SECTION 89.208. Advertising

(a) General. A property tax lender may not provide a false, deceptive, or misleading advertisement or solicitation to a potential borrower.

(b) False, deceptive, or misleading practices. An advertisement or solicitation will be considered false, deceptive, or misleading if the advertisement or solicitation:

(1) fails to contain the notice required by Texas Finance Code, §351.0023(a) or (b);

(2) fails to fully disclose the terms required by Texas Finance Code, §351.0023(d) or (e);

(3) fails to clearly and conspicuously disclose the name of the property tax lender;

(4) offers any rates, terms, or conditions relating to a property tax loan unless the property tax lender actually makes a reasonable number of those loans;

(5) makes any representations or statements with reference to the ease of procuring a loan, the speed with which it may be completed, the freedom from credit inquiries, or any other implied difference in service or policy unless the property tax lender will comply with the representations or statements made;

(6) uses phrases such as "most trusted," "property tax lawsuit notification," "lowest rates," "lowest costs," "quickest service," "easy payments," or "repayment in easy installments";

(7) uses "pre-approved," "approved," or any similar expression, unless the statement or offer is unconditional;

(8) uses the word "fixed" to refer to rates or payments for a variable-rate transaction or other credit transaction where the payment will increase; or

(9) indicates or implies that the potential property tax borrower has been sued or will be sued by the taxing unit or another party unless the property tax lender has verified that the taxing unit or another party has sued or will sue within 30 days of when the advertisement or solicitation is sent.

(c) Name of property tax lender. An advertisement or solicitation must include the name of the property tax lender. A property tax lender may only advertise or solicit with the name under which it is authorized to conduct business under Texas Finance Code, Chapter 351.

(d) No advertisements or solicitations in form of negotiable instruments or government documents. A property tax lender or its agents may not distribute or display mailing pieces that have a similarity or resemblance to a blank counter check; postal or express money order; U.S. currency, cash, exchange certificate, or any negotiable instrument whatsoever; or any federal, state, or local government warrant. A property tax lender may not use an envelope, advertisement, or solicitation that contains text, a symbol, or other information indicating or implying that it is from federal, state, or local government.

(e) No use of simulated legal process or documents. A property tax lender or its agent must not use any simulated legal process, simulated legal document, or legal form designed to suggest that legal proceedings have been commenced or completed when in fact they have not.

(f) No impersonation of law enforcement or government employees. A property tax lender or its agent may not impersonate or attempt to impersonate any law enforcement officer or other agent of federal, state, or local governments.

(g) Both variable-rate and non-variable-rate transactions in the same advertisement or solicitation. If a property tax lender offers both variable-rate and non-variable-rate transactions in the same advertisement or solicitation, a property tax lender must use the phrases "Fixed Rate" and "Adjustable Rate" (or "Variable Rate") with equal prominence and must fully and clearly disclose any terms in accordance with Texas Finance Code, §351.0023.

(h) Annual percentage rate and terms of repayment. The annual percentage rate and terms of repayment described by Texas Finance Code, §351.0023(d) - (e) must be calculated and disclosed in accordance with the Truth in Lending Act, 15 U.S.C. §1664, Regulation Z, 12 C.F.R. §1026.24, and §89.502(2) of this title (relating to Definitions).

Source Note: The provisions of this §89.208 adopted to be effective September 5, 2013, 38 TexReg 5707; amended to be effective November 9, 2017, 42 TexReg 6131