Licensing

Licensing: Setting Up Your Payday Loan, Cash Advance, or Auto Title Loan Business in Texas

Operating a payday loan, cash advance, or auto title loan business in Texas requires obtaining two essential credentials: your Credit Services Organization (CSO) Certificate and your Credit Access Business (CAB) License. At CAB Consulting, we specialize in guiding businesses through these licensing processes, ensuring a smooth and efficient experience.

Credit Access Business (CAB) License

  • What It Is: The CAB license, issued by the Texas Office of Consumer Credit Commissioner (OCCC), is required to operate as a payday or auto title loan business in Texas.
  • Cost: $1,000 initially then $800 for renewals.
  • Challenges: The CAB licensing process involves multiple detailed steps that can be challenging to navigate without prior experience. Ensuring smooth progress without delays requires expertise.

How CAB Consulting Helps:

  • We handle the entire process for you, from filing an initial Tax ID to submitting your online CAB application and payment through the OCCC portal upon completion.
  • Our extensive experience allows us to streamline the application process and avoid common pitfalls that can cause delays.

Credit Services Organization (CSO) Certificate

  • What It Is: Before January 1, 2012, the CSO model was the primary licensing requirement in Texas. While now secondary to the CAB license, a CSO Certificate is still required.
  • Cost: $100 annually, plus a $10,000 surety bond, which typically costs around $150.
  • Updates: Recent changes to the way the Texas Secretary of State handles CSO registrations have added complexity, but the process remains simpler compared to obtaining a CAB license.

How CAB Consulting Helps:

  • We guide startups through the CSO registration process, ensuring compliance with updated requirements.

Key Compliance Notes

  1. Annual Renewals: Both the CAB license and CSO certificate must be renewed every year, CABs renew in  December and CSO’s need to be renewed on the same date each year as the one they were originally filed on.
  2. Display Requirements:
    • Per OCCC rules, these licenses must be:
      • Posted conspicuously on the wall of your office or store lobby.
      • Displayed on your business website.

Why Choose CAB Consulting?

At CAB Consulting, we simplify the licensing process so you can focus on growing your business. With our expertise, you’ll:

  • Save time and avoid unnecessary delays.
  • Stay compliant with all state and OCCC regulations.
  • Gain a trusted partner to handle every aspect of your licensing, from filing your Tax ID to submitting your CAB application.

Ready to get started? Contact CAB Consulting today, and let us guide you through the licensing process step by step!