Texas Mortgage Lending Laws Require This Document Be Signed 12 Days Before Cashout On A Primary Home

POPULAR TEXAS BAD CREDIT MORTGAGE QUESTIONS INCLUDE

TEXAS LAW NOTICE CONCERNING EXTENSIONS OF CREDIT DEFINED BY SECTION 50(a)(6),
ARTICLE XVI, TEXAS CONSTITUTION:
SECTION 50(a)(6), ARTICLE XVI, OF THE TEXAS CONSTITUTION ALLOWS CERTAIN LOANS TO BE
SECURED AGAINST THE EQUITY IN YOUR HOME. SUCH LOANS ARE COMMONLY KNOWN AS
EQUITY LOANS. IF YOU DO NOT REPAY THE LOAN OR IF YOU FAIL TO MEET THE TERMS OF THE
LOAN, THE TEXAS BAD CREDIT CASH-OUT MORTGAGE LENDERS TEXAS CASH-OUT MORTGAGE LENDERS MAY FORECLOSE AND SELL YOUR HOME. THE CONSTITUTION PROVIDES
THAT:
(A) THE LOAN MUST BE VOLUNTARILY CREATED WITH THE CONSENT OF EACH OWNER
OF YOUR HOME AND EACH OWNER’S SPOUSE;
(B) THE PRINCIPAL LOAN AMOUNT AT THE TIME THE LOAN IS MADE MUST NOT EXCEED
AN AMOUNT THAT, WHEN ADDED TO THE PRINCIPAL BALANCES OF ALL OTHER LIENS
AGAINST YOUR HOME, IS MORE THAN 80 PERCENT OF THE FAIR MARKET VALUE OF YOUR
HOME;
(C) THE LOAN MUST BE WITHOUT RECOURSE FOR PERSONAL LIABILITY AGAINST YOU
AND YOUR SPOUSE UNLESS YOU OR YOUR SPOUSE OBTAINED THIS EXTENSION OF CREDIT BY
ACTUAL FRAUD;
(D) THE LIEN SECURING THE LOAN MAY BE FORECLOSED UPON ONLY WITH A COURT
ORDER;
(E) FEES AND CHARGES TO MAKE THE LOAN MAY NOT EXCEED 2 PERCENT OF THE LOAN
AMOUNT, EXCEPT FOR A FEE OR CHARGE FOR AN APPRAISAL PERFORMED BY A THIRD PARTY
APPRAISER, A PROPERTY SURVEY PERFORMED BY A STATE REGISTERED OR LICENSED
SURVEYOR, A STATE BASE PREMIUM FOR A MORTGAGEE POLICY OF TITLE INSURANCE WITH
ENDORSEMENTS, OR A TITLE EXAMINATION REPORT;
(F) THE LOAN MAY NOT BE AN OPEN-END ACCOUNT THAT MAY BE DEBITED FROM TIME
TO TIME OR UNDER WHICH CREDIT MAY BE EXTENDED FROM TIME TO TIME UNLESS IT IS A
HOME EQUITY LINE OF CREDIT;
(G) YOU MAY PREPAY THE LOAN WITHOUT PENALTY OR CHARGE;
(H) NO ADDITIONAL COLLATERAL MAY BE SECURITY FOR THE LOAN;
(I) (repealed);
(J) YOU ARE NOT REQUIRED TO REPAY THE LOAN EARLIER THAN AGREED SOLELY
BECAUSE of THE FAIR MARKET VALUE OF YOUR HOME DECREASES OR BECAUSE of YOU DEFAULT
