Bill Text: TX SB1089 | 2021-2022 | 87th Legislature | Comm Sub
Bill Title: Relating to increasing the maximum reference base amount for certain consumer loans.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2021-05-11 - Not again placed on intent calendar [SB1089 Detail]
Download: Texas-2021-SB1089-Comm_Sub.html
By: Buckingham | S.B. No. 1089 | |
(In the Senate - Filed March 5, 2021; March 18, 2021, read | ||
first time and referred to Committee on Business & Commerce; | ||
April 26, 2021, reported favorably by the following vote: Yeas 5, | ||
Nays 3; April 26, 2021, sent to printer.) | ||
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relating to increasing the maximum reference base amount for | ||
certain consumer loans. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 342.251, Finance Code, is amended to | ||
read as follows: | ||
Sec. 342.251. MAXIMUM CASH ADVANCE. The maximum cash | ||
advance of a loan made under this subchapter is an amount computed | ||
under Subchapter C, Chapter 341, using the reference base amount of | ||
$100, except that for loans that are subject to Section 342.259 the | ||
reference base amount is $300 [ |
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SECTION 2. Section 342.259(a), Finance Code, is amended to | ||
read as follows: | ||
(a) Instead of the charges authorized by Sections 342.201 | ||
and 342.252, a loan made under this subchapter with a maximum cash | ||
advance computed under Subchapter C, Chapter 341, using a reference | ||
base amount that is more than $100 but not more than $300 [ |
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may provide for: | ||
(1) an acquisition charge that is not more than $10; | ||
and | ||
(2) an installment account handling charge that is not | ||
more than the ratio of $4 a month for each $100 of cash advance. | ||
SECTION 3. The changes in law made by this Act apply only to | ||
a loan made on or after the effective date of this Act. A loan made | ||
before the effective date of this Act is governed by the law in | ||
effect on the date the loan was made, and the former law is | ||
continued in effect for that purpose. | ||
SECTION 4. This Act takes effect September 1, 2021. | ||
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