summary
Introduced
04/03/2025
04/03/2025
In Committee
04/03/2025
04/03/2025
Crossed Over
Passed
Dead
Introduced Session
94th Legislature 2025-2026
Bill Summary
A bill for an act relating to commerce; regulating earned wage access services; proposing coding for new law in Minnesota Statutes, chapter 47.
AI Summary
This bill establishes a comprehensive regulatory framework for earned wage access services (EWAS) in Minnesota, creating new definitions and requirements for providers who offer workers early access to their earned but unpaid wages. The bill defines key terms such as "consumer," "earned but unpaid income," and "earned wage access services," and establishes specific operational requirements for providers. Providers must develop consumer complaint procedures, offer at least one no-cost option for accessing wages, clearly disclose all fees and terms, allow consumers to cancel services without penalty, and comply with privacy and information security laws. The bill caps fees at $7 per transaction and prohibits providers from sharing fees with employers, requiring credit reports, using credit cards for payment, charging late fees, reporting to credit agencies, or pursuing aggressive collection practices. Providers must obtain a license from the commissioner, maintain detailed records, submit annual reports with transaction data, and are subject to potential investigation and enforcement actions. Importantly, the bill clarifies that these services are not considered loans, credit, or money transmission, and provides legal protections for providers operating within the specified guidelines. The regulations aim to protect consumers while creating a structured environment for innovative wage access services.
Committee Categories
Business and Industry
Sponsors (3)
Last Action
Referred to Commerce and Consumer Protection (on 04/03/2025)
Official Document
bill text
bill summary
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bill summary
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bill summary
Document Type | Source Location |
---|---|
State Bill Page | https://www.revisor.mn.gov/bills/bill.php?b=Senate&f=SF3281&ssn=0&y=2025 |
BillText | https://www.revisor.mn.gov/bills/text.php?number=SF3281&version=0&session=ls94&session_year=2025&session_number=0&format=pdf |
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