Debt collector laws in Texas

How the Texas Debt Collection Act protects you, beyond the federal FDCPA, plus licensing and complaints in Texas.

Short answer

Texas has its own debt collection law: the Texas Debt Collection Act. It also covers original creditors collecting their own debts. Texas has no statewide license for debt collectors. File complaints with Texas Attorney General, Consumer Protection Division or the CFPB.

State law
Yes
Covers original creditors
Yes
License required
No statewide license
Extra protections listed
5

What Texas law says about collectors

State law
Texas Debt Collection Act
Law
Tex. Fin. Code ch. 392
Covers original creditors
Yes
Official text
Read the law

Texas is one of 22 states in our 48 state guides whose law also covers original creditors collecting their own debts.

What Texas adds to the FDCPA

  • The act covers anyone who collects consumer debt, including the original creditor, not just collection agencies. (Tex. Fin. Code § 392.001(6))
  • Third-party debt collectors must have a $10,000 surety bond on file with the Texas Secretary of State before collecting. (Tex. Fin. Code § 392.101)
  • If you dispute an item in writing, a third-party collector must stop collecting until it investigates and finds the correct amount. (Tex. Fin. Code § 392.202)
  • A debt buyer cannot sue you or start arbitration once the 4-year limit has run, and a payment does not restart it. (Tex. Fin. Code § 392.307(c)-(d))
  • Collectors cannot use threats, harassment, or false statements, such as threatening arrest for an unpaid consumer debt. (Tex. Fin. Code §§ 392.301-392.304)

Medical debt in Texas

Since September 1, 2023, a health care provider must send you an itemized bill (plain-language list of each service, insurance codes and amounts) and cannot pursue debt collection until it does. Amended in 2025 (H.B. 216) to cover patient-portal delivery. (Tex. Health & Safety Code § 185.002) No Texas law banning medical debt on credit reports was found in the current code.

Can you sue a collector under Texas law?

Yes. You can sue for actual damages and an order to stop the conduct. If you win, the court awards attorney's fees and costs. For some violations (no bond, ignoring a dispute, threatening arrest) you get at least $100 per violation. A violation can also be sued on under the Texas Deceptive Trade Practices Act. (Tex. Fin. Code §§ 392.403, 392.404)

The federal FDCPA adds a claim of its own: actual damages, up to $1,000 more and attorney's fees, if you sue within 1 year (15 U.S.C. 1692k).

Collector licensing in Texas

License required
No statewide license
Who licenses
Texas has no license for debt collectors. Instead, third-party debt collectors must buy a $10,000 surety bond and file a copy with the Texas Secretary of State before collecting (Tex. Fin. Code § 392.101).

12 of our 48 state guides, Texas included, have no statewide collector license.

In nearby states

Good to know in Texas

  • Texas has special court rules for debt-claim cases brought by debt collectors, debt buyers, banks and lenders in justice court (Tex. R. Civ. P. 508).

Reporting a collector in Texas

If a collector breaks the rules in Texas

  1. Keep a record

    Keep letters, voicemails, emails and texts, and a log of every call.

  2. Check the collector

    Texas has no statewide license, so ask the collector for its full name and address and keep them with your records.

  3. Send a letter

    Send a letter to dispute a debt or to stop collector calls. Keep a copy and proof of mailing.

  4. Report the collector

    Complain to Texas Attorney General, Consumer Protection Division. You can also complain to the CFPB at consumerfinance.gov/complaint.

  5. Know your right to sue in Texas

    Under Texas law: Yes. You can sue for actual damages and an order to stop the conduct. If you win, the court awards attorney's fees and costs.

Questions about collector laws in Texas

Does Texas license debt collectors?

No. Texas has no license for debt collectors. Instead, third-party debt collectors must buy a $10,000 surety bond and file a copy with the Texas Secretary of State before collecting (Tex. Fin. Code § 392.101).

Is there a Texas debt collection act?

Yes: the Texas Debt Collection Act (Tex. Fin. Code ch. 392). It also covers original creditors collecting their own debts.

What does Texas law say about medical debt?

Since September 1, 2023, a health care provider must send you an itemized bill (plain-language list of each service, insurance codes and amounts) and cannot pursue debt collection until it does. Amended in 2025 (H.B. 216) to cover patient-portal delivery. (Tex. Health & Safety Code § 185.002) No Texas law banning medical debt on credit reports was found in the current code.

Who takes complaints about collectors in Texas?

Texas Attorney General, Consumer Protection Division: https://www.texasattorneygeneral.gov/consumer-protection/file-consumer-complaint

Does Texas law let me sue a collector?

Yes. You can sue for actual damages and an order to stop the conduct. If you win, the court awards attorney's fees and costs. For some violations (no bond, ignoring a dispute, threatening arrest) you get at least $100 per violation. A violation can also be sued on under the Texas Deceptive Trade Practices Act. (Tex. Fin. Code §§ 392.403, 392.404)

How does Texas law go beyond the FDCPA?

The act covers anyone who collects consumer debt, including the original creditor, not just collection agencies. (Tex. Fin. Code § 392.001(6)) Third-party debt collectors must have a $10,000 surety bond on file with the Texas Secretary of State before collecting. (Tex. Fin. Code § 392.101) If you dispute an item in writing, a third-party collector must stop collecting until it investigates and finds the correct amount. (Tex. Fin. Code § 392.202)

More for Texas

Sources

Last checked: Oct 24, 2026.

Federal sources