BILL REQ. #:  H-4793.1 

Read first time 02/02/2006.   Referred to Committee on Financial Institutions & Insurance.

     AN ACT Relating to credit card-based checks; and adding a new chapter to Title 19 RCW.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION.  Sec. 1   (1) For the purposes of this section:
     (a) "Credit card" means a card, plate, booklet, credit card number, credit card account number, or other identifying symbol, instrument, or device that can be used to pay for, or to obtain, credit, goods, or services.
     (b) "Credit card-based check" means a check issued by a financial institution that draws on a credit card account.
     (c) "Financial institution" means a bank, trust company, mutual savings bank, savings and loan association, or credit union authorized to do business and accept deposits in this state under state law.
     (2) A financial institution may not mail unsolicited credit card-based checks to a customer or a prospective borrower. This section does not prohibit a financial institution from mailing credit card-based checks to a customer who has asked in writing for the credit card-based checks.

NEW SECTION.  Sec. 2   The legislature finds that the practices covered by section 1 of this act are matters vitally affecting the public interest for the purpose of applying the consumer protection act, chapter 19.86 RCW. A violation of section 1 of this act is not reasonable in relation to the development and preservation of business and is an unfair or deceptive act in trade or commerce and an unfair method of competition for the purpose of applying the consumer protection act, chapter 19.86 RCW.

NEW SECTION.  Sec. 3   Sections 1 and 2 of this act constitute a new chapter in Title 19 RCW.