Relating to municipal ordinances regulating a credit access business or an extension of consumer credit that a credit access business obtains for a consumer or assists a consumer in obtaining.
Impact
The passage of SB999 would affirm the ability of local jurisdictions to enforce regulations and ordinances targeting credit access businesses, even in areas where state law may apply. This could lead to more stringent oversight of such businesses on a local level, allowing communities to tailor their regulations to the specific needs and concerns of their residents. The effect of this bill could enhance consumer rights and responsibilities as municipalities could create laws to deter unethical financial practices, thereby promoting greater financial accountability within the industry.
Summary
Senate Bill 999 addresses the capacity of municipalities to regulate credit access businesses within the State of Texas. Specifically, the bill amends Chapter 393 of the Finance Code to clarify that existing municipal ordinances concerning these businesses are not preempted by state law. This means that local governments retain the authority to impose regulations on credit access businesses and the consumer credit they extend. The bill aims to ensure that local governance can effectively protect their residents from potential predatory lending practices, thus providing a layer of consumer protection at the municipal level.
Sentiment
The sentiment surrounding SB999 has been largely supportive among advocates for consumer protection, such as local government officials and community advocacy groups. Proponents argue that preserving local authority is essential to safeguard citizens from predatory lending practices associated with credit access businesses. However, there may be dissent from industry groups concerned about a patchwork of regulations creating confusion and operational challenges across different jurisdictions. This reflects an ongoing debate between the need for local controls versus a streamlined approach to business operations across the state.
Contention
Notable points of contention regarding SB999 revolve around the balance of power between state oversight and local governance. Proponents of the bill emphasize that local control is vital for developing effective consumer protection policies tailored to community needs. Conversely, some industry representatives express concerns that increased regulation at the local level may result in conflicting regulations that complicate compliance and increase costs for credit access businesses. The discussion emphasizes issues of regulatory consistency versus local autonomy in policymaking.
Relating to a restriction on total charges charged for extensions of consumer credit that a credit services organization obtains for a consumer or assists a consumer in obtaining.
Relating to a restriction on total charges charged for certain extensions of consumer credit that are facilitated by credit access businesses and entered into by consumers residing in disaster areas.
Relating to credit services organizations and extensions of consumer credit facilitated by credit services organizations; increasing a criminal penalty.
Relating to the regulation of the collection, use, processing, and treatment of consumers' personal data by certain business entities; imposing a civil penalty.
Relating to the regulation of the collection, use, processing, and treatment of consumers' personal data by certain business entities; imposing a civil penalty.
Relating to prohibiting the possession or consumption of alcoholic beverages on the premises of certain sexually oriented businesses; creating a criminal offense; providing a criminal penalty.
Relating to a franchise tax credit for a taxable entity that assists an employee in obtaining a high school diploma or high school equivalency certificate.
Relating to the regulation of money services businesses; creating a criminal offense; creating administrative penalties; authorizing the imposition of a fee.