Section 83.838 - Loans with Multiple Advances(a) Definition. In this section, "multiple-advance loan" means a loan agreement subject to Texas Finance Code, Chapter 342, under which more than one loan or advance may be made to a borrower from time to time.(b) Requirements for multiple-advance loans. In connection with a multiple-advance loan, an authorized lender must comply with the interest limitations, disclosure requirements, and other requirements provided in Texas Finance Code, § RSA 342.455.(c) Loans not covered. The following loans are not subject to this section or to Texas Finance Code, § RSA 342.455: (1) loans in which all advances occur on the same date; and(2) loans in which all advances after the initial advance occur because of the borrower's default (e.g., collateral protection insurance fees, repossession fees, court costs).7 Tex. Admin. Code § 83.838
The provisions of this §83.838 adopted to be effective September 6, 2012, 37 TexReg 6910