83R395 CLG-D
By: Menendez H.B. No. 244
A BILL TO BE ENTITLED
AN ACT
relating to requiring photo identification for credit card
purchases.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle A, Title 11, Business & Commerce Code,
is amended by adding Chapter 506 to read as follows:
CHAPTER 506. REQUIRING VERIFICATION OF IDENTITY FOR CREDIT CARD
PURCHASES
Sec. 506.001. DEFINITIONS. In this chapter:
(1) "Cardholder" means the person named on the face of
a credit card to whom or for whose benefit the card is issued.
(2) "Credit card" means a card or device issued under
an agreement by which the issuer gives to a cardholder the right to
obtain credit from the issuer or another person.
(3) "Merchant" means a person in the business of
selling or leasing goods or services.
(4) "Photo identification" means a card or other
document that:
(A) is issued by a governmental entity to
identify an individual; and
(B) displays a photograph of the individual
identified on the card or other document.
Sec. 506.002. REQUIRING PHOTO IDENTIFICATION FOR CREDIT
CARD TRANSACTION. (a) A merchant may not accept a credit card for
payment in a face-to-face transaction unless the merchant requires
the individual presenting the credit card to provide photo
identification verifying the individual's identity as the
cardholder.
(b) Subsection (a) does not apply if the merchant requires
the individual presenting the credit card for payment to provide
the individual's zip code to verify the individual's identity as
authorized by Section 505.002.
SECTION 2. This Act takes effect September 1, 2013.