Texas § FI.342.002 - INTEREST COMPUTATION METHODS
Full text of Texas The Texas Constitution § FI.342.002 — INTEREST COMPUTATION METHODS, with citation guidance and answers to common questions.
§ FI.342.002. INTEREST COMPUTATION METHODS
INTEREST COMPUTATION METHODS. (a) The scheduled installment earnings method is a method to compute an interest charge by applying a daily rate to the unpaid balance of the principal amount as if each payment will be made on its scheduled installment date. A payment received before or after the due date does not affect the amount of the scheduled principal reduction. (b) The true daily earnings method is a method to compute an interest charge by applying a daily rate to the unpaid balance of the principal amount. The earned finance charge is computed by multiplying the daily rate by the number of days the principal balance is outstanding. (c) For the purposes of Subsections (a) and (b), the daily rate is 1/365th of the equivalent contract rate. (d) Interest under the scheduled installment earnings method or true daily earnings method may not be compounded. Amended by Acts 1999, 76th Leg., ch. 62, Sec. 7.19(a), eff. Sept. 1, 1999; Acts 1999, 76th Leg., ch. 909, Sec. 2.05, eff. Sept. 1, 1999. Amended by: Acts 2013, 83rd Leg., R.S., Ch. 784 (S.B. 1251 ), Sec. 1, eff. September 1, 2013.
Frequently Asked Questions About Texas § FI.342.002
What does The Texas Constitution § FI.342.002 cover?
Section FI.342.002 ("INTEREST COMPUTATION METHODS") is part of the The Texas Constitution, the codified statutory law of Texas. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Texas § FI.342.002?
A common citation format is "The Texas Constitution § FI.342.002" (Texas). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Texas law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Texas official source linked on this page or consult a licensed Texas attorney.
How does Texas § FI.342.002 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Texas can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Texas.