Sec. 393.605. BOND. (a) If the commissioner requires, an applicant for a license under this subchapter shall file with the application a bond that is:
(1) in an amount satisfactory to the commissioner that does not exceed the lesser of:
(A) $10,000 for the first license and $10,000 for each additional license; or
(B) $2,500,000; and
(2) issued by a surety company qualified to do business as a surety in this state.
(b) The bond must be in favor of this state for the use of this state and the use of a person who has a cause of action under this subchapter against the license holder.
(c) The bond must be conditioned on:
(1) the license holder's faithful performance under this subchapter and rules adopted under this subchapter; and
(2) the payment of all amounts that become due to this state or another person under this subchapter during the calendar year for which the bond is given.
(d) The aggregate liability of a surety to all persons damaged by the license holder's violation of this subchapter may not exceed the amount of the bond.
(e) A credit access business that files a bond under this section is not required to file a bond under Subchapter E.
(f) A credit access business, instead of obtaining a surety bond, may satisfy the requirements of this section by depositing an amount described by Subsection (a)(1) in a surety account held in trust at a federally insured bank or savings association located in this state. The name of the depository, trustee, and account number of the surety account must be filed with the office.
Added by Acts 2011, 82nd Leg., R.S., Ch. 1302 (H.B. 2594), Sec. 2, eff. January 1, 2012.Section: Previous 393.503 393.504 393.505 393.601 393.602 393.603 393.604 393.605 393.606 393.607 393.608 393.609 393.610 393.611 393.612 Next
Last modified: September 28, 2016