TX SB1906

Increases the maximum allowable interest rate on unsecured consumer loans from 30% to 36% annually on the portion of cash advances up to $500 (reference base amount)

Raises the interest rate cap from 24% to 30% annually on the portion of cash advances between $500 and $1,050 (reference base amounts)

Increases the interest rate ceiling from 18% to 24% annually on the portion of cash advances between $1,050 and $2,500 (reference base amounts)

Applies only to loans made on or after September 1, 2025; existing loans remain subject to prior interest rate limits

Refinances or renewals of existing loans retain the original loan date for purposes of determining applicable interest rate limits