Bill Text: NY S02453 | 2019-2020 | General Assembly | Introduced


Bill Title: Prohibits banking organizations from imposing check cashing fees.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced) 2019-01-25 - REFERRED TO BANKS [S02453 Detail]

Download: New_York-2019-S02453-Introduced.html


                STATE OF NEW YORK
        ________________________________________________________________________
                                          2453
                               2019-2020 Regular Sessions
                    IN SENATE
                                    January 25, 2019
                                       ___________
        Introduced  by  Sen.  JORDAN -- read twice and ordered printed, and when
          printed to be committed to the Committee on Banks
        AN ACT to amend the banking law,  in  relation  to  prohibiting  certain
          check cashing fees
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1. Section 9-h of the banking law, as added by chapter  90  of
     2  the laws of 1985, is amended to read as follows:
     3    § 9-h.  Imposition of service charges prohibited. 1. No banking organ-
     4  ization shall impose any service charge  with  respect  to  any  deposit
     5  account  as  a  result of the loss of a check or money which is properly
     6  deposited with the banking organization by delivery to  an  employee  of
     7  the banking organization for credit to the deposit account and for which
     8  a written receipt is issued by the employee.
     9    2.  No  banking  organization  shall  impose,  or  seek to impose, any
    10  service charge, or collect any fee, for the cashing of a check or  draft
    11  drawn  on an account at such banking organization, from a person to whom
    12  such check or draft is payable, regardless of whether or not such person
    13  to whom such check or draft is payable is a customer or  account  holder
    14  of  the  banking  organization  upon which such check or draft is drawn.
    15  Nothing in this subdivision shall require a banking organization to cash
    16  a check or a draft where the account from which such check or  draft  is
    17  payable  does  not maintain sufficient funds to pay such check or draft.
    18  Nothing in this subdivision shall further prohibit any banking organiza-
    19  tion from charging any account holder any service charge for the cashing
    20  of a check or a draft. Nothing in this subdivision shall additionally be
    21  deemed to prevent any banking organization from  requesting  to  examine
    22  from any person seeking to cash a check or a draft drawn on such banking
    23  organization,  for sufficient identification necessary to properly iden-
    24  tify such person as the person to whom the check or  draft  is  payable.
    25  For  purposes  of this section, a valid and up to date driver's license,
    26  non-driver's identification card, or United  States  passport  shall  be
    27  deemed to constitute sufficient identification.
    28    § 2. This act shall take effect immediately.
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD05105-01-9
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