BUSINESS & COMMERCE CODE
CHAPTER 20. REGULATION OF CONSUMER CREDIT REPORTING AGENCIES
§ 20.01. DEFINITIONS. In this chapter:
(1) "Adverse action" includes:
(A) the denial of, increase in a charge for, or
reduction in the amount of insurance for personal, family, or
household purposes;
(B) the denial of employment or other decision
made for employment purposes that adversely affects a current or
prospective employee; or
(C) an action or determination with respect to a
consumer's application for credit that is adverse to the consumer's
interests.
(2) "Consumer" means an individual who resides in this
state.
(3) "Consumer file" means all of the information about
a consumer that is recorded and retained by a consumer reporting
agency regardless of how the information is stored.
(4) "Consumer report" means a communication or other
information by a consumer reporting agency relating to the credit
worthiness, credit standing, credit capacity, debts, character,
general reputation, personal characteristics, or mode of living of
a consumer that is used or expected to be used or collected, wholly
or partly, as a factor in establishing the consumer's eligibility
for credit or insurance for personal, family, or household
purposes, employment purposes, or other purpose authorized under
Sections 603 and 604 of the Fair Credit Reporting Act (15 U.S.C.
Sections 1681a and 1681b), as amended. The term does not include:
(A) a report containing information solely on a
transaction between the consumer and the person making the report;
(B) an authorization or approval of a specific
extension of credit directly or indirectly by the issuer of a credit
card or similar device;
(C) a report in which a person who has been
requested by a third party to make a specific extension of credit
directly or indirectly to a consumer makes a decision with respect
to the request, if the third party advises the consumer of the name
and address of the person to whom the request was made and the
person makes the disclosures that must be made under Section 615 of
the Fair Credit Reporting Act (15 U.S.C. Section 1681m), as
amended, to the consumer in the event of adverse action against the
consumer;
(D) any communication of information described
in this subdivision among persons related by common ownership or
affiliated by corporate control; or
(E) any communication of other information among
persons related by common ownership or affiliated by corporate
control, if it is clearly and conspicuously disclosed to the
consumer that the information may be communicated among such
persons and the consumer is given the opportunity before the time
that the information is initially communicated to direct that such
information not be communicated among such persons.
(5) "Consumer reporting agency" means a person that
regularly engages wholly or partly in the practice of assembling or
evaluating consumer credit information or other information on
consumers to furnish consumer reports to third parties for monetary
fees, for dues, or on a cooperative nonprofit basis. The term does
not include a business entity that provides only check verification
or check guarantee services.
(6) "Investigative consumer report" means all or part
of a consumer report in which information on the character, general
reputation, personal characteristics, or mode of living of a
consumer is obtained through a personal interview with a neighbor,
friend, or associate of the consumer or others with whom the
consumer is acquainted or who may have knowledge concerning any
such information. The term does not include specific factual
information on a consumer's credit record obtained directly from a
creditor of the consumer or from a consumer reporting agency when
the information was obtained directly from a creditor of the
consumer or from the consumer.
(7) "Security alert" means a notice placed on a
consumer file that alerts a recipient of a consumer report
involving that consumer file that the consumer's identity may have
been used without the consumer's consent to fraudulently obtain
goods or services in the consumer's name.
(8) "Security freeze" means a notice placed on a
consumer file that prohibits a consumer reporting agency from
releasing a consumer report relating to the extension of credit
involving that consumer file without the express authorization of
the consumer.
Added by Acts 1997, 75th Leg., ch. 1396, § 33(a), eff. Oct. 1,
1997. Amended by Acts 2003, 78th Leg., ch. 1326, § 1, eff. Sept.
1, 2003.
