Dutton’s bill halving interest on overdue child support

The text as introduced · 424 words

89R5761 KRM-D

By: Dutton
H.B. No. 4213

A BILL TO BE ENTITLED

AN ACT

relating to the accrual of interest on overdue child support.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Sections 157.265(a), (b), and (c), Family Code,

are amended to read as follows:

(a) Interest accrues on the portion of delinquent child

support that is greater than the amount of the monthly periodic

support obligation at the rate of three [ six ] percent simple

interest per year from the date the support is delinquent until the

date the support is paid or the arrearages are confirmed and reduced

to money judgment.

(b) Interest accrues on child support arrearages that have

been confirmed and reduced to money judgment as provided in this

subchapter at the rate of three [ six ] percent simple interest per

year from the date the order is rendered until the date the judgment

is paid.

(c) Interest accrues on a money judgment for retroactive or

lump-sum child support at the annual rate of three [ six ] percent

simple interest from the date the order is rendered until the

judgment is paid.

SECTION 2. Sections 157.265(d), (e), and (f), Family Code,

are repealed.

SECTION 3. (a) Section 157.265(a), Family Code, as amended

by this Act, applies to a child support payment that becomes due on

or after January 1, 2026.

(b) Child support arrearages in existence on January 1,

2026, that were not confirmed and reduced to a money judgment on or

before that date accrue interest as follows:

(1) before January 1, 2002, the arrearages are subject

to the interest rate that applied to the arrearages before that

date;

(2) on or after January 1, 2002, but before January 1,

2026, the arrearages are subject to the interest rate that applied

to the arrearages immediately before the effective date of this

Act; and

(3) on or after January 1, 2026, the cumulative total

of arrearages and interest accumulated on the arrearages described

by Subdivisions (1) and (2) of this subsection is subject to Section

157.265(a), Family Code, as amended by this Act.

(c) Sections 157.265(b) and (c), Family Code, as amended by

this Act, apply only to a money judgment for child support rendered

on or after January 1, 2026. A money judgment rendered before that

date is governed by the law in effect on the date the judgment was

rendered, and the former law is continued in effect for that

purpose.

SECTION 4. This Act takes effect September 1, 2025.