73R9243 LJD-F
          By D. Smith of Harris                                 H.B. No. 2127
          Substitute the following for H.B. No. 2127:
          By D. Smith of Harris                             C.S.H.B. No. 2127
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the amounts that may be charged and received in
    1-3  connection with a loan or other extension of credit.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Article 1.01, Title 79, Revised Statutes (Article
    1-6  5069-1.01, Vernon's Texas Civil Statutes), is amended by amending
    1-7  Subsections (e)-(i) and adding Subsections (j)-(y) to read as
    1-8  follows:
    1-9              (e)  "Person" means an individual, partnership,
   1-10  corporation, joint venture, limited liability company, trust,
   1-11  association, or other <any> legal entity, however organized.
   1-12              (f)  "Open-end account <Account>" means any account
   1-13  created pursuant to<, under> a written contract under which a <the>
   1-14  creditor may permit an <the> obligor to make purchases or borrow
   1-15  money from time to time, and under which interest or time price
   1-16  differential may from time to time be computed on an outstanding
   1-17  unpaid balance.  The term includes, but is not limited to, accounts
   1-18  under agreements described by Section (4), Article 3.15; Section
   1-19  (4), Article 4.01; and Chapters 6 and 15 of this Title.
   1-20              (g)  "Credit card transaction <Card Transaction>" means
   1-21  a transaction in which a card is or may be used to debit an
   1-22  open-end account in connection with the purchase or lease of goods
   1-23  or services or the lending of money, which card is or may be used
    2-1  for personal, family, or household use.
    2-2              (h)  "Merchant discount <Discount>" means any charge,
    2-3  fee, discount, compensating balance, or other consideration imposed
    2-4  by a creditor on or received directly or indirectly by the creditor
    2-5  from any seller or lessor of goods or services in connection with a
    2-6  credit card transaction under a lender credit card agreement
    2-7  between an obligor <the customer> and the creditor.  The term
    2-8  includes any consideration whatsoever received by the <a> creditor
    2-9  from any person other than the obligor in connection with a credit
   2-10  card transaction under a lender credit card agreement between the
   2-11  obligor and the creditor.  Any such consideration received by a
   2-12  subsidiary of the creditor or parent company of the creditor or any
   2-13  subsidiary of the creditor's parent company shall be deemed to have
   2-14  been received by the creditor <in determining if any such
   2-15  consideration has been received by the creditor>.
   2-16              (i)  "Lender credit card agreement <Credit Card
   2-17  Agreement>" means an agreement between a creditor (other than the
   2-18  seller or lessor) and an obligor under which credit is or may be
   2-19  extended for personal, family, or household use and under which:
   2-20  (1) by means of a credit card, the obligor may obtain loans from
   2-21  the creditor, which may be advanced by other participating persons,
   2-22  and may lease or purchase goods or services from more than one
   2-23  participating lessor or seller who honor the creditor's card, and
   2-24  the creditor or some other person acting in cooperation with the
   2-25  creditor will reimburse the other participating persons, lessors,
    3-1  or sellers for the goods or services purchased or leased, and the
    3-2  obligor is obligated under his or her agreement with the creditor
    3-3  to pay the creditor the amount of such loans or the costs of such
    3-4  leases or purchases; (2) the unpaid balance of such loans, leases,
    3-5  and purchases and any interest thereon are debited to the obligor's
    3-6  account with the creditor under the obligor's agreement with the
    3-7  creditor; (3) interest is not precomputed but may be computed on
    3-8  the balances of the obligor's account outstanding with the creditor
    3-9  from time to time; and (4) the obligor may defer payment of any
   3-10  part of the balance.  The term includes all agreements for open-end
   3-11  accounts authorized or defined under Articles 3.15(4), 4.01(4),
   3-12  15.01(k), and 15.01(l) of this Title  pursuant to which credit card
   3-13  transactions as defined by Section (g) <in Article 1.01(g)> of this
   3-14  Article <Title> may be made or in connection with which a merchant
   3-15  discount as defined by Section (h) <in Article 1.01(h)> of this
   3-16  Article <Title> is imposed or received by the creditor.  The term
   3-17  does not include an open-end account credit agreement between a
   3-18  seller or lessor and its own buyer or lessee.  The term does not
   3-19  include agreements under which the entire balance is due and
   3-20  payable in full each month and no interest is charged when the
   3-21  obligor pays in accordance with such terms.
