Accepted Non-Standard Retail Installment Contracts
The retail installment contracts in the list below have been accepted as plain language contracts under the provisions of the Texas Finance Code, §341.502. These contracts satisfy the requirements for the Flesch-Kincaid Grade Level score, type size, and typeface as specified under §341.502(a) of the Texas Finance Code and 7 Texas Administrative Code, §84.806. These contracts may be used in connection with Chapter 348 retail installment transactions. If it is subsequently determined that the contracts do not meet the plain language provisions of the Texas Finance Code, the Commissioner will issue an order disapproving the contract in accordance with Texas Finance Code, §341.502 and 7 Texas Administrative Code, §84.802.
Retail sellers may only use either motor vehicle retail installment contracts using the model provisions found under 7 Texas Administrative Code §§84.801 – 84.809 or non-standard motor vehicle retail installment contracts submitted to the Office of Consumer Credit Commissioner (OCCC) November 5, 2015, or later.
For current transactions, retail sellers may not use outdated or previously submitted motor vehicle retail installment contracts. Older motor vehicle retail installment contracts do not comply with current provisions of federal and state law. For example, effective November 5, 2015, the OCCC amended the rules regarding plain language contract provisions. The amendments included:
- a new Itemization of Amount Financed to address the inspection fee for the “two step one sticker” process;
- an amended OCCC notice (Office of Consumer Credit Commissioner Notice);
- an updated provision regarding disposition of a motor vehicle;
- a new provision regarding returned check fees; and
- a new “Servicing and Collection Contract” provision that complies with the federal Telephone Consumer Protection Act.
Instructions for Submitting a Plain Language Contract For Review
For detailed information on the plain language requirements and submission process, please see the Plain Language Initiative Page.
To submit a contract for review compete the Plain Language Contract Review Form.
An archive of previously submitted non-standard contracts can be downloaded here. These contracts were either submitted before November 5, 2015, or have been replaced by revised versions.