BILL ANALYSIS
By: Howard, Charlie
BACKGROUND AND PURPOSE
Identity theft is a very prevalent problem in our society today, and according to the Austin Police Department, it continues to increase each year. House Bill 3093 endeavors to decrease credit card fraud by encouraging businesses to check a customer's identity by verifying a zip code associated with that credit card with the credit card issuing company.
RULEMAKING AUTHORITY
It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS
House Bill 3093 amends the Business and Commerce Code by adding a new section which authorizes a business to require a customer to verify the customer's identity by means of zip code, and allows the business to verify the zip code with the credit card issuer. The bill defines "credit card" and "credit card issuer."
EFFECTIVE DATE
Upon passage, or, if the Act does not receive the necessary vote, the Act takes effect September 1, 2007.