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Current as of January 01, 2024 | Updated by Findlaw Staff
A provider or commercial sales-based financing broker may not establish a mechanism for automatically debiting a recipient's deposit account unless the provider or broker holds a validly perfected security interest in the recipient's account under Chapter 9, Business & Commerce Code, with a first priority against the claims of all other persons.
Cite this article: FindLaw.com - Texas Finance Code - FIN § 398.056. Certain Automatic Debits Prohibited - last updated January 01, 2024 | https://codes.findlaw.com/tx/finance-code/fin-sect-398-056/
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