Balance Information

Sec. 353.406.  LIABILITY RELATING TO OUTSTANDING BALANCE INFORMATION.  A holder who violates Section 353.405 is liable to the retail buyer or the buyer's designee in an amount computed by adding:
(1)  three times the difference between the amount tendered and the amount sought by the holder at the time of tender;
(2)  interest;
(3)  reasonable attorney's fees; and
(4)  costs.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter E. Holder's Rights, Duties, and Limitations › Section 353.407. Prohibition on Power of Attorney to Confess Judgment or Assignment of Wages

Sec. 353.407.  PROHIBITION ON POWER OF ATTORNEY TO CONFESS JUDGMENT OR ASSIGNMENT OF WAGES.  A retail installment contract may not contain:
(1)  a power of attorney to confess judgment in this state; or
(2)  an assignment of wages.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, 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 353 - Commercial Motor Vehicle Installment Sales › Subchapter E. Holder's Rights, Duties, and Limitations › Section 353.408. Prohibition on Certain Acts of Repossession

Sec. 353.408.  PROHIBITION ON CERTAIN ACTS OF REPOSSESSION.  A retail installment contract may not:
(1)  authorize the holder or a person acting on the holder's behalf to:
(A)  enter the retail buyer's premises in violation of Chapter 9, Business & Commerce Code; or
(B)  commit a breach of the peace in the repossession of the commercial vehicle; or
(2)  contain, or provide for the execution of, a power of attorney by the retail buyer appointing, as the buyer's agent in the repossession of the vehicle, the holder or a person acting on the holder's behalf.
Added by Acts 2011, 82nd Leg., R.S., Ch. 117 (H.B. 2559), Sec. 17, eff. September 1, 2011.