   3-22              (j)  "Affiliate" of an obligor means a person that
   3-23  directly or indirectly, through one or more intermediaries,
   3-24  controls, is controlled by, or is under common control with the
   3-25  obligor.  The term "control" means the possession, directly or
    4-1  indirectly, of the power to direct or cause the direction of the
    4-2  management and policies of a person, whether through the ownership
    4-3  of voting securities, by contract, or otherwise.
    4-4              (k)  "Business entity" means a partnership,
    4-5  corporation, joint venture, limited liability company, or other
    4-6  business organization, however organized.
    4-7              (l)  "Commercial loan" means a loan that is made
    4-8  primarily for business, commercial, investment, agricultural, or
    4-9  other similar purposes.  The term does not include a loan that is
   4-10  made primarily for personal, family, or household use.
   4-11              (m)  "Contract interest" means conventional interest,
   4-12  whether or not denominated as interest, that an obligor has agreed
   4-13  to pay to a creditor.
   4-14              (n)  "Creditor" means a person that loans money or
   4-15  otherwise extends credit.  The term does not include a judgment
   4-16  creditor.
   4-17              (o)  "Guaranty" means an agreement pursuant to which an
   4-18  obligor:
   4-19                    (1)  assumes, guarantees, or otherwise becomes
   4-20  primarily or contingently liable for the payment or performance of
   4-21  an obligation of another person;
   4-22                    (2)  provides security for the payment or
   4-23  performance of an obligation of another person, whether through the
   4-24  creation of a lien or security interest or otherwise; or
   4-25                    (3)  agrees to purchase, or to advance
    5-1  consideration to purchase, the obligation or any property
    5-2  constituting security for the payment or performance of the
    5-3  obligation.
    5-4              (p)  "Judgment creditor" means a person to whom a money
    5-5  judgment is payable.
    5-6              (q)  "Judgment debtor" means a person obligated to pay
    5-7  a money judgment.
    5-8              (r)  "Judgment interest" means interest on a money
    5-9  judgment, whether the interest accrues before, on, or after the
   5-10  date the judgment is rendered.  For purposes of this Subtitle, the
   5-11  term "money judgment" includes legal interest or conventional
   5-12  interest, if any, that is payable to a judgment creditor pursuant
   5-13  to a judgment.
   5-14              (s)  "Late payment charge" means compensation
   5-15  that:  (i) is or will become due and payable, or was paid, by an
   5-16  obligor to a creditor solely as a result of the fact that a regular
   5-17  installment was not paid to the creditor at or before the time the
   5-18  regular installment first became due and payable; and (ii) is not
   5-19  denominated by the creditor as principal or interest.  The term
   5-20  does not include judgment interest.  For purposes of this Subtitle,
   5-21  the term "regular installment" means an amount of money, other than
   5-22  a late payment charge, paid or payable by an obligor to a creditor
   5-23  pursuant to an agreement in which the obligor has agreed to pay to
   5-24  the creditor interest that is denominated as interest by the
   5-25  creditor.
    6-1              (t)  "Loan" means a loan of money or other extension of
    6-2  credit if the obligor has unconditionally agreed to pay to the
    6-3  creditor a sum certain under the loan or other extension of credit.
    6-4  The term does not include a judgment.
