Credit Cards

NMSA 1978 ch. 56, art. 4

in effect

NMSA 1978, § 56-4-1 Short title

56-4-1. Short title This act [56-4-1 to 56-4-4 NMSA 1978] may be cited as the "Credit Card Act". 1953 Comp., § 50-19-1, enacted by Laws 1971, ch. 154, § 1.

NMSA 1978, § 56-4-2 Definitions

56-4-2. Definitions As used in the Credit Card Act: A. "adequate notice" means a printed notice to a cardholder which sets forth the pertinent facts clearly and conspicuously so that a person against whom it is to operate could reasonably be expected to have noticed it and understood its meaning; notice may be given to a cardholder by printing it on his credit card or on each periodic statement of account issued to him or by any other means which reasonably assures receipt of the notice by the cardholder; B. "credit card" means any card, plate, coupon book or other credit device existing for the purposes of obtaining money, property, labor or services on credit; C. "accepted credit card" means any credit card which the cardholder has requested and received, or has signed, or has used or authorized another to use; D. "cardholder" means any person to whom a credit card is issued or any person who has agreed with the card issuer to pay obligations arising from the issuance of a credit card to another person; E. "card issuer" means any person who issues a credit card or his agent with respect to the credit card; and F. "unauthorized use" means any use of a credit card by a person other than the cardholder who does not have actual, implied or apparent authority for such use and from which use the cardholder received no benefit. 1953 Comp., § 50-19-2, enacted by Laws 1971, ch. 154, § 2.

NMSA 1978, § 56-4-3 Issuance of credit cards

56-4-3. Issuance of credit cards No credit card shall be issued except in response to a request or application for it. This prohibition does not apply to the issuance of a credit card in renewal of, or in substitution for, an accepted credit card. 1953 Comp., § 50-19-3, enacted by Laws 1971, ch. 154, § 3.

NMSA 1978, § 56-4-3.1 Prohibited disclosure of credit card number

56-4-3.1. Prohibited disclosure of credit card number A person who accepts a credit card from a cardholder shall not issue a receipt that lists more than five numbers from the cardholder's credit card account number. Laws 2003, ch. 169, § 4.

NMSA 1978, § 56-4-4 Liability of cardholder

56-4-4. Liability of cardholder A. A cardholder is liable for the unauthorized use of a credit card only if: (1) the card is an accepted credit card; (2) the liability is not in excess of fifty dollars ($50.00); (3) the card issuer has provided the cardholder with a toll-free number or other convenient, no-cost method of notifying the card issuer in the event of loss or theft of the credit card; and (4) the unauthorized use occurs before the cardholder has notified the card issuer that an unauthorized use of the credit card has occurred or may occur as the result of loss, theft or otherwise. B. No cardholder is liable for the unauthorized use of any credit card that was issued on or after the effective date of the Credit Card Act, and, after the expiration of twelve months following that effective date, no cardholder is liable for the unauthorized use of any credit card regardless of its date of issuance unless: (1) the conditions of liability specified in Subsection A of this section are met; and (2) the card issuer has provided a method whereby the user of the credit card can be identified as the person authorized to use it. C. For the purposes of this section, a cardholder notifies a card issuer by taking such steps as may be reasonably required in the ordinary course of business to provide the card issuer with the pertinent information whether or not any particular officer, employee or agent of the card issuer does in fact receive such information. D. In any action by a card issuer to enforce liability for the use of a credit card, the burden of proof is upon the card issuer to show that the use was authorized or, if the use was unauthorized, then the burden of proof is upon the card issuer to show that the conditions of liability for the unauthorized use of a credit card, as set forth in Subsection A of this section, have been met. E. Nothing in this section imposes liability upon a cardholder for the unauthorized use of a credit card in excess of his liability for such use under other applicable law or under any agreement with the card issuer. F. Except as provided in this section, a cardholder incurs no liability from the unauthorized use of a credit card. 1953 Comp., § 50-19-4, enacted by Laws 1971, ch. 154, § 4; 1995, ch. 190, § 6.

Source: New Mexico Compilation Commission (nmonesource.com)URL: https://nmonesource.com/nmos/nmsa-unanno/en/item/18559/index.doFetched: 10/20/2026