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Rep. Will Duff Works to Protect Consumers Who Use Digital Wallets & Debit Cards

Report by Paula Antolini
March 29, 2017 8:37AM EDT

Rep. Will Duff Works to Protect Consumers Who Use Digital Wallets & Debit Cards

HARTFORD-A legislative proposal that would add debit cards and digital wallets, such as Apple Pay, to existing Connecticut state statutes that allows for the prosecution of criminals engaging in various types of credit card fraud received strong support from State Rep. Will Duff (R-2) in the legislature’s Banking Committee.

“In this ever changing electronic world, where people either use their debit card for all purchases or in some cases, especially among our young adults, use their Smart Phone Apps the state law needed to catch up with the technology,” said Rep. Will Duff. “This new change to the definition of what is a credit card fraud crime will better protect our Connecticut residents in the future.”

This bill, HB-7015, An Act Concerning Debit Card Fraud And Penalties For Collection Of Rental Payments On Foreclosed Property expands credit card crimes to cover crimes involving debit cards.

The bill defines a debit card as any card, code, device, or other means of access, or combination of them that (1) is issued or authorized to debit an asset account held directly or indirectly by a financial institution and (2) the cardholder may use to obtain money, goods, services, or anything of value. It does not have to be called a debit card; specifically includes payroll and ATM cards; and excludes checks, drafts, or similar paper instruments and their electronic representations.

The bill defines a digital wallet as a software application used on a computer or other device, including a mobile device, to store digital forms of payment cards that can be used to obtain money, goods, services, or anything of value.

The bill also changes how notice of a card’s revocation must be sent for purposes of these crimes and expands certain credit card crimes to cover falsely loading payment cards (credit or debit cards) into digital wallets.

Additionally, this bill expands the false statement crime described above to include false statements to procure the loading of a payment card into a digital wallet, which would become a class A misdemeanor. The bill also makes it a crime to falsely load, or cause false loading of, a payment card into a digital wallet, with intent to defraud, making the crime a class D felony.

This bill passed the Banking committee unanimously and now heads to the House of Representatives and State Senate for full floor debates.

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