DATE: April 24, 2012 TO: Members of Texas Senate Members of Texas House of Representatives nil Texas Municipal Officials FROM: Consumer Service Alliance of Texas RE: CSAT Announces New Expanded Best Practices for Credit Access Businesses in Texas The Consumer Service Alliance of Texas (CSAT) is a trade association advocating for the protection of financial choice based on personal responsibility for Texas consumers. CSAT represents the interests of consumers and Credit Access Businesses (CABS) providing retail financial products and services to Texas consumers. CABS secure loans from independent third-party lenders for customers who need access to credit for immediate financial needs, loans often unavailable from banks or other sources. in 2011, the Texas Legislature gave the Texas Finance Commission and the Office of the Consumer Credit Commissioner comprehensive licensing, examination, and enforcement authority over CABs. The legislation preserves access to credit and consumer choice while establishing a rigorous system of supervision checks and balances to' protect the vast majority of small loan borrowers in Texas.' important new consumer protections related to transparency, disclosures and contractual requirements were also imposed. However, there are those that suffer financial setbacks after they obtain credit and have difficulty repaying their financial obligations regardless of underwriting standards, careful planning and budgeting, and customers' best intentions. To prevent consumers from being trapped in a cycle of debt, CSAT member companies are expanding their industry Best Practices to include no cost extended payment plans, transaction limits and mandatory fee reductions with thereiinance of single payment auto title loans. These changes will go into effect statewide on August 15, 2012, for all CSAT member companies. The new Best Practices are a comprehensive solution to the product design limitations applied in recent municipal ordinances and are consistent with detailed negotiations that occurred during the last legislative session. importantly, they put every consumer regardless of the type of loan obtained on a path to full repayment in a time certain, or in a no cost extended payment plan that willfully repay their debt. The Texas Finance Commission has a statutory responsibility to ensure banks, savings institutions, consumer credit providers, and other regulated entities chartered or licensed under state law operate as sound and responsible institutions that enhance the financial well--being of the citizens of Texas. Through its review of consumer complaints filed with the (and corrective action taken in response to valid complaints), CAB quarterly data reports, and on site examination findings, the Commission will exercise Ciose oversight of the industry and make iegisiative recommendations, when appropriate, to improve the finances of Texas consumers. . The Commission recently passed a resoiution supporting the uniformity of laws governing credit access businesses and encouraging the Legislature to take appropriate steps to clarify its intent with regard to the statewide application of consistent rules to eliminate consumer confusion, disparate treatment and the potential of additional costs. A copy of the new Best Practices, the Finance Commission resolution and an update on the implementation of the CAB legislation is included for your review. Best Practices 2812 Additions Transaction Limits The cash advance for a single payment deferred presentment transaction may not exceed 35% of a coosumefs gross income. A scheduled payment on a multiple payment deferred presentment transaction may not exceed 25% of a consomefs gross income. The cash advance on a motor vehicle title loan may not exceed 170% of the retail value of the motor vehicle. Declining Principal Balance Transactions Multiple payment deferred presentment transactions and motor vehicle title loans she ll be payable on a fullyomortizlng, declining principal balance basis with substantially equal payments as agreed upon by the parties. it fees are pro-computed and the loan is prepaid in full, unearned fees shall be refunded to the consumer. Extended Payment Plan An eligible consumer may elect to repay a single payment deferred presentment transaction with an extended payment plan. A consumer is eligible for an extended payment plan from a CAB: er At least once every twelve months; in if the transaction has been refinanced four tlrnes; 0 if the plan was requested before thedue date of the transaction; and 8 if a written agreement is signed that describes the terms of the plan. Under an extended payment plan: 6 The CAB may not charge the consumer additional fees; e" The consumer shall have at least four substa ntiallyequal payments to repay the amount owed; The consumer may prepay the amount owed without penalty at any time; 9 The CAB may not obtain, or assist the consumer in obtaining, additional credit; and a Collection activities are prohibited if the consumer continues to make timely payments under a plan. Notice about Extended Payment Plan - A CAB must notify consumers of their right to an extended payment plan by posting a notice in a conspicuous location visible to the general public in every location. The notice shall also be included, in at least 12 point bold type, on the first page of eyery CAB contract. Single Payment Motor Vehicle Title Loan Principal Reduction Requirements and Fee Limits - A consumer must make a payment that reduces the principal balance of a single payment motor vehicle title loan by at least 5% every time the loan is refinanced. if a consumer is unable to make' are required payment, the loan may be refinanced, but the CAB must calculate its fee as if the required payment had been made every time the loan is refinanced. The amount of the loan that remains unpaid continues to be due and owing from the consumer, but can no longer accrue CAB fees, Alternatively, if the consumer is unable to make the required payment and the lender chooses not to refinance the loan, the loan shall be due and payable.-per its original t8lTi'lS. in 2011, the Texas Legislature gave the Texas Finance Commission and the Office of the Consumer Credit Commissioner (DCICC) comprehensive licensing, examination, and enforcement authority over Cries. im,oort_aot new consumer protections related to transparency, disclosures and contractual requirements were also imposed. The oversight framework both statutory and the implementing regulations preserves access to credit and consumer choice while establishing a rigorous system of supervision checks and balances to protect the vast majority of smell io-an borrowers in Texas. iiulemaking by the is substantially complete and the agency is implementing the regulatory process now. examinations by are underway. 9 All stores now have "menu lzioarcls" posted in a conspicuous location describing prices and fees for all credit products and services. - As soon as they enter the store, every customer is given a written disclosure form describing: How much their loan will cost; 0 How much the loan would cost if it was refinanced several times; . How the cost of their loan compares to other types of loans offered by other lenders; :3 information on how long it takes others to typically repey similar loans; and Instructions on how to file a complaint with the Office of the Consumer Credit Commissioner a All contracts must contain written provisions notifying consumers of required CAB compliance with the following: All state and federal fair debt collection practices; All military lending laws and regulations; May not threaten criminal charges related to a check or debit authorization; and Prepayment penalties are prohibited. 0000 9 The hes the full range of enforcement authority over CABS, including the authority to: issue cease and desist orders against individ uais for improper practices; Order restitution to customers who were ove rcherged; impose fines for repeated violations of laws and regulations; and iievoke licenses to conduct business in the state. at CABs are required to file quarterly business activity reports by store location with the beginning in April of 2012. - Rudy Aguilar - Spanish Translations of Consumer Disclosures From: Rob Norcross To: Date: 9/26/2012 9:19 PM Subject: Spanish Translations of Consumer Disclosures Attachments: Auto Title Multiple Pay Disclosure Spanish(Dec 12)1.pub; Auto Title Single Pay Disclosure Spanishzpob; Payday Multiple Pay Disclosure Spanish(Dec 12)l.pub; Payday Single Pay Disclosure Spanish(Dec 12)l.pub Leslie and Rudy, Attached please find draft Spanish translations of the four consumer disclosure forms. If you have someone that can look them over to see if we are on the right track, we would appreciate it. lf they need to do it on their own time, we would be happy to compensate them. Our plan is to make these available to every CSAT member for their use, if they choose to do so. Most will believe a coupte of companies are already using their own versions. We have also had the Best Practices posters and brochures into Spanish. Many companies will use both English and Spanish versions. if you would like to put the Spanish translations on the (3000 web site for all CABS (including members) to use if they'd like, I'm confident could get our companies to approve it. Let me know, thanks, Rob The information contained in this communication is intended only for the use of the addressee. It is the property of ViaNovo. LP. Unauthorized use, disclosure or copying of this communication is strictly prohibited. if you have received this communication in error, please notify us immediately and destroy this email including all attachments. Robert W. Norcross, Jr. 0 3'l7.49t.7'1tO 817.719.9200 (3 214.802.6466 ViaNovo, LP 2225 W. Southlake Blvd, Suite 423 Southleke, TX 13/2013 PRESTAMO DE DE AUTOMOVILMPAGOS MULTIPLES Uno puede A perder su aufdm?vil Si am: no hace un page 0 haze un tardi? su au- tom?vil puede ser reposefdo. acu?nto lnter?s costaria un Taza de Pr?stamo: Gastos Incluye $33 para adquifir elceriificadodellituto. 1 . 2.Se..m.anas_ .. {flag I . . Cantadad Pagomnaufl 0 . 6 3 meses I. . ntuio I 4 ha' . fig-S" - . Ls infoanacfdn daipaga qua ss damuaslra as an ejampfo -E mflajalas gastos da inlor?s 3? pago final cargada 3! pn?slamo par prasrarfa negocia da access do crridfrp. 5,355 necesario pedir dinero prestado? ?_Puedo pagar el pr?stamo comgleto para la fecha requerida? .aPuedo pager mis gastos pagar (R) este pr?stamo 2.4 personas renoverein su pr?stamo 1 0 2 veces (R) .iPueda pagar estcs cargos dermis I 1.3 personas renover?n su pr?stamo 3 0 4 veces cargos qua quizas 55 apnquefl 5i falto un page? (R) (R) 3.6 personas renoveran su prestamo 5 veces mas ?fixisten otras de 6' to disponibles? dificada Flnancfera dc Tennessee "'EIrepor'te dz Induxrrla dc tftula de 2019' I Mama- 0). lnfarmodm 5: how an elacucrda de la gntrarltfa do mains can dc am sofa pugs; fa: opclarres dc pagospuedcn hr: I Form Rev: December 2012 ADELENATOADO EN DEL PR Esmmo Calflulaa-?n de pr?Sta_ mraa?s PAGADO La cantidad qua Ud. Va a pagar en Inter?s para ei pr?stamo. mo CANTIDAD TOTAL DE GASTOS La cantidad de diners que Ud. va a pagar en gastos para ei pr?-sta- mo! Comparacion de c93- TGTAI. DE PAGOS La cantidad qua Ud. va a pagarsi ud. paga at pr?stamo a tiempo. COS ANNUAL ms m*rmEs (APR) Pf?mmas deswdo Pr?stamos de tftulo de autom?vfi Tarjeta de cr?dito Pr?stamos asegurados Prestarin de firms Pr?stamos de empefio . Par cada $100 prestada durarnte 2 semanas 0 Pr?starnos de titulo de autamdvil dg maid.) 3 Tarjeta de cr?dito Pr?stamos aseguradas Prestario de firma Pr?starnas de emfiefia 0 . E. . Pram edio de cantidad de gastos in rare': Si ud. quisiera registrar una 3htar1?t_ fig ?05 pr?stamos dc tftufo de autom?vfl son desenbafsos en efectiva par cubrfr necesidades financiems. Coma prestarios en este tips :13 pr?stamb se requiem el uso def titufo de su automcivfi coma collateral para 9! pr?stamo. Se requiere que usted firme an acuerda dc pr?stama que Informard Ia cantidad deseada, Ia tasa anua! dc inter?s, in cantfdad en intereses gastas {as t?rminos de page de! pr?stamo. Un pr?stamo de fitula de autam?ufl as am: de fas opciones m?s customs dfspanibfes en t?rminas de pr?stamos para usted. Pr?stamos de tftufa de autamovfl se refieren tambi?n coma pr?stamos de titulo de automci via', pr?stam as de rule, a pr?stam as de garan (in. Es posibie qua sea requerido que U6. autorice efdesembolso d? dine- ro de su cuenta de cheques 0 escriba cheques de su cuenta pen sonal para pagar ei pr?stamo. d. queja preggnta en .: respeto a un pr?stamo de In tftulo Oficina del comisionario de cr?dito al consumidor Uckpuede comparar todas Eas op- ciones de pr?stamos disponibles Ud. puede escoger la mejor opci?n. 6 Ud. puede evitar gastos adicionales 800__538__1579 aims failar enios pagosyala vez . .. pagar ei pr?stamo a tiempo. NOTIFICACICIN OFICIAL DEL ESTAIJO DE TEXAS: Esta al consumidor ha sicio provefda an awards con fa seccifm 393.223 de! CCDDIGO HNANCIERO Farm Rev: PRESTAMO DE UN SOLO PAGO perder su autom?vil Si uric no hace an page tardi? su automdvi! puecie se reposefdo. ?Cu?nto Costa Ha Taza de Pr?slamo: Gastos 3. mes Inciuye $33 para adquirir 9! I cerfificadodeilitulogsegy . . I de htuio de La fnfoanaddn def page qua so damuaslra as an :9jamp!a qulzas no mfleje has gasros acfuafas cmyos do inrer?s cobrado par 6! I a um ova 3 meses .?Es necesario pedir diners De {cars 10 personas que sc.-ficiten un pr?stamo de tftuia de aw prestada? pagar el prestamo . 2.7 no renover?n sus pr?stamos de tftulo au-- comgleto en un mes? tom?uii .-_Puedo pagar ITIIS gastos pagar 2.4 perscmas renouerain su pr?stamo 1 2 este pr?stamo 3; veces . a if -- &Puedo pagar estos cargos dermis 1.3 personas renover?n su pr?starno 3 a 4 cargos qua qugzas Se apfiquen Si falto cm a 0? (R) (R) a 3.6_personas renover?n su pr?stamo 5 veces m?s otras opciones de cr?dito ti} disponibles? dc! Departments financiers dc Tennessee reporter dc lndusrrla Garantfa <> ro de su cuenta de cheques 0 escriba cheques de su cuenta per- sonaf para pagar ei pr?stamo . Ucipuede comparar todas {as apciones de pr?stamos disponibies Ud. puede escoger la mejor op- ci?n. Ud. puede evitar gastos adicionales at no failar en 105 pages 3: a 33 we: pagar ei pr?stame a tiempo. OFIGAL DEL ESTADO DE TEXAS: Esta informaaizi-n al consumidor ha sido provefdb en acuerdo can :3 secci?n 393.223 dei cameo FINANCRERO Form Rev: December 2012 PRESTAMO DE SUELDOWUN SOLO PAGO .?5.sa :g-??r?a?t?rww?gi?g' i"ad"3"" er' g?_Cuanto costana '3'-gal Hfi a 3 31' Iziiter?s TazadePr?stamo: sueido lmes Gastos 9, Lf; . -.. . - Esta informaci?n es un ejemplo es posibie qu_e no refleje Ios gastos inter?s actuales cohrado para un pr?stamo por el prestario fb De fas 10' personas que solicifen an prtisfamo de 355 necesario pedgr diner-3 d? aufom? vii. .. prestado? fi fij' 2 1/2 no renover?n sus pr?stamos de tftuio 9 ?puedo 93337 9' prestamo I I I automcmi Ia rrjayorla en 2_semanas) cam 'em an dos Semanas? 2 personas renoverain su pr?stamo WW ?,Pueclo pagar mus gastos 1 0 2 veces .5 pagar este pr?stamo - 1 1/2 personas renoueran su prestamo 3 0 4 W7 veces apuedo pagar estos cargos (R) (R) 4 personas renaveran su prestamo 5 veces demas cargos qua qmzas mas se apliquen si falto un Mud]? dad-ell} 1 ca epartmento Financfero de Tennessee Etrepartc dc Indusrrla dc Hrufo de 2910'! Marzo 2010}. lnfarrnacfdn 5: base: rm 9! aw:-rdn de la gararzrfa dc Maia: mu dc an 5013 pnaoflus endow dc Wavspuedcn varfar 4? afixnsten GU85 de cr?dito disponibles? 3' t:?zig r"hfa NOTIFICACIGN OFICIAL DEL ESTADO DE TEXAS: Esta infofimaci?n at consumidor ha sido an awards con la secci?n 393.223 del CGDIGO FINANOERO Form Rev: RDELENATADO EN EFECTIVOICANTIDAD DEL PRESTAMO imsra?s PAGADO La cantidaci qua Ud. va a pager en inter?s para el pr?stame. CANTSDAD TOTAL DE GASTOS La cantidad de dinero que Lid. va pager en gastos para ei pr?stamo. TOTAL DE PAGOS TASA ANNUAL ms srurea?s 9, inter?s anual qua Ud.va a pager m?s gastos para este pr?stamo. de Pr?stamos asgguradns Prestario de firma Pr?starnns de empefio Par cedar $100 prestado durante 2 semanas Pr?stamas de titulo de autorn?vii Prestario de firms Pr?stamos de empefio -Tarjeta de cr?dito Pr?stamos asegurados a A at'; . Cantfdad promedfo de fnter?s gastas Calculaci?n de pr?$ta~ mo Compamci?n de castes Pr?stamos de sueldo Pr?stamas de tftuio de autom?wii u' . 't 5 Pr?stamos de sueidu 0301503 5 Las pr?stamos de sueido son desemhoisos en efectiuo para cubrir necesidades financieras. Como prestaria en este ripe fie pr?stamo se requiere su firma en un acuerdo que indica Ea cantidad que usted a pedido, el inter?s anuai para ei pr?stamo, ?a cantidad Enter?s gas- tos que se pueden cabrar para este pr?stamo los t?rminos de costo de este pr?stame. Pr?stamos de sueidos pueden ser una de {es opciones m?s costosas isponible para Listed. Pr?stamos dc sue!a'o :1 veces se Ies refieren camo pr?stamos de efectivo adelanrado, dep?sito atrazado a pr?~ stam as de presen tacfcin deferfda. Si ud. quisiera registrar una |ueja 0 pregunte en respeto 'a un pr?stamo de fcitulo Oficina del comisionario de cr?dito al consumidor - 'buseando intoermeariia 6 d?9G 9 Es posibie que sea requeride que Ud. autorice el desemhoiso de dine-- re de su cuenta de cheques 0 escriba cheques de su cuenta per- sona! para pager ei pr?stame . Ud.puecie comparar todas las op>> ciones tie pr?stamos disponibles ud. puede escoger la mejor opci?n. Ud. puede evitar gastos adicicmales ai no faliar an 505 pages 5' a Ia vez pagar el pr?stamo a tiempo. NDTIFECACMEN OFICIAI. DEL ESTADO DE TEXAS: Esta informacicfm ai consumidor ha sido provefdo en acuerdo con ia secci?n 393.223 del FINANCIERO Form Rev: December .2012 Rudy Aguilar - Fwd: Spanish Translations From: Rudy Aguilar To: Date: 11/6/2012 10:31 AM Subject: Fwd: Spanish Transiations Attachments: Spanish Transiations Sony this took so long attached are the edited copies of the disciosures. Rudy Aguilar 1 O0 1 242424 I 2/130013 PRESTAMO DE TITULO DE AUTOMGVILQ-PAGOS MULTIPLES Ud. puefie perder st: mxmm?vil 5% Listed no hace un page 6 lo hace tarde su au- tom?vil puede ser reposeido. I 5 Cua nto me Tasa anuaf de interest I costana un Gastos I Incluye 01 mesiamo de . =1 semanasv - ganfidad (59 Page r: hiuio de 3 2 1 mes Pago{fmar)# tomowi? 6 3 meses 'Esta 9; refleje {as cargos extras 9 Fnlar?ses actuafas oobrados pot Page fi ea' prestamfsta 0 par la Agenda da Negocics Cr?dfra. c'.Es necesario pedir dinero prestado? er ?Puedo pagar el pr?stamo De :0 persona; qua soficifen an prtisfamo J9 {Hula de arufomd vi}. . . corngieto para la fecha requerzda? (R) ?Puedo pagar mis gastos pagar es- Z.7 no renovar?n sus pr?stamos de tftuio cie autom?vil te pr?stamo 'g (R) (R) a ?fuedria pager estos cargos extras, W7 2.4 personas renovarain su pr?stamo 1 2 veces intereses I05 gasws qua quizas 58 a If apiiquen si fatto a un page? I 1.3 personas renovar?n su pr?stamo 3 4 veces E-Existen (mas Opciones de cr?dito disponibles? 3.5 perscmas renovar?n su pr?stamo 5 veces :3 m?s Madificazfo par 2! Deparrmenfo dc: Tennessee flreparte de Jndustrla Garanltfa dz tftufa de 2510" {Mano 2010). Inlormacfm :9 burn an ea' awards de la garanrfn dc tftufos can t?rmfnos de un sale page; {as apclomzs dc przgas pueden warfar. OFICIAI. DEL ESTABO DE TEXAS: Esta informaci?n ai consumidor ha sido proporciorzada en acuerdo con Ea secci?n 393.223 dez cameo FINANGERO Farm Rev: December 2012 Ccilculo del pr?stamo ADELANTO EN DEL PRESTAMO PAGO INTERESES La cantidad qua Ud. va a pager de inter?s pm at pr?stamo. Camnonn TOTAL ms GASTOS Conipcimci?n de (305-- La ca ntidad de dinero que Ud. va pager en gastos por et pr?stamo. 