Rep. Robert Rita

Filed: 5/6/2013

 

 


 

 


 
09800SB1829ham001LRB098 09006 MGM 45518 a

1
AMENDMENT TO SENATE BILL 1829

2    AMENDMENT NO. ______. Amend Senate Bill 1829 by replacing
3line 12 on page 5 through line 10 on page 7 with the following:
4    "(a) The issuer of a general use reloadable card shall make
5the disclosures required under this Section in accordance with
6the following standards:
7        (1) The disclosures shall be clear and conspicuous. The
8    disclosures may contain commonly accepted or readily
9    understandable abbreviations or symbols.
10        (2) The disclosures required under items (1), (2), and
11    (3) of subsection (b) of this Section shall be provided to
12    the consumer in written or electronic form. When cards are
13    sold online, the disclosures required by item (1) of
14    subsection (b) of this Section must be clearly and
15    conspicuously accessible on the issuer's Internet website
16    prior to purchase.
17        (3) For joint accounts, only one set of the required
18    disclosures shall be provided and may be given to any of

 

 

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1    the account holders.
2        (4) Issuers may design their own disclosure format,
3    provided that all fees required to be disclosed under
4    subsection (b) of this Section are included, the amount of
5    each fee is disclosed along with the frequency at which
6    each fee may be assessed, and the substance and clarity of
7    the disclosures are not affected.
8    (b) The issuer must make the following disclosures:
9        (1) Before a general use reloadable card is purchased,
10    the issuer shall disclose to the consumer the amount of
11    any:
12            (A) card purchase fee;
13            (B) monthly maintenance fee;
14            (C) cash withdrawal fee at an ATM and cash advance
15        fee at retail locations;
16            (D) reload fee; and
17            (E) balance inquiry fee, unless disclosure of the
18        balance is available to the consumer without cost via
19        telephone or Internet access.
20        The disclosures required in this item (1) must be made
21    on the portion of the card packaging accessible to the
22    consumer prior to purchase for all cards sold at retail
23    locations.
24        (2) The issuer shall include the following disclosures
25    on the card:
26            (A) the expiration date of the card, if any; and

 

 

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1            (B) a toll-free telephone number and, if one is
2        maintained, an Internet website that a consumer may use
3        to obtain information about fees and to obtain a
4        replacement card after the card expires if the
5        underlying funds may be available thereafter.
6        (3) The issuer shall disclose with the card the amount
7    of each type of fee not disclosed in item (1) of this
8    subsection (b) that may be imposed in connection with the
9    card after purchase (or, if variable, an explanation of how
10    the fee shall be determined) and the conditions under which
11    the fee may be imposed.
12    (c) A card, code, or other access device is not a general
13use reloadable card merely because the issuer or processor is
14technically able to add functionality that would otherwise
15enable the card, code, or other access device to be reloaded.
16    (d) Compliance with the federal Electronic Fund Transfer
17Act and any regulations issued under that Act regarding general
18use reloadable card disclosures shall constitute compliance
19with this Section.
20    (e) The requirements of this Section shall apply to any
21general use reloadable card sold to a consumer on or after
22January 1, 2015.
23    (f) In this Section, "card" means a general use reloadable
24card.".