§ 20.02. PERMISSIBLE PURPOSES; PROHIBITION; USE OF
CONSUMER'S SOCIAL SECURITY NUMBER. (a) A consumer reporting
agency may furnish a consumer report only:
(1) in response to a court order issued by a court with
proper jurisdiction;
(2) in accordance with the written instructions of the
consumer to whom the report relates; or
(3) to a person the agency has reason to believe:
(A) intends to use the information in connection
with a transaction involving the extension of credit to, or review
or collection of an account of, the consumer to whom the report
relates;
(B) intends to use the information for employment
purposes as authorized under the Fair Credit Reporting Act (15
U.S.C. Section 1681 et seq.), as amended, and regulations adopted
under that Act;
(C) intends to use the information in connection
with the underwriting of insurance involving the consumer as
authorized under the Fair Credit Reporting Act (15 U.S.C. Section
1681 et seq.), as amended, and regulations adopted under that Act;
(D) intends to use the information in connection
with a determination of the consumer's eligibility for a license or
other benefit granted by a governmental entity required by law to
consider an applicant's financial responsibility or status;
(E) has a legitimate business need for the
information in connection with a business transaction involving the
consumer; or
(F) intends to use the information for any
purpose authorized under the Fair Credit Reporting Act (15 U.S.C.
Section 1681 et seq.), as amended, and regulations adopted under
that Act.
(b) A consumer reporting agency may not prohibit a user of a
consumer report or investigative consumer report from disclosing
the contents of the report or providing a copy of the report to the
consumer to whom it relates at the consumer's request if adverse
action against the consumer based wholly or partly on the report has
been taken or is contemplated by the user of the report. A user of a
consumer report or a consumer reporting agency may not be found
liable or otherwise held responsible for a disclosed or copied
report when acting under this subsection. The disclosure or copy of
the report, by itself, does not make a user of the report a consumer
reporting agency.
(c) If a consumer furnishes the consumer's social security
number to a person for use in obtaining a consumer report, the
person shall include the consumer's social security number with the
request for the consumer report and shall include the social
security number with all future reports of information regarding
the consumer made by the person to a consumer reporting agency
unless the person has reason to believe that the social security
number is inaccurate.
Added by Acts 1997, 75th Leg., ch. 1396, § 33(a), eff. Oct. 1,
1997.
§ 20.03. DISCLOSURES TO CONSUMERS. (a) On request and
proper identification provided by a consumer, a consumer reporting
agency shall disclose to the consumer in writing all information
pertaining to the consumer in the consumer reporting agency's files
at the time of the request, including:
(1) the name of each person requesting credit
information about the consumer during the preceding six months and
the date of each request;
(2) a set of instructions describing how information
is presented on the consumer reporting agency's written disclosure
of the consumer file; and
(3) if the consumer reporting agency compiles and
maintains files on a nationwide basis, a toll-free number at which
personnel are available to consumers during normal business hours
for use in resolving a dispute if the consumer submits a written
dispute to the consumer reporting agency.
(b) The information must be disclosed in a clear, accurate
manner that is understandable to a consumer.
(c) A consumer reporting agency shall provide a copy of the
consumer's file to the consumer on the request of the consumer and
on evidence of proper identification, as directed by the Fair
Credit Reporting Act (15 U.S.C. Section 1681 et seq.), as amended,
and regulations adopted under that Act.
(d) Any written disclosure to a consumer by a consumer
reporting agency under this chapter must include a written
statement that explains in clear and simple language the consumer's
rights under this chapter and includes:
(1) the process for receiving a consumer report or
consumer file;
(2) the process for requesting or removing a security
alert or freeze;
(3) the toll-free telephone number for requesting a
security alert;
(4) applicable fees;
(5) dispute procedures;
(6) the process for correcting a consumer file or
report; and
(7) information on a consumer's right to bring an
action in court or arbitrate a dispute.
Added by Acts 1997, 75th Leg., ch. 1396, § 33(a), eff. Oct. 1,
1997. Amended by Acts 2003, 78th Leg., ch. 1326, § 2, eff. Sept.
1, 2003.
§ 20.031. REQUESTING SECURITY ALERT. On a request in
writing or by telephone and with proper identification provided by
a consumer, a consumer reporting agency shall place a security
alert on the consumer's consumer file not later than 24 hours after
the date the agency receives the request. The security alert must
remain in effect for not less than 45 days after the date the agency
places the security alert on the file. There is no limit on the
number of security alerts a consumer may request. At the end of a
45-day security alert, on request in writing or by telephone and
with proper identification provided by the consumer, the agency
shall provide the consumer with a copy of the consumer's file. A
consumer may include with the security alert request a telephone
number to be used by persons to verify the consumer's identity
before entering into a transaction with the consumer.