0.5' TOTAL DE PAGOS La cantidad qua Ud. va a pager si mi. pegs ef pr?stamo a tiempo. Pr?stamos tie sueido TASA ANUAI. oz INTI-IRES (APR) 9,5 Ef inter?s anual qua Ud.va a pagar m?s gastas par este pr?stamo. .33 de Targeta de credsto Pr?stamos asegumdos Pr?stamos de Prestamos de empeno 4' \9 firma pf?staf-no de Par cada $100 prestados durante 2 sema- firma Pr?stamns de titulo de autornovi! de waldo Tarjeta de cr?clito Pr?stamos asagurados '39 8919959 :7 M. I . I - Avemge Amount of Interest Fees Las pr?stdmas de tftufa de autam?ui! son adelantos en efectivo proparcionados a! solicitante par cubrir necesfdades financferas. Coma soiicitante en este tipa de pr?stamo se requiere e! um def ritufo de su autam?vi! coma cofateraf para 8! pr?stamo. Se requiere que usted firms an acuerda de mo que infarmard Ia cantfdad deseada, Ia tasa anua! de fnter?s, la cantidad en fntereses, gastas I03 t?rminos de page del pr?stamo. Ur: pr?stamo de tfrulo de autom?vi! es una de {as apciones mtis costosas disponibfes en t?rminos de pr?stamos para usted. Pr?sramos dc tftufa de se re<< fieren tambf?n coma pr?stamas de tftufo de automrivii, pr?stamas de titulo, pr?stamos de gamntfa. .d . < 6 Should you have any questions about this request, please do not hesitate to contact the 7? undersigned. uld Sincerely yours, Steven S. Camp Exhibit A Credit Access Businesses Cash America Pawn Cash America Payday Advance Texas Car Title and Payday Loan Services Texas Car Title Premium Title Lending PLS PLS Loan Store PLS Check Cashers EZMONEY Payday Loan EZMONEY Loan Service EZPAWN Value Gold EZPAWN Express Jewelry Loans Advance America Ace Cash Express The Cash Store Cash Store Cash ASAP Check into Cash Check '11 Go First Cash Pawn First Cash Advance National Pawn First Cash Direct LoanStar Title Loans Moz1eyMax Title Loans Cash Biz Speedy Cash Rapid Cash Cashmax Title Loan TitIeMax Titlebuoks DALLAS 2342234v.l Steven S. Camp 214-999-41354 -- Direct Dial 214-9993354 Direct Facsimile scamp@gardere.com Ms. Laurie B. Hobbs Assistant General Counsel Office of the Consumer Credit Commissioner 2601 N. Lamar Austin, TX 78705 RE: Requestfor Complaint Summaries Against Certain Credit Access Businesses. Dear Ms. Hobbs: I am writing to request eepi all eensumer and -gulatory complaints received by the Office of the Consumer Credit Commission (the against the credit access businesses listed on Exhibit A attached hereto from January 1, hreugh July 31, 2012 and which de--ee'b relate to operations in the ity of Dallas, Texas. ~lt--is--e-1-y erstandi aim-:m that the redact all personal financial information of consumers, all proprietary infonnatio? m1g1c md all personal e~rnai1 address from such summaries. Should you have any questions about this request, please do not hesitate to Contact the undersigned. 1 I - Sincerely yours, L?fllz' 5694, (J L4) fli. Steven S. Camp Exhibit A Credit Access Businesses Cash America Pawn Cash America Payday Advance Texas Car Title and Payday Loan Services Texas Car Title Premium Title Lending PLS PLS Loan Store PLS Check Cashers BZMONEY Payday Loan EZMONEY Loan Service EZPAWN Value Gold EZPAWN Express Jewelry Loans Advance America Ace Cash Express The Cash Store Cash Store Cash ASAP Check into Cash Check 'n Go First Cash Pawn First Cash Advance National Pawn First Cash Direct LeanStar Title Loans MoneyMax Title Loans Cash Biz Speedy Cash Rapid Cash Cashmax Title Loan Titlelvlax Titlebucks DALLAS 2342234v.2 Page 1 of 1 Laurie Hobbs -- Credit access business consumer complaints . From: Rob Norcross <1 To: Laurie Hobbs Date: 10/23/2012 7:24 PM Subject: Credit access business consumer complaints Laurie, We have an association board of directors meeting next Monday afternoon. Have you had a chance to look at the draft information request? Does it still make sense to submit one request for Dallas complaints and another for the rest of the state, or should we combine them? If things are still very busy, we still have time before the deadline we been given (they'd like the request to be' submitted by December just let me know when you have the Thanks so much, Rob The information contained in this communication is intended only for the use of the addressee. it is the property of VENOVO, LP. Unauthorized use, disclosure or copying of this communication is strictly prohibited. if you have received this communication in error, please notify us immediately and destroy this email including all attachments. Robert W. Norcross, Jr. Office Fax 214.802.6466 Mobile \/ialxlovo, LP 2225 W. Southlake Blvd, Suite 423 Southlake. TX 76092 gwdomaingwpost 1 00 I 2/13/2013 Page 1 01 1 Laurie Hobbs Consumer Complaints -- CABS From: Rob Norcross A To: Laurie Hobbs Date: 10/25/2012 8: 1 7 PM Subject: Consumer Complaints - CABS Attachments: Complaints Da11asa.doc; Complaints Texas.doc Laurie, Attached piease find the drafts of the letters requesting the consumer complaints for Dallas and the remainder of the state. Thanks Rob The Information contained in this communication is intended oniy for the use of the addressee. It is the property of ViaNovo, LP. Unauthorized use, disciosure or copying of this communication is strictly prohibiied. If you have received this communication in error, piease notify us immediately and destroy this emait inciuding an attachments. Robert W. Noroross, Jr. Office 81 731 9.9200 Fax 214.802.6466 Mobile Viahiovo, LP 2225 W. Southiake Blvd, Suite 423 Southlake, TX ?'6092 1 001 2/13/2013 Steven S. Camp 214999-4354 -- Direct Diai 214-999-3354 Direct Facsimile scamp@gardere.com September W, 2012 Ms. Laurie B. Hobbs Assistant General Counsel Office of the Consumer Credit Commissioner 2601 N. Lamar Austin, TX 73705 RE: Request for Complaint Summaries Against Certain Credit Access Businesses. Dear Ms. Hobbs: I am writing to request copies of the summaries of all consumer and regulatory complaints received by the Office of the Consumer Credit Commission (the against the credit access businesses listed on Exhibit A attached hereto from January I, 2013 through July 31, 2012 and which relate to operations in the City of Dallas, Texas. It is my understanding that the maintains a summary of any such complaint from beginning though resolution. I would ask that the redact all personal financial information of consumers, all proprietary information, bank account numbers, and all personal address from such summaries. Should you have any questions about this request, please do not hesitate to contact the undersigned. Sincerely yours, Steven S. Camp Exhibit A Credit Access Businesses Cash America Pawn Cash America Payday Advance Texas Car Title and Payday Loan Services Texas Car Title Premium Title Lending PLS PLS Loan Store PLS Check Cashers EZMONEY Payday Loan EZMONEY Loan Service EZPAWN Value Geld EZPAWN Express Jewelry Loans Advance America Ace Cash Express The Cash Store Cash Store Cash ASAP Check into Cash Check 'n Go First Cash Pawn First Cash Advance National Pawn First Cash Direct Loanstar Title Loans Moneylvlax Title Loans Cash Biz Speedy Cash Rapid Cash Cashmax Title Loan TitIeMax Titlebueks DALLAS Steven S. Camp 21-$999-4354 Direct Dial 214-999-3354 -- Direct Facsimile soamp@gardere.com September 2012 Ms. Laurie B. Hobbs Assistant General Counsel Office of the Consumer Credit Commissioner 2601 N. Lamar Austin, TX 78705 RE: Request for Complaint Summaries Against Certain Credit Access Businesses. Dear Ms. Hobbs: I am writing to request copies of the summaries of all consumer and regulatory complaints received by the Office of the Consumer Credit Commission (the against the credit access businesses listed on Exhibit A attached hereto fiom January 1, 2013 through July 31, 2012 and which do not relate to operations in the City of Dallas, Texas. It is my understanding that the maintains a summary of any such complaint from beginning though resolution. I would ask that the redact all personal financial information of consumers, all proprietary information, bank account numbers, and all personal e~--mail address from such summaries. Should you have any questions about this request, please do not hesitate to contact the undersigned. Sincerely yours, Steven 8. Camp Exhibit A Credit Access Businesses Cash America Pawn Cash America Payday Advance Texas Car Title and Payday Loan Services Texas Car Title Premium Title Lending PLS PLS Loan Store PLS Check Cashers EZMONEY Payday Loan EZMONEY Loan Service EZPAWN Value Gold EZPAWN Express Jewelry Loans Advance America Ace Cash Express The Cash Store Cash Store Cash ASAP Check into Cash Check 'rs G0 First Cash Pawn First Cash Advance National Pawn First Cash Direct Loanstar Title Loans Moneylvlax Title Loans Cash Biz Speedy Cash Rapid Cash Cashmax Title Loan TitleMax Titlebucks DALLAS Page 1 or -9.: rv . Laurie Hobbs - Re: Consumer Complaints - CABS From: Laurie Hobbs To: Norcross, Rob Date: 11/14/2012 5:05 PM Subject: Re: Consumer Complaints -- CABS Attachments: Daiias CAB Summ PIA Draftdoc; Statewide CAB List PIA Draftdoc Rob, iam writing to follow up on your email below and I apologize for the delay in getting back with you. I have attached revised versions of the draft request letters for the CAB complaint information in accordance with our discussion. The request for the Dallas complaint summaries matches the dates from the City of Dallas' request. The second request for a complaint spreadsheet of statewide complaints runs from January 1 through August 31 of this year. I believe that the suggestions contained in these drafts will allow you to request the information you are seeking and that the upfront redaction of confidential information should allow us to process these requests fairly quickly. We appreciate your patience and will be iooking for the officiai submission of these requests. Please let me know if you have any questions. Sincerely, Laurie B. Hobbs Assistant General Counsel Office of Consumer Credit Commissioner ?512} 936-7621 Rob' Norcross 10/25/2012 8:16 PM Laurie, Attached piease find the drafts of the letters requesting the consumer compiaints for Dallas and the remainder of the state. Thanks Rob The iriformation contained in this communication is intended only for the use of the addressee. It is the property of ViaNovo, LP. Unauthorized use, disciosure or copying of this communication is strictly prohibited. if you have received this communication in error, piease notify us immediately and destroy this emai! inciuding alt attachments. Robert W. Norcross, Jr. 817.491.7110 Office 817.719.9200 Fax fi 0A3 CF5Fgwdomaingwpost100i 2/13/2013 Page 2: 01;: 214.802.6466 Mobile \/iaNovo, LP 2225 W. Southfake Bivdi, Suite 423 Southiake. TX 76092 ?m.vw.vianovo.com OA3 CF5 Fgwdomaingwpost 1 001 2/ 1 3X20 1 3 Steven S. Camp 2l4--999-4354 {Direct Dial 2 Direct Facsimile scamp@garclere.com November XX, 2012 DALLAS CAB COMPLAINTS SUMMARIES PIA REQUEST DRA FT Ms. Laurie B. Hobbs Assistant General Counsel Office of Consumer Credit Commissioner 2601 N. Lamar Blvd. Austin, TX 78705 RE: Request for Dallas Complaint Summaries Against Certain Credit Access Businesses Dear Ms. Hobbs: I am writing to request copies of the summaries of all consumer Complaints received by the Office of Consumer Credit Commissioner (the against the credit access businesses listed on Exhibit A from December l, 2010, through June 13, 2012, and which relate to operations in the City of Dallas, Texas. It is my understanding that the maintains a summary of any such complaints from beginning though resolution. I would ask that the redact all personal financial information of consumers, all proprietary information, bank account numbers, and all personal e-mail addresses from such summaries. Should you have any questions about this request, please do not hesitate to Contact me. Sincerely yours, Steven S. Camp Exhibit A Credit Access Businesses Cash America Pawn Cash America Payday Advance Texas Car Title and Payday Loan Services Texas Car Title Premium Title Lending PLS PLS Loan Store PLS Check Cashers EZMONEY Payday Loan EZMONEY Loan Service EZPAWN Value Gold EZPAWN Express Jewelry Loans Advance America Ace Cash Express The Cash Store Cash Store Cash ASAP Check into Cash Check Go First Cash Pawn First Cash Advance National Pawn First Cash Direct Loar1Star Title Loans Mane}/Max Title Loans Cash Biz Speedy Cash Rapid Cash Cashmax Title Loan TitIeMax Titlebucks DALLAS 2342234v.l Steven S. Camp 2l4~999--43 54 -- Direct Dial 214-999-3354 Direct Facsimile scamp@gardere.com November XX, 2012 STA TE WIDE CAB COMPLAINT SPREADSHEE PIA REQUEST DRAFT Ms. Laurie B. Hobbs Assistant General Counsel Office of Consumer Credit Commissioner 2601 N. Lamar Blvd. Austin, TX 78705 RE: Request for Statewide Complaint Spreadsheet Against Certain Credit Access Businesses Dear Ms. Hobbs: I am writing to request a spreadsheet or list summarizing all of the consumer complaints received by the Office of Consumer Credit Commissioner (the against the credit access businesses listed on Exhibit A from January 1, 2012, through August 31, 2012, for the entire state of Texas. I would like to request that the spreadsheet compiled from the consumer complaint database include the following fields: Call Date; Close Date; (Texas Finance Code) Chapter; (complaint) Type; Corzsumer fields: Last Name, First Name, Address, City, State, Zip Code, Phone, Pho11e2; Received From; Referred To; Company Fields: Master File Number, License Number, Company, Contact First Name, Contact Last Name, Contact Title, Company Address, Company City, State, Zip Code, Company Phone, Company Fax; Days Calculated, and Status (open/closed). Also, I give the the permission to specifically exclude these fields: (1) "Monetary" (2) "E-Inail Address" (both for consumer and company); and (3) "Complaint/comrne11t" or notes. Should you have any questions about this request, please do not hesitate to contact rue. Sincerely yours, Steven S. Camp Exhibit A Credit Access Businesses Cash America Pawn Cash America Payday Advance Texas Car Titlehand Payday Loan Services Texas Car Title Premium Title Lending PLS PLS Loan Store PLS Check Cashers EZMONEY Payday Loan EZMONEY Loan Service EZPAWN Value Gold EZPAWN Express Jewelry Loans Advance America Ace Cash Express The Cash Store Cash Store Cash ASAP Check into Cash Check 'n G0 First Cash Pawn First Cash Advance National Pawn First Cash Direct LoanStar Title Loans Moneylvlax Title Loans Cash Biz Speedy Cash Rapid Cash Cashmax Title Loan Titlelvlax Titlebucks DALLAS 2342234v.2 Page 1 of 1 Laurie Hobbs Fwd: Appleseed information request - 3rd party lender lists in sea) . From: Se-aiy Hutchings To: Hobbs, Laurie Date: 11/14/2012 10:37 AM Subject: Fwd: Appfeseed information request 3rd party iender iists Attachments: Appieseed information request -- 3rd party lender lists FYI Sealy Hutchings General Counsel Office of Consumer Credit Commissioner 2601 North Lamar Austin, Texas 78705 Te-iephone 512.936.?623 Fax 512.936.7610 file://I' sersf Ihobbs/AppData/Local/'1" SOC5F2ACgwdomaingwp0st1 00. .. Page I of 1 . Laurie Hobbs - Appleseed information request - 3rd party lender lists -ww-st -.-- WW7 .. -- .-.4 From: Rob Norcross To: "Sealy Hutchings Date: 11/14/2012 8:53 AM Subject: Appleseed information request 3rd party lender lists Seaiy, As you probably predicted, CSAT has members that are all over the place on this request. Some are unconcerned, citing contractual requirements and SEC disclosures. Others want to aggressively fight disclosure. Within this crowd, the reasons are as varied as they are, at times, amusing. CSAT has retained counsel to advise the member companies about their options. They recommended I reach out to the to determine whether the agency had a preference for a policy) about how we construct the response to the Texas AG's Office. We would prefer to fill one response on behaif of the entire industry. We could urge every company to submit a response, or have everyone Sign one response, but we'd never be successful in capturing all of the small CABS who are not members of the association. Our counsel has confirmed the obvious (well, it was obvious to most of them) that the AGS Office will rule on whether the information should be disclosed, but it will be up to the to actually do the work and prepare the information. is there a way we can cover everyone and keep you from having to segregate responders from norwespooders if the A6 says the information should be disclosed and the responders decide to appeal? ijust found out one of the small CAB groups is having a webinar this afternoon. Their email says they are trying to get everyone to file separate responses. Again, do you have the discretion to simpiify the process? Also, if there is someone else in your department that is handling this, please iet me know. til give you a call later this morning. Thanks, Rob The information contained in this communication is intended oniy for the use of the addressee. it is the property of ViaNovo. LP. Unauthorized use, disclosure or copying of this communication is strictly prohibited. if you have received this communication in error, please notify us immediately and destroy this email inciuding all attachments. Rot;-ed W. Norcross, Jr. Office Fax 214.802.6466 Mobile ViaNovo, LP 2225 W. Southlake Blvd, Suite 423 Southiake, TX ?6092 Page 1 of 2 Laurie Hobbs - Fwd: - Open Records Request Protest Letter -- Attorney General Ruiing - Gardere Opt-In Frorn: Sue Jevning To: Hobbs. Laurie Date: 1/31.32013 11:51 AM Subject: Fwd: -- Open Records Request Protest Letter - Attorney General Ruling - Gardere Opbin Attachments: imagefllijpg: imagefimjpg; imageG19.jpg: imageD2D.jpg: irnageG21.jpg Laurie, ldidrft know ifyoo knew about this. or were interested. it appears to be another Filing of suit protesting the release ofiniormaiion. Sue "Ciay Chancey' 1/31/2013 9:56 AM sri?iog information i mm grocesses . and Sago! operations." a We received the following email from the Garciere Wynne Sewell law firm. You may reach Steven at this email address should you have an interest in participating in the appeal: Dear Interested Party: As you are aware, Texas Appleseed requested that the Texas disclose the identity of lenders used by Cfilfis. Most of the industry objected to the release of the information. For ali bot two CABS, the Texas Attorney General has ruled that the Texas must disclose information concerning the identity of lenders who originate loans through CA8's in Texas. At present, Garclere is preparing a law suit which wiil be filed to prevent the release of information. The Gardere suit will adopt positions proviousiy advanced and the position advanced and accepted by the Texas Attorney General with respect to the two C1185 which received favorable rulings. This suit will he filed on behalf of CSAT and its members. There were a number of non-members who opted into the response file with the Texas Attorney General. if you or a CAB that you represent would like to gpgegifscalig opt into the Garden: filing, please send me a confirming omaii by 10:05 am on Friday, February 1. Please list the formal legal name of the CAB. I have attempted to circulate this list to all of the interested parties of whom I am aware. If you know of someone who should receive this email, piease feel free to circulate. Steven S. Camp 1 Partner Garden: Wynne Sewell LLP {Sim Stroot, Suite 3000 1 Dolias. TX 75201 214.999.4356 dirocl 214.939.3354 fax Questions? The fastest way to get answers is to or Otherwise we wili work hard to contact you within 24 hours at 214-614-8244 x2 or 888-717-1107 :42 To piaam mm to Advantage l/er1Trac 18 at Sp-ecrarazed Rn.-ice Trllo tenders Electronic Oehit Non Eifoctiva Collection and Lowercoat than check Deposits Easy to Lisa Wohsita To Start Collecting; More CALL . 2fl4X2013 Page 2/14/2013 . it jj?39?1 I From: To: CC: . Date: PM Subject: (JAG ietter ruling OR2013-01094: Suit fried CSAT has filed suit chatienging the recent OAG letter ruiing on behalf of at! its members, non>>-member CABs and lenders that have expressly authorized it to-tile suit on their behalf, and all CABS and reiated lenders licensed in Texas. i forward a copy of the t"ile~marked Petition as soon as we receive it from the cierk's office. Piease confirm that wit! not release any of the requested Schedule 8 forms during the pendehcy of the iitigation, and feel free to contact me directiy should you have any questions. Robert F. Johnson til Gardere Wynne Seweii LLP 600 Congress Avenue, Suite 3000 ]Austin, TX 78701 512.542.7127 direct 512.542.7327 fax -~--~--Origina1 From: Sent: Friday, February 01, 2013 12:11 PM To: JOHNSON, ROBERT Subject: Filing Trace Number has been received by the eFiling for Courts PLEASE DO NOT REPLY TO THIS EMAIL. This email acknowledges that a tiling with the following information was received from the Electronic Filing Service Provider and has been transmitted successfully to for Courts: for Courts Received Date/Time: Friday, February 01, 2013 12:10 PM Delivered to Court: Travis District - Civil Time Zone of Jurisdiction: Centrai Time (US 8: Canada) Trace Number: ED227J017303626 Ofiicial Date/Time: Friday, February 01, 2013 12:10 PM Cause Number: Style/Case Name: Consumer Service Aliiance of Texas, et at. v. Greg Abbott, Attorney General Title of Document: PIA Petitionpdf Thank you, eFiling for Courts Contidentiaiity Notice: The information in this emaii may be confidentiat and/or privileged. This emaii is intended to be reviewed by oniy the individuai or organization named above. If you are not the intended recipient or an authorized representative of the intended recipient, you are hereby notified that any review, dissemination, use or copying of this emait and its attachments, if any, or the information contained herein is prohibited. H.Qb_b5. ?353 C353 Wile 390.1 394i filed P399 .1. 