(a) To correct a failure to comply under Section 50(a)(6)(Q)(x)(f), on or before the 60th day after the lender or holder receives the notice from the borrower the lender or holder may:
  (1) refund or credit the $1,000 to the account of the borrower; and
  (2) make an offer to modify or an offer to refinance the extension of credit on the terms provided in Section 50(a)(6)(Q)(x)(f) by placing the offer in the mail, other delivery carrier, or delivering the offer in person to the owner.
(b) To correct a failure to comply under Section 50(a)(6)(Q)(x)(f):
  (1) the lender or holder has the option to either refund or credit $1,000; and
  (2) the lender or holder and borrower may:
    (A) modify the equity loan without completing the requirements of a refinance; or
    (B) refinance with an extension of credit that complies with Section 50(a)(6).
(c) The lender or holder has the burden of proving compliance with this section.
(d) After the borrower accepts an offer to modify or refinance, the lender must make a good faith attempt to modify or refinance within a reasonable time not to exceed 90 days.

Source Note: The provisions of this §153.96 adopted to be effective November 11, 2004, 29 TexReg 10257