June 20, 2023, Introduced by Reps. Johnsen, Thompson, Rigas, Schriver, Aragona, Smit, Beson, BeGole and Meerman and referred to the Committee on Insurance and Financial Services.

A bill to prohibit financial institutions from using firearms codes under certain circumstances and prescribe civil sanctions.

the people of the state of michigan enact:

Sec. 1. This act may be cited as the "Second Amendment financial privacy act".

Sec. 3. As used in this act:

(a) "Financial institution" means a person that provides financial transaction services, including, but not limited to, any of the following:

(i) A state or nationally chartered bank or a state or federally chartered savings and loan association, savings bank, or credit union whose deposits are insured by an agency of the United States government and that maintains a principal office or branch office located in this state under the laws of this state or the United States.

(ii) A payment card network.

(iii) An online payment provider.

(iv) A cryptocurrency company.

(v) An internet-based payment application.

(vi) An acquirer.

(vii) A payment facilitator.

(b) "Firearms code" means the merchant category code approved by the International Organization for Standardization for the purpose of initiating a card-based transaction for firearms retailers.

(c) "Firearms retailer" means a person that is engaged in the lawful business of selling or trading any of the following in this state:

(i) A firearm.

(ii) A firearm part, component, or accessory.

(iii) Any ammunition.

(iv) Any ammunition component, including, but not limited to, any powder or casing.

(v) A product offered or sold at a firearms store.

Sec. 5. A financial institution may not require a firearms retailer to use a firearms code that is different from that of a general transaction.

Sec. 7. A financial institution that violates this act may be ordered to pay a civil fine of not more than $10,000.00 per violation. A violation of this act may be prosecuted by the prosecutor of the county in which the violation occurred, or by the attorney general.