Relating to the transfer of an ad valorem tax lien; providing an administrative penalty.
Impact
The passage of HB 3485 would alter administrative procedures concerning property tax loans, particularly in the way tax liens can be transferred. It prohibits the transfer of tax liens from property owners who are elderly or disabled, ensuring that individuals who qualify for tax exemptions are safeguarded. Additionally, lenders would be required to disclose various fees and costs upfront, enabling property owners to make more informed financial decisions. This bill aims to curb the exploitation of vulnerable property owners by increasing the transparency of property tax loan transactions.
Summary
House Bill 3485 focuses on the transfer of ad valorem tax liens in Texas, amending relevant sections in the Finance Code to provide greater protections and transparency for property owners involved in tax-related transactions. The bill outlines the processes involved in the transfer of tax liens and mandates disclosures by tax lenders, reinforcing that no fees or interest can be charged post-closure unless expressly authorized. This bill is an attempt to ensure that property owners are better informed and protected from potentially predatory lending practices regarding property tax loans.
Sentiment
The sentiment surrounding HB 3485 appears to be generally positive among consumer advocacy groups and lawmakers concerned with property owner protections. Proponents argue that the bill is a crucial step toward ensuring that property owners are treated fairly and are not subjected to surprise fees or misleading loan terms. However, there may be concerns from lending institutions regarding the implications of stricter regulations on their operations, creating a potential divide between consumer advocates and the financial industry.
Contention
Notable points of contention surrounding HB 3485 revolve around its perceived impact on the borrowing landscape for property owners facing delinquent taxes. While advocates applaud the added protections, critics may argue that the amendments could reduce the availability of property tax loans, affecting those in urgent financial need. Moreover, the enforcement of penalties for non-compliance by lenders could raise questions about regulatory balance, particularly regarding how these penalties might affect smaller lenders compared to larger financial institutions.
Relating to the regulation of money services businesses; creating a criminal offense; creating administrative penalties; authorizing the imposition of a fee.
Relating to the prohibition of certain discrimination based on sexual orientation or gender identity or expression; providing an administrative penalty.