Relating to the provision of certain notices in connection with certain consumer transactions.
Impact
The bill aims to enhance consumer awareness by requiring sellers to clearly state the terms and conditions of credit contracts. By doing so, it is expected to streamline the process for consumers to understand their legal protections when purchasing goods or services using credit. The legislation will amend Chapter 2 of the Business and Commerce Code, thereby influencing practices related to consumer transactions and potentially affecting the industry's approach to consumer finance.
Summary
SB482 introduces new provisions regarding consumer credit contracts in Texas, primarily focusing on the responsibilities of sellers when engaging in transactions that involve consumer credit. The bill mandates that any holders of a consumer credit contract must include explicit statements that inform consumers of their rights. Specifically, the seller must disclose to consumers that they have the right to assert claims and defenses against the seller, emphasizing consumer protection in dealings related to goods and services.
Sentiment
Overall, the sentiment surrounding SB482 appears to be supportive, with advocacy for increased consumer protection. Stakeholders, including consumer rights groups, are likely to view the bill positively as it aligns with efforts to empower consumers and improve transparency in credit transactions. However, there may be some pushback from businesses that could see this as an additional regulatory burden that complicates existing sales processes.
Contention
Notable points of contention may arise concerning how these requirements could affect the business operations of sellers who must now include new disclosures in their credit contracts. Critics might argue that these mandates could lead to increased costs for businesses, particularly smaller entities that may struggle to adapt to new compliance requirements. The balance between protecting consumer rights and not overburdening businesses will be a critical point of discussion as the bill progresses through the legislative process.
Modifying certain terms, definitions, deadlines and provisions contained in the uniform consumer credit code and transferring certain mortgage provisions from the uniform consumer credit code to the Kansas mortgage business act.
Modifying certain terms, definitions, deadlines and provisions contained in the uniform consumer credit code and transferring certain mortgage provisions from the uniform consumer credit code to the Kansas mortgage business act.
Senate Substitute for HB 2247 by Committee on Financial Institutions and Insurance - Modifying certain terms, definitions, deadlines and provisions contained in the uniform consumer credit code and transferring mortgage provisions from the uniform consumer credit code to the Kansas mortgage business act.