Bill > S05810

This bill modifies the social services law to require electronic benefit transfer (EBT) systems to automatically cancel a credit or debit card when a benefit recipient reports fraudulent activity. Specifically, the bill mandates that card cancellation must occur immediately after the recipient completes the established procedure for reporting fraud. The automatic cancellation allows the benefit recipient to simultaneously apply for a replacement card, providing a streamlined process for protecting recipients from continued unauthorized use of their EBT card. Electronic benefit transfer systems are government-issued cards that allow recipients of public assistance benefits (such as food stamps or cash assistance) to access their benefits electronically, similar to a debit card. The bill aims to enhance consumer protection by ensuring rapid response to potential financial fraud for vulnerable populations receiving government benefits. The law will take effect 30 days after it is signed, with provisions allowing for immediate preparation of any necessary implementation rules and regulations.

Government Affairs

https://www.nysenate.gov/legislation/bills/2025/S5810