SB 677 — Sales transactions; discounts inducing payment by cash, check, or similar means; options; disclosure; surcharges; repealing provision prohibiting surcharge on use of credit and debit card. Effective date.

ENGROSSEDAn Act ENROLLED SENATE BILL NO.

KernKern, Bullard, and BullardFrix of the Senate and Gise of the House 6 An Act relating to sales transactions;

amending 14A O.S.

2021, Section 2-211, which relates to discounts inducing payment by cash, check, or similar means;

increasing options for discount;

authorizing no limit on amount of discount;

requiring certain disclosure for sellers offering certain discount;

clarifying use of surcharges;

requiring certain notice for surcharges;

limiting amount of surcharge;

updating language;

defining credit card;

defining seller;

defining surcharge;

9SUBJECT: BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:

Sales transactions BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:

AMENDATORY 14A O.S.

2021, Section 2-211, is amended to read as follows:

Section 2-211.

A.

With respect to all sales, service, and lease transactions including, but not limited to, any consumer credit sales transaction, a discount which a seller offers, allows, or otherwise makes available for the purpose of inducing payment by cash, check, debit card, or similar means rather than by use of an open-end a credit card account shall not constitute a credit service charge as determined under Section 2-109 of this title if the discount is offered to all prospective buyers clearly and conspicuously in accordance with regulations of the Administrator of Consumer Affairs Credit.

There shall be no limit on the discount that may be offered by the seller.

Pursuant to the regulations of the Administrator, a seller who provides a discount not in accordance with regulations shall disclose such information to the Administrator.

B.

No seller in any sales transaction may impose a surcharge on a cardholder who elects an open-end to pay using a credit card or debit card account instead of paying by cash, check, debit card, or similar means unless the seller complies with the following requirements:

1.

Notice displaying the amount of the surcharge applicable shall be clearly and conspicuously posted at the point of entry and the point of sale for in-person transactions and the home page and the point-of-sale webpage for online transactions.

Notice, including all required information, shall be verbally disclosed to the customer for transactions processed over the phone;

and 2.

No surcharge shall exceed two percent (2%) of the total transaction or the actual amount to be charged to the person or retailer to process the credit card transaction, whichever is less.

A customer shall not be considered to have chosen to use a credit card as a method of payment under this section if, at the time of the transaction, the person or retailer accepts only credit cards as payment.

There is no limit on the discount which may be offered by the seller.

A seller who provides a discount otherwise than in accordance with the regulations of the Administrator must make the disclosures required by those regulations.

B.

C.

A seller who is registered with the United States Treasury Department of the Treasury as a money transmitter pursuant to 31 CFR C.F.R., Section 103.41, and who provides an electronic funds transmission service, including service by telephone and the Internet, may charge a different price for a funds transmission service based on the mode of transmission used in the transaction without violating this section so long as the price charged for a service paid for with an open-end credit card or debit card account is not greater than the price charged for such service if paid for with currency or other similar means accepted within the same mode of transmission.

ENR.

S.

B.

NO.