1 From: To: CC: - Date: 2/1/2013 2:09 PM Subject: RE: OAG letter ruling OR2013-01094: Suit filed Attachments: FILED ORIGINAL Attached is the citation and tile--merl< Ro b, Are you referring to the attached files. They limit CABS to only be able to obtain credit for consumers by obtaining a CAB license. Additionally, the language limits the CAB to either a payday loan or a motor vehicle title loan and no other security than a check or the title to the motor vehicle. See what you think. Sealy Sealy Hutchings General Counsel Office of Consumer Credit Commissioner 2601 North Lamar Austin, Texas 78705 Telephone 512.936.?623 Fax 512.936.7610 Rob Norcross 11/26/2012 2:09 PM Back to my office now and was able to pull up the interesting approach on the large transaction. l'il proceed with that. I think we have folks leaning toward the true daily earnings method. i'm getting feedback that giving folks a choice is an unnecessary complication. Didn't you edit the uniformity language gave you to noodle over? if you can find it, could you send it? (or maybe we just talked about it Fm still looking for my file from our meeting. it's around here somewhere. The information contained in this communication is intended only for the use of the addressee. It is the property of 'y'iaNovo, LP. Unauthorized use, disclosure or copying of this communication is strictly prohibited. if you have received this communication in error, please notify us immediately and destroy this email including all attachments. Robert W. Norcross, Jr. 817.491.7110 Office Fax 214.802.6466 Mobile Viahlovo. LP 2225 W. Southlake Bivci, Suite 423 Souihiake. TX 76092 Sent: Monday, November 26, 2012 2:02 PM To: Rob Norcross Subject: Uniformity not preemption Rob, The two fiies that I forwarded you in the previous emaii force an CABS to negotiate ioans that either used the schedule installment earnings method or the true daily earnings method of caicuiating interest. Additionaiiy, the second file would recognize the 180 day limitation and would prohibit a CAB from earing an additionai fee on any refinance, but allow the refinancing of the loan for another 180 period or iess. The combination of the two files would create fuiiy amortizing loans for Texas consumers. In other words, a prospective borrower know at the initial dosing how much it cost to pay off the loan. Seaiy Seaiy Hutchirags Generai Counsel Office of Consumer Credit Commissioner 2601 North Lamar Austin, Texas 78705 Telephone 512.936.7623 Fax 512.936.7610 Exclusive Nature of Chapter 393 Sec. 393.602. APPLICABILITY. This subchapter provides the only two woes of consumer credit a credit services organization that _m_a_y_obtains for a consumer or assists a consumer in obtaining an extension of consumer credit; The only forms of consumer credit a credit services oroanization may obtain for a consumer are: Sec. 393.601. DEFINITIONS. In this subchapter: (3) "Deferred presentment transaction" has the meaning assigned by Section 341.001. For purposes of this chapter, this definition does not preclude repayment in more than one instaliment, but may not be secured by real or personal property. (5) "Motor vehicle title loan" means a loan in which an unencumbered motor vehicle is given as the only security for the loan. The term does not include a retail installment transaction under Chapter 348 or another loan made to finance the purchase of a motor vehicle. Amend the definition of "credit services organization" in ?393.001 to limit the types of consumer credit a CS0 may negotiate for a consumer to a deferred presentment transaction and a motor vehicle title Ioan. ?393.001. DEFINITIONS. In this chapter: (3) "Credit services organization" is limited to meaee a person who provides, or represents that the person can or will provide, for the payment of valuable Consideration any of the following services with respect to the extension of consumer credit by others: improving a consumer's credit history or rating; (B) obtaining a deferred presentment transaction or a motor Vehicle title loan for a consumer; (C) providing advice or assistance to a consumer with regard to Paragraph (A) or Page I of 3 Laurie Hobbs - RE: Uniformity not preemption 1-uxwsaaxw be. From: Rob Norcross To: Sealy Hutohings Date: 11x'26/2012 3:55 PM Subject: RE: Uniformity not preemption take 3 look ifl can ever get off of the phone. I agree with the premise. But, what I was talking about was i gave you a couple of different paragraphs about statewide uniformity. One was a revised version of the language in the pawn statute. The other was a more rambling version about visitorial powers and regulated entities. I think (if Fm remembering correctly) that you cleaned those up and came up with a tight, easy to understand one or two sentence alternative about statewide uniformity. Do you recall, and if! wasn't dreaming that, could you send the draft in electronic form? As i said, 1 think you gave me a paper copy and it's lost in the "hoarder" mounds of paper here in my office. The information contained in this communication is intended only for the use of the addressee. it is the property of ViaNovo, LP. Unauthorized use, disclosure or copying of this communication is strictly prohibited. if you have received this communication in error, please notify us immediately and destroy this email including all attachments. Robert W. Norcross, Jr. 817.491.7110 Office 817.719.9200 Fax 214.802.6466 Mobile VlaNovo, LP 2225 W. Souihiake Blvd, Suite 423 Southiake, TX "/6092 Sent: Monday, November 26, 2012 2:53 PM To: Rob Norcross Subject: RE: Uniformity not preemption Rob, 1B9130gWdomaingwpost1001 2/13/2013 Page 2 of 3 Are you referring to the attached files. They limit CABS to only be able to obtain credit for consumers by obtaining a CAB license. Additionally. the language iimits the CAB to either a payday loan or a motor vehicle title loan and no other security than a check or the titie to the motor vehicle. See what you think. Sealy Seaiy Hutchings General Counsel Office of Consumer Credit Commissioner 2601 North Lamar Austin, Texas 78705 Telephone 512.936.?623 Fax 512.936.7610 Rob Norcross 11/26/2012 2:09 PM Back to my office now and was abie to pull up the interesting approach on the large transaction. Vii proceed with that. I think we have folks leaning toward the true daily earnings method. i'm getting feedback that giving folks a choice is an unnecessary compiication. Didrft you edit the uniformity language i gave you to noodle over? if you can find it, couid you send it? (or maybe we just talked about it i'm still iooking for my file from our meeting. lt's around here somewhere. The information contained in this communication is intended only for the use of the addressee. it is the property of Viaixiovo, LP. Unauthorized use, disclosure or copying of this communication is strictly prohibited. if you have received this communication in error, please notify us immediately and destroy this email including ail attachments. Robert W. Norcross, Jr. .71 10 Office 817.719.9200 Fax 214.802.6466 Mobile ViaNovo, LP 2225 W. Southiake Blvd. Suite 423 Southiake, TX 78092 gealy Hutchings Sent: Monday, November 26, 2012 2:02 PM To: Rob Norcross Subject: Uniformity not preemption 1B913 Ogwdomaingwpost 1 001 2/i3f2013 Page 3 of 3 Rob, The two fiies that I forwarded you in the previous emaii wit! force alt CABS to negotiate loans that either used the schedule installment earnings method or the true daily earnings method of calculating interest. Additionaily, the second file wouid recognize the 180 day limitation and wouid prohibit a CAB from eating an additional fee on any refinance, but aiiow the refinancing of the ioan for another 180 period or less. The combination of the two files would create fuily amortizing ioans for Texas consumers. In other words, a prospective borrower know at the initial closing how much it wiil cost to pay off the loan. Seaiy Seaiy Hutchings Generai Counsel Office of Consumer Credit Commissioner 2601 North Lamar Austin, Texas Telephone 512.936.7623 Fax 512.936.7610 1139 1 30gwdomaingwpost1 001 2/13/2013 Sealy Hutchings -- RE: Uniformity not preemption 4'9--u From: Seaiy Hutchings To: Norcross, Rob Date: 11x27/2012 8:02 AM Subject: RE: Uniformity not preemption Rob, 1 have a defaoit hearing this morning at 9:00. When it is over I give you a can to discuss the possibie amendments. Seaiy Seaiy Hutchings General Counsel Office of Consumer Credit Commissioner 2601 North Lamar Austin, Texas 78705 Telephone 512.936.7623 Fax 512.936.7610 Rob Norcross 11/26f2012 3:55 PM Hi take a took can ever get off of the phone. i agree with the premise. But, what I was talking about was i gave you a coupie of different paragraphs about statewide uniformity. One was a revised version of the language in the pawn statute. The other was a more rambling version about visitoriai powers and reguiated entities. i think (if i'm remembering correctiy) that you cieaned those up and came up with a tight, easy to understand one or two sentence alternative about statewide uniformity. Do you recaii, and if I wasn't dreaming that, could you send the draft in electronic form? As I said, I think you gave me a paper copy and it's lost in the "hoarder" mounds of paper here in my office. The information contained in this communication is intended oniy for the use of the addressee. it is the property of Viahiovo, LP. Unauthorized use, disclosure or copying of this communication is striciiy prohibited- if you have received this communication in error, please notify us immediately and destroy this email inciuding attachments. Robert W. Norcross, Jr. Office 817.719.9200 Fax 214.802.6466 Mobile Viehiovo, LP 2225 W. Southiake Bivd., Suite 423 TX 76092 From: Seaiy Hutchings Sent: Monday, November 26, 2012 2:53 PM To: Rob Norcross Subject: RE: Uniformity not preemption Rob, Are you referring to the attached files. They limit CABS to only be able to obtain credit for consumers by obtaining a CAB license. Additionally, the language limits the CAB to either a payday loan or a motor vehicle title ioan and no other security than a check or the title to the motor vehicle. See what you think. Seaiy Sealy Hutchings General Counsel Office of Consumer Credit Commissioner 2601 North Lamar Austin, Texas 78705 Telephone 512.936.7623 Fax 512.936.7610 Rob Norcross 11/26/2012 2:09 PM Back to my office now and was able to pull up the interesting approach on the iarge transaction. i'Il proceed with that. 1 think we have foiks leaning toward the true daiiy earnings method. i'm getting feedback that giving folks a choice is an unnecessary complication. Didn't you edit the uniformity language i gave you to noodle over? if you can find it, couid you send it? (or maybe we just talked about it i'm still looking for my file from our meeting. it's around here somewhere. The information contained in this communication is intended only for the use of the addressee. it is the property of ViaNovo, LP. Unauthorized use. disclosure or copying of this communication is strictly prohibited. if you have received this communication in error, piease notify us immediately and destroy this email inoiuding ail attachments. Robert W. Norcross, Jr. Office 81 7.?19.9200 Fax 214.802.6486 Mobile Viahiovo, LP 2225 W. Southfake Bivd., Suite 423 Southfake. TX ?'6092 From: Sealy Hutchings lmaiitorsealyl I I I I Sent: Monday, November 26, 2012 2:02 PM To: Rob Norcross Subject: Uniformity not preemption Rob, The two files that I forwarded you In the previous email will force an CABS to negotiate loans that either used the schedule installment earnings method or the true daily earnings method of calculating interest. Additionaliy, the second fiie would recognize the 180 day iimitation and would prohibit a CAB from earing an additional fee on any refinance, but allow the refinancing of the loan for another 180 period or less. The combination of the two files wouid create fuiiy amortizing ioans for Texas consumers. In other words, a prospective borrower wiil know at the initiai dosing how much it wilt cost to pay off the loan. Seaiy Sealy Hutchings Genera! Counse! . Office of Consumer Credit Commissioner 2601 North Lamar Austin, Texas 78705 Telephone 512.936.7623 Fax 512.936.7610 Page 1 of 1 .. Laurie Hobbs -- Limitation on security for loan From: Seaiy Hutchings Te: Rob Norcross Date: 11/27/2012 11:04 AM Subject: Limitation on security for loan Attachments: Limitation on Security.c!ocx Rob, Sorry, but I forgot to attached the file that wouid limit the security for a ioan negotiated by a credit access business. Sealy Seaiy Hutchings Genera! Counsei Office of Censumer Credit Commissioner 2601 "North Lamar Austin, Texas 78705 Telephone 512.936.7623 Fax 512.936.7610 file I139 1 4Egwd0rr1aingwp0st 1 001 2/13/2013 Sec. 393.601. DEFINITIONS. In this (1) "Commissioner" means the consumer credit commissioner. (2) "Credit access business" means a credit services organization that obtains for a consumer or assists a consumer in obtaining an extension of consumer credit in the form of a deferred presentment transaction or a motorvehicle title loan. (3) "Deferred presentment transaction" has the" meaning assigned by Section 341.001. For purposes of this chapter, this definition does not preclude repayment in more than one installment. (4) "Finance commission" means the Finance Commission of Texas. (5) "Motor vehicle title loan" means a loan in which an unencumbered motor vehicle is given as the only security for the loan. The term does not include a retail installment transaction under Chapter 348 or another loan made to finance the purchase of a motor vehicle. (6) "Office" means the Ofticeof Consumer Credit Commissioner. Sec. 341.001. DEFINITIONS. In this subtitle: (6) "Deferred presentment transaction" means an unsecured transaction in which: (A) a cash advance in whole or part is made in exchange for a personal check or authorization to debit a deposit account; (8) the amount of the check or authorized debit equals the amount of the advance plus a fee; and (C) the person making the advance agrees that the check will not be cashed or deposited or the authorized debit will not be made until a designated future date. Page 1 of 1 -- I Laurie Hobbs - Re: Limitation on security for loan run' . From: Rob Norcross To: Seafy Hutchings Date: 11/27/2012 1:45 PM Subject: Re: Limitation on security for Eoan Seaiy, I had to drive down to Austin eariy this morning for some meetings today. The last one shouid be over at about I 3:30. you have some time around 4:00? I couid stop by the office and we couici visit for a few minutes. Rob From: Seaiy Hutchings Date: Tue, 27 Nov 2012 12:04:55 -0500 To: Rob Norcross< Subject: Limitation on security for loan Rob, Sorry, but I forgot to attached the fiie that wouid limit the security for 3 Ioan negotiated by a credit access business. Seaiy Sealy Hutchirags General Counsel Office of Consumer Credit Commissioner 2601 North Lamar Austin, Texas 78705 Teiephone 512.936.7623 Fax 512.936.7610 1B9 1 30gwdomaing~wpost1 001 Seaiy Hutchings - Re: Limitation on security for loan .. From: Seaiy Hutchings To: Norcross, Rob Bate: 11/27/2012 1:53' PM Subject: Re: Limitation on security for foam Rob, Come on by whenever you can. Sealy Seaiy Hutchings Genera! Counsei Office of Consumer Credit Commissioner 2601 North Lamar Austin. Texas ?8?05 Telephone 512.936.7623 Fax 512.936.7610 Rob Norcross 11/27/2012 1:45 PM Seaiy, I had to drive down to Austin eariy this morning for some meetings today. The fast one shoutd be over at about 3:30. Do you have some time around 4:00? I could stop by the office and we couid visit for a few minutes. Rob From; Sealy Hutchings Date: Tue, 27 Nov 2012 12:04:55 -0500 To: Rob Norcross Subject: Limitation on security for Eoan Ro b, Sorry, but I forgot to attached the file that wouid Iimit the security for Joan negotiated by a credit access business. Sealy Sea?y Hutchings Genera! Counsei Office of Consumer Credit Commissioner 260}. North Lamar Austin, Texas 787305 Telephone 512.936.7623 Fax 512.936.7610 Page 1 of 1 Laurie Hobbs - Draft of Bulletin M. -r - . "ow From: Sealy Hutchings To: Rob Norcross Date: 11/30/2012 1:59 PM Subject: Draft of Bulletin Attachments: Subtezfuge Bulletin (Draft 1) - Watermarkdocx Rob, Attached is a draft of a Bulletin on the use of subterfuge by a CAB and some of the agency's concerns. Please review it and let me know what you think. Sealy Sealy Hutchings General Counsel Office of Consumer Credit Commissioner 2601 North Lamar Austin, Texas 78705 Telephone 512.936.7623 Fax 512.936.7610 IB9 1 4Egwdomaingwp0st1 001 2/13/2013 Credit Access Business Bulletin The Office of Consumer Credit Commissioner is concerned about a business model used by some credit access businesses (CABS) in the cities of Dallas, Austin, and San Antonio. These three cities have enacted ordinances restricting certain renewal activities by CABS and limiting the number of installments a transaction may have. The practice discussed in this bulletin appears to be intended to avoid compliance with the city ordinances. While the does not have authority to enforce the city ordinances, it is concerned about a practice whose intent appears to be circumvention of the law. It appears that a number of CABS are engaged in the followjrigi E1:-iictice. A CAB branch located Within the city limits offers the consumer a no-interest, funded by the CAB and secured by the consumer's vehicleconsumer cannot pay off the loan, the CAB informs the consumer that the be repossessed if the consumer does not pay the loan off. The CAB tlieniproposes that tiieizonsumer go to another branch location outside the city limits and loan to pay offthe original loan and keep the vehicle from being repossessed. The is concerned about the 1acl;__of in this effectively draws into a CAB not otherwise erigage in one. This business model could also be because it appears calculated to bring the consumer into the store but later effectively requires the consumer to go to another product. The also belieiigesithat the legislative intent manifested in house bills,2592 passedififll 1. Theseibills establish the three-party model upon which the CAB transaction is basedahd require separation between the lender and the CAB. ashore, thee; lzenderfihe CAB is stepping out of the role of credit access role the to legislature's intent. Significantly, it is likely the practice "c*cifitl_icts with its intent, it could consider passing pat regulatory restrictions on CABS. The reaction to this practice and this business rnodel's lack of Tliggigfiagency strongly urges any credit access business currently engaged in this the legislative and legal consequences. Page 1 of 1 Laurie Hobbs - Draft cf Bulletin -. . From: Sealy Hutchings To: Rob Nercross Date: 2:01 PM Subject: Draft of Bulletin Attachments: Subterfuge Bulietin -- No Postdated Check (Draft 3).d0cx Rob, Attached to this email is a draft of another Buiietin. Hope-zfuiiy this is what you were iooking for. Seaiy Sealy Hutchings General Counsel Office of Consumer Credit Commissioner 2601 North Lamar Austin, Texas 78705 Telephone Fax 512.936.7610 1 1B914Egwd0maiz1gWpost1001 2/13/2013 Credit Services Organization Bulletin The Office of Consumer Credit Commissioner is concerned about a business practice that some credit services organizations (CSOS) are using. The business practice appears to be designed to avoid compliance with Chapter 393 of the Texas Finance Code. Continued use of the practice could result in the Texas Legislature taking adverse action in the upcoming legislative session and could also lead to civil liability on the part of the CS0. The business practice at issue is as follows. As contemplated by Chapter 393, the CS0 assists the consumer in obtaining credit and charges a fee for this service. But the CS0 does not take a post- dated check from the consumer or, in the case of a loan secured by the consumer's motor vehicle, the motor vehicle's title. By not requiring the consumer to provide a post~dated check or the motor vehicle's title, the CS0 contends that the activity falls outside the definition of "credit access business" (CAB) and therefore escapes the regulatory requirements imposed on CABs in Chapter 393 of the Texas Finance Code. The Texas Finance Code does not specifically prohibit this practice; nevertheless, this transaction could be seen as an attempt to evade the regulatory requirements of Chapter 393 and an attempt to circumvent the law. The believes that this business practice conflicts with the legislative intent manifested in house bills 2592 and 2594 passed in 201 1. The purpose of these bills was to provide a licensing and regulatory framework to govern credit service organizations who obtaining credit for Texas consumers. The believes that the legislature intended that the bills cover transactions where the CS0 obtains an extension of credit for a consumer, even where the CS0 does not require the consumer to provide a post--dated check, debit authorization, or motor vehicle title. If the legislature finds that this business practice conflicts with its intent, it could consider passing additional legislation that would put further regulatory restrictions on CSOs that obtain extensions of credit for consumers. This practice could also subject a CS0 to civil liability under the Texas Deceptive Trade Practices Act or under Chapter 393. If a consumer brought suit against a CSO who was engaged in the business practice described above, it is possible that a court could find for the consumer and enter a judgment against the CS0. The is concerned about the potential legislative reaction to this practice and the possibility that the legislature will see this practice as a subterfuge intended to circumvent the regulatory requirements of Chapter 393. The is also concerned about the civil liability a CSO engaged in this practice could face. The agency strongly urges any CSO currently engaged in this practice to consider the legislative and legal consequences. Page I of 1 Laurie Hobbs advisory opinions .. 