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Congress·In Committee

Congress Proposes Replacing All SNAP Magnetic Stripe Cards with Secure Chips to Fight Fraud

SNAP Payment Security and Fraud Prevention Act of 2026

about 1 month ago·View on Congress.gov

Legislative Progress

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Key Points

  • Congress is considering a bill introduced by Ms. Malliotakis that would require all states to replace old-fashioned magnetic stripe EBT cards with secure chip-enabled cards. This change is designed to stop 'skimming,' a type of theft where criminals use hidden devices at checkout counters to steal card information and drain benefits.
  • States would have two years to begin issuing the new chip cards and five years to replace every existing card currently in use. Additionally, any grocery store or retailer that accepts SNAP benefits would be required to upgrade their payment machines to support chip technology within a similar timeframe.
  • The bill would give families new digital tools to protect their accounts, such as the ability to 'freeze' their card instantly if it is lost and the option to use 'virtual' card numbers for safer online shopping. States would also be required to offer text or email alerts so users can see transactions in real-time.
  • If a card is stolen, damaged, or malfunctions, the state must provide a replacement within three business days. The bill also bans states from charging families fees to replace cards that were compromised by fraud, expired, or replaced due to these new security requirements.
  • Federal investigators would receive more power to work with the FBI and Secret Service to track down cyber-criminals who target food assistance programs. People caught stealing SNAP benefits would face a fine equal to double the amount of money they stole, with that money used to help pay back victims.
AgricultureTechnology DigitalCriminal Justice

Impact Analysis

Scores: 1 = low, 5 = highSentiment: -5 to +5 (net benefit)

State Impacts

Scores: 1 = low, 5 = highSentiment: -5 to +5 (net benefit)

Milestones

2 milestones2 actions
Feb 2, 2026House

Referred to the House Committee on Agriculture.

Feb 2, 2026

Introduced in House

What Happens Next

Projected impacts based on AI analysis

60 days after enactment

States must stop charging fees for replacing EBT cards compromised by fraud, malfunction, or expiration, and must align PIN/password rules with federal cybersecurity standards

SNAP households would no longer pay out of pocket to replace cards that weren't their fault, and would face simpler, more secure password requirements — these take effect 60 days after enactment

Related News

3 articles
Brooklyn Eagle·28 days ago

Bipartisan effort would require SNAP cards to have EMV chip technology

Congresswoman Nicole Malliotakis (R-NY) introduced H.R. 7316, the SNAP Payment Security and Fraud Prevention Act of 2026. The bill mandates that states transition from magnetic stripe EBT cards to secure EMV chip technology by 2030 to prevent skimming and includes provisions for an online portal.

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Brooklyn Eagle·20 days ago

New Assembly bill would require secure chip-enabled EBT cards

While focusing on a New York state-level mandate for chip-enabled EBT cards, this report highlights the federal SNAP Payment Security and Fraud Prevention Act of 2026 introduced by Rep. Malliotakis, noting its goal to modernize the system and protect benefits from high-tech theft.

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Brooklyn Eagle·8 days ago

Bipartisan bill would extend cybersecurity regulations on food nutrition programs

This article discusses Rep. Dan Goldman's H.R. 7658 but contextualizes it within the broader legislative push for SNAP security, specifically referencing the Malliotakis bill (H.R. 7316) which requires EMV chips and enhanced digital protections for benefit recipients.

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Source Information

Document Type

Congressional Bill

Official Title

SNAP Payment Security and Fraud Prevention Act of 2026

Bill NumberHR 7316
Congress119th Congress
ChamberHouse of Representatives
Latest ActionReferred to the House Committee on Agriculture.

Sponsor

Analysis generated by AI. While we strive for accuracy, this should not be considered legal or professional advice. Always verify information with official government sources.