NY A00785

Amends New York Banking Law to require banking institutions offering overdraft protection or similar fee-based services to notify customers whenever such service is employed to prevent insufficient fund penalties.

Mandates that banks immediately notify customers of insufficient funds via electronic mail, or through another notification method if the customer prefers.

Requires notification to include a statement that the bank's overdraft service has gone into effect and list all fees and penalties associated with the service.

Applies the same notification requirements to both articles of the Banking Law by adding Section 135 and Section 458.

Takes effect immediately upon enactment.