    6-5              (u)  "Loan expenses," in connection with any loan,
    6-6  means the expenses incurred by a creditor, either for its own
    6-7  account or for the account of itself and other creditors, in
    6-8  documenting, making, closing, disbursing, extending, or renewing
    6-9  the loan.  The expenses may include fees and expenses of legal
   6-10  counsel for the creditor and of appraisers or other persons
   6-11  retained by the creditor for the purpose of determining whether to
   6-12  make the loan.
   6-13              (v)  "Obligor" means a person to whom money is loaned
   6-14  or credit is otherwise extended.  The term does not include:
   6-15                    (1)  a judgment debtor;
   6-16                    (2)  a surety; or
   6-17                    (3)  a guarantor.
   6-18              (w)  "Prepayment premium" means compensation that:
   6-19                    (1)  is or will become due and payable, or was
   6-20  paid, by an obligor to a creditor solely as a result of, or as a
   6-21  condition to, the payment or maturity of all or a portion of the
   6-22  principal amount of a loan before its stated maturity or its
   6-23  regularly scheduled date or dates of payment, whether as a result
   6-24  of:
   6-25                          (A)  acceleration of maturity on a
    7-1  declaration by the creditor or otherwise; or
    7-2                          (B)  any election by the obligor to pay all
    7-3  or a portion of the principal amount before its stated maturity or
    7-4  its regularly scheduled date or dates of payment; and
    7-5                    (2)  is not denominated by the creditor as
    7-6  principal or interest.
    7-7              (x)  "Qualified commercial loan" means:
    7-8                    (1)  a commercial loan in the original principal
    7-9  amount of $1 million or more; or
   7-10                    (2)  any renewal or extension of a commercial
   7-11  loan in the original principal amount of $1 million or more,
   7-12  whether  or not the principal amount of the loan at the time of its
   7-13  renewal or extension is $1 million or more.
   7-14              (y)  "Time price differential" means an amount, however
   7-15  denominated, that is:
   7-16                    (1)  added to the price at which a seller offers
   7-17  to sell services or real or personal property to a purchaser for
   7-18  cash payable at the time of sale; and
   7-19                    (2)  paid or payable to the seller by the
   7-20  purchaser for the privilege of paying the offered sales price after
   7-21  the time of sale.
   7-22        SECTION 2.  Article 1.02, Title 79, Revised Statutes (Article
   7-23  5069-1.02, Vernon's Texas Civil Statutes), is amended to read as
   7-24  follows:
   7-25        Art. 1.02.  CONVENTIONAL INTEREST OR TIME PRICE DIFFERENTIAL
    8-1  ALLOWED; MAXIMUM RATE <MAXIMUM RATES> OF CONVENTIONAL INTEREST
    8-2  UNLESS OTHERWISE FIXED BY LAW.  (a)  A creditor is allowed to
    8-3  contract for, charge, and receive from an obligor conventional
    8-4  interest or a time price differential.
    8-5        (b)  Except as otherwise fixed by law, the maximum rate of
    8-6  interest shall be ten percent per annum.  A greater rate of
    8-7  interest than ten percent per annum unless otherwise authorized by
    8-8  law shall be deemed usurious.  All contracts for usury are contrary
    8-9  to public policy and shall be subject to the appropriate penalties
   8-10  prescribed in Article 1.06 of this Subtitle.
   8-11        SECTION 3.  Article 1.04, Title 79, Revised Statutes (Article
   8-12  5069-1.04, Vernon's Texas Civil Statutes), is amended by amending
   8-13  the article heading to read as follows:
   8-14        Art. 1.04.  MAXIMUM <LIMIT ON> RATE OF CONVENTIONAL INTEREST;
   8-15  MAXIMUM RATE PRODUCED BY A TIME PRICE DIFFERENTIAL PURSUANT TO
   8-16  CERTAIN AGREEMENTS.
