Bill Text: TX HB3453 | 2011-2012 | 82nd Legislature | Enrolled
Bill Title: Relating to the regulatory authority of the consumer credit commissioner and to fees and interest charged in connection with consumer credit transactions; authorizing an administrative penalty.
Spectrum: Bipartisan Bill
Status: (Passed) 2011-06-17 - Effective on 9/1/11 [HB3453 Detail]
Download: Texas-2011-HB3453-Enrolled.html
H.B. No. 3453 |
|
||
relating to the regulatory authority of the consumer credit | ||
commissioner and to fees and interest charged in connection with | ||
consumer credit transactions; authorizing an administrative | ||
penalty. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 14.2015, Finance Code, is amended to | ||
read as follows: | ||
Sec. 14.2015. CONFIDENTIALITY OF CERTAIN INFORMATION. (a) | ||
Except as provided by Subsection (b), information or material | ||
obtained or compiled by the commissioner in relation to an | ||
examination or investigation by the commissioner or the | ||
commissioner's representative of a license holder, [ |
||
registrant, applicant, or other person under Subtitle B or C, Title | ||
4, or Chapter 394 is confidential and may not be disclosed by the | ||
commissioner or an officer or employee of the Office of Consumer | ||
Credit Commissioner, including: | ||
(1) information obtained from a license holder, [ |
||
registrant, applicant, or other person examined or investigated | ||
under Subtitle B or C, Title 4, or Chapter 394; | ||
(2) work performed by the commissioner or the | ||
commissioner's representative on information obtained from a | ||
license holder, [ |
||
purposes of an examination or investigation conducted under | ||
Subtitle B or C, Title 4, or Chapter 394; | ||
(3) a report on an examination or investigation of a | ||
license holder, [ |
||
conducted under Subtitle B or C, Title 4, or Chapter 394; and | ||
(4) any written communications between the license | ||
holder, [ |
||
and the commissioner or the commissioner's representative relating | ||
to or referencing an examination or investigation conducted under | ||
Subtitle B or C, Title 4, or Chapter 394. | ||
(b) The commissioner or the commissioner's representative | ||
may disclose the confidential information or material described by | ||
Subsection (a): | ||
(1) to a department, agency, or instrumentality of | ||
this state or the United States if the commissioner considers | ||
disclosure to be necessary or proper to the enforcement of the laws | ||
of this state or the United States and in the best interest of the | ||
public; | ||
(2) if the license holder, [ |
||
or other person consents to the release of the information or has | ||
published the information contained in the release; or | ||
(3) if the commissioner determines that release of the | ||
information is required for an administrative hearing. | ||
SECTION 2. Subchapter E, Chapter 14, Finance Code, is | ||
amended by adding Section 14.2016 to read as follows: | ||
Sec. 14.2016. INFORMATION SHARING WITH DEPARTMENTS AND | ||
AGENCIES. To ensure consistent enforcement of law and minimization | ||
of regulatory burdens, the commissioner may share information, | ||
including criminal history or confidential information, relating | ||
to a license holder, registrant, applicant, or other person | ||
investigated or examined under the commissioner's authority with a | ||
department, agency, or instrumentality of this state, another | ||
state, or the United States if the commissioner considers the | ||
disclosure of the information to be necessary or proper to the | ||
enforcement of the laws of this state or the United States and in | ||
the best interest of the public. Information otherwise confidential | ||
remains confidential after the information is shared under this | ||
section. | ||
SECTION 3. Section 303.009(d), Finance Code, is amended to | ||
read as follows: | ||
(d) For an open-end account credit agreement that provides | ||
for credit card transactions on which a merchant discount is not | ||
imposed or received by the creditor or a retail charge agreement | ||
under Chapter 345 without a merchant discount, the ceiling is 21 | ||
percent a year. | ||
SECTION 4. Section 303.203(a), Finance Code, is amended to | ||
read as follows: | ||
(a) A lender may, at the time or after a loan is made, offer | ||
to sell to the borrower and finance in a [ |
||
to this subtitle a charge for an automobile club membership. | ||
SECTION 5. Section 342.502(d), Finance Code, is amended to | ||
read as follows: | ||
(d) On a loan subject to this chapter a lender may assess and | ||
collect a fee that does not exceed the amount prescribed by Section | ||
3.506, Business & Commerce Code [ |
||
|
||
|
||
dishonored check, negotiable order of withdrawal, or share draft | ||
offered in full or partial payment of a loan. | ||
SECTION 6. The heading to Subchapter D, Chapter 345, | ||
