General and Special Laws of The State of Texas Passed By The Third Called Session of the Fifty-Seventh Legislature and the Regular Session of the Fifty-Eighth Legislature Page: 553
This legislative document is part of the collection entitled: General and Special Laws of Texas and was provided to The Portal to Texas History by the UNT Libraries Government Documents Department.
Extracted Text
The following text was automatically extracted from the image on this page using optical character recognition software:
THE TEXAS REGULATORY LOAN ACT
(f) The commissioner shall report his findings and recommendations
relating to the administration and enforcement of the provisions of this
Act to each Regular Session of the Legislature.
Scope
Sec. 5. (a) On and after ninety (90) days from the effective date
of this Act, no person shall, without first obtaining a license from the
commissioner engage in the business of making loans with cash advances
of One Thousand Five Hundred Dollars ($1,500) or less, and contract
for, charge or receive, directly or indirectly, on or in connection with
any such loan, any charges, whether for interest compensation, consid-
eration or expense or other thing or otherwise, which in the aggregate
are greater than such person would be permitted by law to charge if he
were not a licensee under this Act. During such ninety (90) day period,
any person who has applied for such license, or filed written notice of
intention to apply for such license with the commissioner, and who has
not been denied, shall be subject to all the provisions of this Act and
may contract for, charge and receive interest as if he were a licensee.
(b) The provisions of Section 5(a) shall apply to any person who
seeks to evade its application by any device, subterfuge or pretense
whatsoever.
(c) Any person and the several members, officers, directors, agents
and employees thereof, who shall wilfully violate or participate in the
violation of Section 5(a) shall be guilty of a misdemeanor and upon con-
viction thereof, shall be punishable by a fine of not less than Five Hun-
dred Dollars ($500) and not more than One Thousand Dollars ($1,000)
or by confinement in the county jail for not more than six (6) months,
or both. Any loan contract in the making or collection of which any act
shall have been done which violates Section 5(a) shall be void and the
lender shall have no right to collect, receive or retain any principal,
interest or charges.
Exemptions
Sec. 6. (a) The provisions of this Act shall not apply to any of the
following persons and the following transactions; nor shall any of
such persons be eligible to receive a license under this Act.
(1) Any person doing business under the authority of and as per-
mitted by the Texas Banking Code of 1943, as amended.
(2) Any person doing business under the authority of and as per-
mitted by Articles 852 through 881, Revised Civil Statutes of Texas,
1925, and Chapter 61, Acts of the 41st Legislature, Second Called Ses-
sion, 1929, as amended, relating to Building and Loan Associations.
(3) Any person doing business under the authority of and as permit-
ted by Articles 2461 through 2484, Revised Civil Statutes of Texas, 1925,
as amended, and Section 5 of House Bill No. 47, Acts of the 46th Legis-
lature, Regular Session, 1939, and Chapter 173, Acts of the 51st Legis-
lature, Regular Session, 1949, relating to Credit Unions.
(4) Any person doing business under the authority of and as per-
mitted by Articles 1512 through 1519, Revised Civil Statutes of Texas,
1925, relating to Agricultural Finance Corporations.
(5) Any person doing business under the authority of and as per-
mitted by Articles 2485 through 2499, Revised Civil Statutes of Texas,
1925, as amended, relating to Agricultural and Livestock Pools.
(6) Any person doing business under the authority of and as per-
tflitthd by Articles 2500 through 2507, Revised Civil Statutes of Texas,
1925, as amended, relating to Mutual Loan Corporations.
553Ch. 205
Upcoming Pages
Here’s what’s next.
Search Inside
This document can be searched. Note: Results may vary based on the legibility of text within the document.
Tools / Downloads
Get a copy of this page or view the extracted text.
Citing and Sharing
Basic information for referencing this web page. We also provide extended guidance on usage rights, references, copying or embedding.
Reference the current page of this Legislative Document.
Texas. Legislature. General and Special Laws of The State of Texas Passed By The Third Called Session of the Fifty-Seventh Legislature and the Regular Session of the Fifty-Eighth Legislature, legislative document, 1963; [Austin, Texas]. (https://texashistory.unt.edu/ark:/67531/metapth221759/m1/889/?q=+date%3A1945-1972: accessed July 16, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu; crediting UNT Libraries Government Documents Department.