(a) An insurance premium finance company may not take or receive from an insured a greater rate or charge than is authorized by Chapter 342, Finance Code.
(b) For purposes of this section, a charge begins on the earlier of:
(1) the date from which the insurer requires payment of the premium and payment was made to the insurer for the financed policy; or
(2) the effective date of the policy.
(c) The finance charge is computed on the balance of the premiums due after subtracting any down payment made by the insured in accordance with the premium finance agreement.