   8-17        SECTION 4.  Articles 1.04(a), (b), (c), (l), and (o), Title
   8-18  79, Revised Statutes (Article 5069-1.04, Vernon's Texas Civil
   8-19  Statutes), are amended to read as follows:
   8-20        (a)  Both (i) the maximum rate of conventional interest and
   8-21  (ii) the maximum rate produced by a time price differential
   8-22  pursuant to an agreement described in Chapter 6, 6A, or 7 of this
   8-23  Title are fixed at <The parties to any written contract may agree
   8-24  to and stipulate for any rate of interest, or in an agreement
   8-25  described in Chapter 6, 6A, or 7 of this Title, any rate or amount
    9-1  of time price differential producing a rate, that does not exceed>:
    9-2              (1)  an indicated rate ceiling that is the auction
    9-3  average rate quoted on a bank discount basis for 26-week treasury
    9-4  bills issued by the United States government, as published by the
    9-5  Federal Reserve Board, for the week preceding the week in which the
    9-6  rate is contracted for, multiplied by two, and rounded to the
    9-7  nearest one-quarter of one percent; or, as an alternative,
    9-8              (2)  an annualized or quarterly ceiling that is the
    9-9  average of the computations under Subsection (1) of this section
   9-10  and is computed pursuant to Section (d) of this Article.
   9-11        (b)(1)  If a computation under Section (a)(1), (a)(2), or (c)
   9-12  of this Article is less than 18 percent a year, the ceiling under
   9-13  that provision is 18 percent a year.  If a computation under
   9-14  Section (a)(1), (a)(2), or (c) of this Article is more than 24
   9-15  percent a year, the ceiling under that provision is 24 percent a
   9-16  year.
   9-17              (2)  Notwithstanding the provisions of Subsection (1)
   9-18  of this Section (b), in the case of any qualified commercial loan
   9-19  <on any contract under which credit in an amount in excess of
   9-20  $250,000 is or is to be extended, or any extension or renewal of
   9-21  such a contract, and under which the credit is extended for
   9-22  business, commercial, investment, or other similar purpose, but
   9-23  excluding any contract that is not for any of those purposes and is
   9-24  primarily for personal, family, household, or agricultural use>,
   9-25  the 24 percent limitation on the ceilings in Section (b)(1) above
   10-1  that is applicable to the computations under Section (a)(1),
   10-2  (a)(2), or (c) of this Article shall not apply, and the limitation
   10-3  on the ceilings determined by those computations shall be 28
   10-4  percent a year.
   10-5              (3)  References in this Article to the indicated rate
   10-6  ceiling, annualized ceiling, quarterly ceiling, or monthly ceiling
   10-7  mean such a ceiling as modified by this Section (b).
   10-8              (4)  Any credit agreement described in Section (a),
   10-9  Article 1.11, of this Title  is subject to the terms, ceilings, and
  10-10  other provisions of that Article and, except as limited by Article
  10-11  1.11, to the terms, ceilings, and other provisions of this Article.
  10-12              (5)  Notwithstanding any other provision of law, on any
  10-13  lender credit card agreement in connection with which a merchant
  10-14  discount as defined in Article 1.01(h) of this Title  is imposed or
  10-15  received by the creditor, the creditor may not contract for,
  10-16  charge, or receive, on any amount owed for any credit card
  10-17  transaction, a rate in excess of the ceiling allowed under Article
  10-18  15.02(d) of this Title  (which ceiling shall be adjusted in
  10-19  accordance with Article 15.02(d)) or any other fees or charges
  10-20  which are not authorized under Chapter 15 of this Title or which
  10-21  are in excess of the amounts authorized under Chapter 15.
  10-22              (6)  Notwithstanding Article 15.10 of this Title, any
  10-23  lender credit card agreement in which the creditor is a bank,
  10-24  savings and loan association, or authorized lender under Chapter 3
  10-25  of this Title  is subject to Chapter 15 of this Title and Article
   11-1  15.02(d) thereof.
