Payment Plan Math in Texas
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Published July 14, 2026 • By DocketMath Team
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Quoted from the source law itself. Not legal advice; confirm how it applies to your matter.
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Texas payment-plan-math: interest rate is 10; interest rate basis is Tex. Const. Art. XVI § 11 / Tex. Fin. Code § 302.001(b) — 10% maximum unless statute provides otherwise; § 303.009 optional 18% ceiling commonly elected for consumer transactions.
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Citation: Tex. Fin. Code § 302.001; Tex. Const. Art. XVI § 11
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- Interest Rate: 10
- Interest Rate Basis: Tex. Const. Art. XVI § 11 / Tex. Fin. Code § 302.001(b) — 10% maximum unless statute provides otherwise; § 303.009 optional 18% ceiling commonly elected for consumer transactions
- Max Contract Rate: 18
- Max Contract Rate Basis: Tex. Fin. Code § 303.009 optional annualized ceiling. For specific transaction classes the ceiling is governed by separate chapters (e.g., Chapter 342 consumer loans, Chapter 348 motor-vehicle installment).
This page provides general legal information and calculation tools, not legal advice. DocketMath is not a law firm and does not provide legal representation, and using this site does not create an attorney-client relationship. Laws change and exceptions apply, so deadlines and amounts specific to your situation should be confirmed with a licensed attorney in your jurisdiction.
Payment Plan Math in Texas
Under Texas law, the maximum interest rate for a payment plan is set by the Texas Finance Code § 302.001 and the Texas Constitution Article XVI § 11. The rule caps the rate at 10% per year on the unpaid principal balance. This 10% figure applies when no other rate is agreed upon in writing. The statute provides the legal ceiling and any exceptions to this limit; the official source contains the exact formula for calculating interest on a payment plan. A worked example below demonstrates how this 10% cap applies to a typical balance. To estimate your own specific payment plan interest, use the DocketMath calculator.
Governing authority
In Texas, the payment plan math rule is set by Tex. Fin. Code § 302.001; Tex. Const. Art. XVI § 11. The verified packet cites Tex. Fin. Code § 302.001; Tex. Const. Art. XVI § 11 (https://statutes.capitol.texas.gov/Docs/FI/htm/FI.302.htm).
Texas payment plan math: the verified value is 10% under Tex. Fin. Code § 302.001; Tex. Const. Art. XVI § 11. The verified packet cites Tex. Fin. Code § 302.001; Tex. Const. Art. XVI § 11 (https://statutes.capitol.texas.gov/Docs/FI/htm/FI.302.htm).
Estimate your own result: every situation has exceptions that can change the outcome. Use the payment plan math calculator to estimate your specific figure.
This page provides general legal information and calculation tools, not legal advice. DocketMath is not a law firm and does not provide legal representation, and using this site does not create an attorney-client relationship. Laws change and exceptions apply, so deadlines and amounts specific to your situation should be confirmed with a licensed attorney in your jurisdiction.