Bill Text: TX SB1689 | 2013-2014 | 83rd Legislature | Introduced
Bill Title: Relating to the regulation of credit access businesses.
Sponsorship: Partisan Bill (Democrat 1)
Status: (Introduced - Dead) 2013-03-25 - Referred to Business & Commerce [SB1689 Detail]
Download: Texas-2013-SB1689-Introduced.html
| 83R8758 ATP-F | ||
| By: Rodriguez | S.B. No. 1689 | |
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| relating to the regulation of credit access businesses. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Section 393.604(a), Finance Code, is amended to | ||
| read as follows: | ||
| (a) An application for a license under this subchapter must: | ||
| (1) be under oath; | ||
| (2) give the approximate location from which the | ||
| business is to be conducted; | ||
| (3) contain [ |
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| mailing addresses, and telephone numbers of the business's | ||
| principal parties in interest, and the nature and extent of their | ||
| interests in the business; | ||
| (4) contain the name, physical address, and telephone | ||
| number of all third-party lender organizations with which the | ||
| business contracts to provide services described by Section | ||
| 393.602(a) or from which the business arranges extensions of | ||
| consumer credit described by Section 393.602(a); and | ||
| (5) contain other relevant information that the | ||
| commissioner requires for the findings required under Section | ||
| 393.607. | ||
| SECTION 2. Section 393.620, Finance Code, is amended to | ||
| read as follows: | ||
| Sec. 393.620. TRANSFER OR ASSIGNMENT OF LICENSE | ||
| PROHIBITED. A license may not be transferred or assigned [ |
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| SECTION 3. Subchapter G, Chapter 393, Finance Code, is | ||
| amended by adding Sections 393.629 and 393.630 to read as follows: | ||
| Sec. 393.629. MAINTENANCE OF RECORDS. A credit access | ||
| business shall maintain a complete set of records of all extensions | ||
| of consumer credit obtained for consumers by the business or that | ||
| the business assisted consumers in obtaining. The records must | ||
| include: | ||
| (1) the name and address of each consumer; and | ||
| (2) the principal amount of the advance or loan. | ||
| Sec. 393.630. ROLLOVER FEES PROHIBITED. (a) A credit | ||
| access business may not charge a fee or other valuable | ||
| consideration to obtain for a consumer or assist a consumer in | ||
| obtaining an extension of consumer credit in which a deferred | ||
| presentment transaction or motor vehicle title loan is being | ||
| renewed, rolled over, or otherwise consolidated by a lender. | ||
| (b) For purposes of this section, "roll over" means: | ||
| (1) to refinance or pay all or part of the finance | ||
| charges and cash advance of a deferred presentment transaction with | ||
| a new deferred presentment transaction; or | ||
| (2) to refinance or pay all or part of the principal | ||
| amount and finance charges of a motor vehicle title loan with a new | ||
| motor vehicle title loan. | ||
| SECTION 4. This Act takes effect September 1, 2013. | ||
