Bill > SB117

This bill establishes a comprehensive regulatory framework for earned wage access services in Ohio, creating new legal definitions and requirements for companies that provide early access to wages. The legislation mandates that providers must obtain a certificate of registration from the state's Division of Financial Institutions, maintain specific financial standards (including a minimum net worth of $50,000), and adhere to strict consumer protection guidelines. Key provisions include requiring providers to offer at least one no-cost option for accessing wages, fully disclose all fees upfront, allow consumers to cancel services without penalty, and prohibit certain practices like charging late fees or reporting consumer payment information to credit agencies. The bill classifies earned wage access services as neither loans nor credit, exempting them from certain existing financial regulations. Providers must also submit annual reports detailing their transaction volumes, fees, and other operational metrics. The superintendent of financial institutions is granted authority to investigate, fine, and potentially revoke registrations for non-compliance, with fines up to $1,000 per violation. Importantly, the legislation aims to create a structured, consumer-friendly approach to helping workers access their earned income more quickly and transparently.

Business and Industry

https://www.legislature.ohio.gov/legislation/136/sb117