SB 1034
Initials PB Page 1 House Engrossed
ARIZONA HOUSE OF REPRESENTATIVES
Fifty-sixth Legislature
Second Regular Session
Senate: FICO DPA/SE 7-0-0-0 | 3
rd
Read 26-0-4-0
House: COM DPA 9-0-0-1
SB 1034: money transmission; notice
Sponsor: Senator Shope, LD 16
House Engrossed
Overview
Directs money transmitters to display specified fraud warnings to consumers.
History
The Department of Insurance and Financial Institutions (DIFI) regulates money transmitter
services. Individuals who engage in the business of money transmission or advertise, solicit
or hold itself out as providing money transmission must obtain a money transmitter license
(A.R.S. § 6-1207).
Money transmission means any of the following: 1) selling or issuing payment instruments
to a person located in this state; 2) selling or issuing stored value to a person located in this
state; and 3) receiving money for transmission from a person located in this state. Money
transmission does not include providing solely online telecommunications services or
network access (A.R.S. § 6-1201).
Provisions
1. Instructs a licensee that engages in the business of receiving money for transmission on
behalf of consumers for personal, family or household purposes to provide consumer fraud
warnings that include specified information. (Sec. 1)
2. Requires, prior to the transmission of monies, the consumer fraud warnings to be:
a) in a document provided directly to the consumer in person;
b) displayed prominently in the location in which the licensee or the licensee's authorized
delegate engages in receiving money for transmission; or
c) through electronic transmission. (Sec. 1)
3. Requires the written warnings to be in a type that contrasts with the background against
which the written warning appears. (Sec. 1)
4. Specifies the requirement to provide consumer fraud warnings does not apply to:
a) an electronic funds transfer where the monies are not transferred directly to another
person and are not available for immediate use or that is made with a gift certificate;
or
b) a licensee that can demonstrate they provide or require their authorized delegate to
provide annual fraud prevention training to employees that covers the indicia of fraud
associated with electronic money transfers. (Sec. 1)
☐ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal Note