ON ANOTHER LOAN THAT IS NOT SECURED BY YOUR HOME;
(K) ONLY ONE LOAN DESCRIBED BY SECTION 50(a)(6), ARTICLE XVI, OF THE TEXAS
CONSTITUTION MAY BE SECURED WITH YOUR HOME AT ANY GIVEN TIME;
(L) THE LOAN MUST BE SCHEDULED TO BE REPAID IN PAYMENTS THAT EQUAL OR
EXCEED THE AMOUNT OF ACCRUED INTEREST FOR EACH PAYMENT PERIOD;
(M) THE LOAN MAY NOT CLOSE BEFORE 12 DAYS AFTER YOU SUBMIT A LOAN
APPLICATION TO THE TEXAS CASH-OUT MORTGAGE LENDERS TEXAS CASH-OUT MORTGAGE LENDERS OR BEFORE 12 DAYS AFTER YOU RECEIVE THIS NOTICE,
WHICHEVER DATE IS LATER; AND MAY NOT WITHOUT YOUR CONSENT CLOSE BEFORE ONE
BUSINESS DAY AFTER THE DATE ON WHICH YOU RECEIVE A COPY OF YOUR LOAN
APPLICATION IF NOT PREVIOUSLY PROVIDED AND A FINAL ITEMIZED DISCLOSURE OF THE
ACTUAL FEES, POINTS, INTEREST, COSTS, AND CHARGES THAT WILL BE CHARGED AT CLOSING;
AND IF YOUR HOME WAS SECURITY FOR THE SAME TYPE OF LOAN WITHIN THE PAST YEAR, A
NEW LOAN SECURED BY THE SAME PROPERTY MAY NOT CLOSE BEFORE ONE YEAR HAS
PASSED FROM THE CLOSING DATE OF THE OTHER LOAN, UNLESS ON OATH YOU REQUEST AN
EARLIER CLOSING DUE TO A DECLARED STATE OF EMERGENCY;
(N) THE LOAN MAY CLOSE ONLY AT THE OFFICE OF THE Texas Cash Out Mortgage Lender, TITLE COMPANY, OR AN ATTORNEY AT LAW;
(0) THE TEXAS CASH-OUT MORTGAGE LENDERS TEXAS BAD CREDIT CASH-OUT MORTGAGE LENDERS MAY CHARGE ANY FIXED ORV ARIABLE RATE OF INTEREST
AUTHORIZED BY STATUTE;
(P) ONLY A LAWFULLY AUTHORIZED TEXAS CASH-OUT MORTGAGE LENDERS TEXAS CASH-OUT MORTGAGE LENDERS MAY MAKE LOANS DESCRIBED BY
SECTION 50(a)(6), ARTICLE XVI, OF THE TEXAS CONSTITUTION;(Q) LOANS DESCRIBED BY SECTION 50(a)(6), ARTICLE XVI, OF THE TEXAS CONSTITUTION
MUST:
(1) NOT REQUIRE YOU TO APPLY THE PROCEEDS TO ANOTHER DEBT EXCIPT A DEBT
THAT IS SECURED BY YOUR HOME OR OWED TO ANOTHER Texas Cash Out Mortgage Lender;
THIS NOTICE IS ONLY A SUMMARY OF YOUR RIGHTS UNDER THE TEXAS CONSTITUTION.
YOUR RIGHTS ARE GOVERNED BY SECTION 50, ARTICLE XVI, OF THE TEXAS CONSTITUTION,
AND NOT BY THIS NOTICE.