   11-2              (7)  If a creditor and an obligor agree that contract
   11-3  interest in respect of any qualified commercial loan shall be
   11-4  computed on the basis of a 360-day year of twelve 30-day months,
   11-5  each rate per year referred to in this Article, in the case of such
   11-6  a loan, means a rate per year consisting of 360 days and of twelve
   11-7  30-day months.
   11-8        (c)  A monthly ceiling is available only in variable rate
   11-9  contracts, including contracts for open-end accounts, that are not
  11-10  made for personal, family, or household use.  Subject to Section
  11-11  (b) of this Article, the monthly ceiling is the average of all the
  11-12  computations under Section (a)(1) of this Article for auctions
  11-13  occurring during the preceding calendar month and shall be computed
  11-14  by the consumer credit commissioner on the first business day of
  11-15  the calendar month in which the rate applies.  In contracts for
  11-16  which the monthly ceiling is available under this section, if the
  11-17  parties agree that the rate is subject to being adjusted on a
  11-18  monthly basis in accordance with Section (f) of this Article, they
  11-19  may further contract that the rate from time to time in effect may
  11-20  not exceed the monthly ceiling from time to time in effect under
  11-21  this section, in which event <and> the monthly ceiling from time to
  11-22  time in effect is the ceiling on those contracts, instead of any
  11-23  ceiling under Section (a) <Article 1.04(a)> of this Article
  11-24  <Title>.
  11-25        (l)  The maximum rate on any contract to renew or extend the
   12-1  terms of payment of any indebtedness <at any time incurred,> is the
   12-2  applicable ceiling allowed by this Article for a contract entered
   12-3  at the time the renewal or extension is made or agreed to.
   12-4        (o)(1)  All other written contracts whatsoever, except those
   12-5  otherwise authorized by law, which may in any way, directly or
   12-6  indirectly, provide for a greater rate of interest shall be subject
   12-7  to the appropriate penalties prescribed in this Subtitle.
   12-8              (2)  If, in any contract, including one for an open-end
   12-9  account, subject to Chapter 4, 5, 6, 6A, 7, or 15 of this Title,
  12-10  any person contracts for, charges, or receives a rate or amount of
  12-11  interest or time price differential that exceeds the rate allowed
  12-12  by that Chapter and the rate allowed by this Article, the amount of
  12-13  the penalty for that overcharge shall be determined under Chapter 8
  12-14  of this Title rather than under this Subtitle, and all of the
  12-15  provisions of Articles 8.01, 8.02, 8.03, 8.04, 8.05, and 8.06 of
  12-16  this Title  are in effect as to that contract and are applicable to
  12-17  this Article as if it were a part of Subtitle 2 of this Title.  The
  12-18  failure to perform any duty or comply with any prohibition required
  12-19  by this Article <1.04>, in a contract entered under authority of
  12-20  this Article <1.04>, shall be subject to the penalties set out in
  12-21  Article 8.01(b) and shall be subject to such of the other
  12-22  provisions of Articles 8.01 through 8.06 which apply to failures to
  12-23  perform duties or comply with prohibitions to the same extent as if
  12-24  the duties and prohibitions in this Article <1.04> were contained
  12-25  in Subtitle 2.
   13-1              (3)  The consumer credit commissioner, subject to
   13-2  Section (l), Article 2.01, of this Title, shall enforce Chapters 2,
   13-3  3, 4, 5, 6, 6A, 7, 8, 15, and 51 of this Title, as modified by this
   13-4  Article and Article 2.08 of this Title, and shall enforce this
   13-5  Article as applicable to contracts subject to those Chapters.
   13-6  Article 3.08 of this Title  is applicable to transactions made by
   13-7  licensees pursuant to this Article that otherwise are subject to
   13-8  Chapters 4, 5, or 15 of this Title.  The provisions of Article 3.12
   13-9  of this Title  will apply to loans made under authority of this
  13-10  Article which are subject to Chapter 4 of this Title.  In any
  13-11  contracts subject to the Texas Credit Union Act, as amended
  13-12  (Article 2461-1.01 et seq., Vernon's Texas Civil Statutes), the
  13-13  credit union commissioner shall enforce this Article.
