Bill: SB 1052, 85(R) - 2017

Committee

Senate Business & Commerce

2nd Chamber Committee

House Investments & Financial Services

Companion Bill

HB 1985

Vote Recommendation

Vote Recommendation Economic Freedom Property Rights Personal Responsibility Limited Government Individual Liberty
Yes Neutral Neutral Neutral Positive Positive

Author(s)

Bryan Hughes

Sponsor(s)

Dan Flynn

Bill Caption

Relating to debt cancellation agreements offered in connection with certain loans and retail installment contracts and to amounts charged for certain agreements offered in connection with certain loans and retail installment contracts.  

Fiscal Notes

No significant fiscal implication to the State is anticipated.

Bill Analysis

SB 1052 would allow for the offer of a debt cancellation agreement in connection to consumer loans, retail installment contracts, and retail charge agreements. The amount charged for a debt cancellation agreement, or an authorized product, made in connection with a loan or contract may not exceed five percent of the amount financed pursuant to the loan or contract. Eligible provisions would be established which permit the exclusion of loss or damage in a debt cancellation agreement. Language requirements and other additional requirements for the agreement would be established. The Attorney General would be permitted to bring action in the name of the state against a person to restrain or enjoin the person from violation of the bill's provisions. Lastly, procedures for the refund of agreements would be created. 

Vote Recommendation Notes

Texas Action supports this bill. SB 1052 upholds our principle of individual liberty by allowing more freedom in the area of private contracts. Though we would rather see this regulation abolished in its entirety, we believe this a step in the right direction that is a net decrease in government regulation. 
Source URL (retrieved on 04/25/2024 01:04 AM): http://reports.texasaction.com/bill/85r/sb1052?print_view=true