Tex. Bus. & Com. Code § 20.0385 · Subchapter B. SECURITY ALERT AND SECURITY FREEZE
APPLICABILITY OF SECURITY ALERT AND SECURITY FREEZE.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) The requirement under this chapter to place a security alert or security freeze on a consumer file does not apply to:
(1) a check service or fraud prevention service company that issues consumer reports:
(A) to prevent or investigate fraud; or
(B) for purposes of approving or processing negotiable instruments, electronic funds transfers, or similar methods of payment; or
(2) a deposit account information service company that issues consumer reports related to account closures caused by fraud, substantial overdrafts, automated teller machine abuses, or similar negative information regarding a consumer to an inquiring financial institution for use by the financial institution only in reviewing a consumer request for a deposit account with that institution.
(b) The requirement under this chapter to place a security freeze on a consumer file does not apply to a consumer reporting agency that:
(1) acts only to resell credit information by assembling and merging information contained in a database of another consumer reporting agency or multiple consumer reporting agencies; and
(2) does not maintain a permanent database of credit information from which new consumer reports are produced.
(c) Notwithstanding Section 20.12, a violation of a requirement under this chapter to place, temporarily lift, or remove a security freeze on a consumer file is not a false, misleading, or deceptive act or practice under Subchapter E, Chapter 17.
Notes and commentary — not statutory text
History
Added by Acts 2003, 78th Leg., ch. 1326, Sec. 3, eff. Sept. 1, 2003.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 1143 (S.B. 222), Sec. 2, eff. September 1, 2007.
Assigned by Acts 2013, 83rd Leg., R.S., Ch. 64 (S.B. 60), Sec. 3, eff. January 1, 2014.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/BC/htm/BC.20.htm
- Text hash
- sha256 94591c1a27e17b63fc5f28f8b8863918489018ac2285a7de9b5f3b9f7c7d5b94
- Composed by
- compose_tx.py 2026-10-05: the Legislative Council's chapter files read in document order; verify_tx.py's independent reading (lxml DOM walk) agrees character for character
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Business & Commerce Code
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