HOUSE BILL ANALYSIS

                  HB 2343

Title: An act relating to the redemption of vehicles through credit cards and checks drawn on financial institutions.

Brief Description: Allowing the redemption of vehicles by payments from financial institutions.

  Sponsors: Representatives Hatfield, Benson, and Esser.

HOUSE COMMITTEE ON FINANCIAL INSTITUTIONS & INSURANCE

Meeting Date: January 18, 2000

Bill Analysis Prepared by: Charlie Gavigan, Counsel (786-7340)

Background: Law enforcement officers are authorized to impound a vehicle in a variety of circumstances, such as when the officer arrests the driver, the person operating the vehicle does not have a valid driver's license, or the person operating the vehicle is driving with a suspended or revoked license.  A vehicle impounded by a law enforcement officer may be redeemed only by the owner of the vehicle or a person who has the permission of the owner and upon payment of all costs associated with the impound using commercially reasonable tender.

Commercially reasonable tender includes cash, major bank credit cards, and personal checks drawn on in-state banks if accompanied by two pieces of valid identification.

Summary of Bill:  Commercially reasonable tender is modified to include any credit card and personal checks drawn on any financial institution.

  Appropriation: None.

Fiscal Note: Not Requested.

Effective Date:  Ninety days after adjournment of session in which bill is passed.

Rulemaking Authority: No specific authority.