Honorable Stan Lambert, Chair, House Committee on Pensions, Investments & Financial Services
FROM:
Jerry McGinty, Director, Legislative Budget Board
IN RE:
HB4738 by Geren (Relating to the elimination of the portion of the Loan Administration Fee remitted to the comptroller.), As Introduced
No significant fiscal implication to the State is anticipated.
The bill would remove the provisions of the Finance Code that allows for the remittance of a portion of the Loan Administration Fee to the Comptroller.
Currently, a financial institution may charge an administrative fee for non-real property loans and secondary mortgage loans in the amounts set by Chapter 342 of the Finance Code or by Finance Commission rule. For each fee collected, one dollar for non-real property loans and 50 cents for secondary mortgage loans may be deposited with the Comptroller for use in carrying out the Finance Commission's responsibilities under Section 11.3055. The bill would repeal the fee remittance-related provisions.
Although the bill would remove the ability to remit to the Comptroller a portion of the Loan Administration Fee, based on the remittance history, the fiscal impact would not be significant.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies:
304 Comptroller of Public Accounts, 466 Office of Consumer Credit Commissioner