'Av . -- . .. From: Rob Norcross A - To: "Soaly Hutchings Date: 12/1 1/2012 4:48 PM Subject: advisory opinions Seaiy got your note, but no emaiis. The information contained in this communication is intended onfy for the use of the addressee. it is the property of Viahlovo, LP. Unauthorized use. discfosure or copying of this communication is strictiy prohibited. If you have received this communication in error, please notify us immediatezy and destroy this emaii including 22!: attachments. Robert W. Norcross. Jr. 817.491.7110 Office B'i7.'r'19.9200 Fax 214.802.6466 Mobile ViaNovo. LP 2225 W. Southiake Bivct, Suite 423 Southiake. TX 76092 I 001 2/13/2013 Page 1 of 1 Laurie Hobbs -- Fwd: Credit Services Organization and Credit Access Business Bulletins From: Seaiy Hutchings To: Rob Norcross Date: 12/ 12/2012 7:20 AM Subject: Fwd: Credit Services Organization and Credit Access Business Butletins Attachments: Credit Services Organization and Credit Access Business Bufletins Ro b, Here is the emai! that you shouid have received yesterday. Sealy Seaiy Hutchings Genera! Counsel Office of Consumer Credit Commissioner 2601 North Lamar Austin, Texas 78705 Telephone 512.936.7623 Fax 512.936.7610 2/13/2013 Page 1 of 1 Laurie Hobbs Credit Services Organization and Credit Access Business Bulletins fa: 111'. L: From: Margaret Griffith To: Date: 12x11/2012 2:12 PM Subject: Credit Services Organization and Credit Access Business Buitetins Attachments: Bulietin - City Ordinances Bulletin - No Postdated Check Mr. Norcross, Attached are two bulletins refated to credit services organizations and credit access tausinesses. Commissioner Pettijohn has ordered that these be issued. Please don't hesitate to Contact me if you have any questions. incereiy, Margaret Griffith Assistant General Counset Office of Consumer Credit Commissioner 2601 North Lamar Bouievard Austin, Texas 7870541207 Phone: 9363659 Fac:simiie:1S121 936-7610 1B9 1 4Egwdomair1gwpost1 O01 2;/1322013 2803 N. Lamar Austin TX ?8?05 512- 935-7600 __Office of Consumer Fax: Credit Commissioner Consumer lrletlpliner 800638-1579 Email: Credit Access Business Bulletin City Ordinances December 11, 2012 The Office of Consumer Credit Commissioner is concerned about a business model used by some credit access businesses (CABS) in the cities of Dallas, Austin, and San Antonio. These three cities have enacted ordinances restricting certain renewal activities by CABS and limiting the number of installments a transaction may have. The practice discussed in this bulletin appears to be intended to avoid compliance with the city ordinances. While the does not have authority to enforce the city ordinances, it is concerned about a practice whose intent appears to be circumvention of the law. It appears that a number of CABS are engaged in the following practice. A CAB branch located within the city limits offers the consumer a 30-day loan funded by the CAB and secured by the consumer's vehicle. If, at the end of the month, the consumer cannot pay off the loan, the CAB informs the consumer that the consumer's vehicle will be repossessed if the consumer does not pay the loan off. The CAB then proposes that the consumer go to another branch location outside the city limits and obtain a CAB loan to pay off the original loan and keep the vehicle from being repossessed. The is concerned about the lack of transparency involved in this practice, which effectively draws into a CAB transaction a consumer who might not otherwise engage in one. This business model could also be perceived as a deceptive practice because it appears calculated to bring the consumer into the store with the promise of one product, but later effectively requires the consumer to go to another location to purchase another product. The also believes that this business model may conflict with the legislative intent manifested in house bills 2592 and 2594 passed in 2011. These bills establish the three-patty model upon which the CAB transaction is based and require separation between the lender and the CAB. When, as here, the CAB acts as a lender, the CAB is stepping out of the role of credit access business and into the role of the lender, contrary to legislature's intent. Significantly, it is likely that if the legislature finds this practice conflicts with its intent, it could consider passing additional legislation that would put further regulatory restrictions on CABS. The is concerned about the possible legislative reaction to this practice and this business model's lack of transparency. The agency strongly urges any credit access business currently engaged in this practice to consider the legislative and legal consequences. 2681 N. Lamar Austin TX ?8?05 .3: . 512" 936.7809 '_tGff:ce of Consumer gtxfifedit Commissioner Consumer lteipiane: 800-538-1579 Email: Credit Services Organization Bulletin December 11, 2012 The Office of Consumer Credit Commissioner is concerned about a business practice that some credit services organizations (CSOS) are using. The business practice appears to be designed to avoid compliance with Chapter 393 of the Texas Finance Code. Continued use of the practice could result in the Texas Legislature taking adverse action in the upcoming legislative session and could also lead to civil liability on the part ofthe CS0. The business practice at issue is as follows. As contemplated by Chapter 393, the CS0 assists the consumer in obtaining credit and charges a fee for this service. But the CS0 does not take a post- dated check from the consumer or, in the case of a loan secured by the consumer's motor vehicle, the motor vehicle's title. By not requiring the consumer to provide a post~dated check or the motor vehicle's title, the CS0 contends that the activity falls outside the definition of "credit access business" (CAB) and therefore escapes the regulatory requirements imposed on CABS in Chapter 393 of the Texas Finance Code. The Texas Finance Code does not specifically prohibit this practice; nevertheless, this transaction could be seen as an attempt to evade the regulatory requirements of Chapter 393 and an attempt to circumvent the law. The believes that this business practice conflicts with the legislative intent manifested in house bills 2592 and 2594 passed in 2011. The purpose of these bills was to provide a licensing and regulatory framework to govern credit service organizations who obtain credit for Texas consumers. The believes that the legislature intended that the bills cover transactions where the CS0 obtains an extension of credit for a consumer, even where the CS0 does not require the consumer to provide a posodated check, debit authorization, or motor vehicle title. If the legislature finds that this business practice conflicts with its intent, it could consider passing additional legislation that would put further regulatory restrictions on CSOS that obtain extensions of credit for consumers. This practice could also subject a CS0 to civil liability under the Texas Deceptive Trade Practices Act or under Chapter 393. If a consumer brought suit against a CSO who was engaged in the business practice described above, it is possible that a court could find for the consumer and enter a judgment against the CS0. The is concerned about the potential legislative reaction to this practice and the possibility that the legislature will see this practice as a subterfuge intended to circumvent the regulatory requirements of Chapter 393. The is also concerned about the civil liability a CSO engaged in this practice could face. The agency strongly urges any CS0 currently engaged in this practice to consider the legislative and legal consequences. Page 1 of I :1--sew -- .- 4; Laurie Hobbs - CAB draft legislation I:-wr -4 Mu': From: Rob Norcross To: "Sealy Hutchings Date: 7:20 PM Subject: CAB draft legislation CC: Leslie Pettijohn Sealy, Do you have time to meet with us next Tuesday anytime between 11:00 and 3:00 to discuss some questions about the draft legislation? (Lesiie, piease join us if you have We've distributed the draft to the group. While there is general agreement on the issues addressed, some questions have arisen about the Language given the size of our group, i'm surprised there haven": been more, frankiy. if it fits into their schedules, i'd like to ask Hursheii Brown (our payday subject matter expert-Cash America) and John Mccioskey (our auto tiie guru Seiect Management) to ioin us. I want to make sure we get the detaiis right. i could also do Monday afternoon or Wednesday morning. i'm not sure about Hursheii and iohn. Thanks so much. Look forward to visiting with you, Rob The information contained in this communication is intended only for the use of the addressee. it is the property of Viawovo, LP. Unauthorized use, disclosure or copying of this communication is strictiy prohibited. if you have received this communication in error, piease notify us immediateiy and destroy this email including attachments. Robert W. Norcross, Jr. 10 Office 817.719.9200 Fax 214.802.6466 Mobile VieNovo, LP 2225 W. Southiake BIvd., Suite 423 Southleke, TX 76092 Sealy Hutchings - Re: CAB draft legislation - .. .. From: Seaiy Hutchings To: Norcross, Rob Date: 1/24/2013 11:06 AM Subject: Re: CAB draft legislation Rob, Leslie and I can meet next Tuesday any time between 11:00 and 3:00. Just let us know what is convenient for you. Sealy Sealy Hutchings General Counsel Office of Consumer Credit Commissioner 2601 North Lamar Austin, Texas 78705 Telephone 512.936.7623 Fax 512.936.7610 Rob Norcross 1/23/2013 7:20 PM Sealy, Do you have time to meet with us next Tuesday anytime between 11:00 and 3:00 to discuss some questions about the draft iegisiation? (Leslie, please join us if you have We've distributed the draft to the group. While there is general agreement on the issues addressed, some questions have arisen about the language given the size of our group, I'm surprised there haven't been more, frankly. if it fits into their scheduies, i'd like to ask Hursheil Brown (our payday subject matter expert~ Cash America) and John Mccloskey (our auto tiie guru Seiect Management) to join us. i want to make sure we get the details right. i could also do Monday afternoon or Wednesday morning. I'm not sure about Hurshell and John. Thanks so much. Look forward to visiting with you, Rob The information contained in this communication is intended only for the useof the addressee. It is the property of Viahiovo, LP. Unauthorized use, disciosure or copying of this communication is striciiy prohibited. if you have received this communication in error, please notify us immediately and destroy this email including all attachments. Robert W. Norcross. Jr. 817.491.7110 Office 817.719.9200 Fax 214.802.8486 Mobile Viabiovo. LP 2225 W. Southleke Blvd. Suite 423 Souihlake, TX 76092 Page 1 of 2 Laurie Hobbs RE: CAB draft legislation From: Rob Noroross To: Sealy Hutchings Date: 1/24/2013 11:17 AM Subject: RE: CAB draft legislation Thanks - let me doobie check with John and Hursheii to make sure I'm not screwing anything HI let you know asap. The information contained in this communication is intended only for the use of the addressee. It is the property of ViaNovo, LP. Unauthorized use, disciosure or copying of this communication is strictly prohibited. if you have received this communication in error, ptease notify us immediatefy and destroy this email including all attachments. Robert W. Norcross. Jr. Office Fax 214.802.6486 Mobile ViaNovo. LP 2225 W. Southlake Btvd., Suite 423 Southtake, TX 76092 Sent: Thursday, January 24, 2013 11:07 AM To: Rob Norcross Subject: Re: CAB draft iegislation Ro b, Lesiie and I can meet next Tuesday any time between 11:00 and 3:00. Just Jet us know what is convenient for you. Sealy Seaiy Hutchings General Counsel Office of Consumer Credit Commissioner 2601 North Lamar Austin, Texas 78705 Telephone 512.936.7623 Fax 512.936.7610 Rob Norcross 1/23/2013 7:20 PM Seaiy, Do you have time to meet with us next Tuesday anytime between 11:00 and 3:00 to discuss some questions fi1e:f//C:/U 5 1 1B9130gwdomaingwpost1001 3 Page 2 of 2 about the draft iegisiation? (Lesiie, piease join us if you have We've distributed the draft to the group. While there is general agreement on the issues addressed, some questions have arisen about the language given the size of our group, I'm surprised there haven't been more, frankly. it it fits into their schedules, I'd like to ask Hursheil Brown (our payday subject matter expert>> Cash America) and John Mccioskey (our auto tile guru -- Select Management) to join us. i want to make sure we get the details right. icouid also do Monday afternoon or Wednesday morning. i'm not sure about Hursheli and John. Thanks so much. Look forward to visiting with you, Rob The information contained in this communication is intended oniy for the use of the addressee. ii is the property of ViaNovo, LP. Unauthorized use. disciosure or copying of this communication is striciiy prohibited. if you have received this communication in error, please notify us immediateiy and destroy this emaii including an attachments. Robert W. Norcross. Jr. 10 Office Fax 214.802.6466 Viaisiovo, LP 2225 W. Souihiaice Bivd. Suite 423 Southiaice, TX 76092 1B9 1 30gwd0maingwpost1 001 2/13/2013 Page 1 of 1 Laurie Hobbs Meeting next Tuesday; CAB draft legislation From: Rob Norcross <2 A To: "Sealy Irlutehings Date: 1:36 PM Subject: Meeting next Tuesday; CAB draft legislation Leslie Pettijohn Seaiy, How about 1:00? John Mccloskey, Hurshell Brown and iwil! come to the office. Thanks, Rob The information contained in this communication is intended onfy for the use of the addressee. it is the property of ViaNovo, LP. Unauthorized use, disclosure or copying of this communication is strictly prohibited. if you have received this communication in error, please notify us immediately and destroy this emai! including ail attachments. Robert W. Noroross, Jr. Office 817.719.9200 Fax 214.802.6466 Mobile Viahiovo, LP 2225 W. Southiake Blvd, Suite 423 Southiake, TX 76092 1. 1B9130gwdomeingwpostl001 2/ 1 3/201 3 . Sealy Hutchings -- Re: Meeting next Tuesday; CAB draft legislation From: Seaiy Hutchings To: Norcross, Rob Date: 1/25222013 1:38 PM Subject: Re: Meeting next Tuesday; CAB draft iegisiation CC: Pettijohn, Lesiie Rob, I look forward to our meeting at1:O0. Seaiy Sealy Hutchings Genera! Counsel Office of Consumer Credit Commissioner 2603. North Lamar Austin, Texas 78705 Teiephone 512.936.7623 Fax 512.936.7610 Rob Norcross 1/25,/2013 1:35 PM Sealy, How about 1:00? John Mccloskey, Hurshei! Brown and come to the office. Thanks, Rob The information contained in this communication is intended oniy for me use of the addressee. It is the property of ViaNovo, LP. Unauthorized use, disclosure or copying of this communication is strictly prohibited. if you have received this communication in error, please notify us and destroy this emaii inciuding ail attachments. Robert W. Norcross, Jr. ofhce Fax 214.802.6466 Mobiie ViaNovo, LP 2225 W. Souihiake Bivd., Suite 423 Southiake. TX 76092 Page 1 of 2 Laurie Hobbs - RE: CAB draft legislation From: Rob Norcross To: Sealy Hutchings Date: 1!29f2013 8:03 AM Subject: RE: CAB draft legislation Attachments: CAB Draft Legislation Combined Here you see you this afternoon. The information contained in this communication is intended oniy for the use of the addressee. it is the property of ViaNovo. LP. Unauthorized use, disctosure or copying of this communication is strictiy proifibited. if you have received this communication in error, please notify us immediately and destroy this emait inciuding at! attachments. Robert W. Norcross, Jr. 817.491.7110 Offioe Fax 214.802.5466 Mobife ViaNovo, LP 2225 W. Southlake Bivd.. Suite 423 Southiake, TX 78092 'Seal'? Huteoiolgsl I I. sent: Tuesday, January 29,. 2013 7:59 AM To: Rob Norcross Subject: Re: CAB draft iegislation Rob, Couid you provide me with the draft that was circulated to your members. Sealy Sealy Hutchings General Counsel Office of Consumer Credit Commissioner 2601 North Lamar Austin, Texas 78705 Telephone 512.936.7623 Fax 512.936.7610 Rob Norcross 1/23,/2013 7:20 PM Sealy, Do you have time to meet with us next Tuesday anytime between 11:00 and 3:00 to discuss some questions about the draft legisiation? (Leslie, please join us if you have 1 1139 1 30gwdornaingwpost1 00 1 Page 2 of 2 We've distributed the draft to the group. While there is genera! agreement on the issues addressed, some questions have arisen about the ianguege given the size of our group, i"m surprised there haven't been more, frankly. if it fits into their scheduies, i'd like to ask Hursheil Brown (our payday subject matter expert- Cesh America) and John Mccioskey {our auto tiie guru Select Management) to join us. I want to make sure we get the detaiis right. I could aiso do Monday afternoon or Wednesday morning. i'm not sure about Hursheii and iohn. Thanks so much. Look forward to visiting with you, Rob The information in this communication is intended only for the use of the addressee. it is the property of VieNovo, LP. Unauthorized use, disclosure or copying of this communication is strictiy prohibited. if you have received this communication in error, piease notify us immediately and destroy this emeii inciuding ail attachments. Robert W. Norcross, Jr. 817.491.7110 Office 817.719.9200 Fax 214.802.6486 Mobiie ViaNovo, LP 2225 W. Southieke Bivd, Suite 423 Souihieke, TX 76092 1 lB9130gwdornaingwpost1001 2/1 3320 1 3 2013 Draft Legislation Credit Access Businesses 1. GeneralSunm1m;y Statewide Uniformity Amend Chapter 393 to clarify statewide authority over preempting disparate local provisions; a Statute should be similar to one found in the Texas Pawnshop Act (Chapter 371); and Legislature has exclusive authority, grants some of that to Transaction Type Limits Under Chapter 393 Limit to payday and car title loans; Provide clarification on what a payday loan is; Provide clarification on what a car title loan is; and Make Chapter 393 the exclusive chapter for payday and auto title lending. @1339 Description of Services ?393.20l Provide definition of services; and Clarify forms and terms of contract under ?393 .201. Annual Report 6 Add annual report requirement to quarterly report requirements in ?393.622; and a Add confidentiality language to ?393.627. Limit Type of Security Add 393 to Chapter 411 of Government Code for Criminal History Authorization Taking Statements 9 Most regulatory chapters allow an examiner or designee of the commissioner to take a statement for the purposes of gathering evidence pertaining to a potential Violation of the credit laws; a Chapter 393 has some enforcement authority in Chapter 14, but no authorization for taking statements of witnesses; Add language for taking statements in Chapter 393; to Add language for taking statements in OCC. CODE Chapter 1956, similar to Texas Pownshop Act statutes; and 3 Clarifying Chapter 393 authority for examinations. Access to Criminal History Record Info from DPS er Add Chapters 393 and 394 to CODE ?