IIB 

115TH CONGRESS 

2D SESSION H. R. 1457 

IN THE SENATE OF THE UNITED STATES 

JANUARY 30, 2018 

Received; read twice and referred to the Committee on Banking, Housing, and 

Urban Affairs 

AN ACT 

To establish requirements for use of a driver’s license or 

personal identification card by certain financial institutions for opening an account or obtaining a financial 

product or service, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


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1 SECTION 1. MAKING ONLINE BANKING INITIATION LEGAL 

2 AND EASY. 

3 (a) DEFINITIONS.—In this section: 

4 (1) AFFILIATE.—The term ‘‘affiliate’’ has the 

5 meaning given the term in section 2 of the Bank 

6 Holding Company Act of 1956 (12 U.S.C. 1841). 

7 (2) DRIVER’S LICENSE.—The term ‘‘driver’s li8 cense’’ means a license issued by a State to an indi9 vidual that authorizes the individual to operate a 

10 motor vehicle on public streets, roads, or highways. 

11 (3) FEDERAL BANK SECRECY LAWS.—The term 

12 ‘‘Federal bank secrecy laws’’ means— 

13 (A) section 21 of the Federal Deposit In14 surance Act (12 U.S.C. 1829b); 

15 (B) section 123 of Public Law 91–508 (84 

16 Stat. 1116); and 

17 (C) subchapter II of chapter 53 of title 31, 

18 United States Code. 

19 (4) FEDERALLY RECOGNIZED INDIAN TRIBE.— 

20 The term ‘‘federally recognized Indian Tribe’’ has 

21 the meaning given the term by the Secretary of the 

22 Interior under section 104(a) of the Federally Rec23 ognized Indian Tribe List Act of 1994 (25 U.S.C. 

24 5131(a)). 

25 (5) FINANCIAL INSTITUTION.—The term ‘‘fi26 nancial institution’’ means— 


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1 (A) an insured depository institution; 

2 (B) an insured credit union; or 

3 (C) any affiliate of an insured depository 

4 institution or insured credit union. 

5 (6) FINANCIAL PRODUCT OR SERVICE.—The 

6 term ‘‘financial product or service’’ has the meaning 

7 given the term in section 1002(15) of the Consumer 

8 Financial Protection Act of 2010 (12 U.S.C. 

9 5481(15)). 

10 (7) INSURED CREDIT UNION.—The term ‘‘in11 sured credit union’’ has the meaning given the term 

12 in section 101 of the Federal Credit Union Act (12 

13 U.S.C. 1752). 

14 (8) INSURED DEPOSITORY INSTITUTION.—The 

15 term ‘‘insured depository institution’’ has the mean16 ing given the term in section 3 of the Federal De17 posit Insurance Act (12 U.S.C. 1813). 

18 (9) ONLINE SERVICE.—The term ‘‘online serv19 ice’’ means any Internet-based service, such as a 

20 Web site or mobile application. 

21 (10) PERSONAL IDENTIFICATION CARD.—The 

22 term ‘‘personal identification card’’ means an identi23 fication document issued by a State, local govern24 ment, or federally recognized Indian Tribe to an inVerDate Sep 11 2014 01:56 Jan 31, 2018 Jkt 079200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H1457.RFS H1457

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1 dividual solely for the purpose of identification of 

2 that individual. 

3 (11) PERSONAL INFORMATION.—The term 

4 ‘‘personal information’’ means the information dis5 played on or electronically encoded on a driver’s li6 cense or personal identification card that is reason7 ably necessary to fulfill the purpose and uses per8 mitted by subsection (b). 

9 (12) STATE.—The term ‘‘State’’ means any 

10 State, commonwealth, territory, or possession of the 

11 United States, the District of Columbia, the Com12 monwealth of Puerto Rico, the Commonwealth of the 

13 Northern Mariana Islands, American Samoa, Guam, 

14 or the United States Virgin Islands. 

15 (13) SCAN.—The term ‘‘scan’’ means the act of 

16 using a device or software to decipher, in an elec17 tronically readable format, personal information dis18 played on or electronically encoded on a driver’s li19 cense or personal identification card. 

20 (b) USE OF A DRIVER’S LICENSE OR PERSONAL

21 IDENTIFICATION CARD.— 

22 (1) IN GENERAL.—When an individual initiates 

23 a request through an online service to open an ac24 count with a financial institution or obtain a finan25 cial product or service from a financial institution, 


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1 the financial institution may record personal infor2 mation from a scan of the driver’s license or per3 sonal identification card of the individual, or make 

4 a copy or receive an image of the driver’s license or 

5 personal identification card of the individual, and 

6 store or retain such information in any electronic 

7 format for the purposes described in paragraph (2). 

8 (2) USES OF INFORMATION.—Except as re9 quired to comply with Federal bank secrecy laws, a 

10 financial institution may only use the information 

11 obtained under paragraph (1)— 

12 (A) to verify the authenticity of the driv13 er’s license or personal identification card; 

14 (B) to verify the identity of the individual; 

15 and 

16 (C) to comply with a legal requirement to 

17 record, retain, or transmit the personal infor18 mation in connection with opening an account 

19 or obtaining a financial product or service. 

20 (3) DELETION OF IMAGE.—A financial institu21 tion that makes a copy or receives an image of a 

22 driver’s license or personal identification card of an 

23 individual in accordance with paragraph (1) shall, 

24 after using the image for the purposes described in 


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1 paragraph (2), permanently delete, within a reason2 able amount of time— 

3 (A) any image of the driver’s license or 

4 personal identification card, as applicable; and 

5 (B) any copy of any such image. 

6 (c) DISCLOSURE OF PERSONAL INFORMATION.— 

7 Nothing in this section shall be construed to amend, mod8 ify, or otherwise affect any State or Federal laws that gov9 ern a financial institution’s disclosure and security of per10 sonal information that is not publicly available. 

11 (d) RELATION TO STATE LAW.—The provisions of 

12 this section shall preempt and supersede any State law 

13 that conflicts with a provision of this section, but only to 

14 the extent of such conflict. 

Passed the House of Representatives January 29, 

2018. 

Attest: KAREN L. HAAS, 

Clerk. 


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