Relating to reports for credit access businesses required by the consumer credit commissioner; amending provisions subject to a criminal penalty.
Impact
The implementation of HB 3638 will alter the landscape of financial regulation in Texas, particularly by enhancing oversight over credit access businesses. This bill emphasizes the necessity for regular and detailed data reporting, which could lead to improved consumer protection. By requiring businesses to disclose operational details, the state seeks to ensure that consumers are better informed about the risks and costs associated with accessing credit through these entities. Moreover, it may help regulators identify trends and potentially mitigate issues regarding predatory lending practices.
Summary
House Bill 3638 addresses the reporting obligations of credit access businesses in Texas. The bill mandates that these businesses submit detailed quarterly and annual reports to the Consumer Credit Commissioner. The reports must include various metrics such as the number of consumers assisted in obtaining credit, the average amount of credit extensions, and information related to fees charged for services. Such comprehensive reporting aims to increase transparency and accountability in the financial practices of these businesses, which may otherwise operate with little oversight.
Contention
While the bill has generally been viewed as a necessary step towards improving accountability and transparency in the credit access sector, it may face opposition from industry stakeholders who might argue that the additional reporting requirements could impose an undue burden on smaller credit access businesses. Critics within the industry may contend that these regulations could stifle competition by making operations more cumbersome, especially for smaller entities that lack the resources to manage extensive reporting obligations effectively.
Relating to credit services organizations and extensions of consumer credit facilitated by credit services organizations; increasing a criminal penalty.
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 the regulation of money services businesses; creating a criminal offense; creating administrative penalties; authorizing the imposition of a fee.
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 catalytic converters, including criminal conduct involving catalytic converters; providing an administrative penalty; creating a criminal offense; increasing a criminal penalty; increasing a fee.
Resolution Granting The Claims Commissioner An Extension Of Time To Dispose Of Certain Claims Against The State Pursuant To Chapter 53 Of The General Statutes.