Texas House Bill HB3873

Texas 2015 - 84th Regular

Caption

Relating to the Office of Consumer Credit Commissioner, the consumer credit commissioner, and the duties of the consumer credit commissioner, including the regulation of credit access businesses.

Impact

If enacted, HB 3873 is expected to have significant implications on the regulatory framework governing consumer credit services in the state. The adjustments to the commissioner’s authority could improve compliance with state regulations among credit access businesses, thereby potentially leading to better consumer outcomes. Enhanced oversight may also facilitate more consistent application of the law across the state, which could serve to level the playing field among businesses operating in this sector.

Summary

House Bill 3873 addresses the structure and duties of the Office of Consumer Credit Commissioner in Texas. The bill includes amendments to the Finance Code, specifically regarding the powers and responsibilities of the consumer credit commissioner. This legislation is primarily focused on the regulation of credit access businesses, with intended updates to ensure consumer protection in financial transactions. The measures set forth aim to clarify the role of the commissioner and enhance regulatory oversight.

Contention

Discussion around HB 3873 may stem from debates over the extent of regulatory authority granted to the Office of Consumer Credit Commissioner. Supporters argue that empowering the commissioner with clear responsibilities can effectively protect consumers from predatory lending practices. However, critics may express concerns about the potential for overregulation that could stifle competition and innovation within the financial services market. There is a need for careful consideration to strike a balance between consumer protection and supporting business growth.