What are the laws governing online payments?

Online payments in California are regulated by several state and federal laws. The most important of these are the Electronic Funds Transfer Act (EFTA) and the Electronic Signatures in Global and National Commerce Act (ESIGN). The EFTA requires financial institutions to protect against unauthorized access to electronic transfers or payments, and also requires financial institutions to refund consumers for any losses incurred due to unauthorized transfers. The ESIGN requires companies to obtain customer consent before providing any goods or services electronically. Other regulations for online payments in California include the regulations of the California Department of Business Oversight (DBO). The DBO establishes regulations for money transmitters in California, which includes the requirements for mobile payment and stored value products, as well as the necessary pre-licensing and post-licensing requirements for operating a money transmitter business in the state. The California Electronic Security Bond Law also covers online payments. This law requires all companies engaging in activities related to online payments to obtain a surety bond with a certain amount of coverage. The amount of coverage depends on the type of business and the total value of the payments the business is engaging in. Finally, California also has laws protecting consumers from online fraud and identity theft. These include requirements for companies to keep accurate records and to protect customer information with secure data encryption. Companies must also inform customers when their data is collected and provide the customer with the right to dispute or correct any errors or inaccuracies found in their records.

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What are the laws governing online payments?

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