Bill > A03304

This bill amends the banking law to prohibit banking organizations, including out-of-state banks with a presence in New York and licensed foreign banking corporations, as well as operators of automated teller machines (ATMs), from charging consumers, cardholders, or benefit recipients any fees or surcharges for services related to the use of an electronic benefit transfer (EBT) card. EBT services are broadly defined to include any service connected to using an EBT card, such as deposits, withdrawals, electronic fund transfers, check cashing, reconciliation, reporting, and electronic cash management for benefit programs. An EBT card is defined as any card or device used to access public assistance or benefit funds, including those for medical assistance, food stamps, public assistance, unemployment insurance, and child support, issued by the state or its subdivisions. Importantly, this prohibition does not apply to fees exchanged between financial institutions, payment card networks, processors, or program administrators for transaction processing, nor does it apply to national banks or federally chartered entities. The bill also includes a severability clause, meaning if any part of the law is found invalid, the rest will remain in effect, and it mandates that the superintendent of banking, in consultation with the office of temporary and disability assistance, will issue necessary regulations. This act will take effect 180 days after becoming law and will apply to contracts for EBT services entered into on or after that date.

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https://www.nysenate.gov/legislation/bills/2025/A3304