Texas Finance Code

§ 347.105 — MAXIMUM RATE ADJUSTMENTS

FI § 347.105Title 4. REGULATION OF INTEREST, LOANS, AND FINANCED TRANSACTIONS · Part B. LOANS AND FINANCED TRANSACTIONS · Ch. 347. MANUFACTURED HOME CREDIT TRANSACTIONS · Art. C. FINANCE CHARGE RATES AND ADJUSTMENTS

Statute text

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(a)The total of the rate adjustments for any six-month period may not exceed one-half of one percent a year.

(b)If the stated interval for rate adjustments is a 12-month period or longer, a rate adjustment may not exceed one percent a year.

(c)The total of all rate adjustments over the term of the credit transaction may not exceed the least of:

(1)one-half of the initial rate;

(2)eight percent; or

(3)a rate, expressed as a percentage, computed by dividing the term of the loan in years by two.

Legislative history

Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.