Texas 2015 - 84th Regular

Texas House Bill HB3638 Compare Versions

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1	1	By: Turner of Tarrant H.B. No. 3638
2	2
3	3
4	4	A BILL TO BE ENTITLED
5	5	AN ACT
6	6	relating to reports for credit access businesses required by the
7	7	consumer credit commissioner; amending provisions subject to a
8	8	criminal penalty.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Sections 393.622(a) and (b), Finance Code, are
11	11	amended to read as follows:
12	12	(a) The finance commission may:
13	13	(1) adopt rules necessary to enforce and administer
14	14	this subchapter;
15	15	(2) adopt rules with respect to reports of summary
16	16	business information required to be submitted [the quarterly
17	17	reporting] by a licensed credit access business under Section
18	18	393.627 and [licensed under this subchapter of summary business
19	19	information relating to extensions of consumer credit described by
20	20	Section 393.602(a)]; [and]
21	21	(3) adopt rules with respect to periodic examination
22	22	by the office relating to extensions of consumer credit the
23	23	business obtained for a consumer or assisted a consumer in
24	24	obtaining [described by Section 393.602(a)], including rules
25	25	related to charges for defraying the reasonable cost of conducting
26	26	the examinations.
27	27	(b) The finance commission may adopt rules under this
28	28	section to allow the commissioner to review, as part of a periodic
29	29	examination, any relevant contracts between the credit access
30	30	business and the third-party lender organizations with which the
31	31	credit access business contracts to provide services [described by
32	32	Section 393.602(a)] or from which the business arranges extensions
33	33	of consumer credit [described by Section 393.602(a)]. A contract
34	34	or information obtained by the commissioner under this section is
35	35	considered proprietary and confidential to the respective parties
36	36	to the contract, and is not subject to disclosure under Chapter 552,
37	37	Government Code.
38	38	SECTION 2. Section 393.627, Finance Code, is amended to
39	39	read as follows:
40	40	Sec. 393.627. REPORTS [QUARTERLY REPORT] TO COMMISSIONER.
41	41	(a) A credit access business shall file a quarterly report with the
42	42	commissioner on a form prescribed by the commissioner that provides
43	43	the following information relating to extensions of consumer credit
44	44	[described by Section 393.602(a)] during the preceding quarter:
45	45	(1) the number of consumers for whom the business
46	46	obtained or assisted in obtaining those extensions of consumer
47	47	credit;
48	48	(2) the number of those extensions of consumer credit
49	49	obtained by the business or that the business assisted consumers in
50	50	obtaining;
51	51	(3) the number of refinancing transactions of the
52	52	extensions of consumer credit described by Subdivision (2);
53	53	(4) the number of consumers refinancing the extensions
54	54	of consumer credit described by Subdivision (2);
55	55	(5) the number of consumers refinancing more than once
56	56	the extensions of consumer credit described by Subdivision (2);
57	57	(6) the average amount of the extensions of consumer
58	58	credit described by Subdivision (2);
59	59	(7) the total amount of fees charged by the business
60	60	for the activities described by Subdivision (1);
61	61	(8) the number of vehicles surrendered or repossessed
62	62	under the terms of an extension of consumer credit in the form of a
63	63	motor vehicle title loan obtained by the business or that the
64	64	business assisted a consumer in obtaining; and
65	65	(9) [the mean, median, and mode of the number of
66	66	extensions of consumer credit obtained by consumers as a result of
67	67	entering into the extensions of consumer credit described by
68	68	Subdivision (2); and
69	69	[(10)] any related information the commissioner
70	70	determines necessary.
71	71	(b) A credit access business shall file an annual report
72	72	with the commissioner for each licensed location on a form
73	73	prescribed by the commissioner that provides the following
74	74	information relating to extensions of consumer credit during the
75	75	preceding year:
76	76	(1) the number of extensions of consumer credit paid
77	77	in full or otherwise closed for reduced payoff without a refinance;
78	78	(2) the number of refinances of extensions of consumer
79	79	credit entered into before the extensions of consumer credit were
80	80	paid in full or otherwise closed for a reduced payoff;
81	81	(3) the total amount of fees charged by the credit
82	82	access business in connection with extensions of consumer credit;
83	83	(4) the number of consumers whom the credit access
84	84	business assisted in obtaining an extension of consumer credit;
85	85	(5) the number of consumers refinancing the extensions
86	86	of consumer credit described by Subdivision (2);
87	87	(6) the number of consumers refinancing more than once
88	88	the extensions of consumer credit described by Subdivision (2);
89	89	(7) the total dollar amount of extensions of consumer
90	90	credit that the credit access business assisted consumers in
91	91	obtaining;
92	92	(8) for motor vehicles surrendered or repossessed
93	93	under the terms of extensions of consumer credit in the form of
94	94	motor vehicle title loans obtained by the business for consumers or
95	95	that the business assisted consumers in obtaining:
96	96	(A) the median amount of cash advanced under the
97	97	extensions of consumer credit;
98	98	(B) the total dollar amount of fees collected by
99	99	the credit access business from consumers before the surrender or
100	100	repossession of the vehicles;
101	101	(C) the total dollar amount of fees and other
102	102	charges collected by the credit access business related to the
103	103	surrender or repossession of the vehicles; and
104	104	(D) the total dollar amount returned to borrowers
105	105	after the sale of the surrendered or repossessed vehicles; and
106	106	(9) any related information the commissioner
107	107	determines necessary.
108	108	(c) All information submitted by a credit access business to
109	109	the commissioner for inclusion in a report under this section is
110	110	confidential.
111	111	(d) The commissioner shall publish a statewide consolidated
112	112	analysis and recapitulation of reports filed under this section
113	113	that includes an analysis of:
114	114	(1) the 15 largest metropolitan statistical areas of
115	115	this state;
116	116	(2) the five largest counties of this state; and
117	117	(3) the 10 largest municipalities of this state.
118	118	SECTION 3. The changes in law made by this Act apply only to
119	119	the reporting of information regarding an extension of consumer
120	120	credit made on or after the effective date of this Act. The
121	121	reporting of information regarding an extension of consumer credit
122	122	made before the effective date of this Act is governed by the law in
123	123	effect on the date the extension of consumer credit was made, and
124	124	the former law is continued in effect for that purpose. For
125	125	purposes of this section, a refinance or renewal of an extension of
126	126	consumer credit is considered made on the date the extension of
127	127	consumer credit being refinanced or renewed was made.
128	128	SECTION 4. This Act takes effect September 1, 2015.