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 institu-
tions for opening an account or obtaining a financial 
product or service, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
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SECTION 1. MAKING ONLINE BANKING INITIATION LEGAL 
AND EASY. 
(a) DEFINITIONS.—In this section: 
(1) AFFILIATE.—The term ‘‘affiliate’’ has the 
meaning given the term in section 2 of the Bank 
Holding Company Act of 1956 (12 U.S.C. 1841). 
(2) DRIVER’S LICENSE.—The term ‘‘driver’s li-
cense’’ means a license issued by a State to an indi-
vidual that authorizes the individual to operate a 
motor vehicle on public streets, roads, or highways. 
(3) FEDERAL BANK SECRECY LAWS.—The term 
‘‘Federal bank secrecy laws’’ means— 
(A) section 21 of the Federal Deposit In-
surance Act (12 U.S.C. 1829b); 
(B) section 123 of Public Law 91–508 (84 
Stat. 1116); and 
(C) subchapter II of chapter 53 of title 31, 
United States Code. 
(4) FEDERALLY RECOGNIZED INDIAN TRIBE.— 
The term ‘‘federally recognized Indian Tribe’’ has 
the meaning given the term by the Secretary of the 
Interior under section 104(a) of the Federally Rec-
ognized Indian Tribe List Act of 1994 (25 U.S.C. 
5131(a)). 
(5) FINANCIAL
INSTITUTION.—The term ‘‘fi-
nancial institution’’ means— 
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(A) an insured depository institution; 
(B) an insured credit union; or 
(C) any affiliate of an insured depository 
institution or insured credit union. 
(6) FINANCIAL
PRODUCT
OR
SERVICE.—The 
term ‘‘financial product or service’’ has the meaning 
given the term in section 1002(15) of the Consumer 
Financial Protection Act of 2010 (12 U.S.C. 
5481(15)). 
(7) INSURED CREDIT UNION.—The term ‘‘in-
sured credit union’’ has the meaning given the term 
in section 101 of the Federal Credit Union Act (12 
U.S.C. 1752). 
(8) INSURED DEPOSITORY INSTITUTION.—The 
term ‘‘insured depository institution’’ has the mean-
ing given the term in section 3 of the Federal De-
posit Insurance Act (12 U.S.C. 1813). 
(9) ONLINE SERVICE.—The term ‘‘online serv-
ice’’ means any Internet-based service, such as a 
Web site or mobile application. 
(10) PERSONAL
IDENTIFICATION
CARD.—The 
term ‘‘personal identification card’’ means an identi-
fication document issued by a State, local govern-
ment, or federally recognized Indian Tribe to an in-
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dividual solely for the purpose of identification of 
that individual. 
(11) 
PERSONAL
INFORMATION.—The 
term 
‘‘personal information’’ means the information dis-
played on or electronically encoded on a driver’s li-
cense or personal identification card that is reason-
ably necessary to fulfill the purpose and uses per-
mitted by subsection (b). 
(12) STATE.—The term ‘‘State’’ means any 
State, commonwealth, territory, or possession of the 
United States, the District of Columbia, the Com-
monwealth of Puerto Rico, the Commonwealth of the 
Northern Mariana Islands, American Samoa, Guam, 
or the United States Virgin Islands. 
(13) SCAN.—The term ‘‘scan’’ means the act of 
using a device or software to decipher, in an elec-
tronically readable format, personal information dis-
played on or electronically encoded on a driver’s li-
cense or personal identification card. 
(b) USE OF A DRIVER’S LICENSE OR PERSONAL 
IDENTIFICATION CARD.— 
(1) IN GENERAL.—When an individual initiates 
a request through an online service to open an ac-
count with a financial institution or obtain a finan-
cial product or service from a financial institution, 
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the financial institution may record personal infor-
mation from a scan of the driver’s license or per-
sonal identification card of the individual, or make 
a copy or receive an image of the driver’s license or 
personal identification card of the individual, and 
store or retain such information in any electronic 
format for the purposes described in paragraph (2). 
(2) USES
OF
INFORMATION.—Except as re-
quired to comply with Federal bank secrecy laws, a 
financial institution may only use the information 
obtained under paragraph (1)— 
(A) to verify the authenticity of the driv-
er’s license or personal identification card; 
(B) to verify the identity of the individual; 
and 
(C) to comply with a legal requirement to 
record, retain, or transmit the personal infor-
mation in connection with opening an account 
or obtaining a financial product or service. 
(3) DELETION OF IMAGE.—A financial institu-
tion that makes a copy or receives an image of a 
driver’s license or personal identification card of an 
individual in accordance with paragraph (1) shall, 
after using the image for the purposes described in 
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paragraph (2), permanently delete, within a reason-
able amount of time— 
(A) any image of the driver’s license or 
personal identification card, as applicable; and 
(B) any copy of any such image. 
(c) DISCLOSURE
OF PERSONAL INFORMATION.— 
Nothing in this section shall be construed to amend, mod-
ify, or otherwise affect any State or Federal laws that gov-
ern a financial institution’s disclosure and security of per-
sonal information that is not publicly available. 
(d) RELATION TO STATE LAW.—The provisions of 
this section shall preempt and supersede any State law 
that conflicts with a provision of this section, but only to 
the extent of such conflict. 
Passed the House of Representatives January 29, 
2018. 
Attest: 
KAREN L. HAAS, 
Clerk. 
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