Texas Finance Code

§ 348.416 — CONVENIENCE FEE FOR PROCESSING ELECTRONIC PAYMENTS AUTHORIZED

FI § 348.416Title 4. REGULATION OF INTEREST, LOANS, AND FINANCED TRANSACTIONS · Part B. LOANS AND FINANCED TRANSACTIONS · Ch. 348. MOTOR VEHICLE INSTALLMENT SALES · Art. E. HOLDER'S RIGHTS, DUTIES, AND LIMITATIONS

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(a)In this section, "electronic payment" means a payment made by credit card, debit card, electronic funds transfer, electronic check, or other electronic method.

(b)A holder of a retail installment contract or the holder's agent may collect a fee for processing a retail buyer's electronic payment under the contract only if:

(1)the fee is reasonably related to the expense incurred by the holder or holder's agent in processing the electronic payment;

(2)the fee does not exceed the lesser of $10 or five percent of the amount of the payment; and

(3)the holder or holder's agent:

(A)allows the buyer to make a payment by a method other than an electronic payment that does not incur a fee;

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Legislative history

Added by Acts 2025, 89th Leg., R.S., Ch. 1044 (H.B. 4134), Sec. 1, eff. September 1, 2025.