How to Start a Texas Credit Services Organization

Texas credit services organizations (CSOs), also known as credit repair companies, provide financial products and services to consumers such as: 

• Improving credit history
• Facilitating extensions of consumer credit
• Offering guidance and advice on credit management
• Connecting with independent third-party lenders

In Texas, CSOs are governed by Chapter 393 of the Finance Code and the Secretary of State’s administrative rules found in Texas Administrative Code Chapter 74, as well as any other applicable state or federal law. This guide covers requirements to ensure your organization complies with all legal and administrative obligations.

How to Register as a Texas Credit Services Organization

Confirm if your CSO company is required to register with the Texas Secretary of State under Section 393.101 of the Finance Code, or if it qualifies for an exemption. If applicable, follow the steps below to register as a credit repair business in Texas. 

Step 1: Provide proof of financial security 

Before registering, you must provide proof of financial security or a statement explaining why that is not required. This step must be completed for every business location and can be satisfied by one the following options:

• Credit Services Organization Bond (Form 2802): Form used to obtain a surety bond for doing business as a CSO in Texas. 
• Surety Account Notice for a CSO (Form 2803): Form which may be used in lieu of a surety bond. 

You can buy your $10,000 Texas credit services organization bond from SuretyBonds.com instantly for just $150. The bond guarantees your clients a means of reimbursement in the event that you cause financial harm. 

Step 2: Submit an application

To register with the SOS, you must complete your registration (Form 2801). You can upload copies of your registration form and signed form of financial security with SOSDirect. Pay the $100 filing fee by personal check, money order, LegalEase or card.

Alternatively, you can mail a paper application and payment to the address below: 

Texas Secretary of State

Registrations Unit

PO Box 13193

Austin, TX 78711-3193

How to Renew Your Texas CSO Registration

Texas CSO registrations expire annually and can be renewed in SOSDirect. Submit Form 2801 for renewal as well as a copy of your updated surety bond or other financial security.

Texas CSO surety bonds also expire annually and must be renewed for license compliance. Your surety company will provide renewal instructions and an invoice to keep your bond active before your term ends.  

How Much Does It Cost to Get a CSO Certificate of Registration in Texas?

The cost of becoming a registered credit services organization in Texas is typically around $250. You can expect the following expenses:

• Application fee: $100
• Surety bond: $150*

*This price reflects the SuretyBonds.com credit services organization bond rate. 

Licensing for Texas Credit Access Businesses 

CSOs that are considered “credit access businesses” must obtain a license from the Texas Office of the Consumer Credit Commissioner (OCCC) in addition to registering with the Secretary of State. This applies to CSOs who help secure extensions of consumer credit through deferred presentment transactions or vehicle title loans.

Applying for Your CAB License

To apply for a Credit Access Business (CAB) license, create an ALECS account. In ALECS, you can fill out your application, complete forms, and upload supporting documents. You’ll also need to pay a $1,000 license fee. 

Texas CAB Application Requirements

Several of the application forms can be completed directly in ALECS. However, the following forms must be completed externally and uploaded:

1. Statement of Experience (Form)
2. Business Operation Plan (Form)
3. Financial Statement (Form)
4. Supporting Financial Information (Form D18 & ADM 19)
5. Bank Confirmation (Form)
6. Texas Secretary of State CSO Registration Certificate

Once the OCCC reviews your application, they will send you fingerprint authorization forms. The forms will include instructions on how to provide electronic fingerprints and the current fees. 

How to Renew Your Credit Access Businesses License

Texas credit access business license renewal opens on December 1 and closes on December 31. You must renew your application in ALECS during this timeframe to keep your license active. 

More Resources 

• SOS Filing Options 
• Credit Access Business New Application Checklist