-411.095 to supplement authority found in Chapter 14, Finance Code. II. Exclusive Summary: Amend Chapter 393 to clarify statewide authority over preempting disparate local provisions. First Alternative 3393.629. REGULATORY AUTHORITY. The legislature has exclusive authority regarding the operation of credit access businesses. except for a matter delegated by this chapter or Chapter 14 to the commissioner or the finance commission. The commissioner has authority to enforce all provisions of this chapter as they apply to a credit service organization that obtains an extension of credit for a consumer. Second Alternative . 5 393.629 REGULATORY AUTHORITY. The commissioner has the sole administrative authority to enforce this chapter for a credit service organization that obtains an extension of credit for a consumer. except for sections 393.101 -- 393.104 which are under the regulatory authority of the secretary of state. Linzitatimfz on Types of Extensions of Credit Summary: Amend Chapter 393 to limit the types of consumer credit at CSO may negotiate for a consumer to a deferred presentment transaction and a motor vehicle title loan. Amendment should also limit types of security. ?393.00l. DEFINITIONS. In this chapter: (3) "Credit services organization" is limited to means a person who provides, or represents that the person can or will provide, for the payment of valuable consideration any of the following services with respect to the extension of consumer credit by others: A im rovin aconsumer's credit histor or ratin (B) obtaining a deferred presentment transaction or a motor vehicle title loan [an for a consumer; or (C) providing advice or assistance to a consumer with regard to Paragraph (A) or (B). Sec. 393.601. DEFINITIONS. In this subchaoter: (3) "Deferred presentment transaction" has the meaning assigned by Section 341.001. For purposes of this chapter, this definition does not preclude repayment in more than one installment, but may not be secured by real or personal property. (5) "Motor vehicle title loan" means a loan in which an unencumbered motor vehicle is given as the only security for the loan. The term does not include a retail installment transaction under Chapter 348 or another loan made to finance the purchase of a motor vehicle. Sec. 393.602. APPLICABILITY. This subchapter applies-eal5~Lte--a provides the only two types of consumer credit at credit services organization that may obtains for a consumer or assists a consumer in obtaining an extension of consumer credit, The only two inthe forms of consumer credit a credit services organization may obtain for a consumer are: Sec. 341.001. DEFINITIONS. In this subtitle: (6) "Deferred presentment transaction" means an unsecured transaction in which: (A) a cash advance in whole or part is made in exchange for a personal check or authorization to debit a deposit account; (B) the amount of the check or authorized debit equals the amount of the advance plus a fee; and (C) the person making the advance agrees that the check will not be cashed or deposited or the authorized debit will not be made until a designated future date. IV. Cafculatfon Metlzods amt' Refinancing Summary: Clarify that a credit access business may only negotiate a loan that uses the true daily earnings method or the scheduled installment earnings method. Additionally, provide for a refund other than the sum or the digits or the rule of "'78ths". Finally, all loans negotiated by credit access business must be fully arnortizing and comply with the 180 day limitation. 393.20l(c) (7) The credit service organization will not negotiate. arrange, or transact a loan on behalf of the consumer a loan with a term in excess of 180 days. (8) Refinancing of Large Installment. If a scheduled installment of a loan is more than an amount equal to twice the average of all installments scheduled before that installment the borrower is entitled to refinance that installment: (A) when the installment is due or within seven (7) days of the end of the loan term; (B) in installments that are not greater or more frequent than the average amount and frequency of installments preceding that installment, except for the next large installment before the expiration of 180 days if necessary; (C) at a rate of interest that does not exceed the rate applicable to the original contract; and (D) the credit service organization will not charge any fee for any subsequent refinancing of a large installment. A multiple payment deferred presentment transaction or a motor vehicle title loan negotiated by a credit service organization shall be payable on a declining principal balance basis. Multiple payment loans shall calculate interest on either the true daily earnings or the scheduled installment earnings methods. Loans negotiated by credit service organizations may not use the sum of the periodic balances or the rule of 78ths refunding methods. (2) If the loan uses the scheduled installment rnethod and is prepaid in full, including payment in cash or by a new loan or renewal of the loan, or if the lender demands payment in full of the unpaid balance before final maturity of the loan, the lender may earn interest for the period beginning on the date of the loan and ending on the date of the prepayment or demand using the interest rate contracted for in the loan. If prepayment in fall or demand for payment in full occurs during an installment period, the lender may retain, in addition to interest that accrued during any elapsed installment periods, an amount computed by: (A) multiplying the interest rate contracted for in the loan by the unpaid principal balance of the loan determined according to the schedule of payments to be outstanding on the preceding installment due date; (B) dividing 365 into the product under Subdivision and (C) multiplying the number of days in the period beginning on the day after the installment due date and ending on the date of the prepayment or demand, as appropriate, by the result obtained under Subdivision (B). (3) If the credit service organization fee is not included in the loan's principal balance but is paid directly to the credit service organization over time, the consumer will be entitled to a prorated refund of the credit service organization fee based on the loan being paid in full or the lender making a demand for the payment of the full unpaid balance. V. Definitiozz 0fSarvices Summary: Provide definition of "Services" for Chapter 393. ?393.00l. DEFINITIONS. In this chapter: (5) "Service" means any action or conduct of performance assisting or benefiting a consumer, including negotiating or closing a loan, issuing a guaranty or letter of credit. or servicing a loan. ?393.20l. FORM AND TERMS OF CONTRACT. In addition to the notice required by Section 393.202, the contract must: (1) - - . (2) fully describe the services the organization perform for the consumer, including each guarantee and each promise of a full or partial refund and the estimated period for performing all of the services within 180 days of the contract; V7. arms oftlze Summary: Clarify terms of credit service organization contract. Sec. 393.201. FORM AND TERMS OF CONTRACT. A contract with a credit access business, as defined by Section 393.601, for the performance of services described by Section 393.602(a) must, in addition to the requirements of Subsection and Section 393.302: (5) disclose to the consumer: (A) the lender from whom the extension of consumer credit is obtained; (B) the interest paid or to be paid to the lender; and (C) the specific fees that will be paid to the credit access business for the business's services gag any third garty; and (6) the marine and address of the Office of Consumer Credit Commissioner, the website address. and the telephone number of the office's consumer helpline. VII. Anrmal.' Report Summary: Add annual report requirement to quarterly report in ?393.622 and also add confidentiality language to ?393.627. ?393.622. RULES. The finance commission may: (2) adopt rules with respect to the quarterly or annually reporting by a credit access business licensed under this subchapter of summary business information relating to extensions of consumer credit described by Section and AND ANNUAL REPORT TO COMMISSIONER. A credit access business . . . A credit access business shall file an annual report with the commissioner on a form prescribed by the commissioner that includes any information the commissioner determines All information submitted by credit access businesses by quarterly or annual reports will be confidential. The commissioner shall aggregate the information and publish it by the entire state. The commissioner may aggregate and publish the information by the 15 largest metropolitan statistical areas. Iniiestigaticms and Oaths Summary: Clarify ability to conduct examinations and take witness statements under oath. Sec. 393.622. RULES. The finance commission may: (1) adopt rules necessary to enforce and administer this subchapter; (2) adopt rules with respect to the quarterly reporting by a credit access business licensed under this subchapter of summary business information relating to extensions of consumer credit described by Section and (3) adopt rules with respect to periodic examination by the office relating to extensions of consumer credit described by Section including rules related to charges for defraying the reasonable cost of conducting the examinations. The finance commission may adopt rules under this section to allow the commissioner to review, as part of a periodic examination, any relevant contracts between the credit access business and the third-party lender organizations with which the credit access business contracts to provide services described by Section 393.602(a) or from which the business arranges extensions of consumer credit described by Section A contract or information obtained by the commissioner under this section is considered proprietary and confidential to the respective parties to the contract, and is not subject to disclosure under Chapter 552, Government Code. Nothing in Section 393.201(c) or Sections grants authority to the finance commission or the Office of Consumer Credit Commissioner to establish a limit on the fees charged by a credit access business. During an examination or an investigation the commissioner or the commissioner's representative may administer oaths and examine any person under oath on any subiect pertinent to a matter that the commissioner is authorized or required to or secure information about under this section. Sue Jevning -- Reminder: We-binar Invitation to Join us for "Annual CAB Reporting" Page 1 of 2 3 Sue Jevning 12/5/2012 1:01 PM Reminder: Webinar Invitation to Join us for "Annual CAB Reporting" Dan.Buda@senate.state.tx.us; Hernandez, Martha; Quinn.Ryan@senate.state.tx.us; - Annuafi CAB Reporting Offrcier fzif Carz?uhier Join us for a Webinar on "December 7 +1 Register Today! If you have not yet registered to participate in the Annual CAB Reporting webinar, take a few moments and register new whife space is still available. Credit Access Businesses (CABS) are required to submit annual data caii reports to the Office of Consumer Credi{ Commissioner (0008). The data submitted 2/13/2013 Page 2 of 2 provides an industry snapshot as to the freqoency of consumer use, fees assessed, and repayment patterns. The invites you to participate in a webinar that will provide information on the amine} reporting processes, definition and proper identification of data, and actions needed to ensure consistent and accurate data submission. Annuat reporting is due by January 31, 2013. are encouraged to participate in the webinar and learn how to more effectively oompiy with reporting requirements. Participants wiil be able to ask questions during a session foiiowing the webinar. Register eariy as space is limited to 100 participants. A recordirig of the webinar wit! be pubiished to the website for those who are unabte to participate or who would like to reference the material at a tater time. Title: Annuai CAB Repoding Date: Friday, December 2012 Time: 10:00 AM - 10:45 AM CST After registering you receive a confirmation emait containing information about ioining the Webinar. System Requirements PC-based attendees Required: Windows(R) Vista, XP or 2003 Server attendees Required: Mac 0851?} 10.5 or newer Mobile attendees Required: iPhone(R). iPad(R). Android" phone or Android tablet Space is limited. Reserve your Webinar seat now at: ft Page 1 of 1 Sue Jevning -- Credit Access Business 3rd Quarter Data Reports Available I- From: Sue ievning Date: 1/3/2013 3:07 PM Credit Access Business 3rd Quarter Data Reports Avaiiabie Adam Burkiund; Aiex Vaughn; Ann Baddour; Bee Moorhead; Big Loans; Bruce Heitz; Parr; Caro! Gili; Charles Horton; Ciay Chancey; Craig Lessner; Craig Smith; Dan Bode; Dan Pearce; Dan Sutherland; Daria Edgerton; Darreil James; Dave Griffin; David Latte; Dean Kemer: Deborah Reyes; Debra Cionts; Diane Standaert; Don Baylor: Dora Mccailay; Ellen Arnoid; Erica Torres; Erickson, Keisey; Erin ivicivlanus; Gary Elkins; Greg Taylor; Hannah Campbeli; Harold Hasweii; Hursheii Brown; J.Sheehan; iermifer Aiimon; Jeremy Eikins; Jim Anderson; John Bloss; John Mcciosicey; John Tyson; Joseph Michaei; Joshua Houston; Juan Garcia; Kari Hubenthai; Haertel; Katie Grove; Kevin Loucion; Kim Gonzalez; Larry Temple; Laura Rosen; Lauren Thomas; Lesiie Heimcamp; Lori 1-ienning; Lucas Meyers; Matt Will; Matthew Vaiciez; Mere-dyth Fowier: Morita Zoga; Michaei Brown; Michaei Brown; Michael Grimes; Mike O'Nea!; Miro Posavec; Nancy Waiker; Nate Walker; Nikkiwise; Osjha Domenicone; Peter Ciark; Peter Haskei; Pettijohn. Lesiie; Philip Gilbert; Quinn Ryan; Rick Wessei; Rob Norcross; Robert Doggett; Rondeiia Hawkins; Seiena Xie; Stephen Reeves; Stephen Schalier; Steven Camp; Sue Jevning; Ted Eades; Terry Dukes; Thomas Morgan; Thomas Reirzheimerj Tim Eminger; Tim Morstad; Tracey Whitley; Wii! White; Woody Widrow; Yuniedth Steen Subject: BC: Dear interested stakeholders, On behalf of the Office of Consumer Credit Commissioner I am writing to inform you that the has pubiished aggregate third quarter date 0/1/12 9/30/12) received from credit access businesses. In addition to third quarter data, updated first and second quarter aggregate data have also been pubiished to reflect additionai submissions and corrections. All reports represent data submissions received as of 12/14/2012. To view this CAB data reporting information, ciici: on the iinks below or select the reports from the "New Reieases 8: Pubiications" web page. 2012 CAB First Quarter Reports (as amended to reflect submissions received through .12-14-12) 2012 CAB Second Quarter Reports (as amended to reflecr submissions received through 1244-12) 2012 CAB Third Quarter Reports (data submitted as of 12-1442) Should you have any questions regarding CAB quarterly reporting, you may contact Karl Hubenthai, Financiai Analyst at 512.936.7652 or Respectfully, 51.53 E. Jeoning, SPHR Communications Speciaiist/HR Officer Office of Consumer Credit Commissioner Phone: (5121 93651666 Fax: (512) 936--761(3 2/12/2013 2801 N. Lamar Stud Austin TX jaffice of Consumer Fax: Consumer Heipfine: 800-538-1579 Cred" Email: Data contained within the below summary represents aggregated statewide first-quarter data reported by CAB: as of 12/14/2012. The reviews submitted data for reasooabieness rather than for accuracy. The win' request verification from the iicensee of any data that isfaund to be questionable or unreasonable. Section 393.62? of the Texas Finance Code required credit access businesses to file quarterly reports with the Office of Consumer Credit Commissioner identifying Joan activity associated with singie and instatiment deferred presentment (payday) ioans, and a single and instailment auto titie Ioens. Data Limitations Data provided by reporting CABs reflects iocetion--!evei activity for the identified quarter; reported data has been aggregated and presented beiow to reflect statewide activity within this industry. The data presented in the foliowing summary represents CAB submissions via eiectronic and manual reporting, to include any corrected data, of firsbquarter activity as of December 14, 2012. Credit Access Business (CAB) First Quarter Data Report, CY 2012 obtained by the CAB or that {he CAB assisted consumers in obtaining during the reporting period. um, strganarzii?nse pf; rifle' extensions rdeseriheri in #2 Number of consumers refinancing the 302 618 27 817 46 338 6593 extensions of consumer credit described in {Table continued to next page} CAB First-Quarter Data Reporting Publication Date: 1/3/2013 . the .?extensions of. _r;rejdil;_ Average arnaun! of the extension of on i 1 DSIJHIEF $605.50 $999.56 $1,124.85 5% Number of vehicles sunendered or repoasessed during {he repcrfing peziod under {he {arms of a moist uehicfe lifle loan obtained 6 by [he GAB or that the CAB assisted consumers in obtaining. 2,034 Th? minimzifif 'Ffie'? By' location falls into the foflowing diatribuiions . $23.12 $30 01' mare . .. . - $101.95 2 . . CAB Fee charged per transaction $22:6.f' 57-'5 {Tame aunfinued to next page) CAB First-Quarter Data Reporting Pubiication Date: 1/312013 'wv2.- "u Number of outstanding exieosilons of oonsomef credit and nefinances (C-AB contracts} at 7. g, anti?' . -u fih?fi3?efi=' . Number of exiensione of consumer crecfli and refinances (CAB coniracis) paid in fuii or otherwise closed for reduced payoff during She 853318 65589 194328 E192 revooaveriod- I 'shieted it": _dbfainin? 1 3 Number of outstanding extensions of consumer credit and refinances (CAB contracts} at the 935,533 92,765 115,348 32,5174 . end oflhe reporting period. . -. I 'N'un:1ber of Locations reporiing activity in each . . .. Z. . .. . 'Item Numbers 1-9 capture activity relaied in only extensions originated in the reporting quarter White Item Number it) relates fa all CAB acfivity in the quarier. 3 Weighted average based on number ofexiensions obtained in the quarter for each Iocation. Total average loan amomt for industry found by sumrning afi locations' proportionafly weighted average Eoan amount. . . Iufiiai?iuei lozation Loan Indmdua! Locatxon Item #6 km 3 Based on companies reporting refinances during the quarter Mean is repzesented as the average number of refinances per consumer who does refinance (item #3 I Item 5 The median ofall reporiod medians from oompanies {hat had refinandng acliuiiy 5 The mode of alt nepoded modes from companies that had refinancing adivity 3' Pemenlage or companies reporting the CAB fee for the range shown exduding companies that repotted no activity 3 Weighted average based on number of CA3 oonlraots entered into during {he quarter. Toto! average cab fee for industry found by summing ail locations' propotiionaily weighted average cab fee amount. Represemed as 5 per $100 bomowed regardless ofterm. Item :31 A-vs:--age C.-1.5 Fee 1'r1div1'auaE Location item {Sum Dfrofiannd i item #19 9 Weighted avemge based on number of CA8 oonizecls enleted into during the quarter. Total average oxiginai term for indosuy found by summing alt io::3!ions' proportionally weighted average original term. 3 Item Average" Original Term 2 inriurzriual Locahon Item 9-.