(a) Except as otherwise provided by Texas Government
Code, Chapter 481, Subchapter BB, the Office may not determine the
recipient, amount, or interest rate of a capital access loan or the
fees or other requirements related to the loan.
(b) Consortiums of financial institutions may participate
in the program so long as each financial institution is subject to
common underwriting guidelines.
(c) The state is not liable to a participating financial
institution for payment of the principal, interest, or any late charges
on capital access loans made under Government Code, Chapter 481, Subchapter
BB.
(d) Loans made under Government Code, Chapter 481,
Subchapter BB may be refinanced. If the amount refinanced exceeds
the original loan amount, additional reserve contributions can be
made by both the participating financial institution and the eligible
applicant based on the excess, subject to the provisions of §187.11
of this title (relating to Contributions Made to the Reserve Account).
The state will make contributions to the reserve account for loans
being refinanced based on the excess being refinanced, subject to §187.11
of this title.
(e) Loans not originally enrolled under the program
may be eligible to be partially enrolled in the program if the loan
is refinanced for an amount exceeding the original loan amount. Only
that portion which exceeds the original loan amount may be enrolled
under the program.
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