Texas Finance Code 347.151 – Amendment of Credit Transaction
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(a) On a consumer‘s request, a creditor may:
(1) extend or defer the scheduled due date of all or part of one or more installments of the credit transaction;
(2) renew, restate, or reschedule the unpaid balance of the transaction; or
(3) increase or reduce the number of installments of the transaction.
(b) A creditor may collect a charge that does not exceed the amount computed by applying the credit transaction’s interest rate or time price differential applicable on the date of adjustment to the remaining amount of the unpaid balance, computed under § 347.155, for the period that the amount is extended or deferred.
Terms Used In Texas Finance Code 347.151
- 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 - Interest rate: The amount paid by a borrower to a lender in exchange for the use of the lender's money for a certain period of time. Interest is paid on loans or on debt instruments, such as notes or bonds, either at regular intervals or as part of a lump sum payment when the issue matures. Source: OCC
(c) The creditor and consumer may agree to an unlimited number of extensions. The period of each extension is the period agreed to by the creditor and consumer.