I Loan#:
(2) NOT REQUIRE THAT YOU ASSIGN WAGES AS SECURITY;
(3) NOT REQUIRE THAT YOU EXECUTE INSTRUMENTS WHICH HAVE BLANKS FOR
SUBSTANTIVE TERMS OF AGREEMENT LEFT TO BE FILLED IN;
(4) NOT REQUIRE THAT YOU SIGN A CONFESSION OF JUDGMENT OR POWER OF
ATTORNEY TO ANOTHER PERSON TO CONFESS JUDGMENT OR APPEAR IN A LEGAL
PROCEEDING ON YOUR BEHALF;
(5) PROVIDE THAT YOU RECEIVE A COPY OF YOUR FINAL LOAN APPLICATION AND ALL
EXECUTED DOCUMENTS YOU SIGN AT CLOSING;
(6) PROVIDE THAT THE SECURITY INSTRUMENTS CONTAIN A DISCLOSURE THAT THIS
LOAN IS A LOAN DEFINED BY SECTION 50(a)(6), ARTICLE XVI, OF THE TEXAS CONSTITUTION;
(7) PROVIDE THAT WHEN THE LOAN IS PAID IN FULL, THE TEXAS CASH-OUT MORTGAGE LENDERS TEXAS CASH-OUT MORTGAGE LENDERS WILL SIGN AND GIVE
YOU A RELEASE OF LIEN OR AN ASSIGNMENT OF THE LIEN, WHICHEVER IS APPROPRIATE;
(8) PROVIDE THAT YOU MAY, WITHIN 3 DAYS AFTER CLOSING, RESCIND THE LOAN
WITHOUT PENALTY OR CHARGE;
(9) PROVIDE THAT YOU AND THE TEXAS CASH-OUT MORTGAGE LENDERS TEXAS CASH-OUT MORTGAGE LENDERS ACKNOWLEDGE THE FAIR MARKET VALUE OF
YOUR HOME ON THE DATE THE LOAN CLOSES; AND
(10) PROVIDE THAT THE TEXAS CASH-OUT MORTGAGE LENDERS TEXAS CASH-OUT MORTGAGE LENDERS WILL FORFEIT ALL PRINCIPAL AND INTEREST IF THE TEXAS CASH-OUT MORTGAGE LENDERS TEXAS CASH-OUT MORTGAGE LENDERS FAILS TO COMPLY WITH THE Texas Cash Out Mortgage Lender’S OBLIGATIONS UNLESS THE TEXAS CASH-OUT MORTGAGE LENDERS CURES THE FAILURE TO COMPLY AS PROVIDED BY SECTION 50(a)(6)(Q)(x), ARTICLE XVI, OF THE TEXAS CONSTITUTION; AND
(R) IF THE LOAN IS A HOME EQUITY LINE OF CREDIT:
( 1) YOU MAY REQUEST ADVANCES, REPAY MONEY, AND REBORROW MONEY UNDER
THE LINE OF CREDIT;
(2) EACH ADVANCE UNDER THE LINE OF CREDIT MUST BE IN AN AMOUNT OF AT LEAST
$4,000;
(3) YOU MAY NOT USE A CREDIT CARD, DEBIT CARD, OR SIMILAR DEVICE, OR
PREPRINTED CHECK THAT YOU DID NOT SOLICIT, TO OBTAIN ADVANCES UNDER THE LINE OF
CREDIT;
( 4) ANY FEES THE TEXAS CASH-OUT MORTGAGE LENDERS TEXAS CASH-OUT MORTGAGE LENDERS CHARGES MAY BE CHARGED AND COLLECTED ONLY AT THE TIME THE LINE OF CREDIT IS ESTABLISHED AND THE TEXAS CASH-OUT MORTGAGE LENDERS TEXAS CASH-OUT MORTGAGE LENDERS MAY NOT CHARGE A FEE IN CONNECTION WITH ANY ADVANCE;
(5) THE MAXIMUM PRINCIPAL AMOUNT THAT MAY BE EXTENDED, WHEN ADDED TO ALL
OTHER DEBTS SECURED BY YOUR HOME, MAY NOT EXCEED 80 PERCENT OF THE FAIR MARKET
VALUE OF YOUR HOME ON THE DATE THE LINE OF CREDIT IS ESTABLISHED;
(6) IF THE PRINCIPAL BALANCE UNDER THE LINE OF CREDIT AT ANY TIME EXCEEDS 80
PERCENT OF THE FAIR MARKET VALUE OF YOUR HOME, AS DETERMINED ON THE DATE THE
LINE OF CREDIT IS ESTABLISHED, YOU MAY NOT CONTINUE TO REQUEST ADVANCES UNDER
THE LINE OF CREDIT UNTIL THE BALANCE IS LESS THAN 80 PERCENT OF THE FAIR MARKET
VALUE; AND (7) THE TEXAS CASH-OUT MORTGAGE LENDERS TEXAS CASH-OUT MORTGAGE LENDERS MAY NOT UNILATERALLY AMEND THE TERMS OF THE LINE OF CREDIT.

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TEXAS CONSUMER COMPLAINT AND RECOVERY FUND NOTICE