WASHINGTON — Reps. Zach Nunn (R-IA) and Jim Himes (D-CT) introduced a House version of the Taskforce for Recognizing and Averting Payment Scams (TRAPS) Act, which seeks to protect Americans, especially seniors, from payment fraud by creating a coordinated federal task force dedicated to preventing scams.
The legislation has the support of credit unions. It has already been introduced in the Senate.
“Scammers are becoming more sophisticated, and too often, Iowa families—especially seniors—are the ones paying the price,” Nunn said in a statement. “In just the past year, Iowans lost over $52 million to scams ranging from fake investments to romance cons. The TRAPS Act brings law enforcement, regulators, and industry together to stop these criminals before they strike and gives victims a better chance at justice.”
Nearly 4,000 Complaints
Nunn said that just in Iowa, there were more than 3,900 fraud complaints during 2024, and during that same year the U.S. experienced a 25% increase in fraud from the previous year.
“Congress should be focused on passing legislation that makes a real impact on our constituents. That’s why I’m proud to join Congressman Nunn in introducing the TRAPS Act, which will save Americans money by streamlining federal efforts to prevent payment scams,” said Himes said in a statement. “Families lose billions of dollars each year to fraudulent schemes, and I hope to see this legislation passed quickly into law so that we can move towards more meaningful protection for our constituents.”
What Act Would Do
According to the two members of Congress, the TRAPS Act addresses the growing threat by:
- Establishing a task force led by the U.S. Department of the Treasury and composed of members from the Consumer Financial Protection Bureau, Federal Communications Commission, Federal Trade Commission, Department of Justice, and other federal agencies, as well as representatives from financial institutions, credit unions, digital payment networks, consumer groups, scam survivor advocates, and the tech sector
- Requiring the task force to examine fraud trends, coordinate prevention efforts across agencies, and propose legislative or regulatory solutions
- Issuing annual reports for three years to guide federal action and improve victim support services
The TRAPS Act is led in the Senate by Senators Mike Crapo (R-ID), Mark Warner (D-VA), Jerry Moran (R-KS), and Raphael Warnock (D-GA), who introduced companion legislation, S. 2019.
Support from DCUC
“DCUC applauds both Congressman Nunn and Congressman Himes for their leadership on the bipartisan TRAPS Act. As the voice of defense credit unions serving military members, veterans, and their families, we are proud to support this important legislation,” Anthony Hernandez, DCUC president & CEO, said in a statement. “Payment scams disproportionately affect military communities—especially senior veterans and active-duty families navigating frequent relocations, deployments, and service-to-civilian transitions. Credit unions are often the first to identify and respond to these threats. The TRAPS Act will strengthen our ability to act quickly and collaboratively by creating a unified task force of regulators, law enforcement, and industry experts.
“By empowering institutions to detect, pause, and report suspicious transactions, this legislation provides the critical infrastructure needed to protect consumers before damage is done,” Hernandez continued. “We look forward to working with Congress to advance this commonsense, consumer-first bill that helps defend those who have served our country.”
America’s Credit Unions said it also supports the legislation.
Space Coast CU Joins DCUC
Separately, the Defense Credit Union Council (DCUC) said it has welcomed Space Coast Credit Union (SCCU) as its newest active member.
“Established in 1951 as Patrick Air Force Base Credit Union with just seven founding members and $372 in assets, SCCU has grown into Florida’s third-largest credit union,” DCUC said. “With nearly $9 billion in assets and a membership base exceeding 685,000, the credit union now operates 66 branches across 34 counties along Florida’s east coast—from Flagler to Miami-Dade.”
‘Part of Our Identity’
“Our foundation in military service is more than history, it’s part of our identity,” Interim President/CEO of Space Coast Credit Union Shane Hoyle said in a statement. “Becoming part of DCUC strengthens our commitment to those who have served by expanding our ability to advocate for military and veteran members. It also creates powerful opportunities to collaborate with mission-driven institutions just as dedicated to service and community impact.”
Added Anthony Hernandez, DCUC president/CEO, in a statement, “Space Coast Credit Union brings a remarkable history of growth, service, and dedication to its members. Their commitment to financial well-being and community strength can be seen clearly through their efforts and service, and we’re excited to have them rejoin our defense credit union family.”
DCUC continues to expand its national presence by uniting credit unions that support military members, veterans, and their families. Through strategic collaboration and targeted advocacy, DCUC and its member credit unions work to improve financial access, promote readiness, and build economic resilience within the defense community.
