Senate File 2040 - Introduced SENATE FILE 2040 BY HART A BILL FOR An Act prohibiting consumer reporting agencies from charging 1 fees in relation to consumer security freezes. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 5105XS (2) 87 gh/rn

S.F. 2040 Section 1. Section 714G.2, Code 2018, is amended to read as 1 follows: 2 714G.2 Security freeze. 3 A consumer may submit by certified mail to a consumer 4 reporting agency a written request for a security freeze. 5 The consumer must submit proper identification and the 6 applicable fee with the request. Within five business days 7 after receiving the request, the consumer reporting agency 8 shall commence the security freeze. Within ten business days 9 after commencing the security freeze, the consumer reporting 10 agency shall send a written confirmation to the consumer of the 11 security freeze, a personal identification number or password, 12 other than the consumer’s social security number, for the 13 consumer to use in authorizing the suspension or removal of 14 the security freeze, including information on how the security 15 freeze may be temporarily suspended. 16 Sec. 2. Section 714G.3, subsection 1, paragraph d, Code 17 2018, is amended by striking the paragraph. 18 Sec. 3. Section 714G.4, Code 2018, is amended to read as 19 follows: 20 714G.4 Removal. 21 A security freeze remains in effect until the consumer 22 requests that the security freeze be removed. A consumer 23 reporting agency shall remove a security freeze within three 24 business days after receiving a request for removal that 25 includes proper identification of the consumer , and the 26 personal identification number or password provided by the 27 consumer reporting agency , and payment of the applicable fee . 28 Sec. 4. Section 714G.5, Code 2018, is amended to read as 29 follows: 30 714G.5 Fees prohibited . 31 1. A consumer reporting agency shall not charge any fee to 32 a consumer who is the victim of identity theft for commencing 33 a security freeze, temporary suspension, or removal if with 34 the initial security freeze request, the consumer submits a 35 -1- LSB 5105XS (2) 87 gh/rn 1/ 2

S.F. 2040 valid copy of the police report concerning the unlawful use of 1 identification information by another person. 2 2. A consumer reporting agency may charge a fee not to 3 exceed ten dollars to a consumer who is not the victim of 4 identity theft for each security freeze, removal, or for 5 reissuing a personal identification number or password if the 6 consumer fails to retain the original number. The consumer 7 reporting agency may charge a fee not to exceed twelve dollars 8 for each temporary suspension of a security freeze. 9 A consumer reporting agency shall not charge a fee to a 10 consumer for providing any service pursuant to this chapter, 11 including but not limited to placing, removing, temporarily 12 suspending, or reinstating a security freeze or protected 13 consumer security freeze. 14 Sec. 5. Section 714G.8A, subsection 1, paragraph d, Code 15 2018, is amended by striking the paragraph. 16 Sec. 6. Section 714G.8A, subsection 3, paragraph d, Code 17 2018, is amended by striking the paragraph. 18 Sec. 7. Section 714G.8A, subsection 5, Code 2018, is amended 19 by striking the subsection. 20 EXPLANATION 21 The inclusion of this explanation does not constitute agreement with 22 the explanation’s substance by the members of the general assembly. 23 Current law allows consumer reporting agencies to charge 24 consumers certain fees for placing, removing, temporarily 25 suspending, or reinstating security freezes or protected 26 consumer security freezes. This bill prohibits consumer 27 reporting agencies from charging a fee for providing any 28 service pursuant to Code chapter 714G, including but not 29 limited to placing, removing, temporarily suspending, or 30 reinstating a security freeze or protected consumer security 31 freeze. The bill removes all references to payment of fees 32 from Code chapter 714G. 33 -2- LSB 5105XS (2) 87 gh/rn 2/ 2