How the Credit Access Business Model Works
Understanding the distinction between a Credit Access Business (CAB / CSO) and a direct lender under Texas law.
The Texas CAB Structure Explained
Under Chapter 393 of the Texas Finance Code, a Credit Access Business (CAB) assists consumers in obtaining credit from an unaffiliated third-party lender. Banksov acts as your service provider and credit guarantor.
4-Step Process Breakdown
1. Online Pre-Qualification Inquiry
Submit basic information regarding your income, Texas residency, and checking account. This initial check performs a soft pull that will not affect your credit score.
2. CSO Application Processing
Banksov verifies your information, calculates applicable CAB fees according to Texas OCCC guidelines, and presents your request to licensed third-party lenders.
3. Review TILA Disclosures & Loan Offer
If an independent lender approves your inquiry, you receive full Truth in Lending Act (TILA) disclosures, including the Finance Charge, Annual Percentage Rate (APR), and Payment Schedule.
4. Funding & Repayment
Once you electronically sign the agreement, loan funds are directly deposited into your bank account. Repayment is collected on your scheduled due date.