Added by Acts 2003, 78th Leg., ch. 1326, § 3, eff. Sept. 1, 2003.
§ 20.032. NOTIFICATION OF SECURITY ALERT. A consumer
reporting agency shall notify a person who requests a consumer
report if a security alert is in effect for the consumer file
involved in that report and include a verification telephone number
for the consumer if the consumer has provided a number under Section
20.031.
Added by Acts 2003, 78th Leg., ch. 1326, § 3, eff. Sept. 1, 2003.
§ 20.033. TOLL-FREE SECURITY ALERT REQUEST NUMBER. A
consumer reporting agency shall maintain a toll-free telephone
number that is answered at a minimum during normal business hours to
accept security alert requests from consumers. If calls are not
answered after normal business hours, an automated answering system
shall record requests and calls shall be returned to the consumer
not later than two hours after the time the normal business day
begins on the next business day after the date the call was
received.
Added by Acts 2003, 78th Leg., ch. 1326, § 3, eff. Sept. 1, 2003.
§ 20.034. REQUESTING SECURITY FREEZE. (a) On written
request sent by certified mail that includes proper identification
provided by a consumer and a copy of a valid police report,
investigative report, or complaint made under Section 32.51, Penal
Code, a consumer reporting agency shall place a security freeze on a
consumer's consumer file not later than the fifth business day
after the date the agency receives the request.
(b) On written request for a security freeze provided by a
consumer under Subsection (a), a consumer reporting agency shall
disclose to the consumer the process of placing, removing, and
temporarily lifting a security freeze and the process for allowing
access to information from the consumer's consumer file for a
specific requester or period while the security freeze is in
effect.
(c) A consumer reporting agency shall, not later than the
10th business day after the date the agency receives the request for
a security freeze:
(1) send a written confirmation of the security freeze
to the consumer; and
(2) provide the consumer with a unique personal
identification number or password to be used by the consumer to
authorize a removal or temporary lifting of the security freeze
under Section 20.037.
(d) A consumer may request in writing a replacement personal
identification number or password. The request must comply with
the requirements for requesting a security freeze under Subsection
(a). The consumer reporting agency shall not later than the third
business day after the date the agency receives the request for a
replacement personal identification number or password provide the
consumer with a new unique personal identification number or
password to be used by the consumer instead of the number or
password that was provided under Subsection (c).
Added by Acts 2003, 78th Leg., ch. 1326, § 3, eff. Sept. 1, 2003.
§ 20.035. NOTIFICATION OF CHANGE. If a security freeze
is in place, a consumer reporting agency shall notify the consumer
in writing of a change in the consumer file to the consumer's name,
date of birth, social security number, or address not later than 30
calendar days after the date the change is made. The agency shall
send notification of a change of address to the new address and
former address. This section does not require notice of an
immaterial change, including a street abbreviation change or
correction of a transposition of letters or misspelling of a word.
Added by Acts 2003, 78th Leg., ch. 1326, § 3, eff. Sept. 1, 2003.
§ 20.036. NOTIFICATION OF SECURITY FREEZE. A consumer
reporting agency shall notify a person who requests a consumer
report if a security freeze is in effect for the consumer file
involved in that report.
Added by Acts 2003, 78th Leg., ch. 1326, § 3, eff. Sept. 1, 2003.
§ 20.037. REMOVAL OR TEMPORARY LIFTING OF SECURITY
FREEZE. (a) On a request in writing or by telephone and with
proper identification provided by a consumer, including the
consumer's personal identification number or password provided
under Section 20.034, a consumer reporting agency shall remove a
security freeze not later than the third business day after the date
the agency receives the request.
(b) On a request in writing or by telephone and with proper
identification provided by a consumer, including the consumer's
personal identification number or password provided under Section
20.034, a consumer reporting agency, not later than the third
business day after the date the agency receives the request, shall
temporarily lift the security freeze for:
(1) a certain properly designated period; or
(2) a certain properly identified requester.
(c) A consumer reporting agency may develop procedures
involving the use of a telephone, a facsimile machine, the
Internet, or another electronic medium to receive and process a
request from a consumer under this section.
(d) A consumer reporting agency shall remove a security
freeze placed on a consumer file if the security freeze was placed
due to a material misrepresentation of fact by the consumer. The
consumer reporting agency shall notify the consumer in writing
before removing the security freeze under this subsection.