-IDD (Sum Dfntai Infisnhy mm #10? CAB Data Reporting Publication Date: I- 2801 N. Lamar Austin TX 787115 512- 938~76fi0 Eiffice of Consumer Fax: Consumer Hefpiine: I I A Commissioner Emaii: Data contained within the below summary represents aggregated statewide second-quarter data reported by 0185 as of 12/14/2012. The reviews submitted data for reasonobfeness rather than for accuracy. The request vermcation from the licensee of any data that is found to be questionable or unreasonable. Section 393.627 of the Texas Finance Code required credit access businesses (CABs) to fife quarterly reports with the Office of Consumer Credit Commissioner identifying ioan activity associated with 0 singie and instailment deferred presentment (payday) ioans, and singie and iostailment auto title loans. Data Limitations Data provided by reporting CABs reflects locatiomieve! activity for the identified quarter; reported data has been aggregated and presented beiow to refiect statewide activity within this industry. The data presented in the following summary represents CAB submissions via eiectronic and manuai reporting, to include any corrected data, of firsvquarter activity as of December 14, 2012. Credit Access Business Second Quarter Dam Report, CY 2012 main ae;i;e;;ii;g; gaii' obtained by ihe CA9 or that ihe CAB assisied 534E451 106,293 106350 23313 consumers in obtaining during the reporting Number of consumers 'refinancing. the 231.352 35,791 45633 4354 extensions of consumer credit described in ("Fable continued to next page) CAB Second--Quarter Data Reporting Pubfication Date: 1/3[2013 . . . . . of $459.39 $1,143.74 . I Number of uehicies surrendered or repossessed during the neporting petiod under 7 {he terms of a maker vehicie title loan attained 0 6,230 by the CAB or that {he CAB assisied consumers in obtaining. V, .. .- . . iocation fails into {be following diahibutions. ., .. . flee. . -.-. .- . - .. $202.55 $24.22 $131.18 $30 or more Fee charged per transaction. 3' 3+ we. ram 'is: g: . Less than $30 (Tabie continued to next page) CA3 Second-Clltarter Data Reporting Publication Date: credit and refinances (CAB contracts) at -I -I Wit." Number of extensions of consumer credit and refinances (CAB contracts} paid in fut! or - ethen-rise closed for reduced paynfi dating the 8333?? EH81 22359 reporting period'ittuntbt?r of nlxtensions credit and ttefinances (CAB contracts) at the 535,035 123,208 104,8% 411,346 and ofthe reporting periodLntnalions reporting a?ttvity in each 'Item Numbers 1-9 capture activity retatad in only extensions originated in the reporting quarter white Item Number 10 relates to at} CR8 acfivity in the quarter. 3 Weighted average based on number of extensions obtained in the quarter for each Iocafion, Totzzi average iean amount for industry found by summing an Iocations' prnportionatly weighted average ioan amount. . ., Individ1:aI'Ln:2:icn {mm :32 age Lam: Lu catwn Item. #5 Sum "Hm! Imam"? {Emit} 3 Based on companies reporting nefinances during the quarter Mean is represented as the average number of refinances per wnsuznar who does refinance {Item #3 I Item 5 The median ofait reported medians tram companies that had refinancing activity 5 The mode of alt reported modes from companies that had mfinandng activity Percentage of mtnpanies reporting the CA8 fee for the range shown exdudhg companies that nepnrted no activity 3 Weighted average based on nurnherof CAB wnlracts entered into during the quarter. Tots! average cab fee for industry found by summing at! locations' pmportionafly weighted average cab fee amaunt. Represented as per $100 borrowed regardiess of term. Individual Location Iiem #1 OF Average Izzdisiduallucafiunttenz #193 {sum mm: 9 Weighted average based on number of CAB mntrants entered into during the quarter. Total average ofighat term for industn; found by summing ail locations' proportionally weighted average origina! tenn. A In?ividuaixncatfon Item Average Original Term: Lncahon 34 {Sum 31oF CAB Second-Quarter Data Reporting Publication Date: 1}'3f2D13 2601 N. Lamar Austin TX 512- Gifice of Consumer Fax: 512-935-7610 Consumer Helpiine: I I I Credit Commissioner Email: inio@occo.state.ix.us Data contained within the beiow summary represents aggregated statewide thr'ra'--quarter data reported by (3485 as of 12/14/2012. The reviews submitted data for reasonableness rather than for accuracy. The will' request verification from the iicensee afany data that is found to be questionable or unreosonobie. Section 393.527 of the Texas Finance Code required credit access businesses to fiie quarterly reports with the Office of Consumer Credit Commissioner identifying ioan activity associated with a single and instaiiment deferred presentment (payday) ioans, and - single and installment auto titie ioans. Data Data provided by reporting CABS refiects iocation-ievei activity for the identified quarter; reported data has been aggregated and presented below to reflect statewide activity within this industry. The data presented in the following summary represents CAB submissions via eiectranic and manuai reporting, to inciucie any corrected data, of first-quarter activity as of December 14, 2012. Credit Access Business (CAB) Third Quarter Data Report, CY 2012 ahif?ifisiemen aw" ti ferreq .. Iirrzber - of consomer credit obtained by the CAB or that the CAB assisted 565 97? N7 459 118 739 21 559 consumers in obtaining during the reporting A Number of consumers refinancing the extensions of consumer credit described in 293354 41960 (T able coniinued to next page] CAB Third-Quarter Data Reporting Publication Date: 1/319.013 mn*"Average amouni of the extension of $479.21 Number of vehicfes surrendered or repossessed during the reporting peziod under the Ieims of a motor vehicie title loan obtained by the CAB or that Ihe CAB assisted consumers in obtaining. 8 144 1,903 the gmam fir by iocalion fafls into [he foiiowing disirihuiions. ?71018 - 313132 - .- Average CAB Fee charged per iransactiun. 3 5 11,525 21 35 (Tab! CA8 Third~Quarter Da ta Repcarting Publication flats: 1/3/2013 I fiaa W-gv' .- fi?faned' {W-credii and refinances (CAB conlracls) at 592 941 114,14? 109,113 33 605 . 'Number of A refinances (CAB contracts) paid in fuii or elherwise clmed for reduced payoff during {he B43'g?8 95322 reporfing period. - - 4 in obtaining matpaid - I - Number of ouisianding extensions of consumer credit and refinances (CA8 contacts} at 1113 524,339 13?,164 1?5,4?2 44,438 .. Number of Lo-cations reporting activity in each 658 11969 950 .. .. .. 'Item Numbers 1-3 capture acfiviiy to only extensions originaied in me reporting quarier what: Elem Numbefil} to ail CAB acfiviiy in 1113 quarier. 1 Weighted average based on number of exiensions obtained in the quarter for each location. Tota! average loan amount for indushy taunt! by summing afi Iocalz'oas' pmpodkmafly weighted average loan amount. iremfiz average Loan ziwnawzt 2 Individ'u3} Lacation Item #6 (- jl mm of natal-Indsutry Item 1:3 1 Based on wmpanies reporting iefinanoes during me quader Mean is reptesenied as the average number of refinances per consumer who does refinance (item #3 {Item 'The median cfai} reported medians from companies that had refinancing acfivity 5 The mode 0! at! reporied modes from companies ihalhad refinancing aciivily 3' Percentage of companies reporting the {me fee for the range shmarn exduding companies that reported no acii-eify 3 Weighted avemge based on numberof CA8 oonimcls entered into during the quarter. Tots! average cab fee for industry found by summing Iomfions' proparfienaiiy weighted average cab fee amount. Represented as per 5100 bomawed regardless of term. Item Average izzdividual Location Item #103 >4 {Sum #1 0; 9 Weighted average based on number of CA8 oanzracts entered Ema during the quarter. Tuiai average original term for industry found by summing alt io::zfions' pmpottionafly weighted avezage original term. Individual Location Item #10? Averqge Orfgirarzi Term.-2: India-Iduai Location Item #101') (sum up CAB Third-Quarter Data Reporting Publication Date: Page 1 of 1 Margaret Griffith - Credit Services Organization and Credit Access Business Bulletins .. From: Margaret Griffith To: Date: 12/11/2012 2:12 PM Subject: Credit Services Organization and Credit Access Business Bulietins BC: Hutchings, Seaiy Attachments: Bufletin - City Ordinances Builetin No Postdatec! Check Mr. Norcross, Attached are two bufietins reiated to credit services organizations and credit access businesses. Commissioner Pettijohn has ordered that these be issued. Piease don't hesitate to contact me if you have any questions. Sincere iy, Margaret Griffith Assistant Genera! Counsel Office of Consumer Credit Commissioner 2601 North Lamar Boulevard Austin, Texas 78705-4207 Phone: 936-7659 Facsimiie: (5123 936-7610 2/15./2013 2601 N. Lamar Austin TX 73705 5% 936-7600 pffice of Consumer Fax: C,-edgy Consumer helpline: 800-538-1579 Email: Credit Access Business Bulletin City Ordinances December 11, 2012 The Office of Consumer Credit Commissioner is concerned about a business model used by some credit access businesses (CABS) in the cities of Dallas, Austin, and San Antonio. These three cities have enacted ordinances restricting certain renewal activities by CABS and limiting the number of installments a transaction may have. The practice discussed in this bulletin appears to be intended to avoid compliance with the city ordinances. While the does not have authority to enforce the city ordinances, it is concerned about a practice whose intent appears to be circumvention of the law. It appears that a number of CABS are engaged in the following practice. A CAB branch located within the city limits offers the consumer a no--interest, 30-day loan funded by the CAB and secured by the consumcr's vehicle. If, at the end of the month, the consumer cannot pay off the loan, the CAB informs the consumer that the consumer's vehicle will be repossessed if the consumer does not pay the loan off. The CAB then proposes that the consumer go to another branch location outside the city limits and obtain a CAB loan to pay off the original loan and keep the vehicle from being repossessed. The is concerned about the lack of transparency involved in this practice, which effectively draws into a CAB transaction a consumer who might not otherwise engage in one. This business model could also be perceived as a deceptive practice because it appears calculated to bring the consumer into the store with the promise of one product, but later effectively requires the consumer to go to another location to purchase another product. The also believes that this business model may conflict with the legislative intent manifested in house bills 2592 and 2594 passed in 2011. These bills establish the three--party model upon which the CAB transaction is based and require separation between the lender and the CAB. When, as here, the CAB acts as a lender, the CAB is stepping out of the role of credit access business and into the role of the lender, contrary to legislature's intent. Significantly, it is likely that if the legislature finds this practice conflicts with its intent, it could consider passing additional legislation that wonld put further regulatory restrictions on CABS. The is concerned about the possible legislative reaction to this practice and this business model"'s lack of transparency. The agency strongly urges any credit access business currently engaged in this practice to consider the legislative and legal consequences. 2601 N. Lamar Austin TX 78?05 512- 938-7600 7 . "(Office of Consumer Fax: 512836-7610 Email: Credit Services Organization Bulletin December 11, 2012 The Office of Consumer Credit Commissioner is concerned about a business practice that some credit services organizations (CSOS) are using. The business practice appears to be designed to avoid compliance with Chapter 393 of the Texas Finance Code. Continued use of the practice could result in the Texas Legislature taking adverse action in the upcoming legislative session and could also lead to civil liability on the part of the CS0. The business practice at issue is as follows. As contemplated by Chapter 393, the CS0 assists the consumer in obtaining credit and charges a fee for this service. But the CS0 does not take a post- dated check from the consumer or, in the case of a loan secured by the consumer's motor vehicle, the motor vehicle's title. By not requiring the consumer to provide a post--dated check or the motor vehicle's title, the CS0 contends that the activity falls outside the definition of "credit access business" (CAB) and therefore escapes the regulatory requirements imposed on CABS in Chapter 393 of the Texas Finance Code. The Texas Finance Code does not specifically prohibit this practice; nevertheless, this transaction could be seen as an attempt to evade the regulatory requirements of Chapter 393 and an attempt to circumvent the law. The believes that this business practice conflicts with the legislative intent manifested in house bills 2592 and 2594 passed in 2011. The purpose of these bills was to provide a licensing and regulatory framework to govern credit service organizations who obtain credit for Texas consumers. The believes that the legislature intended that the bills cover transactions where the CS0 obtains an extension of credit for a consumer, even where the CS0 does not require the consumer to provide a post--dated check, debit authorization, or motor vehicle title. If the legislature finds that this business practice confliets with its intent, it could consider passing additional legislation that would put fiirther regulatory restrictions on C303 that obtain extensions of credit for consumers. This practice could also subject a CS0 to civil liability under the Texas Deceptive Trade Practices Act or under Chapter 393. If a consumer brought suit against a CSO who was engaged in the business practice described above, it is possible that a court could find for the consumer and enter a judgment against the CS0. The is concerned about the potential legislative reaction to this practice and the possibility that the legislature will see this practice as a subterfuge intended to circumvent the regulatory requirements of Chapter 393. The is also concerned about the civil liability a CSO engaged in this practice could face. The agency strongly urges any CS0 currently engaged in this practice to consider the legislative and legal consequences. Page 1 of2 Margaret Griffith RE: Credit Services Organization and Credit Access Business Bulletins From: Rob Norcross To: Date: 12/12/2012 4:23 PM Subject: RE: Credit Services Organization and Credit Access Business Bulletins Margaret, Thanks so much. Wit! the bulletins be posted on the web site, or will they be distributed in another way? Rob The information contained in this communication is intended oniy for the use of the addressee. It is the property of VieNovo, LP. Unauthorized use, disclosure or copying of this communication is strictfy prohibited. If you have received this communication in error, piease notify us immediately and destroy this email including attachments. Robert W. Noroross. Jr. 81?.491.7110 Office 81?.719.9200 Fax 214.802.6466 Mobite ViaNovo, LP 2225 W. Southieke Bivci, Suite 423 Southiake, TX 76092 From: Margaret Griffith I I Sent: Tuesday, December 11, 2012 2:12 PM To: Rob Norcross Subject: Credit Services Organization and Credit Access Business Builetios Mr. Norcross, Attached are two bulletins related to credit services organizations and credit access businesses. Commissioner Pettijohn has ordered that these be issued. Please don't hesitate to Contact me if you have any questions. file OD323 2/ 1 5/201 3 Page 2 of 2 Sincerely, Margaret Griffith Assistant General Counsel Office of Consumer Credit Commissioner 2601 North Lamar Bouievard Austin, Texas 787OS-42U7 Phone: [5121 Facsimiie: (512) 9364610 1Egwd0m.aingwpost1 O. .. 2/15/2013 Page 1 of 2 Margaret Griffith - RE: Credit Services Organization and Credit Access Business Bulletins .7 .3 "Sci." 11'. .13} 2: From: Margaret Griffith To: Norcross, Rob Date: 12/12/2012 4:34 PM Subject: RE: Credit Services Organization and Credit Access Business Buiietins Ro b, The buiietins are posted on the website and are both available on this page: acivisoryXCAB advisomhtmi. They can also be accessed from the agency's home page with the fink that says "Pubiication of CA8 Advisory Notices." Let me know if you have any troubie accessing these on the website, and don't hesitate to Contact me if there's anything eise you need. Margaret Rob Norcross l2;'l2f2012 4:22 PM Margaret, Thanks so much. the buiietins be posted on the web site, or they be distributed in another way? Rob The information coniained in this communication is intended only for the use of the addressee. it is the property of ViaNovo, LP. Unauthorized use, disoiosure or copying of this communication is sirictiy prohibited. if you have received this communication in error, piease notify us immediateiy and destroy this email inciuding attachments. Roberi W. Norcross, Jr. 817.491.7110 Office Fax 214.802.6466 Mobile ViaNovo, LP 2225 W. Souihiake Blvd, Suite 423 Southiake, TX ?'6092 From: Margaret Griffith I 2/15/2013 Page 2 of 2 Sent: Tuesday, December 11, 2012 2:12 PM To: Rob Norcross Subject: Credit Services Organization and Credit Access Business Bulletins Mr. Norcross, Attached are two bulletins related to credit services organizations and credit access businesses. Commissioner Pettijohn has ordered that these be issued. Please don't hesitate to Contact me if you have any questions. Sincerely, Margaret Griffith Assistant General Counsel Office of Consumer Credit Commissioner 260}. North Lamar Boulevard Austin, Texas 78705-4207 Phone: ?512[ 936-7659 Facsimile: ?512} 936-7610 griffith/AppData/Local/Temp/XP g1'pwise!5 OD322B4gwdomaingwp0st1 O. 2/15/2013 Page 1 of 3 Margaret Griffith RE: Credit Services Organization and Credit Access Business Bulletins From: Rob Norcross To: Date: 12/12/2012 4:39 PM Subject: RE: Credit Services Organization and Credit Access Business Bulletins Marga ret, Thanks Fm on the site now and I found them shouid have looked before i emaiied. Appreciate your help, Role The information contained in this communication is intended oniy for the use of the addressee. it is the property of ViaNovo, LP. Unauthorized use, ciisoiosure or copying of this communication is strictiy prohibited. if you have received this communication in error, piease notify us immediately and destroy this emaii including all attachments. Robert W. Norcross, Jr. 811491 .7110 Office Fax 214.802.6466 Mobile Viahiovo, LP 2225 W. Southiake 8ivd., Suite 423 Southiake. TX 76092 From: Margaret Griffith Sent: Wednesday, December 12, 2012 4:35 PM To: Rob Norcross Subject: RE: Credit Services Organization and Credit Access Business Bulletins Rob, The buiietins are posted on the website and are both avaiiabie on this page: advisoryfCAB advisonahtmi. They can aiso be accessed from the agency's home page with the link that says "Publication of CAB Advisory Notices." Let me know if you have any troubie eccessing these on the website, and don't hesitate to contact me if there's anything else you need. OD323 Page 2 of 3 Margaret Rob Norcross 12/12/2012 4:22 PM Margaret, Thanks so much. was the bulletins be posted on the web site, or they be distributed in another way? Rob The information contained in this communication is intended only for the use of the addressee. it is the propeny of Viabiovo. LP. Unauthorized use, disciosure or copying of this communication is strictiy prohibited. if you have received this communication in error, please notify us immediately and destroy this emaii including attachments. Robert W. Norcross. Jr. Office 817.719.9200 Fax 214.802.6466 Mobile Viabiovo, LP 2225 W. Souihiake E3Evd., Suite 423 Souihiake, TX Sent: Tuesday, December 11, 2012 2:12 PM To: Rob Norcross Subject: Credit Services Organization and Credit Access Business Builetins Mr. Norcross, Attached are two buiietins reiated to credit services organizations and credit access businesses. Commissioner Pettijohn has ordered that these be issued. Piease don't hesitate to contact me if you have any questions. Sincerely, Margaret Griffith Assistant Genera! Counsel 1Egwdomaingwpost 1 5/2013 Page 3 of 3 Office of Consumer Credit Commissioner 2601 North Lamar Boulevard Austin, Texas 78705-4207 Phone: (5121 936-7659 Facsimile: g5121 936-7610 23 2/15/2013 Page Leslie Pettijohn Re: FW: Car dealer issues mi. . . . From: Lesiie Pettijohn To: Michael Grimes Date: 12/21/2012 4:09 PM Subject: Re: FW: Car dealer issues CC: Attachments: NMLS Bill Draft 2012-11-6 (Letter Michael, We aiso need to talk about the iegisiation regarding NMLS. We are recommending a bill that allows the agency, at its discretion, to permit iicensees to use the NMLS piatform to manage their licenses. We see this to be possibly beneficial to licensees in two areas where: 1) the licensee's activity has a tie-in to the SAFE act, or 2) the licensee operates in multiple states and determines that is more efficient to manage multipie state licenses on a single platform. It is our expectation that use of the system wouid be optional and each iicensee would make the determination whether to use the system to manage their licenses. We plan to open the system up for property tax lenders first because of the SAFE Act tie--in. {would think that some CABS may ultimately be interested in managing their licenses on the system, so if indeed they do, we would -want to incorporate them as weil. I don't see car dealers included at all at this point. I've attached a draft copy for your review. Leslie 2/4/2013 OFFICE OF CONSUMER CREDIT COMMISSIONER Preliminary Draft By: A BILL TO BE ENTITLED AN ACT relating to the regulatory authority of the consumer credit cornrnissioner. