Texas Finance Code 347.152 – Alternate Method of Amendment of Credit Transaction
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(a) As an alternative to § 347.151 the creditor, on the consumer‘s request, may agree to amend an original credit transaction by renewing, restating, or rescheduling the unpaid part of the total of payments.
(b) The charge for the amended credit transaction is computed on the unpaid balance of the transaction for the term of the transaction at the rate applicable to the transaction.
Terms Used In Texas Finance Code 347.152
- Amendment: A proposal to alter the text of a pending bill or other measure by striking out some of it, by inserting new language, or both. Before an amendment becomes part of the measure, thelegislature must agree to it.
- Consumer: means a person to whom credit is extended in a credit transaction. See Texas Finance Code 347.002
- Credit transaction: means :
(A) any sale, loan, or other transaction involving a retail purchase of a manufactured home and under which a person in a written agreement, including a credit sales contract or loan instrument, grants to another person a purchase money lien on the manufactured home to secure an extension of credit that is:
(i) subject to a finance charge; or
(ii) payable in more than four installments, not including a down payment; and
(B) a lease or bailment described by § 347. See Texas Finance Code 347.002 - Creditor: means a:
(A) person who extends credit or arranges for the extension of credit in a credit transaction; or
(B) retailer or broker, as defined by § 1201. See Texas Finance Code 347.002
(c) For the purpose of Subsection (b), the unpaid balance of an amended credit transaction is computed by:
(1) adding:
(A) the unpaid balance of the transaction preceding the amendment;
(B) the cost of insurance incidental to the amendment;
(C) additional necessary official fees; and
(D) each accrued delinquency and collection charge; and
(2) subtracting from the total under Subdivision (1) the prepayment refund credit required by § 347.155.
(d) The provisions of this chapter relating to minimum charges and acquisition costs do not apply to the computation of the unpaid balance for an amended credit transaction.