Bill Text: CA AB2017 | 2023-2024 | Regular Session | Amended
Bill Title: Banks and credit unions: nonsufficient funds fees.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced) 2024-04-16 - From committee: Do pass and re-refer to Com. on APPR. (Ayes 8. Noes 0.) (April 15). Re-referred to Com. on APPR. [AB2017 Detail]
Download: California-2023-AB2017-Amended.html
Amended
IN
Assembly
March 18, 2024 |
Introduced by Assembly Member Grayson |
January 31, 2024 |
LEGISLATIVE COUNSEL'S DIGEST
Existing law prohibits a foreign bank from establishing or maintaining an office in California at which it engages in representational functions unless it is licensed to maintain a representative office, agency, or branch office at that place. Existing law also prohibits a person from establishing or maintaining an office in California as representative of a foreign bank unless the bank is licensed to maintain the office as a representative office.
This bill would make nonsubstantive changes to those provisions.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee:Bill Text
The people of the State of California do enact as follows:
SECTION 1.
Chapter 5.5 (commencing with Section 530) is added to Division 1 of the Financial Code, to read:CHAPTER 5.5. Nonsufficient Funds Fees
530.
A bank or credit union subject to the examination authority of the commissioner shall not charge a consumer a nonsufficient funds fee, as defined in Section 521, when the consumer’s attempt to initiate a transaction is declined instantaneously or near instantaneously by the bank or credit union due to nonsufficient funds.(a)A foreign (other nation) bank shall not establish or maintain an office in this state at which it engages in representational functions unless it is licensed to maintain a representative office, agency, or branch office at that place.
(b)(1)A person
shall
not establish or maintain an office in this state as representative of a foreign (other nation) bank unless the bank is licensed to maintain the office as a representative office.
(2)For purposes of this chapter, if any person establishes or maintains an office in this state as representative of a foreign (other nation) bank, the bank shall be deemed to establish and maintain the office as a representative office.
(c)Neither subdivision (a) nor subdivision (b) shall be deemed to prohibit a foreign (other nation) bank that maintains a federal agency or federal branch in this state from establishing or maintaining one or more representative offices in this state.