---
kind: "section"
citation: "42 U.S.C. § 1320d–8"
title: "42"
title_heading: "The Public Health and Welfare"
number: "1320d–8"
heading: "Processing payment transactions by financial institutions"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/42/1320d-8"
units:
  - "Chapter 7 — Social Security"
  - "Subchapter XI — General Provisions, Peer Review, and Administrative Simplification"
  - "Part C — Administrative Simplification"
---

# §1320d–8. Processing payment transactions by financial institutions


To the extent that an entity is engaged in activities of a financial institution (as defined in [section 3401 of title 12](/usc/12/3401.md)), or is engaged in authorizing, processing, clearing, settling, billing, transferring, reconciling, or collecting payments, for a financial institution, this part, and any [standard](/usc/42/1320d.md?p=7) adopted under this part, shall not apply to the entity with respect to such activities, [including](/usc/42/1301.md?p=b) the following:

- (1) The use or disclosure of information by the entity for authorizing, processing, clearing, settling, billing, transferring, reconciling or collecting, a payment for, or related to, [health plan](/usc/42/1320d.md?p=5) premiums or health care, where such payment is made by any means, [including](/usc/42/1301.md?p=b) a credit, debit, or other payment card, an account, check, or electronic funds transfer.
- (2) The request for, or the use or disclosure of, information by the entity with respect to a payment described in [paragraph (1)](#1)—
  - (A) for transferring receivables;
  - (B) for auditing;
  - (C) in connection with—
    - (i) a [customer](/usc/42/7275.md?p=5) dispute; or
    - (ii) an inquiry from, or to, a [customer](/usc/42/7275.md?p=5);
  - (D) in a communication to a [customer](/usc/42/7275.md?p=5) of the entity regarding the [customer](/usc/42/7275.md?p=5)’s transactions, payment card, account, check, or electronic funds transfer;
  - (E) for reporting to consumer reporting [agencies](/usc/42/1397n–12.md?p=1); or
  - (F) for complying with—
    - (i) a civil or criminal subpoena; or
    - (ii) a Federal or [State](/usc/42/619.md?p=5) law regulating the entity.

## Source credit

(Aug. 14, 1935, ch. 531, title XI, § 1179, as added Pub. L. 104–191, title II, § 262(a), Aug. 21, 1996, 110 Stat. 2030.)