govt.fyi
Back to HB 4134
Texas Legislature· HB 4134Effective on 9/1/25

Relating to a convenience fee for processing electronic payments for motor vehicles, the official text

Shown verbatim: the complete text as captured from the official page posted by the Texas Legislature, fetched 2026-08-29. Where this bill amends existing law, language marked for deletion in the official page appears here in brackets. This is the enrolled version. The official bill page.
H.B. No. 4134

AN ACT

relating to a convenience fee for processing electronic payments

for motor vehicles.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Subchapter E, Chapter 348, Finance Code, is

amended by adding Section 348.416 to read as follows:

Sec. 348.416. CONVENIENCE FEE FOR PROCESSING ELECTRONIC

PAYMENTS AUTHORIZED. (a) In this section, "electronic payment"

means a payment made by credit card, debit card, electronic funds

transfer, electronic check, or other electronic method.

(b) A holder of a retail installment contract or the

holder's agent may collect a fee for processing a retail buyer's

electronic payment under the contract only if:

(1) the fee is reasonably related to the expense

incurred by the holder or holder's agent in processing the

electronic payment;

(2) the fee does not exceed the lesser of $10 or five

percent of the amount of the payment; and

(3) the holder or holder's agent:

(A) allows the buyer to make a payment by a method

other than an electronic payment that does not incur a fee;

(B) does not establish electronic payment as the

expected form of payment; and

(C) informs the buyer of the following before the

buyer agrees to make an electronic payment:

(i) the amount of the fee to be charged

under this section;

(ii) that the buyer may make a payment by an

alternative method that does not incur a fee, including by check,

cash, or money order; and

(iii) that the holder or holder's agent may

not establish electronic payment as the expected form of payment.

SECTION 2. This Act takes effect September 1, 2025.

______________________________
______________________________

President of the Senate
Speaker of the House

I certify that H.B. No. 4134 was passed by the House on April

29, 2025, by the following vote: Yeas 141, Nays 4, 1 present, not

voting.

______________________________

Chief Clerk of the House

I certify that H.B. No. 4134 was passed by the Senate on May

27, 2025, by the following vote: Yeas 30, Nays 1.

______________________________

Secretary of the Senate

APPROVED: _____________________

Date

_____________________

Governor
Every fact on this page links to its source, starting with the official bill record.