79R11575 HLT-D


By:  Leibowitz                                                    H.B. No. 694

Substitute the following for H.B. No. 694:                                    

By:  Guillen                                                  C.S.H.B. No. 694



A BILL TO BE ENTITLED

AN ACT

relating to disclosure of electronic terminal withdrawal limits; 
providing a civil penalty.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Subchapter C, Chapter 59, Finance Code, is 
amended by adding Section 59.203 to read as follows:
	Sec. 59.203.  DISCLOSURE OF WITHDRAWAL LIMIT BY OPERATOR OF 
ELECTRONIC TERMINAL.  (a)  This section applies to an electronic 
terminal operator who:
		(1)  operates an electronic terminal at which a user 
initiates electronic fund transfers; and
		(2)  is not:                                                           
			(A)  the financial institution with which the user 
has the account from which the transfer is made; or
			(B)  an institution the deposits of which are 
insured by the Federal Deposit Insurance Corporation.
	(b)  An electronic terminal operator required by 15 U.S.C. 
Section 1693b to give notice to the electronic terminal user of any 
fee imposed on the user for providing electronic fund transfer 
services shall also:
		(1)  disclose to the user of the electronic terminal 
any limit imposed by the operator of the electronic terminal on the 
amount of a cash withdrawal from the electronic terminal before the 
transaction is completed; and
		(2)  allow the user to cancel the transaction without 
incurring any fee.
	(c)  The notice required under Subsection (b) must be 
displayed by the electronic terminal at the time service is 
provided or posted in a prominent and conspicuous location on or at 
the electronic terminal at which the electronic fund transfer is 
initiated by the user.
	(d)  An electronic terminal operator who violates this 
section is liable for a civil penalty of $500 for each electronic 
terminal not in compliance with this section.  The attorney general 
may bring an action to recover the civil penalty.
	(e)  This section does not apply to an electronic terminal 
that has a withdrawal limit of $200 or more.
	SECTION 2.  This Act takes effect September 1, 2005.