S.B. No. 2371 introduces new regulations concerning the presence of skimmers on electronic terminals, such as ATMs and point-of-sale devices, by adding Chapter 607A to the Business & Commerce Code. The bill defines key terms related to electronic transactions and establishes the responsibilities of service technicians and merchants in the event a skimmer is discovered. Specifically, it mandates that service technicians must notify the financial crimes intelligence center and the merchant upon discovering a skimmer, while merchants are required to disable the affected terminal, notify law enforcement, and take measures to protect the terminal until authorities arrive.

Additionally, the bill authorizes civil penalties for violations of its provisions, with fines not exceeding $5,000 per day for each infraction, and allows the attorney general to pursue legal action to collect these penalties. It also establishes criminal offenses related to the refusal of inspection of electronic terminals and the negligent or intentional disposal of skimmers, with varying degrees of misdemeanors and felonies depending on the circumstances. The act is set to take effect immediately upon receiving a two-thirds vote from both houses or on September 1, 2025, if that threshold is not met.

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