WASHINGTON – The House has approved the Making Online Banking Initiation Legal and Easy (MOBILE) Act of 2017 (H.R. 1457). The bill, which was supported by CUNA and introduced by Rep. Scott Tipton (R-CO), would allow financial institutions to record personal information from a copy of an individual's identification for the purpose of verifying the authenticity of the identification.
“This legislation is important to help credit unions and other financial institutions remain competitive in a world where financial technology companies are often subject to fewer requirements,” said CUNA President/CEO Jim Nussle in a statement. “It’s always a positive development when consumers have easier access to credit unions and the safe and affordable products and services they offer.”
The MOBILE Act would grant financial institutions the ability to record personal information from a swipe, copy or image of a driver’s license or other identification card. While the individual must provide their consent, information stored will be used to verify the identity of a consumer and aid in the prevention of fraud or other criminal activity, CUNA noted.
The bill passed the House Financial Services committee back in December with a 50-10 vote.