CS/HB 717 Summary

• Authorizes the Office of Financial Regulation to deny licenses or take disciplinary action against persons violating the Military Lending Act (10 U.S.C. § 987) or its regulations (32 C.F.R. part 232) in connection with consumer finance loans, title loans, and deferred presentment transactions.

• Prohibits title loan lenders and their agents or employees from violating the Military Lending Act or its implementing regulations in connection with title loans.

• Creates section 655.035 to authorize the Office of Financial Regulation to investigate whether financial institutions, subsidiaries, service corporations, affiliates, or other persons are violating the Military Lending Act and to initiate enforcement proceedings if violations are found.

• Applies to consumer credit transactions or accounts established on or after October 3, 2016, except credit card accounts with exemptions under federal regulations until the exemption expires.

• Takes effect October 3, 2016.