Servicemember Payment Data Privacy and Security Act

Key Points

• This bill would stop the Department of Defense from doing business with retailers that use payment technology from countries like China, Russia, Iran, and North Korea. This includes the machines used to swipe credit cards and the software that moves money between bank accounts.
• The plan aims to protect the private information of people serving in the military. Lawmakers want to make sure that foreign governments cannot use these payment systems to track where servicemembers are or steal their financial data.
• The Department of Defense would have about six months to check all its current contracts for these risks. If a store is found using technology from a country of concern, they would have to replace it or lose their contract with the military.
• If this becomes law, the military would be banned from starting any new contracts with companies using this foreign technology starting in 2027. This would force many businesses that serve military bases to update their equipment.

Impact Analysis

Govbase has not yet run an impact analysis on this legislation.