Tex. Finance Code § 347.105
This is the official text of Tex. Finance Code § 347.105, part of Texas’s Finance Code — regulates banks and other financial institutions.
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§ 347.105. MAXIMUM RATE ADJUSTMENTS.
Official statutory text
(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.
(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.
Status: in_force · Read it on the official government site
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