(a) The weekly ceiling is computed by:
(1) multiplying the auction rate by two; and
(2) rounding the result obtained under Subdivision (1) to the nearest one-quarter of one percent.
(b) The weekly rate ceiling becomes effective on Monday of each week and remains in effect through the following Sunday.

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Terms Used In Texas Finance Code 303.003


(c) In this subchapter, “auction rate” means the auction average rate quoted on a bank discount basis for 26-week treasury bills issued by the United States government, as published by the Federal Reserve Board, for the week preceding the week in which the weekly rate ceiling is to take effect.