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter C, Chapter 14, Finance Code, is amended by adding Section 14.109 to read as follows: Sec. 14.109. USE OF THE NATIONWIDE MORTGAGE LICENSING SYSTEM AND REGISTRY. In this section: (1) "Natioriwide Mortgage Licensing System and Registry" means a mortgage licensing system developed and maintained by the Conference of State Bank Supervisors and its affiliate organizations, or its successor or replacement registries. (2) means Nationwide Mortgage Licensing System and Registry. means the Federal Bureau of Investigation. The commissioner may require that any information. documentation. or fee which is required by this chapter. Chapters 342. 348. 351. 371, 393. or 394.. or any rules adopted under those chapters, to be submitted the NMLS, in the form and manner prescribed by the commissioner and acceptable to the NMLS. (C) or purposes of licensing or under Chapters 342., 348, 351., 371. 393, or 394. the commissioner may use the NMLS as a channeling agent for obtaining any information required by these chapters or by rules adopted undere these chapters. including: (1) criminal history records information from the BI. the United States Department of ustiee, or any other agency or entity at the commissioner's discretion: (2) information related to any administrative, civil, or criminal findings bag ,qovernmer:tal iurisdietion: and (3) any information requested under Sections or SECTION 2. This Act takes effect September 1, 2013. Page 1 of 2 Leslie' Pettijohn - RE: FW: Car dealer issues A .. ., . From: Leslie Pettijohn To: Michael Grimes Date: 12/21/2012 4:16 PM Subject: RE: FW: Car dealer issues CC: Yes, that works. Michael Grimes 12/21/2012 4:08 PM Great. if possible, I would like to get some feedback on this from the CAB folks. Can we have a briefcall January later in the afternoonll will be driving back from Houston) about the car dealer issue mentioned and then we can deal with the NMLS issue separately? it that is okay, let me know. Thanks for your help. - Happy Holidays Michael Grimes lmperium Public Affairs Cell: 512.663.7968 Austin Office 1122 Colorado Street Westgate Building, Suite 2320 Austin, TX 78701 Office Fort Worth Office 201 Main Street, Suite 600 Fort Worth, TX 76102 Office Direct: 817.886.4432 From: Leslie Pettijohn Sent: Friday, December 21, 2012 4:10 PM To: Michael Grimes Cc: Subject: Re: FW: Car dealer issues Michael, . We also need to talk about the legislation regarding NMLS. We are recommending a bill that allows the agency at its discretion, to permit licensees to use the NMLS platform to manage their licenses. We see this to be possibly beneficial to licensees in two areas where: 1) the licensee's activity has a tie~ln to the SAFE act, or 2) the licensee operates in multiple states and determines that is more efficient to manage multiple state licenses on a single platform. It is our expectation that use of the system would be optional and each licensee would make the determination whether to use the system to manage their licenses. We plan to open the system up for property tax lenders first because of the SAFE Act tie>>-in. lwould think that some CABS may ultimately be 1 00 1 242424 1 2/4/2013 Page 2 of 2 interested in managing their ficenses on the system, so if indeed they do, we wouid want to incorporate them as weii. I don't see car dealers included at alt at this point. I've attached a draft copy for your review. Leslie 2/4f201 3 Page Leslie Pettijohn - RE: FW: Car dealer issues . . .. .- .. - From: Rob Norcross To: Leslie Pettijohn Date: 12/21/2012 8:19 PM Subject: RE: FW: Car dealer issues Leslie, Happy Holidays to you, too! Unforturiateiy, Fm still here trying to tie up "last minute" items that no one needed until next year until today. The NMLS idea seems like it could have a tot of positives; unless of course it's Cooper's and Scurlocl<'s way to derail the crazy national charter idea (just kidding, it"s Christmas). l'd actually like to hear more about it; just let me know. Enjoy Christmas, Rob The information contained in this communication is intended only for the use of the addressee. it is the property of Viahlovo, LP. Unauthorized use, disclosure or copying of this communication is strictly prohibited. if you have received this communication in error, please notify us immediately and destroy this email including alt attachments. Rolziert W. Norcross, Jr. Office 81 Fax 214-802.6466 Mobile Viewovo, LP 2225 W. Southlake Blvd., Suite 423 Southlake, TX 76092 From: Leslie Pettijohn Sent: Friday, December 21, 2012 4:10 PM To: Michael Grimes Cc: Rob Noreross Subject: Re: FW: Car dealer issues Michael, We also need to talk about the legislation regarding NMLS. We are recommending a bill that allows the agency, at its discretion, to permit licensees to use the NMLS platform to manage their licenses. We see this to be possibiy beneficial to licensees in two areas where: 1) the licensee's activity has a tie--in to the SAFE act, or 2) the licensee operates in muitiple states and determines that is more efficient to manage multiple state licenses on a single platform. it is our expectation that use of the system would be optional and each licensee would make the determination whether to use the system to manage their licenses. We plen to open the system up for 2/4/2013 Page 2 of 2 property tax lenders first because of the SAFE Act tie~in. {would think that some CABS may uitimately be interested in managing their iicenses on the system, so if indeed they do, we wouid want to incorporate them as weil. I don't see car dea!ers inciuded at al! at this point. I've attached a draft copy for your review. Leslie 0D4C452gwd0maingwpostI 2/4/2013 Page 1 of 1 Leslie Pettijohn -- Friday morning, Jan. 11th - tn. 4-. . -. - From: Rob Norcross To: "Leslie Pettijohn Date: 6:47 PM Subject: Friday morning, Jan. 11th Leslie, I have a meeting in Austin at 9:30 on Friday morning (downtown). Do you have some time around 11:00 or 11:30 to discuss legisiative proposais rotated to i'd like to touch base before the Senate discussion the foliowing Tuesday. i'd be happy to swing by your office. Thanks Rob The information contained in this communication is intended oniy for the use of the addressee. I: is the properly of Viahlovo, LP- Unauthorized use. disciosure or copying of this communication is strictly prohibited. if you have received this communication in error, ptease notify us immediateiy and destroy this emait inciuding oi! attachments. Robert W. Norcross, Jr. Office 817.719.9200 Fax 214.802.6466 Mobiie V'iaNovo, LP 2225 W. Southiake Bivd., Suite 423 Southiake, TX 76092 1 00 1 2/4/2013 Page 1 of 1 Leslie Pettijohn -- Re: Friday morning, Jan. 11th . - From: Leslie Pottijohn To: Date: 1/5/2013 7:06 PM Subject: Re: Friday morning, Jan. 11th That works. See you then. Leslie Sent from my iPhone On Jan 5, 2013, at 6:47 PM, "Rob Norcross Wrote: Lesiie, i have a meeting in Austin at 9:30 on Friday morning (downtown). Do you have some time around 11:00 or 11:30 to discuss iegisiative proposais reiated to ?8 to touch base before the Senate discussion the foiiowing Tuesday. IEIHZE Ed be happy to swing by your office. Thank; Rob The information contained in this communication is intended onty for the use of the addressee. it is the property of Viaixiovo, LP. Unauthorized use, disoiosure or copying of this communication is striotiy prohibited. if you have received this communication in error, please notify us immediately and destroy this emait inciuding ali attachments. - Robert W. Noroross, Jr. 817.491.7110 Office Fax 214.802.6466 Mobile ViaNovo, LP 2225 W. Southiako .. Suite 423 Souihlake, TX 76092 f1le:// 2/4/2013 Page 1 of 1 - Re: Draft legislation .. . .-. . .Leslie Pettijohn From: Leslie Pettijohn To: Rob Norcross Date: 1/16/2013 10:01 AM Subject: Re: Draft legislation Attachments: CAB Draft Legislation Combined 1--2.clocx; NMLS Bill Draft 81 Summary It was tops on my to--do list today, but I always appreciate the reminder! Drafts are attached. Leslie Leslie Pettljolm Consumer Credit Commissioner 2601 N. Lamar Blvd. Austin, TX 73705 512.936.7640 Rob Norcross 9:44 AM Friendly The information contained in this communication is intended only for the use of the addressee. ll is the property of \2'iaNovo, LP. Unaulhorlzecl use, disclosure or copying of this communication is strictly prohibited. if you have received this communication in error, please notify us immediately and destroy this email including all attachments. Robert W. Noroross. Jr. 811491 3110 Offioe Fax 214.802.6468 Mobile Viahlovo. LP 2225 W. Southlake Blvd, Suite 423 Soulhlake, TX 76092 2/4/2013 2013 Draft Legislation Credit Access Businesses 1. Genera! Statewide Uniformity Amend Chapter 393 to clarify statewide authority over preempting disparate local provisions; as Statute should be similar to one found in the Texas Pawnshop Act (Chapter 371); and Legislature has exclusive authority, grants some of that to Transaction Type Limits Under Chapter 393 Limit to payday and car title loans; Provide clarification on what a payday loan is; 0 Provide clarification on what a car title loan is; and in Make Chapter 393 the exclusive chapter for payday and auto title lending. Description of Services 6 Provide definition of services; and Clarify forms and terms of contract under ?393.20l. Annual Report 6 Add annual report requirement to quarterly report requirements in ?393.622; and a Add confidentiality language to ?393.62'7. Limit Type of Security Add 393 to Chapter 411 of Government Code for Criminal History Authorization Taking Statements 9 Most regulatory chapters allow an examiner or designee of the commissioner to take a statement for the purposes of gathering evidence pertaining to a potential violation of the credit laws; - a Chapter 393 has some enforcerrierzt authority in Chapter 14, but no authorization for taking statements of witnesses; 9 Add language for taking statements in Chapter 393; 9 Add language for taking statements in OCC. CODE Chapter 1956, similar to Texas Act statutes; and Clarifying Chapter 393 authority for examinations. Access to Criminal History Record Info from DPS 9 Add Chapters 393 and 394 to CODE ?41l.095 to supplement authority found in Chapter 14, Finance Code. II. Exclusive Authority Summary: Amend Chapter 393 to clarify statewide authority over preernpting disparate local provisions. 5393.629. REGULATORY AUTHORITY. The legislature has exclusive auth.oritV regarding the operation of credit access businesses. except for a matter delegated by this chapter or Chapter 14 to the commissioner or the finance commission. The commissioner has autlioritv to enforce all provisions of this chapter as they apply to a credit service organization that obtains an extension of credit for a consumer. Second Altemafive 5 393.629 REGULATORY AUTHORITY. The commissioner has the sole administrative authority to enforce this chapter for a credit service organization that obtains an extension of credit for a consumer. except for sections 393.101 393.104 which are under the regulatory authority of the secretary of state. Linzitation on Types 0fExte;zsz'0rzs of Crea'z't Summary: Amend Chapter 393 to limit the types of consumer credit a CSO may negotiate for a consumer to a deferred presentment transaction and a motor vehicle title loan. Amendment should also limit types of security. ?393.001. DEFINITIONS. In this chapter: (3) "Credit services organization" is limited to naeaas a person who provides, or represents that the person can or will provide, for the payment of valuable consideration any of the following services with respect to the extension of consumer credit by others: (A) improving a consumer's credit history or rating; (B) obtaining a deferred presentment transaction or a motor' vehicle title loan [an for a consumer; or (C) providing advice or assistance to a consumer with regard to Paragraph (A) or (B). Sec. 393.601. DEFINITIONS. In this subchaoter: (3) "Deferred presentment transaction" has the meaning assigned by Section 341.001. For purposes of this chapter, this definition does not preclude repayment in more than one installment, but may not be secured by real or oersonal property. (5) "Motor vehicle title loan" means a loan in which an unencumbered motor vehicle is given as the only security for the loan. The term does not include a retail installment transaction under Chapter 348 or another loan made to finance the purchase of a motor vehicle. Sec. 393.602. APPLICABILITY. This subchapter a provides the only two types of consumer credit 21 credit services organization that may obtains for a consumer or assists a consumer in obtaining an extension of consumer credit; The only two in-the forms of consumer credit a credit services organization may obtain for a consumer are: Sec. 341.001. DEFINITIONS. In this subtitle: (6) "Deferred presentment transaction" means an unsecured transaction in which: (A) a cash advance in whole or part is made in exchange for a personal check or authorization to debit a deposit account; (8) the amount of the check or authorized debit equals the amount of the advance plus a fee; and (C) the person making the advance agrees that the check will not be cashed or deposited or the authorized debit will not be made until a designated fisture date. IV. Calculation Metlzorls and Refinmzcing Summary: Clarify that a credit access business may only negotiate a loan that uses the true daily earnings method or the scheduled installment earnings method. Additionally, provide for a refund other than the sum or the digits or the rule of "78ths". Finally, all loans negotiated by credit access business must be fully amortizing and comply with the 180 day limitation. 393.201(c) (7) The credit service organization will not negotiate. arrange. or transact a loan on behalf of the consumer a loan with a term in excess of 180 davs. (8) Refinancing of Large Installment. If a scheduled installment of a loan is more than an amount equal to twice the average of all installments scheduled before that installment the is entitled to refinance that installment: (A) when the installment is due or within seven (7) days of the end of the loan term; (B) in installments that are not greater or more frequent than the average amount and frequencv of installments preceding that installment. except for the next large installment before the expiration of 180 davs if necessarv; (C) at a rate of interest that does not exceed the rate applicable to the original contract; and (D) the credit service organization will not charge anv fee for any subsequent refinancing of a large installment. A multiple pavment deferred presentment transaction or a motor vehicle title loan negotiated by a credit service organization shall be pavable on a declining principal balance basis. Multiple pavment loans shall calculate interest on either the true dailv earnings or the scheduled installment earnings methods. Loans negotiated bv credit service organizations may not use the sum of the periodic balances or the rule of 78ths refunding methods. (2) If the loan uses the scheduled installment method and is prepaid in full._including payment in cash or bv a new loan or renewal of the loan. or if the lender demands payment in full of the unpaid balance before final rnaturitv of the loan. the lender may earn interest for the period beginning on the date of the loan and ending on the date of the prepayment or demand using the interest rate contracted for in the loan. If prepavment in full or demand for payment in full occurs during an installment period, the lender mav retain. in addition to interest that accrued during anv elapsed installment periods, an amount computed by: I (A) multiplving the interest rate contracted for in the loan bv the unpaid principal balance of the loan determined according to the schedule of payments to be outstanding on the preceding installment due date; (B) dividing 365 into the product under Subdivision (A): and (C) multiplving the number of davs in the period beginning on the dav after the installment due date and ending on the date of the prepayment or demand. as appropriate. bv the result obtained under Subdivision (B). (3) If the credit service organization fee is not included in the loan's principal balance but is paid directly to the credit service organization overtime. the consumer will be entitled to a prorated refund of the credit service organization fee based on the loan being paid in full or the lender making a demand for the navment of the full unpaid balance. V. Defirzitiorz ofSerw'ces Summary: Provide definition of "Services" for Chapter 393. ?393.001. DEFINITIONS. In this chapter: (5) "Service" means any action or conduct of oerforrnance assisting or benefiting a consumer. including: negotiating or closing a loan, issuing a nnarantv or letter of credit, or servicing a loan. '?393.20l. FORM AND TERMS OF CONTRACT. In addition to the notice required by Section 393.202, the contract must: (2) fully describe the services the organization isteniust perform for the consumer, including each guarantee and each promise of a full or partial refund and the estimated period for performing all of the se1'vices within 180 days of the contract; VI. Terms of the Contract Summary: Clarify terms of credit service organization contract. Sec. 393.201. FORM AND TERMS OF CONTRACT. A contract with a credit access business, as defined by Section 393.601, for the performance of services described by Section 393.602(a) must, in addition to the requireinents of Subsection and Section 393.302: (5) disclose to the consumer: (A) the lender from whom the extension of credit is obtained; (13) the interest paid or to be paid to the lender; and (C) the specific fees that will be paid to the credit access business for the business's services mg any third party; and (6) the name and address of the Office of Consumer Credit Commissioner. the website address. and the telephone number of the office's consumer helpline. VII. Arman! Report Summary: Add annual report requirement to quarterly report in ?393.622 and also add confidentiality language to ?393.627. ?393.622. RULES. The finance comrnission may: (2) adopt rules with respect to the quarterly or annually reporting by a credit access business licensed under this subchapter of summary business information relating to extensions of consumer credit described by Section and ?393 .627.QUARTERLY AND ANNUAL REPORT TO COMMISSIONER. (3) A credit access business . . . A credit access business shall file an annual report with the commissioner on a form prescribed by the commissioner that includes any information the cornmissioner determines All information submitted by credit access businesses by quarterly or annual reports will be confidential. The commissioner shall aggregate the information and publish it by the entire state. The commissioner may a,qgi'e,qate and publish the information by the 15 largest metropolitan statistical areas. Irzvestigatiozzs and Oaths Summary: Clarify ability to conduct examinations and take witness statements under oath. Sec. 393.622. RULES. The finance commission may: (1) adopt rules necessary to enforce and administer this subchapter; (2) adopt rules with respect to the quarterly reporting by a credit access business licensed under this subchapter of summary business information relating to extensions of consumer credit described by Section and (3) adopt rules with respect to periodic examination by the office relating to extensions of consumer credit described by Section including rules related to charges for defraying the reasonable cost of conducting the examinations. The finance commission may adopt rules under this section to allow the commissioner to review, as part of a periodic examination, any relevant contracts between the credit access business and the third--party lender organizations with which the credit access business contracts to provide services described by Section 393.602(a) or from which the business arranges extensions of consumer credit described by Section A contract or information obtained by the commissioner under this section is considered proprietary and confidential to the respective parties to the contract, and is not subject to disclosure under Chapter 552, Government Code. (C) Nothing in Section 393.20l(c) or Sections 393.601-393.628 grants authority to the finance commission or the Office of Consumer Credit Commissioner to establish a limit on the fees charged by a credit access business. Dorms: an examination or an investigation the commissioner or the commissioner's ifeoreseritative may administer oaths and examine any person under oath on any subiect pertinent to a matter that the commissioner is authorized or required to consider, investigate. or secure information about under this section. 