Finance Code › Title 4 › Chapter 342 › Subchapter I

Texas Finance Code § 342.410

Payment for Insurance from Loan Proceeds

Consumer Loans · Insurance

A lender, including an officer, agent, or employee of the lender, who accepts insurance under this subchapter as protection for a loan:

(1) may deduct the premium or identifiable charge for the insurance from the proceeds of the loan; and

(2) shall pay the deducted amounts to the insurance company writing the insurance.

Official text of the Texas Finance Code as published by the Texas Legislative Council.

Official source
Legislative history

Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999.