NY A08401

Establishes licensing requirements for earned income access providers offering services to New York residents, requiring providers to obtain a license valid for three years with two allowable extensions.

Caps fees and voluntary payments at 7.5% per transaction on an average quarterly basis, requires quarterly reconciliation with refunds of excess fees within 30 days, and prohibits mandatory fees while allowing consumers to request refunds of automatically charged fees.

Prohibits providers from conducting credit checks, reporting payment failures to credit agencies, charging interest or late fees, and requires proceeds be delivered before the next regular wage payment date.

Requires non-recourse lending structure where providers cannot legally compel repayment, and mandates that proceeds not be considered loans and cannot be used to settle prior advances or create continuing consumer obligations.

Mandates annual reporting to the Superintendent of Financial Services including gross revenue, transaction volumes, fees collected, uncollected amounts, and number of unique consumers served, with enforcement authority to issue correction notices for violations.