SB 1202 — An Act amending Title 72 (Taxation and Fiscal Affairs) of the Pennsylvania Consolidated Statutes, prohibiting certain payment card network fee practices; and imposing penalties.

Summary

Cutting Costs for Small Businesses

Bill Text

• Printer's No. 1476 View text Current

AI-generated reading aid from the bill's amendatory text — verify against the official bill.

This bill adds new regulations on payment card network fee practices in Pennsylvania, establishing prohibitions and penalties for violations.

• Title 72 (Taxation and Fiscal Affairs) of the Pennsylvania Consolidated Statutes

  CHAPTER 19 PAYMENT CARD NETWORK FEE PRACTICES Sec. 1901. Definitions. 1902. Prohibition on certain payment card network fee practices. 1903. Penalties.

  Establishes a new chapter in the law focused on payment card network fee practices.

• § 1902

  (a) Payment card network prohibitions.--A payment card network, whether directly or through an agent, acquirer bank, processor, contract, requirement, condition, penalty, technological specification or inducement, may not: (1) establish, charge or put forward on a fee schedule an interchange fee if: (i) the fee is or includes a percentage multiplied by the gross dollar amount of a transaction conducted with a debit card or credit card; and (ii) the fee does not exclude from the gross dollar amount of the transaction any amount attributable to a tax on the transaction; (2) increase the rate or amount of an interchange fee or other fee that applies to the portion of an electronic payment transaction other than the portion attributable to a tax on the transaction in an attempt to, or in a manner that would, circumvent the prohibition provided under paragraph (1); (3) charge a fee to a consumer or merchant related to a disputed electronic payment transaction until the dispute has been resolved by a determination that the consumer or merchant is liable for the transaction and the consumer or merchant has been provided written notice of the determination; (4) impose a fee or other penalty on a merchant for setting prices in a manner that complies with Federal and State law.

  Prohibits payment card networks from engaging in specific fee practices that affect merchants and consumers.

• § 1903

  (a) Injunctive relief.--The Attorney General may file suit to seek injunctive relief and, if appropriate, to collect a civil penalty and order restitution from any payment card network that the Attorney General believes has violated any provision of this chapter. (b) Civil penalty and refund.--A payment card network that violates this chapter shall: (1) Be subject to a civil penalty of not more than $1,000 per violation, payable to the plaintiff. (2) Refund, to each merchant or consumer that utilizes the payment card network, as applicable, the portion of any fee that was collected in violation of this chapter.

  Establishes penalties for violations of the chapter, allowing the Attorney General to seek civil penalties and order refunds.

Action History

1. February 27, 2026

   Referred to FINANCE, Feb. 27, 2026

Sponsors

• Nick Pisciottano · Primary
• Christine M. Tartaglione · Cosponsor
• Tracy Pennycuick · Cosponsor
• Wayne D. Fontana · Cosponsor
• John I. Kane · Cosponsor
• Art Haywood · Cosponsor
• Vincent J. Hughes · Cosponsor
• Patty Kim · Cosponsor
• Sharif Street · Cosponsor
• Carolyn T. Comitta · Cosponsor
• Amanda M. Cappelletti · Cosponsor
• Marty Flynn · Cosponsor
• Jay Costa · Cosponsor
• Daniel Laughlin · Cosponsor
• Lynda Schlegel Culver · Cosponsor
• James Andrew Malone · Cosponsor
• Steven J. Santarsiero · Cosponsor
• Nikil Saval · Cosponsor
• Maria Collett · Cosponsor
• Lisa M. Boscola · Cosponsor
• Timothy P. Kearney · Cosponsor
• Lindsey M. Williams · Cosponsor

Subjects