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ARIZONA STATE SENATE

Fifty-Sixth Legislature, First Regular Session

FACT SHEET FOR h.b. 2472

social credit; use; prohibition

Purpose

Prohibits the State of Arizona from requiring a bank or financial institution to use a social credit score when the bank or financial institution evaluates whether to lend money to a customer.

Background

Statute authorizes and outlines the regulation and operation of banks and financial institutions in Arizona. The Department of Insurance and Financial Institutions licenses, supervises and regulates state-chartered financial institutions and enterprises and is responsible for annual assessments of the financial institutions and enterprises to ensure the safety and stability of the financial services industry (A.R.S. Title 6).

There is no anticipated fiscal impact to the state General Fund associated with this legislation.

Provisions

1. Prohibits the State of Arizona from requiring a bank or financial institution to use a social credit score when the bank or financial institution evaluates whether to lend money to a customer.

2. Becomes effective on the general effective date.

House Action

COM               1/31/23      DP    6-4-0-0

3^rd Read           2/21/23               31-28-1

Prepared by Senate Research

March 1, 2023

MG/sr