(e) A consumer reporting agency may not charge a fee for a
request under Subsection (a) or (b).
Added by Acts 2003, 78th Leg., ch. 1326, § 3, eff. Sept. 1, 2003.
§ 20.038. EXEMPTION FROM SECURITY FREEZE. A security
freeze does not apply to a consumer report provided to:
(1) a state or local governmental entity, including a
law enforcement agency or court or private collection agency, if
the entity, agency, or court is acting under a court order, warrant,
subpoena, or administrative subpoena;
(2) a child support agency as defined by Section
101.004, Family Code, acting to investigate or collect child
support payments or acting under Title IV-D of the Social Security
Act (42 U.S.C. Section 651 et seq.);
(3) the Health and Human Services Commission acting
under Section 531.102, Government Code;
(4) the comptroller acting to investigate or collect
delinquent sales or franchise taxes;
(5) a tax assessor-collector acting to investigate or
collect delinquent ad valorem taxes;
(6) a person for the purposes of prescreening as
provided by the Fair Credit Reporting Act (15 U.S.C. Section 1681 et
seq.), as amended;
(7) a person with whom the consumer has an account or
contract or to whom the consumer has issued a negotiable
instrument, or the person's subsidiary, affiliate, agent,
assignee, prospective assignee, or private collection agency, for
purposes related to that account, contract, or instrument;
(8) a subsidiary, affiliate, agent, assignee, or
prospective assignee of a person to whom access has been granted
under Section 20.037(b);
(9) a person who administers a credit file monitoring
subscription service to which the consumer has subscribed;
(10) a person for the purpose of providing a consumer
with a copy of the consumer's report on the consumer's request;
(11) a check service or fraud prevention service
company that issues consumer reports:
(A) to prevent or investigate fraud; or
(B) for purposes of approving or processing
negotiable instruments, electronic funds transfers, or similar
methods of payment;
(12) a deposit account information service company
that issues consumer reports related to account closures caused by
fraud, substantial overdrafts, automated teller machine abuses, or
similar negative information regarding a consumer to an inquiring
financial institution for use by the financial institution only in
reviewing a consumer request for a deposit account with that
institution; or
(13) a consumer reporting agency that:
(A) acts only to resell credit information by
assembling and merging information contained in a database of
another consumer reporting agency or multiple consumer reporting
agencies; and
(B) does not maintain a permanent database of
credit information from which new consumer reports are produced.
Added by Acts 2003, 78th Leg., ch. 1326, § 3, eff. Sept. 1, 2003.
§ 20.0385. APPLICABILITY OF SECURITY ALERT AND SECURITY
FREEZE. The requirement under this chapter to place a security
alert or security freeze on a consumer file does not apply to:
(1) a check service or fraud prevention service
company that issues consumer reports:
(A) to prevent or investigate fraud; or
(B) for purposes of approving or processing
negotiable instruments, electronic funds transfers, or similar
methods of payment; or
(2) a deposit account information service company that
issues consumer reports related to account closures caused by
fraud, substantial overdrafts, automated teller machine abuses, or
similar negative information regarding a consumer to an inquiring
financial institution for use by the financial institution only in
reviewing a consumer request for a deposit account with that
institution.
Added by Acts 2003, 78th Leg., ch. 1326, § 3, eff. Sept. 1, 2003.
§ 20.039. RESPECT OF SECURITY FREEZE. A consumer
reporting agency shall honor a security freeze placed on a consumer
file by another consumer reporting agency.
Added by Acts 2003, 78th Leg., ch. 1326, § 3, eff. Sept. 1, 2003.
§ 20.04. CHARGES FOR CERTAIN DISCLOSURES OR
SERVICES. (a) Except as provided by Subsection (b), a consumer
reporting agency may impose a reasonable charge on a consumer for
the disclosure of information pertaining to the consumer or for
placing a security freeze on a consumer file. The amount of the
charge may not exceed $8. On January 1 of each year, a consumer
reporting agency may increase the charge for disclosure to a
consumer or for placing a security freeze. The increase, if any,
must be based proportionally on changes to the Consumer Price Index
for All Urban Consumers as determined by the United States
Department of Labor with fractional changes rounded to the nearest
50 cents.