  13-14              (4)  In any contract subject to Chapter 24 of the
  13-15  Insurance Code, the State Board of Insurance shall enforce this
  13-16  Article.
  13-17        SECTION 5.  Article 1.04(n)(1), Title 79, Revised Statutes
  13-18  (Article 5069-1.04, Vernon's Texas Civil Statutes), is amended to
  13-19  read as follows:
  13-20              (1)  Any loan made under authority of this Article that
  13-21  is extended either primarily for personal, family, or household use
  13-22  but not for business, commercial, investment, agricultural, or
  13-23  other similar purposes, or primarily for the purchase of a motor
  13-24  vehicle, other than a heavy commercial vehicle as defined in
  13-25  Section (n), Article 7.01, of this Title <Title 79, Revised
   14-1  Statutes (Article 5069-7.01, Vernon's Texas Civil Statutes)>, and
   14-2  that is payable in two or more installments, not secured by a lien
   14-3  on real estate, and that is entered by a person engaged in the
   14-4  business of making or negotiating those types of loans, is subject
   14-5  to Chapter 4 of this Title, and any person except a bank or savings
   14-6  and loan association engaged in that business shall obtain a
   14-7  license under Chapter 3 of this Title.
   14-8        SECTION 6.  Subtitle 1, Title 79, Revised Statutes (Article
   14-9  5069-1.01 et seq., Vernon's Texas Civil Statutes), is amended by
  14-10  adding Articles 1.13, 1.14, 1.15, 1.16, and 1.17 to read as
  14-11  follows:
  14-12        Art. 1.13.  CERTAIN ITEMS THAT DO NOT CONSTITUTE INTEREST.
  14-13  (a)  The term "interest," as used in this Subtitle, does not
  14-14  include any time price differential.  The contracting for,
  14-15  charging, or receipt of a time price differential is not regulated
  14-16  by this Title, except to the extent regulated by Chapter 6, 6A, or
  14-17  7 of this Title.
  14-18        (b)  In the case of any qualified commercial loan made to a
  14-19  business entity, the term "interest," as used in this Subtitle,
  14-20  does not include:
  14-21              (1)  any discount or commission that an obligor has
  14-22  paid or agreed to pay to one or more underwriters of securities
  14-23  issued by the obligor;
  14-24              (2)  any option or other right to exchange, redeem, or
  14-25  convert all or a portion of the principal amount of the loan, or
   15-1  interest on the principal amount, for or into capital stock or
   15-2  other equity securities of an obligor or of any affiliate of the
   15-3  obligor;
   15-4              (3)  any option or other right to purchase in any other
   15-5  manner capital stock or other equity securities of an obligor or of
   15-6  any affiliate of the obligor;
   15-7              (4)  any option or other right to participate in the
   15-8  income, revenues, or profits:
   15-9                    (A)  of an obligor or of any affiliate of the
  15-10  obligor;
  15-11                    (B)  of any segment of the business or operations
  15-12  of an obligor or of any affiliate of the obligor; or
  15-13                    (C)  derived or to be derived from any interest
  15-14  of an obligor or of any affiliate of the obligor in any real or
  15-15  personal property, including any proceeds of the sale or other
  15-16  disposition of the interest; or
  15-17              (5)  any compensation realized as a result of the
  15-18  receipt, exercise, sale, or other disposition of any option or
  15-19  other right described in Subsection (2), (3), or (4) of this
  15-20  section.
  15-21        (c)  For purposes of this Article, the terms "security" and
  15-22  "equity security" have the meanings assigned to those respective
  15-23  terms by the Securities Exchange Act of 1934 (15 U.S.C. Sec. 78a et
  15-24  seq.) and its subsequent amendments.
