81R1031 DWS-F
By: Shapleigh S.B. No. 243
A BILL TO BE ENTITLED
AN ACT
relating to the prohibition on participating in the lending of
credit by a credit services organization that assists a borrower in
obtaining the credit.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter D, Chapter 393, Finance Code, is
amended by adding Section 393.308 to read as follows:
Sec. 393.308. ACTING AS OR ASSOCIATING WITH LENDER. (a) A
credit services organization may not facilitate or assist in
obtaining credit for a consumer if:
(1) the organization is the lender;
(2) the organization or an officer, director, or
employee of the organization is in any way related to the lender or
an officer, director, or employee of the lender;
(3) the lender or the organization is an affiliate of
the other, or the lender and the organization are owned or
controlled by the same holding company;
(4) the organization retains or receives an economic
interest in the loan revenue;
(5) the organization services or collects the loan on
behalf of the lender; or
(6) the organization provides compensation to or
shares resources with the lender.
(b) A credit services organization may not use a scheme,
device, or contrivance to evade the application of this section.
SECTION 2. This Act takes effect September 1, 2009.