Texas Passes New Rules For DebtCancellation

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AUSTIN, Texas - (03/03/05) -- The Texas CU Department saidWednesday it has approved new rules requiring written disclosureson debt cancellation products. The new rules will require adisclosure: that debt cancellation is optional; explaining theconditions and method of calculating any refund of the debtcancellation fee; and a statement requiring that a member shouldcarefully read all terms and conditions of the debt cancellationagreement. The new rules state that GAP waiver agreements will beconsidered debt cancellation products.

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