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SB1623 • 2026

credit cards; interest rate; requirements

SB1623 - credit cards; interest rate; requirements

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
David Gowan
Last action
2026-02-04
Official status
Senate second read
Effective date
Not listed

Plain English Breakdown

The bill summary does not provide specific details on enforcement mechanisms or penalties for non-compliance.

Credit Card Interest Rate Limits

SB1623 sets limits on credit card interest rates and late fees in Arizona.

What This Bill Does

  • Limits the maximum interest rate a credit card company can charge to fifteen percent for all purchases charged to a credit card account.
  • Caps the late fee at $10, regardless of the credit card balance.
  • Prohibits merchants from adding extra charges when customers use credit cards.

Who It Names or Affects

  • Credit card companies that do business in Arizona
  • Customers who have credit cards

Terms To Know

Interest rate
The cost of borrowing money, expressed as a percentage.
Late fee
A penalty charged when a payment is not made on time.

Limits and Unknowns

  • Does not specify what happens if the law goes into effect before it was passed.
  • The exact date this bill will take effect has not been set yet.

Bill History

  1. 2026-02-04 Senate

    Senate second read

  2. 2026-02-03 Senate

    Senate Rules: None

  3. 2026-02-03 Senate

    Senate Finance: None

  4. 2026-02-03 Senate

    Senate first read

Official Summary Text

SB1623 - credit cards; interest rate; requirements

Current Bill Text

Read the full stored bill text 
SB1623 - 572R - I Ver

REFERENCE TITLE:
credit cards; interest rate; requirements

State of Arizona

Senate

Fifty-seventh Legislature

Second Regular Session

2026

SB 1623

Introduced by

Senator
Gowan

AN
ACT

amending title 44, chapter 35, arizona
revised statutes, by adding article 2; relating to credit card agreements.

(TEXT OF BILL BEGINS ON NEXT PAGE)

Be it enacted by the Legislature of the State of Arizona:

Section 1. Title 44, chapter 35, Arizona
Revised Statutes, is amended by adding article 2, to read:

ARTICLE 2. INTEREST RATES

START_STATUTE
44-7821.

Credit card interest rates; late fees; surcharge prohibited

A. A credit card company that does
business in this state may charge an interest rate of not more than fifteen
percent for all credit card purchases charged to a credit card account.� A
credit card company may charge a late fee of not more than $10 regardless of
the credit card balance.

B. The fifteen percent interest rate
applies to the previous twelve months of interest that has accrued and been
charged to the credit card.

C. A credit card merchant may not add
a surcharge to any charge that is made using a credit card.

D. The attorney general may
investigate and take appropriate action pursuant to chapter 10, article 7 of
this title.
END_STATUTE

Sec. 2.
Retroactivity

This act applies retroactively to from
and after twelve months before the effective date of this act.

Sec. 3.
Emergency

This act is an emergency measure that
is necessary to preserve the public peace, health or safety and is operative
immediately as provided by law.