Bill > A00258

This bill provides for the licensing and regulation of income access services in New York State. It establishes a comprehensive framework for earned income access providers, who offer consumers early access to wages they have already earned but not yet been paid. The bill requires these providers to obtain a license from the state's financial services superintendent, with specific requirements around transaction fees, consumer protections, and operational standards. Key provisions include limiting transaction fees to a maximum of $5 for transactions under $75 and $7 for transactions over $75, mandating that providers offer at least one no-cost option for accessing funds, and prohibiting debt collection activities or credit reporting related to these transactions. The bill also requires providers to maintain detailed records, submit annual reports to the superintendent, and comply with privacy and information security laws. Providers must ensure transactions are non-recourse, meaning consumers cannot be legally pursued for unpaid amounts, and must give clear notice about costs and terms. The legislation aims to create a regulated environment for these financial services while protecting consumers from predatory practices, with the superintendent empowered to investigate, enforce rules, and potentially adjust fee caps based on ongoing data collection and review.

Business and Industry

https://www.nysenate.gov/legislation/bills/2025/A258