HOUSE BILL No. 6107

May 8, 2008, Introduced by Reps. Jackson and Dean and referred to the Committee on Banking and Financial Services.

 

     A bill to amend 2003 PA 215, entitled

 

"Credit union act,"

 

(MCL 490.101 to 490.601) by adding section 388.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 388. (1) Before a domestic credit union sells or

 

otherwise transfers any personal identifying information concerning

 

a member, borrower, or other individual to another person, the

 

domestic credit union shall provide a notice to that individual

 

that indicates what personal identifying information the domestic

 

credit union is transferring and the reason for the transfer,

 

identifies the transferee of that information, and includes a

 

telephone number or other contact information for the domestic

 

credit union that the individual may use to notify the domestic


 

credit union concerning any errors in his or her personal

 

identifying information. The domestic credit union shall not sell

 

or otherwise transfer that individual's personal identifying

 

information for at least 10 days after providing the notice.

 

     (2) A domestic credit union shall provide a notice required

 

under this section by providing 1 or more of the following to the

 

recipient:

 

     (a) Written notice sent to the recipient at the recipient's

 

postal address in the records of the domestic credit union.

 

     (b) Written notice sent electronically to the recipient if any

 

of the following are met:

 

     (i) The recipient has expressly consented to receive electronic

 

notice.

 

     (ii) The domestic credit union has an existing business

 

relationship with the recipient that includes periodic electronic

 

mail communications and based on those communications the domestic

 

credit union reasonably believes that it has the recipient's

 

current electronic mail address.

 

     (iii) The domestic credit union conducts its business primarily

 

through internet account transactions or on the internet.

 

     (c) If not otherwise prohibited by state or federal law,

 

notice given by telephone by an individual who represents the

 

domestic credit union if all of the following are met:

 

     (i) The notice is not given in whole or in part by use of a

 

recorded message.

 

     (ii) The recipient has expressly consented to receive notice by

 

telephone, or if the recipient has not expressly consented to


 

receive notice by telephone, the domestic credit union also

 

provides notice under subdivision (a) or (b) if the notice by

 

telephone does not result in a live conversation between the

 

individual representing the domestic credit union and the recipient

 

within 3 business days after the initial attempt to provide

 

telephonic notice.

 

     (3) A notice under this section shall meet all of the

 

following:

 

     (a) For a notice provided under subsection (2)(a) or (b), be

 

written in a clear and conspicuous manner and contain the content

 

required under subsection (2).

 

     (b) For a notice provided under subsection (2)(c), clearly

 

communicate the content required under subsection (2) to the

 

recipient of the telephone call.

 

     (4) As used in this section, "personal identifying

 

information" means that term as defined in section 3 of the

 

identity theft protection act, 2004 PA 452, MCL 445.63.

 

     Enacting section 1. This amendatory act does not take effect

 

unless all of the following bills of the 94th Legislature are

 

enacted into law:

 

     (a) Senate Bill No. ____ or House Bill No. 6099(request no.

 

05635'07).

 

     (b) Senate Bill No. ____ or House Bill No. 6100(request no.

 

05636'07).

 

     (c) Senate Bill No. ____ or House Bill No. 6101(request no.

 

05637'07).

 

     (d) Senate Bill No. ____ or House Bill No. 6102(request no.


 

05638'07).

 

     (e) Senate Bill No. ____ or House Bill No. 6103(request no.

 

05639'07).

 

     (f) Senate Bill No. ____ or House Bill No. 6104(request no.

 

05979'07).

 

     (g) Senate Bill No. ____ or House Bill No. 6105(request no.

 

05980'07).

 

     (h) Senate Bill No. ____ or House Bill No. 6106(request no.

 

05981'07).