As used in this article:
Certificate of registration
means a certificate of registration issued by the director under this article to the owner or operator of a credit access business.
Consumer
means an individual who is solicited to purchase or who purchases the services of a credit access business.
Consumer’s language of preference
is the language the consumer understands best.
Credit access business
has the meaning given that term in section 393.601 of the Texas Finance Code.
Deferred presentment transaction
has the meaning given that term in section 393.601 of the Texas Finance Code.
Director
means the director of the department of Building Inspection or such other person designated by the city manger to enforce the provisions of this article.
Extension of consumer credit
has the meaning given that term in section 393.001 of the Texas Finance Code.
Motor vehicle title loan
has the meaning given that term in section 393.601 of the Texas Finance Code.
Registrant
means a person issued a certificate of registration for a credit access business under this article and includes all owners and operators of the credit access business identified in the registration application filed under this article.
State license
means a license to operate a credit access business issued by the Texas Consumer Credit Commissioner under Chapter 393, subchapter G of the Texas Finance Code.
(Ordinance 6682, sec. 1, adopted 3/18/14)
(A) 
A person who violates a provision of this article, or who fails to perform an act required of the person by this article, commits an offense. A person commits a separate offense for each and every violation relating to an extension of consumer credit, and for each day during which a violation is committed, permitted, or continued.
(B) 
An offense under this article is punishable in accordance with the provisions of section 10.05 of this Code.
(C) 
A culpable mental state is not required for the commission of an offense under this article and need not be proved.
(D) 
The penalties provided for in subsection (B) are in addition to any other remedies that the city may have under city ordinance or state law.
(Ordinance 6682, sec. 1, adopted 3/18/14)
It is a defense to prosecution under this article that at the time of the alleged offense the person was not required to be licensed by the state as a credit access business under chapter 393, subchapter G, of the Texas Finance Code.
(Ordinance 6682, sec. 1, adopted 3/18/14)
A person commits an offense if the person acts, operates, or conducts business as a credit access business without a valid certificate of registration. A certificate of registration is required for each physically separate credit access business located in the City.
(Ordinance 6682, sec. 1, adopted 3/18/14)
(A) 
To obtain a certificate of registration for a credit access business, a person must submit an application on a form provided for that purpose to the director. The application must contain the following:
(1) 
The name, street address, mailing address, facsimile number, and telephone number of the applicant.
(2) 
The business or trade name, street address, mailing address, facsimile number, and telephone number of the credit access business.
(3) 
A copy of a current, valid state license held by the credit access business pursuant to chapter 393, subchapter G of the Texas Finance Code.
(4) 
(4) A non-refundable application fee in the amount designated in the Master Fee and Rate Schedule, Article VII, Section 10.85, of Chapter 10.
(B) 
An applicant or registrant shall notify the director within 45 days after any material change in the information contained in the application for a certificate of registration, including, but not limited to, any change of address and any change in the status of the state license held by the applicant or registrant. A change of status includes a denial of issuance, a suspension, revocation, surrender, expiration without renewal, or other termination of the registrant’s state license.
(Ordinance 6682, sec. 1, adopted 3/18/14; Ordinance 7363 adopted 9/6/2022)
(A) 
The director shall issue to the applicant a certificate of registration upon receiving a completed application under section 26.185.
(B) 
A certificate of registration issued under this section must be conspicuously displayed to the public in the credit access business. The certificate of registration must be presented upon request to the director or any peace officer for examination.
(Ordinance 6682, sec. 1, adopted 3/18/14)
(A) 
A certificate of registration expires on the earliest of:
(1) 
One year after the date of issuance; or
(2) 
The date of suspension, revocation, surrender, expiration without renewal, or other termination of the registrant’s state license.
(B) 
A certificate of registration may be renewed by making application in accordance with section 26.185. A registrant shall apply for renewal at least thirty days before the expiration of the registration.
(Ordinance 6682, sec. 1, adopted 3/18/14)
(A) 
A credit access business shall maintain a complete set of records of all extensions of consumer credit arranged or obtained by the credit access business at, by or through the location for which a certificate of registration has been issued, which must include the following information:
(1) 
The name and address of the consumer;
(2) 
The principal amount of cash actually advanced;
(3) 
The length of the extension of consumer credit, including the number of installments and renewals;
(4) 
The fees charged by the credit access business to arrange or obtain an extension of consumer credit; and
(5) 
The documentation used to establish a consumer’s income under section 26.190 of this article.
(B) 
A credit access business shall maintain a copy of each written agreement between the credit access business and a consumer evidencing an extension of a consumer credit (including, but not limited to, any refinancing or renewal granted to the consumer).
(C) 
The records required to be maintained by a credit access business under this section must be retained for at least three years and made available for inspection by the City at the registered location upon request during the usual and customary business hours of the credit access business.
(Ordinance 6682, sec. 1, adopted 3/18/14)
(A) 
The cash advanced under an extension of consumer credit that a credit access business obtains for a consumer or assists a consumer in obtaining in the form of a deferred presentment transaction may not exceed twenty percent of the consumer’s gross monthly income.
(B) 
The cash advanced under an extension of consumer credit that a credit access business obtains for a consumer or assists a consumer in obtaining in the form of a motor vehicle title loan may not exceed the lesser of:
(1) 
Three percent of the consumer’s gross annual income; or
(2) 
Seventy percent of the retail value of the motor vehicle. On and after the effective date of this article, an extension of consumer credit that a credit access business obtains for a consumer or assists a consumer in obtaining in the form of a motor vehicle title loan may only be made on a non-recourse basis.
(C) 
A credit access business shall use a recent paycheck or other reliable documentation establishing income to determine a consumer’s income.
(D) 
An extension of consumer credit that a credit access business obtains for a consumer or assists a consumer in obtaining and that provides for repayment in installments may not be payable in more than four installments inclusive of fees and interest. Proceeds from each installment must be used to repay at least twenty-five percent of the principal amount of the extension of consumer credit. An extension of consumer credit that provides for repayment in installments may not be refinanced or renewed.
(E) 
An extension of consumer credit that a credit access business obtains for a consumer or assists a consumer in obtaining and that provides for a single lump sum repayment may not be refinanced or renewed more than three times. Proceeds from each refinancing or renewal must be used to repay at least twenty-five percent of the principal amount of the original extension of consumer credit.
(F) 
For purposes of this section, an extension of consumer credit that is made to a consumer within seven days after a previous extension of consumer credit has been paid by the consumer constitutes a refinancing or renewal.
(Ordinance 6682, sec. 1, adopted 3/18/14)
(A) 
Every agreement between the credit access business and a consumer that evidences an extension of consumer credit (including, but not limited to, any refinancing or renewal granted to the consumer), must be written in the consumer’s language of preference. Every credit access business location must maintain on its premises, to be available for use by consumers, agreements in the English and Spanish languages.
(B) 
For every consumer who cannot read, an agreement between the credit access business and a consumer that evidences an extension of consumer credit (including, but not limited to, any refinancing or renewal granted to the consumer) must be read to the consumer in its entirety in the consumer’s language of preference, prior to the consumer’s signature.
(C) 
For every consumer who cannot read, every disclosure and notice required by law must be read to the consumers in its entirety in the consumer’s language of preference, prior to the consumer’s signature on any loan application or agreement.
(Ordinance 6682, sec. 1, adopted 3/18/14)