| 1 | 1 | | 85R23688 GRM-D |
|---|
| 2 | 2 | | By: Longoria H.B. No. 2839 |
|---|
| 3 | 3 | | Substitute the following for H.B. No. 2839: |
|---|
| 4 | 4 | | By: Dean C.S.H.B. No. 2839 |
|---|
| 5 | 5 | | |
|---|
| 6 | 6 | | |
|---|
| 7 | 7 | | A BILL TO BE ENTITLED |
|---|
| 8 | 8 | | AN ACT |
|---|
| 9 | 9 | | relating to photo identification for certain debit or credit card |
|---|
| 10 | 10 | | transactions. |
|---|
| 11 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|---|
| 12 | 12 | | SECTION 1. Subtitle A, Title 11, Business & Commerce Code, |
|---|
| 13 | 13 | | is amended by adding Chapter 508 to read as follows: |
|---|
| 14 | 14 | | CHAPTER 508. REQUIRING VERIFICATION OF IDENTITY FOR CERTAIN CARD |
|---|
| 15 | 15 | | TRANSACTIONS |
|---|
| 16 | 16 | | Sec. 508.001. DEFINITIONS. In this chapter: |
|---|
| 17 | 17 | | (1) "Cardholder" means the person named on the face of |
|---|
| 18 | 18 | | a credit card or debit card to whom or for whose benefit the credit |
|---|
| 19 | 19 | | card or debit card is issued. |
|---|
| 20 | 20 | | (2) "Credit card" means a card or device issued under |
|---|
| 21 | 21 | | an agreement by which the issuer gives to a cardholder the right to |
|---|
| 22 | 22 | | obtain credit from the issuer or another person. |
|---|
| 23 | 23 | | (3) "Debit card" means a card, device, or other means |
|---|
| 24 | 24 | | of access to an individual's account at a financial institution |
|---|
| 25 | 25 | | that the individual may use to initiate electronic fund transfers. |
|---|
| 26 | 26 | | (4) "Merchant" means a person in the business of |
|---|
| 27 | 27 | | selling goods or services. |
|---|
| 28 | 28 | | (5) "Mobile wallet" means a device that uses an |
|---|
| 29 | 29 | | encrypted digital token to authenticate a cardholder's identity and |
|---|
| 30 | 30 | | account information. |
|---|
| 31 | 31 | | (6) "Photo identification" means a card or other |
|---|
| 32 | 32 | | document that: |
|---|
| 33 | 33 | | (A) is issued by a governmental entity to |
|---|
| 34 | 34 | | identify an individual; and |
|---|
| 35 | 35 | | (B) displays a photograph of the individual |
|---|
| 36 | 36 | | identified on the card or other document. |
|---|
| 37 | 37 | | Sec. 508.002. REQUIRING PHOTO IDENTIFICATION FOR CREDIT OR |
|---|
| 38 | 38 | | DEBIT CARD TRANSACTION. (a) A merchant, in a point of sale |
|---|
| 39 | 39 | | transaction, may require the individual using the credit card or |
|---|
| 40 | 40 | | debit card to provide photo identification verifying the |
|---|
| 41 | 41 | | individual's identity as the cardholder. |
|---|
| 42 | 42 | | (b) A merchant may choose to not accept the card for payment |
|---|
| 43 | 43 | | if the individual fails to provide photo identification verifying |
|---|
| 44 | 44 | | the individual's identity as the cardholder. |
|---|
| 45 | 45 | | (c) This section does not apply to transactions conducted |
|---|
| 46 | 46 | | with a mobile wallet. |
|---|
| 47 | 47 | | Sec. 508.003. EXPIRATION. This chapter expires September |
|---|
| 48 | 48 | | 1, 2023. |
|---|
| 49 | 49 | | SECTION 2. This Act takes effect January 1, 2018. |
|---|