Relating to the maximum permitted rate of interest, sum of fees, and other amounts that may be charged in connection with deferred presentment transactions; creating a criminal offense.

HB 476 sets maximum interest rates for payday-style "deferred presentment" loans in Texas. It caps annual interest at 36% for loans under $300 and 38.5% for loans over $300. Lenders who exceed these rates face criminal penalties (Class A misdemeanor) and the transaction becomes void. The law applies only to new loans made on or after September 1, 2025, and does not affect existing loans.