Bill > HB4061

This bill establishes new regulations for credit card transactions in Texas, focusing on preventing anticompetitive practices by credit card issuers and payment card networks. The bill applies to large financial institutions with over $85 billion in assets and prohibits several practices, including fixing or conspiring to fix "swipe fees" (interchange and assessment fees), charging fees for disputed transactions without a conclusive finding of fault, and penalizing merchants who offer discounts for alternative payment methods like cash or debit cards. Credit card issuers must now disclose swipe fees on monthly statements, and payment card networks must disclose fee rates to merchants within 45 days of a transaction. The Texas Attorney General is empowered to investigate potential violations and can file civil suits seeking significant financial penalties, with fines ranging from $300,000 for individuals to up to $30 million for larger entities, depending on their market capitalization. The bill also allows for injunctive relief and does not create a private right of action, meaning only the state can pursue legal action. The new regulations will take effect on September 1, 2025, with some disclosure requirements delayed until March 1, 2026, and existing contract provisions will prevail in cases of conflict.

Labor and Employment

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB4061