Sec. 342.305. ADDITIONAL INTEREST FOR DEFAULT: IRREGULAR TRANSACTION. A secondary mortgage loan that includes precomputed interest and that is an irregular transaction may provide for additional interest for default using the true daily earnings method for the period from the maturity date of an installment until the date the installment is paid. The rate of the additional interest may not exceed the maximum contract interest rate.
Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.
Structure Texas Statutes
Title 4 - Regulation of Interest, Loans, and Financed Transactions
Subtitle B - Loans and Financed Transactions
Subchapter G. Interest and Other Charges on Secondary Mortgage Loans
Section 342.301. Maximum Interest Charge
Section 342.303. Additional Interest for Installment Deferment: Regular Transactions
Section 342.304. Collection of Default or Deferment Interest
Section 342.305. Additional Interest for Default: Irregular Transaction
Section 342.306. Date of First Scheduled Installment
Section 342.307. Amounts Authorized to Be Included in Contract
Section 342.308. Amounts Authorized to Be Collected or Added to Loan