By: Taylor of Galveston S.B. No. 2127
A BILL TO BE ENTITLED
AN ACT
relating to limitations on reporting of certain consumer credit
information.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Texas Business and Commerce Code Section
20.05(a) is amended by adding a new subsection (6) to read as
follows:
(a) Except as provided by Subsection (b), a consumer
reporting agency may not furnish a consumer report containing
information related to:
(1) a case under Title 11 of the United States Code or
under the federal Bankruptcy Act in which the date of entry of the
order for relief or the date of adjudication predates the consumer
report by more than 10 years;
(2) a suit or judgment in which the date of entry
predates the consumer report by more than seven years or the
governing statute of limitations, whichever is longer;
(3) a tax lien in which the date of payment predates
the consumer report by more than seven years;
(4) a record of arrest, indictment, or conviction of a
crime in which the date of disposition, release, or parole predates
the consumer report by more than seven years;
(5) another item or event that predates the consumer
report by more than seven years.; or
(6) a collection account with a medical industry
billing code when the consumer had health insurance at the time of
the event giving rise to the collection and the collection relates
to billing for an outstanding balance, after copayments,
deductibles, and coinsurance, owed to an emergency care provider or
a facility-based provider for an out-of-network benefit claim.
SECTION 2. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2017.