Over the past few years, the fraudulent use of bank cards and travel and entertainment cards has increased alarmingly, far out of proportion to the increase in the legitimate use of these cards. The fraud losses result from counterfeit cards, lost or stolen cards, and cards intercepted after they are mailed by Visa. More than 93 percent of the fraud losses in the United States occur in 12 States in areas that coincide with the locations of known major organized crime families. While many States have statutes that can be construed to address the fraudulent activities involved, there do not appear to be any that deal directly and effectively with the issue. The scope and nature of the problem make a Federal response essential. A two-pronged legislative approach is required. One aspect involves a comprehensive provision to be included in the criminal title of the United States Code, Title 18, to provide a complete response. The new chapter in Title 18 would define payment devices and fraudulent payment devices as well as penalties for their fraudulent use, possession, or counterfeiting. It would bring under a single heading existing Federal statutes dealing with card fraud as well as new provisions that address existing loopholes and areas of new and evolving card criminality. The second aspect involves amendments to the Truth in Lending and Electronic Fund Transfer Act which would add definitions of the terms 'credit card' and 'debit instrument' as the terms are used respectively in Section 134 of the Truth in Lending Act and Section 916(c) of the Electronic Fund Transfer Act. Further, the addition of a new Section 129 to the Truth in Lending Act would prohibit buying, selling, transferring, or obtaining credit card account numbers with the intent to defraud or for a purpose other than legitimate business. Drafts of the proposed legislation are provided.