Texas House Bill HB2013

Texas 2021 - 87th Regular

Caption

Relating to provision of a verified accounting for actions involving foreclosure of a lien on residential real property or recovery on a consumer credit account.

Impact

The introduction of HB2013 is expected to have a significant impact on how foreclosure actions are conducted in Texas. By requiring a verified accounting, it aims to protect consumers from potential abuses and errors in the foreclosure process, offering them better insight into their financial situations. This added layer of documentation may serve as a safeguard against wrongful foreclosures and ensure that lenders adhere to more stringent standards before initiating foreclosure proceedings. The bill is intended to create a fairer and more regulated environment for both borrowers and financial institutions.

Summary

House Bill 2013 aims to enhance the transparency and accountability in the processes surrounding the foreclosure of liens on residential properties and the recovery of consumer credit accounts. The bill mandates that individuals seeking an expedited order for foreclosure or involved in judicial foreclosure actions must provide a verified accounting of the debt in question. This includes details such as the balance due, each payment made, and the total principal amount on the account, ensuring that all parties involved have a clear understanding of the financial obligations and history associated with the debt.

Contention

There may be points of contention surrounding HB2013 as it addresses the long-standing complexities in foreclosure proceedings. Supporters might argue that the requirements for verified accounting will add necessary safeguards and prevent predatory lending practices. On the other hand, opponents may contend that such regulations could lead to added bureaucracy, potentially delaying the foreclosure process and imposing additional burdens on lenders. Balancing the interests of consumer protection with the operational efficiency for financial institutions could be a pivotal discussion as the bill progresses through the legislative process.