81R6233 KFF-D
By: Ellis S.B. No. 2168
A BILL TO BE ENTITLED
AN ACT
relating to the use of behavioral analysis or scoring in certain
consumer contracts.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 308, Finance Code, is amended by adding
Section 308.0021 to read as follows:
Sec. 308.0021. BEHAVIORAL ANALYSIS OR SCORING PROHIBITED.
(a) In this section:
(1) "Consumer contract" means a written agreement for
the extension of consumer credit.
(2) "Extension of consumer credit" means the right to
defer payment of debt offered or granted primarily for personal,
family, or household purposes or to incur the debt and defer its
payment.
(b) A person extending credit under a consumer contract may
not reduce or eliminate the amount of credit available to a consumer
under the contract or take any other adverse action against a
consumer under the contract based on:
(1) the types of transactions the consumer enters into
using the credit extended under the consumer contract; or
(2) the financial behavior of someone other than the
consumer, including the financial behavior of others who make
purchases similar to the consumer.
(c) A violation of this section is a deceptive trade
practice under Subchapter E, Chapter 17, Business & Commerce Code,
and is actionable under that subchapter.
SECTION 2. The change in law made by this Act applies only
to a consumer contract entered into on or after the effective date
of this Act. A consumer contract entered into before the effective
date of this Act is governed by the law in effect when the contract
was entered into, and the former law is continued in effect for that
purpose.
SECTION 3. This Act takes effect September 1, 2009.