Bill > A05730

This bill requires peer-to-peer mobile payment services (apps that allow users to send money through mobile devices) to implement several security measures to protect users from potential fraud. These measures include mandating that users create a personal identification code of at least four numeric characters, which must be used to authenticate identity for certain transactions. Users will be required to set a monetary limit for transfers, above which they must use their personal identification number. The bill specifies multiple scenarios that trigger the need for personal identification number verification, such as transactions exceeding the user-set monetary limit, transactions to newly created accounts, multiple rapid transactions, and login attempts from new devices or after password resets. Additionally, a user's account will be locked after five unsuccessful identification number attempts, and can only be unlocked after 24 hours through identity verification. The bill also empowers users to cancel potentially fraudulent transactions and prohibits peer-to-peer mobile services that do not comply with these security requirements from operating in New York State. Furthermore, the Financial Frauds and Consumer Protection Unit will be authorized to enforce these new provisions, adding an additional layer of oversight to protect consumers.

Business and Industry

https://www.nysenate.gov/legislation/bills/2025/A5730