NY A04918

Expands New York's usury laws to cover "financing arrangements" beyond traditional loans, including merchant cash advances, buy-now pay-later transactions, earned wage access products, rent-to-own agreements, income-sharing agreements, and litigation financing

Requires all fees, charges, tips, credit insurance premiums, discounts, and ancillary products sold with credit to be included when calculating interest rates for purposes of usury limits

Maintains the 25% per annum criminal usury threshold but applies it to the broader definition of financing arrangements, with second degree criminal usury remaining a class E felony and first degree a class C felony

Grants the Attorney General authority to adopt rules and issue guidance interpreting what constitutes a "financing arrangement" and removes restrictions that previously prevented characterizing rental-purchase agreements as credit transactions

Requires licensing under the Banking Law for any entity entering into financing arrangements of $25,000 or less for personal purposes or $50,000 or less for business purposes while charging above-market interest rates