2013 Legislation Use of NMLS for Licensing Information Summary: Allow the to use the Nationwide Mortgage Licensing System and Registry (NMLS) to process information required for a license application, including criminal history information. A BILL TO BE ENTITLED AN ACT relating to the regulatory authority of the consumer credit commissioner. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter C, Chapter 14, Finance Code, is amended by adding Section 14.109 to read as follows: Sec. 14.109. USE OF THE NATIONWIDE MORTGAGE LICENSING SYSTEM AND REGISTRY. In this section: (1) "Nationwide Mortgage Licensing System and Registry" means a mortgage licensing system developed and maintained by the Conference of State Bank Supervisors and its affiliate organizations. or its successor or reolacernent registries. (2) means Nationwide Mortgage Licensing System and Registry. (3) means the Federal Bureau of Investigation. The commissioner may require that anv information, documentation. or fee which is required by this chapter. Chapters 342. 348, 351. 371, 393. or 394. or any rules adopted under those chapters. to be submitted through the NMLS. in the form and manner prescribed by the commissioner and acceptable to the NMLS. (C) For purposes of licensing or registration under Chapters 342. 348., 351. 371. 393. or 394. the commissioner may use the NMLS as a channeling_agent for obtaining any information required by those chapters or by rules adopted under those chapters, including: (1) criminal history records information from the FBI, the United States of Justice, or any other agencv or entity at the commissioner's discretion; (2) information related to any administrative. civil. or criminal findings by a governmental iurisdiction; and (3) any information requested under Sections or SECTION 2. This Act takes effect September 1, 2013. Page 1 of 2 Leslie Pettijohn - Re: Draft legislation . From: Leslie Pettijohn To: Rob Norcross Date: 1/16/2013 3:08 PM Subject: Re: Draft legislation Attachments: CAB Draft Legislation from (with KJE Hey Rob>> The draft I sent you had the regulatory authority I exclusive jurisdiction language in it. That language will not be included in our clean up bill. It will need to be a part of the larger negotiated language with the cycle of debt provisions. Here's a version without that language. Leslie Leslie Pettijohn Consumer Credit Commissioner 2601 N. Lamar Blvd. Austin, TX 78705 512.936.7640 Leslie Pettijohn 1/16/2013 10:01 AM It was tops on my to~do list today, but I always appreciate the reminder! Drafts are attached. Leslie Leslie Pettijohn Consumer Credit Commissioner 2601 N. Lamar Blvd. Austin, TX 78?05 512.936.7640 Rob Norcross - 1/16/2013 9:44 AM Friendly The information contained in this communication is intended only for the use of the addressee. it is the property of ViaNovo, LP. Unauthorized use, disclosure or copying of this communication is strictly prohibited. if you have received this communication in error, please notify us immediately and destroy this email including all attachments. Robert Norcross, Jr. 2/21f2013 Page 2 of 2 817.491.7110 Office 81?.719.9200 Fax Mobile \/iaNovo. LP 2225 W. Southfake BEvd., Suite 423 Southiake, TX '?6092 1 O0 1 242424 1 2/21/2013 2013 Draft Legislation Credit Access Businesses _Transaction Type Limits Under Chapter 393 9 Limit to payday and car title loans; Provide clarification on what a payday loan is; Provide clarification on what a car title loan is; and Make Chapter 393 the exclusive chapter for payday and auto title lending. Description of Services 6 Provide definition of services; and =9 Clarify forms and terms of contract under ?3 93.201. Annual Report 6 Add annual report requirement to quarterly report requirerrients in ?393.622; and 0 Add confidentiality language to ?393.627. Limit Type of Security Add 393 to Chapter 41 of Government Code for Criminal History Authorization Taking Statements 9 Most regulatory chapters allow an examiner or designee of the commissioner to take a statement for the purposes of gathering evidence pertaining to a potential violation of the credit laws; 9 Chapter 393 has some enforcentent authority in Chapter 14, but no authorization for taking statements of witnesses; 8 Add language for taking statements in Chapter 393; 6 Add language for taking statements in OCC. CODE Chapter 1956, similar to Texas statutes; and 9 Clarifying Chapter 393 authority for examinations. Access to Criminal History Record Info from DPS Add Chapters 393 and 394 to CODE ?-411.095 to supplement authority found in Chapter 14, Finance Code. I. Limitation on Types 0fExte:-isions of Credit' Summary: Amend Chapter 393 to limit the types of consumer credit a CSO may negotiate for a consumer to a deferred presentment transaction and a motor vehicle title loan. Amendment should also limit types of security. ?393.001. DEFINITIONS. In this chapter: (3) "Credit services organization" is limited to means a person who provides, or represents that the person can or will provide, for the payment of valuable consideration any of the following services with respect to the extension of consumer credit by others: im rovin a merscrei 1lS o1 orr in' A cosu at, (B) obtaining a deferred presentment transaction or a motor vehicle title loan [as for a consumer; or (C) providing advice or assistance to a consumer with regard to Paragraph (A) or (B). Sec. 393.601. DEFINITIONS. In this subchaoter: (3) "Deferred presentment transaction" has the meaning assigned by Section 341.001. For purposes of this chapter, this definition does not preclude repayment in more than one installment, but may not be secured by real or oersonal property. (5) "Motor vehicle title loan" means a loan in which an unencumbered motor vehicle is given as the only security for the loan. The term does not include a retail installment transaction under Chapter 348 or another loan made to finance the purchase of a motor vehicle. Sec. 393.602. APPLICABILITY. This subchapter appliesoelfyutea provides the only two woes of consumer credit at credit services organization that Qaygobtains for a consumer or assists a consumer in obtaining an extension of consumer credit, The only two forms of consumer credit a credit services organization may obtain for a consumer are: Sec. 341.001.. DEFINITIONS. In this subtitle: (6) "Deferred presentment transaction" means an unsecured transaction in which: (A) a cash advance in whole or part is made in exchange for a personal check or authorization to debit a deposit account; (B) the amount of the check or authorized debit equals the amount of the advance plus a fee; and (C) the person making the advance agrees that the check will not be cashed or deposited or the authorized debit will not be made until a designated date. II. Calczdatimz Metlzorls am! Refinrmciizg Summary: Clarify that a credit access business may only negotiate a loan that uses the true daily earnings method or the scheduled installment earnings method. Additionally, provide for a refund other than the sum or the digits or the rule of "78ths". Finally, all loans negotiated by credit access business must be fully arnortizing and comply with the limitation. 393.20l(c) (7) The credit service organization will not riegotiate, arrange. or transact a loan on behalf of the consumer a loan with a term in excess of ISO days. (8) Refinancing of Large Installment. If a scheduled installment of a loan is more than an amount equal to twice the average of all installments scheduled before that installment the borrower is entitled to refinance that installment: (A) when the installment is due or within seven (7) days of the end of the loan term; (B) in installments that are not rzreater or more frequent than the average amount and frequency of installments preceding that installment. except for the next large installment before the expiration of 180 days if necessary; (C) at a rate of interest that does not exceed the rate applicable to the original contract; and (D) the credit service organization will not charge any fee for any subsequent refinancing of a large installment. 1) A multiple payment deferred presentment transaction or a motor vehicle title loan negotiated by a credit service organization shall be payable on a declining principal balance basis. Multiple payment loans shall calculate interest on either the true daily earnings or the scheduled installment earnings methods. Loans negotiated by credit service organizations may not use the sum of the periodic balances or the rule of 78ths refunding methods. (2) If the loan uses the scheduled installment method and is prepaid in full. including payment in cash or by a new loan or renewal of the loan. or if the lender demands payment in full of the unpaid balance before final maturity of the loan, the lender may earn interest for the period beszirrnina on the date of the loan and ending on the date of the prepayment or demand usinathe interest rate contracted for in the loan. If prepayment in full or demand for payment in full occurs during, an installment period. the lender may retain, in addition to interest that accrued during any elapsed installment periods, an amount computed by: (A) multiplying the interest rate contracted for in the loan bit the unpaid principal balance of the loan determined according to the schedule of payments to be outstanding, on the preceding installment due date; (B) dividing 365 into the product under Subdivision (A): and (C) multiplying the number of days in the period beginning on the dais? after the installment due date and ending on the date of the prepayment or demand. as appropriate. by the result obtained under Subdivision (B). (3) If the credit service organization fee is not included in the loapfs principal balance but is paid directly to the credit service organization over time. the consumer will be entitled to a prorated refund of the credit service organization fee based on the loan being paid in full or the lender making a demand for the payment of the full unpaid balance. Definition of Services Surrirnary: Provide definition of "Services" for Chapter 393. ?393.001. DEFINITIONS. In this chapter: (5) "Service" means any action or conduct of performance assisting or benefiting a consumer. including negotiating or closing a loan. issuing a guaranty or letter of credit, or servicing: a loan. ?393.201. FORM AND TERMS OF CONTRACT. In addition to the notice required by Section 393.202, the contract must: (1) - - - (2) fully describe the services the organization iste,r_rg4_st perform for the consumer, including each guarantee and each promise of a full or partial refund and the estimated period for performing all of the within 180 days of the contract; Terms oftlre Contract Summary: Clarify terms of credit service organization contract. Sec. 393.201. FORM AND TERMS OF CONTRACT. A contract with a credit access business, as defined by Section 393.601, for the performance of services described by Section 393.602(a) must, in addition to the requirements of Subsection and Section 393.302: (5) disclose to the consumer: (A) the lender from whom the extension of consumer credit is obtained; (B) the interest paid or to be paid to the lender; and (C) the specific fees that will be paid to the credit access business for the business's services gig any third Qartyg; and (6) the name and address of the Office of Consumer Credit Commissioner. the website address. and the telephone number of the office's consumer helpline. V. Report Summary: Add annual report requirement to quarterly report in ?393.622 and also add confidentiality language to ?393.627. ?393.622. RULES. The finance commission may: (2) adopt rules with respect to the quarterly or annually reporting by a credit access business licensed under this subchapter of summary business information relating to extensions of consumer credit described by Section and AND ANNUAL REPORT TO COMMISSIONER. (3) A credit access business . . . A credit access business shall file an annual report with the commissioner on a form prescribed by the commissioner that includes any information the cornmissioner determines (C) All information submitted by credit access businesses by quarterly or annual reports will be confidential. The commissioner shall aggregate the information and publish it by the entire state. The commissioner may aggregate and publish the information by the 15 largest metropolitan statistical areas. VI. Izzvestigations am! Oatizs Summary: Clarify ability to conduct examinations and take witness statements under oath. Sec. 393.622. RULES. The finance eommissiort may: (I) adopt rules necessary to enforce and administer this subchaptcr; (2) adopt rules with respect to the quarterly reporting by a credit access business licensed under this subchapter of summary business information relating to extensions of consumer credit described by Section and (3) adopt rules with respect to periodic examination by the office relating to extensions of consumer credit described by Section including rules related to charges for defraying the reasonable cost of conducting the examinations. The finance commission may adopt rules under this section to allow the commissioner to review, as part of a periodic examination, any relevant contracts between the credit access business and the third-party lender organizations with which the credit access business contracts to provide services described by Section 393.602(a) or from which the business arranges extensions of consumer credit described by Section A contract or information obtained by the commissioner under this section is considered proprietary and confidential to the respective parties to the contract, and is not subject to disclosure under Chapter 552, Government Code. Nothing in Section 393.201(c) or Sections 393.6016 93.628 grants authority to the finance commission or the Office ofConsurne1' Credit Commissioner to establish a limit on the fees charged by a credit access business. During an examination or an investigation the commissioner or the cornmissioner's representative may administer oaths and examine any person under oath on any subiect pertinent to a matter that the commissioner' is authorized or required to consider, investigate, or secure information about under this section. Page 1 of 2 Leslie Pettijolm - RE: Draft legislation From: Rob Norcross To: Leslie Pettijohn Date: 9:10 PM Subject: RE: Draft legislation Leslie, it's not all going into one bill? And, if not, why not put the statewide uniformity in both bills given the FC resolution though think i know the answer to that CD Thanks for the draft(s), Rob The information contained in this communication is intended only for the use of the addressee. it is the property of Vlahlovo, LP. Unauthorized use. disclosure or copying of this communication is strictly prohibited. if you have received this . communication in error, please notify us immediately and destroy this emaii including all attachments. Robert W. Norcross. Jr. 833.491.7110 Office 817.719.9200 Fax 214.802.6466 Mobile Viahlovo, LP 2225 W. Southlake Blvd., Suite 423 Southlake, TX '/5092 From: Leslie Pettijohn Sent: Wednesday, January 16, 2013 3:09 PM To: Rob Norcross Subject: Re: Draft legislation Hey Rob- The draft I sent you had the regulatory authority exclusivejurisdiction language in it. That language will not be included in our clean up bill. It will need to be a part of the larger negotiated language with the cycle of debt provisions. Here's a version without that language. Leslie Lesiie Pettijohn Consumer Credit Commissioner OF 71 752gwdomaingwpostI Page 2 of 2 2601 N. Lamar Blvd. Austin, T): 78705 Leslie Pettijohn 10:01 AM It was tops on my to--do iist today, but i always appreciate the reminder? Drafts are attached. Lesiie Leslie Pettijohn Consumer Credit Commissioner 2601 N. Lamar Bivd. Austin, TX Rob Norcross - 1/16/2013 9:44 AM Friendiy The information contained in this communication is intended oniy for the use of the addressee. it is the property of VieNovo, LP. Unauthorized use, disctosure or copying of this communication is strictly prohibited. if you have received this communication in error, piease notify us immediatety and destroy this email inctuding ati attachments. Robert W. Norcross, Jr, 817.491.7110 Office Fax 214.802.6466 Mobiie Viahiovo, LP 2225 W. Southiake Blvd, Suite 423 Southiake, TX 76092 Page 1 of 1 Leslie Pettijohn - CAB draft legislation .. 3From: Rob Noroross To: "Sealy Hutohings Date: l/23/2013 7:20 PM Subject: CAB draft legislation CC: Leslie Pettijohn Sealy, Do yoo have time to meet with us next Tuesday anytime between 11:00 and 3:00 to discuss some questions about the draft legislation? (Leslie, please join us if you have We'ye distributed the draft to the group. While there is general agreement on the issues addressed, some questions have arisen about the language given the size of our group, i'm surprised there haven"t been more, frankly. if it fits into their schedules, I'd like to ask Hursheli Brown (our payday subject matter er-cpert--Cash America) and John (our auto tile guru - Select Management) to join us. I want to make sure we get the details right. I could also do Monday afternoon or Wednesday morning. l'm not sure about Hurshell and John. Thanks so much. Look forward to visiting with you, Rob The information contained in this communication is intended only for the use of the addressee. ll is the property of Viahlovo, LP. Unauthorized use, disclosure or copying of this communication is strictly prohibited. if you have received this communication in error, please notify us immediately and destroy this email including all attachments. Robert W. Norcross, Jr. Office 817.719.9200 Fax 214.802.8466 Mobile VieNovo. LP 2225 W. Southlake Blvd., Suite 423 Southlake. TX 76092 1 0038 I 3gwdomaingwpost1001 2/4/2013 Page 1 of 1 CAB draft legislation Leslie Pettijohn - Meeting next Tuesday; From: Rob Noroross To: "Sealy Hutchings Date: 1/250013 1:36 PM Subject: Meeting next Tuesday; CAB draft legislation CC: Leslie Pettijohn Sealy, How about 1:00? John Mccloskey, Hursheli Brown and I will come to the office. Thanks, Rob The information contained in this communication is intended oniy for the use of the addressee. It is the properly of ViaNovo, LP. Unauthorized use. disclosure or copying of this communication is strictly prohibited. if you have received this communication in error, please notify us immediately and destroy this email including all attachments. Robert W. Norcross, Jr- 817.491.7110 Office Fax 214.802.6466 Mobile ViaNovo, LP 2225 W. Southfake Blvd, Suite 423 Southiake, TX ?'8092 fi lo :\Use1*s\lpettij From: Leslie Pettijohn To: Date: 'I/31l20't3 2:21 Subject: (3000 project Let me know if you need more than this. Thanks! The is embarking upon a process to transform its key business functions to an enterpriseieyel, seIf--service web--based portal. management is in the process of seiecting a qualified vendor to commence with the assessment, implementation and support of this transformation process. Once complete, our online application will be the ceotrai location for all licenselregistration applications, updates and renewals, increasing efficiency and transparency. information will be secure but accessible to the appropriate people. This application wilt provide for data downloads/integration with the NMLS database as necessary. Sent from my iPhone