(b) A consumer reporting agency may not charge a fee for:
(1) a request by a consumer for a copy of the
consumer's file:
(A) made not later than the 60th day after the
date on which adverse action is taken against the consumer; or
(B) made on the expiration of a 45-day security
alert;
(2) notification of the deletion of information that
is found to be inaccurate or can no longer be verified sent to a
person designated by the consumer, as prescribed by Section 611 of
the Fair Credit Reporting Act (15 U.S.C. Section 1681i), as
amended;
(3) a set of instructions for understanding the
information presented on the consumer report;
(4) a toll-free telephone number that consumers may
call to obtain additional assistance concerning the consumer report
or to request a security alert; or
(5) a request for a security alert made by a consumer.
Added by Acts 1997, 75th Leg., ch. 1396, § 33(a), eff. Oct. 1,
1997. Amended by Acts 2003, 78th Leg., ch. 1326, § 4, eff. Sept.
1, 2003.
§ 20.05. REPORTING OF INFORMATION
PROHIBITED. (a) Except as provided by Subsection (b), a consumer
reporting agency may not furnish a consumer report containing
information related to:
(1) a case under Title 11 of the United States Code or
under the federal Bankruptcy Act in which the date of entry of the
order for relief or the date of adjudication predates the consumer
report by more than 10 years;
(2) a suit or judgment in which the date of entry
predates the consumer report by more than seven years or the
governing statute of limitations, whichever is longer;
(3) a tax lien in which the date of payment predates
the consumer report by more than seven years;
(4) a record of arrest, indictment, or conviction of a
crime in which the date of disposition, release, or parole predates
the consumer report by more than seven years; or
(5) another item or event that predates the consumer
report by more than seven years.
(b) A consumer reporting agency may furnish a consumer
report that contains information described by Subsection (a) if the
information is provided in connection with:
(1) a credit transaction with a principal amount that
is or may reasonably be expected to be $150,000 or more;
(2) the underwriting of life insurance for a face
amount that is or may reasonably be expected to be $150,000 or more;
or
(3) the employment of a consumer at an annual salary
that is or may reasonably be expected to be $75,000 or more.
(c) A consumer reporting agency may not furnish medical
information about a consumer in a consumer report that is being
obtained for employment purposes or in connection with a credit,
insurance, or direct marketing transaction unless the consumer
consents to the furnishing of the medical information.
Added by Acts 1997, 75th Leg., ch. 1396, § 33(a), eff. Oct. 1,
1997.
§ 20.06. DISPUTE PROCEDURE. (a) If the completeness
or accuracy of information contained in a consumer's file is
disputed by the consumer and the consumer notifies the consumer
reporting agency of the dispute, the agency shall reinvestigate the
disputed information free of charge and record the current status
of the disputed information not later than the 30th business day
after the date on which the agency receives the notice. The
consumer reporting agency shall provide the consumer with the
option of notifying the agency of a dispute concerning the
consumer's file by speaking directly to a representative of the
agency during normal business hours.
(b) Not later than the fifth business day after the date on
which a consumer reporting agency receives notice of a dispute from
a consumer in accordance with Subsection (a), the agency shall
provide notice of the dispute to each person who provided any
information related to the dispute.
(c) A consumer reporting agency may terminate a
reinvestigation of information disputed by a consumer under
Subsection (a) if the agency reasonably determines that the dispute
is frivolous or irrelevant. An agency that terminates a
reinvestigation of disputed information under this subsection
shall promptly notify the consumer of the termination and the
reasons for the termination by mail, or if authorized by the
consumer, by telephone. The presence of contradictory information
in a consumer's file does not by itself constitute reasonable
grounds for determining that the dispute is frivolous or
irrelevant.
(d) If disputed information is found to be inaccurate or
cannot be verified after a reinvestigation under Subsection (a),
the consumer reporting agency, unless otherwise directed by the
consumer, shall promptly delete the information from the consumer's
file, revise the consumer file, and provide the revised consumer
report to the consumer and to each person who requested the consumer
report within the preceding six months. The consumer reporting
agency may not report the inaccurate or unverified information in
subsequent reports.
