New York 2025-2026 Regular Session

New York Assembly Bill A05730

Introduced
2/20/25  
Refer
2/20/25  

Caption

Directs every peer-to-peer mobile service to require users to create a personal identification code associated with the user's account that is required to be used when certain actions are taken and to require users to set a monetary amount for intended transfers above which the use of a personal identification number will be required to authenticate the user's identity.

Summary

The bill A05730, known as the 'Financial App Security Act', aims to enhance security measures for peer-to-peer mobile payment services in New York. It mandates that these services require users to create a personal identification code (PIN) for account access and to set a monetary threshold for transactions above which the PIN must be used. The bill outlines specific scenarios where additional identity verification is required, such as high-value transactions or transactions with new users. Furthermore, it establishes penalties for non-compliance, prohibiting non-compliant services from operating within the state.

Impact

If enacted, this bill will amend the general business law and financial services law in New York, establishing a regulatory framework for peer-to-peer mobile payment services. It will require these services to implement stricter security protocols, potentially reducing instances of fraud and enhancing consumer protection. The financial frauds and consumer protection unit will be empowered to enforce these new provisions, thereby increasing oversight of mobile payment platforms operating in the state.

Sentiment

The sentiment surrounding the bill appears to be generally positive, with discussions highlighting the need for improved security in financial transactions. However, there may be concerns from service providers regarding the feasibility of implementing these requirements and the potential impact on user experience. The lack of recorded votes or committee discussions suggests that the bill is still in the early stages of consideration.

Contention

Notable points of contention may arise from peer-to-peer mobile service providers who could argue that the requirements for additional identity verification and the establishment of a personal identification code could complicate user transactions and deter users from utilizing their services. Additionally, there may be concerns about the enforcement mechanisms and the implications for user privacy and data security.

Companion Bills

NY S05500

Same As Directs every peer-to-peer mobile service to require users to create a personal identification code associated with the user's account that is required to be used when certain actions are taken and to require users to set a monetary amount for intended transfers above which the use of a personal identification number will be required to authenticate the user's identity.

NY S09661

Same As Directs every peer-to-peer mobile service to require users to create a personal identification code associated with the user's account that is required to be used when certain actions are taken and to require users to set a monetary amount for intended transfers above which the use of a personal identification number will be required to authenticate the user's identity.

Previously Filed As

NY S09661

Directs every peer-to-peer mobile service to require users to create a personal identification code associated with the user's account that is required to be used when certain actions are taken and to require users to set a monetary amount for intended transfers above which the use of a personal identification number will be required to authenticate the user's identity.

NY S05500

Directs every peer-to-peer mobile service to require users to create a personal identification code associated with the user's account that is required to be used when certain actions are taken and to require users to set a monetary amount for intended transfers above which the use of a personal identification number will be required to authenticate the user's identity.

NY SB726

Relating to requiring operators of smart devices to provide information to users about the collection of personal data.

NY HB3285

Relating to requiring operators of smart devices to provide information to users about the collection of personal data.

NY S1354

Requires controller or processor to de-identify personal data and prohibits re-identification of de-identified data.

NY HB691

Creates a requirement that users must provide government-issued identification prior to viewing pornographic materials provided by commercial entities on the internet

NY S1322

Amends existing law to add certain requirements for an affidavit in lieu of personal identification.

NY S07974

Requires that businesses that provide consumers with online accounts to access services accounts for mobile telephones using proper identification if the business has a physical presence in this state.

NY A08598

Requires that businesses that provide consumers with online accounts to access services accounts for mobile telephones using proper identification if the business has a physical presence in this state.

NY S08850

Establishes the NY digital choice act requiring social media companies to provide covered users with a copy of the covered user's social graph at the request of the covered user; defines terms; provides requirements for the interoperability of covered users' data; grants the attorney general the authority to promulgate rules and regulations and enforce such provisions.

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