  15-25        Art. 1.14.  PREPAYMENT PREMIUMS.  (a)  A creditor is allowed
   16-1  to contract for, charge, and receive prepayment premiums.  An
   16-2  agreement to pay a prepayment premium is  enforceable in accordance
   16-3  with the terms of that agreement.
   16-4        (b)  A prepayment premium that an obligor has agreed to pay
   16-5  to a creditor does not constitute "interest," as that term is used
   16-6  in this Subtitle.
   16-7        (c)  This Article does not apply to any loan that is subject
   16-8  to Chapter 2, 3, 4, 5, 6, 6A, 7, 8, or 15 of this Title.
   16-9        Art. 1.15.  GUARANTIES.  (a)  A creditor may require, as a
  16-10  condition to making, renewing, or extending a qualified commercial
  16-11  loan made to a business entity, that an obligor enter into a
  16-12  guaranty, and neither the guaranty nor any compensation received by
  16-13  the creditor pursuant to the guaranty shall constitute "interest,"
  16-14  as that term is used in this Subtitle, in respect of such loan or
  16-15  in respect of the obligation that is the subject of the guaranty.
  16-16        (b)  This Article does not apply to any loan that is subject
  16-17  to Chapter 2, 3, 4, 5, 6, 6A, 7, 8, or 15 of this Title.
  16-18        Art. 1.16.  LOAN EXPENSES.  (a)  Except as provided by
  16-19  Article 8, Chapter V, The Texas Banking Code (Article 342-508,
  16-20  Vernon's Texas Civil Statutes), a creditor is allowed to:
  16-21              (1)  contract for the payment by an obligor of loan
  16-22  expenses in connection with a loan that is or was made, or is or
  16-23  was proposed to be made, to the obligor; and
  16-24              (2)  charge and receive the loan expenses from the
  16-25  obligor or require the obligor to pay the loan expenses to the
   17-1  persons who rendered services to the creditor.
   17-2        (b)  Loan expenses agreed to be paid by an obligor in
   17-3  connection with a loan that is or was made, or is or was proposed
   17-4  to be made, to the obligor do not constitute "interest," as that
   17-5  term is used in this Subtitle.
   17-6        (c)  This Article does not apply to any loan that is subject
   17-7  to Chapter 2, 3, 4, 5, 6, 6A, 7, 8, or 15 of this Title.
   17-8        Art. 1.17.  NO PENALTY IN RESPECT OF AMOUNTS PAYABLE PURSUANT
   17-9  TO A FINAL JUDGMENT.  A creditor is not liable to an obligor under
  17-10  this Subtitle as a result of the receipt by the creditor from the
  17-11  obligor of any amount of conventional interest (including any
  17-12  prepayment premium, late payment charge, or loan expenses that the
  17-13  obligor has not agreed to pay), any amount of legal interest, or
  17-14  any amount of prepayment premium, late payment charge, or loan
  17-15  expenses agreed to be paid by the obligor if the amount is payable
  17-16  by the obligor to the creditor pursuant to a judgment that has
  17-17  become final and is no longer subject to modification or reversal.
  17-18        SECTION 7.  The change in law made by this Act applies only
  17-19  to a loan of money, or other extension of credit, made or extended
  17-20  on or after the effective date of this Act.  A loan of money, or
  17-21  other extension of credit, that was made or extended before the
  17-22  effective date of this Act is covered by the law in effect when
  17-23  made or extended and the prior law is continued in full force and
  17-24  effect for that purpose.
  17-25        SECTION 8.  This Act takes effect September 1, 1993.
   18-1        SECTION 9.  The importance of this legislation and the
   18-2  crowded condition of the calendars in both houses create an
   18-3  emergency and an imperative public necessity that the
   18-4  constitutional rule requiring bills to be read on three several
   18-5  days in each house be suspended, and this rule is hereby suspended.