(e) Information deleted under Subsection (d) may not be
reinserted in the consumer's file unless the person who furnishes
the information to the consumer reporting agency reinvestigates and
states in writing or by electronic record to the agency that the
information is complete and accurate.
(f) A consumer reporting agency shall provide written
notice of the results of a reinvestigation or reinsertion made
under this section not later than the fifth business day after the
date on which the reinvestigation or reinsertion has been
completed. The notice must include:
(1) a statement that the reinvestigation is complete;
(2) a statement of the determination made by the
agency on the completeness or accuracy of the disputed information;
(3) a copy of the consumer's file or consumer report
and a description of the results of the reinvestigation;
(4) a statement that a description of the procedure
used to determine the accuracy and completeness of the information
shall be provided to the consumer by the agency on request,
including the name, business address, and, if available, the
telephone number of each person contacted in connection with the
information;
(5) a statement that the consumer is entitled to add a
statement to the consumer's file disputing the accuracy or
completeness of the information as provided by Section 611 of the
Fair Credit Reporting Act (15 U.S.C. Section 1681i), as amended;
and
(6) a statement that the consumer may be entitled to
dispute resolution as prescribed by this section, after the
consumer receives the notice specified under this subsection.
(g) This section does not require a person who obtains a
consumer report for resale to another person to alter or correct an
inaccuracy in the consumer report if the report was not assembled or
prepared by the person.
(h) This section applies to a business offering check
verification or check guarantee services in this state.
Added by Acts 1997, 75th Leg., ch. 1396, § 33(a), eff. Oct. 1,
1997. Amended by Acts 2003, 78th Leg., ch. 851, § 3, eff. Sept.
1, 2003; Acts 2003, 78th Leg., ch. 1291, § 1, eff. Sept. 1, 2003.
§ 20.07. CORRECTION OF INACCURATE INFORMATION. (a) A
consumer reporting agency shall provide a person who provides
consumer credit information to the agency with the option of
correcting previously reported inaccurate information by
submitting the correction by facsimile or other automated means.
(b) The credit reporting agency which receives a correction
shall have reasonable procedures to assure that previously reported
inaccurate information in a consumer's file is corrected in a
prompt and timely fashion.
Added by Acts 1997, 75th Leg., ch. 1396, § 33(a), eff. Oct. 1,
1997.
§ 20.08. CONSUMER'S RIGHT TO FILE ACTION IN COURT OR
ARBITRATE DISPUTES. (a) An action to enforce an obligation of a
consumer reporting agency to a consumer under this chapter may be
brought in any court as provided by the Fair Credit Reporting Act
(15 U.S.C. Section 1681 et seq.), as amended, or, if agreed to by
both parties, may be submitted to binding arbitration after the
consumer has followed all dispute procedures in Section 20.06 and
has received the notice specified in Section 20.06(f) in the manner
provided by the rules of the American Arbitration Association.
(b) A decision rendered by an arbitrator under this section
does not affect the validity of an obligation or debt owed by the
consumer to any party.
(c) A prevailing party in an action or arbitration
proceeding brought under this section shall be compensated for the
party's attorney fees and costs of the proceeding as determined by
the court or arbitration.
(d) A consumer may not submit to arbitration more than one
action against a particular consumer reporting agency during any
120-day period.
(e) The results of an arbitration action brought against a
consumer reporting agency doing business in this state shall be
communicated in a timely manner to other consumer reporting
agencies doing business in this state.
(f) If a determination is made in favor of a consumer after
submission of a dispute to arbitration, the disputed adverse
information in the consumer's file or record shall be removed or
stricken in a timely manner. If the adverse information is not
removed or stricken, the consumer may bring an action against the
noncomplying agency under this section regardless of the 120-day
waiting period required under this section.
Added by Acts 1997, 75th Leg., ch. 1396, § 33(a), eff. Oct. 1,
1997.
§ 20.09. CIVIL LIABILITY. (a) A consumer reporting
agency that wilfully violates this chapter is liable to the
consumer against whom the violation occurs for the greater of three
times the amount of actual damages to the consumer or $1,000,
reasonable attorney fees, and court or arbitration costs.
