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      By: Menéndez S.B. No. 1736               A BILL TO BE ENTITLED   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 section is effective September 1, 2025.