Finance Code, is amended to read as follows: | ||
SUBCHAPTER D. ALTERNATE FINANCE CHARGE [ |
||
CEILING | ||
SECTION 7. Section 345.155, Finance Code, is amended to | ||
read as follows: | ||
Sec. 345.155. TIME PRICE DIFFERENTIAL COMPUTATION AND | ||
AMOUNT. (a) A time price differential authorized under Subchapter | ||
C [ |
||
balance method. | ||
(b) If the amount of a time price differential otherwise | ||
authorized under Subchapter C [ |
||
in which a balance is due is less than 75 cents a month, the holder | ||
may charge an amount that does not exceed 75 cents a month. | ||
SECTION 8. Section 345.157(a), Finance Code, is amended to | ||
read as follows: | ||
(a) A retail charge agreement [ |
||
|
||
(1) a delinquency charge on each installment that is | ||
in default for a period that is longer than 21 days; | ||
(2) an attorney's reasonable fee if the agreement is | ||
referred for collection to an attorney who is not a salaried | ||
employee of the holder; and | ||
(3) court costs and disbursements. | ||
SECTION 9. Section 346.103(a), Finance Code, is amended to | ||
read as follows: | ||
(a) The following fees may be charged to or collected from a | ||
customer in connection with an account under this chapter: | ||
(1) an annual fee not to exceed: | ||
(A) $50 a year on an account with a credit limit | ||
of $5,000 or less; | ||
(B) $75 a year on an account with a credit limit | ||
exceeding $5,000 but not exceeding $25,000; and | ||
(C) $125 a year on an account with a credit limit | ||
exceeding $25,000; | ||
(2) a late charge not to exceed the lesser of $15 or | ||
five percent of the payment due after the payment continues unpaid | ||
for 10 days or more after the date the payment is due, including | ||
Sundays and holidays; | ||
(3) a cash advance charge not to exceed the greater of | ||
$2 or two percent of the cash advance; | ||
(4) a returned check fee as provided for a loan | ||
agreement under Chapter 342 by Section 3.506, Business & Commerce | ||
Code [ |
||
|
||
(5) a fee for exceeding a credit limit not to exceed | ||
the greater of $15 or five percent of the amount by which the credit | ||
limit is exceeded. | ||
SECTION 10. Section 348.006, Finance Code, is amended by | ||
adding Subsections (e-1), (e-2), and (e-3) to read as follows: | ||
(e-1) Except as provided by Subsections (e-2) and (e-3), the | ||
following information and documents are confidential and not | ||
subject to disclosure: | ||
(1) all information provided by a retail seller to the | ||
commissioner under Subsection (e), including the maximum | ||
documentary fee a retail seller intends to charge, the written | ||
notice of an increased documentary fee, and any financial | ||
information submitted with the notice; and | ||
(2) all correspondence between a retail seller and the | ||
commissioner or the commissioner's representative relating to the | ||
notice of an increased documentary fee under Subsection (e) and a | ||
review for reasonableness of the amount of the documentary fee to be | ||
charged. | ||
(e-2) The commissioner may disclose information or | ||
documents that are confidential under Subsection (e-1) if: | ||
(1) the commissioner determines that release of the | ||
information or documents is required for an administrative hearing; | ||
(2) the retail seller consents to the release of the | ||
information or documents; or | ||
(3) the disclosure is required by a court order. | ||
(e-3) The commissioner or the commissioner's representative | ||
may disclose whether a retail seller has filed written notice of an | ||
increased documentary fee and the proposed amount of the increased | ||
fee to: | ||
(1) a holder that provides written proof, signed by | ||
the retail seller, that the retail seller has agreed to assign or | ||
transfer one or more retail installment contracts to the holder; or | ||
(2) a prospective retail buyer that provides to the | ||
commissioner: | ||
(A) a buyer's order executed by the prospective | ||
buyer and the retail seller; | ||
(B) a draft of a retail installment contract | ||
provided by the retail seller to the prospective buyer; or | ||
(C) a written statement by the retail seller | ||
acknowledging that the person is a prospective buyer of a motor | ||
vehicle from the retail seller. | ||
SECTION 11. Section 351.006, Finance Code, is amended to | ||
read as follows: | ||
Sec. 351.006. ENFORCEMENT. (a) In addition to any other | ||
applicable enforcement provisions, Subchapters E, F, and G, Chapter | ||
14, apply to a violation of this chapter or Section 32.06 or 32.065, | ||
Tax Code, in connection with property tax loans. | ||
(b) Notwithstanding Section 14.251, the commissioner may | ||
assess an administrative penalty under Subchapter F, Chapter 14, | ||
against a person who violates Section 32.06(b-1), Tax Code, | ||
regardless of whether the violation is knowing or wilful. | ||