(b) A consumer reporting agency that negligently violates
this chapter is liable to the consumer against whom the violation
occurs for the greater of the amount of actual damages to the
consumer or $500, reasonable attorney fees, and court or
arbitration costs. A consumer reporting agency is not considered
to have negligently violated this chapter if, not later than the
30th day after the date on which the agency receives notice of a
dispute from the consumer under Section 20.06 that clearly explains
the nature and substance of the dispute, the agency completes the
reinvestigation and sends the consumer and, at the request of the
consumer, each person who received the consumer information written
notification of the results of the reinvestigation in accordance
with Section 20.06(f).
(c) In addition to liability imposed under Subsection (a), a
consumer reporting agency that does not correct a consumer's file
and consumer report before the 10th day after the date on which a
judgment is entered against the agency because of inaccurate
information contained in a consumer's file is also liable for
$1,000 a day until the inaccuracy is corrected.
Added by Acts 1997, 75th Leg., ch. 1396, § 33(a), eff. Oct. 1,
1997.
§ 20.10. REMEDIES CUMULATIVE. An action taken under
this chapter does not prohibit a consumer from taking any other
action authorized by law except that a credit reporting agency may
not be subject to suit with respect to any issue that was the
subject of an arbitration proceeding brought under Section 20.08.
Added by Acts 1997, 75th Leg., ch. 1396, § 33(a), eff. Oct. 1,
1997.
§ 20.11. CHECK VERIFICATION AND CHECK GUARANTEE
SERVICES; DISCLOSURES TO CONSUMERS.
Text of section as added by Acts 2003, 78th Leg., ch. 1291, § 2
(a) In this section, "check verifier" means any business
offering check verification or check guarantee services in this
state.
(b) On request and proper identification provided by a
consumer, a check verifier shall disclose to the consumer in
writing all information pertaining to the consumer in the check
verifier's files at the time of the request, including:
(1) the criteria used by the check verifier to reject a
check from the consumer;
(2) a set of instructions describing how information
is presented on the check verifier's written disclosure of the
consumer file; and
(3) a toll-free number at which personnel are
available to consumers during normal business hours for use in
resolving a dispute if the consumer submits a written dispute to the
check verifier.
(c) A check verifier may not charge a consumer for
disclosing the information required under Subsection (b) if the
check verifier has rejected a check from the consumer in the 30 days
prior to the consumer's request for information. A check verifier
may otherwise impose a reasonable charge on a consumer for the
disclosure of information pertaining to the consumer in an amount
not to exceed $8.
Added by Acts 2003, 78th Leg., ch. 1291, § 2, eff. Sept. 1, 2003.
For text of section as added by Acts 2003, 78th Leg., ch. 1326, §
5, see § 20.11, post.
§ 20.11. INJUNCTIVE RELIEF; CIVIL PENALTY.
Text of section as added by Acts 2003, 78th Leg., ch. 1326, § 5
(a) The attorney general may file a suit against a person
for:
(1) injunctive relief to prevent or restrain a
violation of this chapter; or
(2) a civil penalty in an amount not to exceed $2,000
for each violation of this chapter.
(b) If the attorney general brings an action against a
person under Subsection (a) and an injunction is granted against
the person or the person is found liable for a civil penalty, the
attorney general may recover reasonable expenses, court costs,
investigative costs, and attorney's fees.
(c) Each day a violation continues or occurs is a separate
violation for purposes of imposing a penalty under this section.
Added by Acts 2003, 78th Leg., ch. 1326, § 5, eff. Sept. 1, 2003.
For text of section as added by Acts 2003, 78th Leg., ch. 1291, §
2, see § 20.11, ante.
§ 20.12. DECEPTIVE TRADE PRACTICE. A violation of this
chapter is a false, misleading, or deceptive act or practice under
Subchapter E, Chapter 17.
Added by Acts 2003, 78th Leg., ch. 1326, § 5, eff. Sept. 1, 2003.
§ 20.13. VENUE. An action brought under this chapter
shall be filed in a district court:
(1) in Travis County;
(2) in any county in which the violation occurred; or
(3) in the county in which the victim resides,
regardless of whether the alleged violator has resided, worked, or
done business in the county in which the victim resides.
Added by Acts 2003, 78th Leg., ch. 1326, § 5, eff. Sept. 1, 2003.