SECTION 12. Section 411.081(i), Government Code, as amended | ||
by Chapters 183 (H.B. 1830), 780 (S.B. 1056), 816 (S.B. 1599), and | ||
1027 (H.B. 4343), Acts of the 81st Legislature, Regular Session, | ||
2009, is reenacted and amended to read as follows: | ||
(i) A criminal justice agency may disclose criminal history | ||
record information that is the subject of an order of nondisclosure | ||
under Subsection (d) to the following noncriminal justice agencies | ||
or entities only: | ||
(1) the State Board for Educator Certification; | ||
(2) a school district, charter school, private school, | ||
regional education service center, commercial transportation | ||
company, or education shared service arrangement; | ||
(3) the Texas Medical Board; | ||
(4) the Texas School for the Blind and Visually | ||
Impaired; | ||
(5) the Board of Law Examiners; | ||
(6) the State Bar of Texas; | ||
(7) a district court regarding a petition for name | ||
change under Subchapter B, Chapter 45, Family Code; | ||
(8) the Texas School for the Deaf; | ||
(9) the Department of Family and Protective Services; | ||
(10) the Texas Youth Commission; | ||
(11) the Department of Assistive and Rehabilitative | ||
Services; | ||
(12) the Department of State Health Services, a local | ||
mental health service, a local mental retardation authority, or a | ||
community center providing services to persons with mental illness | ||
or retardation; | ||
(13) the Texas Private Security Board; | ||
(14) a municipal or volunteer fire department; | ||
(15) the Texas Board of Nursing; | ||
(16) a safe house providing shelter to children in | ||
harmful situations; | ||
(17) a public or nonprofit hospital or hospital | ||
district; | ||
(18) the Texas Juvenile Probation Commission; | ||
(19) the securities commissioner, the banking | ||
commissioner, the savings and mortgage lending commissioner, the | ||
consumer credit commissioner, or the credit union commissioner; | ||
(20) the Texas State Board of Public Accountancy; | ||
(21) the Texas Department of Licensing and Regulation; | ||
(22) the Health and Human Services Commission; | ||
(23) the Department of Aging and Disability Services; | ||
(24) the Texas Education Agency; [ |
||
(25) the Guardianship Certification Board; [ |
||
(26) a county clerk's office in relation to a | ||
proceeding for the appointment of a guardian under Chapter XIII, | ||
Texas Probate Code; | ||
(27) [ |
||
but only regarding an employee, applicant for employment, | ||
contractor, subcontractor, intern, or volunteer who provides | ||
network security services under Chapter 2059 to: | ||
(A) the Department of Information Resources; or | ||
(B) a contractor or subcontractor of the | ||
Department of Information Resources; | ||
(28) [ |
||
and | ||
(29) [ |
||
SECTION 13. Section 53.0211(a), Occupations Code, is | ||
amended to read as follows: | ||
(a) This section does not apply to an applicant for a | ||
license that would allow the applicant to provide: | ||
(1) law enforcement services; | ||
(2) public health, education, or safety services; or | ||
(3) financial services in an industry regulated by the | ||
securities commissioner, the banking commissioner, the savings and | ||
mortgage lending commissioner, the consumer credit commissioner, | ||
or the credit union commissioner. | ||
SECTION 14. Section 345.153, Finance Code, is repealed. | ||
SECTION 15. The change in law made by this Act to Section | ||
53.0211(a), Occupations Code, applies only to an application for a | ||
license filed on or after the effective date of this Act. An | ||
application for a license filed before the effective date of this | ||
Act is governed by the law in effect on the date the application was | ||
filed, and the former law is continued in effect for that purpose. | ||
SECTION 16. To the extent of any conflict, this Act prevails | ||
over another Act of the 82nd Legislature, Regular Session, 2011, | ||
relating to nonsubstantive additions to and corrections in enacted | ||
codes. | ||
SECTION 17. This Act takes effect September 1, 2011. | ||
______________________________ | ______________________________ | |
President of the Senate | Speaker of the House | |
I certify that H.B. No. 3453 was passed by the House on May | ||
13, 2011, by the following vote: Yeas 143, Nays 1, 1 present, not | ||
voting; and that the House concurred in Senate amendments to H.B. | ||
No. 3453 on May 27, 2011, by the following vote: Yeas 77, Nays 62, | ||
2 present, not voting. | ||
______________________________ | ||
Chief Clerk of the House | ||
I certify that H.B. No. 3453 was passed by the Senate, with | ||
amendments, on May 25, 2011, by the following vote: Yeas 31, Nays | ||
0. | ||
______________________________ | ||
Secretary of the Senate | ||
APPROVED: __________________ | ||
Date | ||
__________________ | ||
Governor |