This bill has been amended

Bill S3960-2011

Provides for distribution, on the internet, of information to the public regarding credit card and banking rates, charges and other terms

Provides for distribution to the public, over the internet, of information regarding credit card rates, charges, terms and other conditions; further provides for dissemination of information over the internet regarding types of bank accounts available, requirements for opening an account, and all fees charged the customer, including monthly fees and transaction fees.

Details

Actions

  • Jan 18, 2012: REPORTED AND COMMITTED TO FINANCE
  • Jan 4, 2012: REFERRED TO CONSUMER PROTECTION
  • May 10, 2011: REPORTED AND COMMITTED TO FINANCE
  • Mar 10, 2011: REFERRED TO CONSUMER PROTECTION

Meetings

Votes

VOTE: COMMITTEE VOTE: - Consumer Protection - May 10, 2011
Ayes (10): Zeldin, Ball, Fuschillo, Little, Marcellino, O'Mara, Adams, Hassell-Thompson, Huntley, Squadron
VOTE: COMMITTEE VOTE: - Consumer Protection - Jan 18, 2012
Ayes (9): Zeldin, Ball, Fuschillo, Little, Marcellino, O'Mara, Hassell-Thompson, Huntley, Squadron
Ayes W/R (1): Adams

Memo

BILL NUMBER:S3960

TITLE OF BILL:

An act to amend the general business law and the banking law, in relation to providing information to the public on the internet

PURPOSE:

To enable New York State consumers to access information about bank account and credit card account requirements and fees directly from an Internet website.

SUMMARY OF PROVISIONS:

Section 1 would add a new subdivision 1-a to §52-c of the General Business law to direct the banking board to establish and maintain a website on the Internet for persons to obtain the same basic credit card account information currently made available by toll-free telephone number. Information on how to access such website would be printed and distributed in the same manner as the telephone number information described in subdivision one of the section and on credit card promotional material distributed by issuers of such cards. This information is currently required to be compiled and made available to the public.

§ 2 would amend the Banking law by adding a new § 14-g which would authorize and direct the banking board to establish and maintain an Internet web site in order to provide up-to-date basic bank account information to current and potential banking customers. Such information would include a toll-free telephone number, the types of accounts available at each bank in the state, requirements of opening an account at each bank, and all fees charged to the customer. In addition, the banking board would promulgate rules and regulations necessary to obtain current information from banking institutions.

JUSTIFICATION:

Banking and credit card accounts and associated fees have become increasingly expensive in New York State, and choosing the right account can be very complex and time consuming. When choosing a bank, the consumer must compare fees and surcharges applied to ATM card transactions, writing checks, failure to maintain a certain monthly average or daily balance, and to bounced checks. The "right" choice varies by the needs of each individual consumer. In order to make comparisons between bank accounts, consumers currently must gather information from each individual bank in their area, to choose the account that best fits their needs.

As an aid to consumers, the Banking Department is already required by regulation to compile information regarding consumer accounts and make that information available to the public. This measure, which would require posting of a website with fee and account information for the public, would give consumers an additional source to make educated choices regarding their banking.

LEGISLATIVE HISTORY:

2007-2008 on 3rd Reading (S.4305) 2005 on 3rd Reading 2006 Consumer Protection Committee (S.1950/A.9322) 2003-2004 Consumer Protection Committee (S.4741) 2001-2002 on 3rd Reading (S.1073-A) 2000 on 3rd Reading (S.7710/A.11013)

FISCAL IMPLICATIONS:

A very minimal cost to post the information on the website.

EFFECTIVE DATE:

December 1 following enactment.


Text

STATE OF NEW YORK ________________________________________________________________________ 3960 2011-2012 Regular Sessions IN SENATE March 10, 2011 ___________
Introduced by Sen. FUSCHILLO -- read twice and ordered printed, and when printed to be committed to the Committee on Consumer Protection AN ACT to amend the general business law and the banking law, in relation to providing information to the public on the internet THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Section 520-c of the general business law is amended by adding a new subdivision 1-a to read as follows: 1-A. THE BANKING DEPARTMENT SHALL ESTABLISH AND MAINTAIN A WEBSITE ON THE INTERNET FOR PERSONS TO OBTAIN THE SAME INFORMATION MADE AVAILABLE BY TOLL-FREE TELEPHONE PURSUANT TO SUBDIVISION ONE OF THIS SECTION. INFORMATION ON HOW TO ACCESS SUCH WEBSITE SHALL BE PRINTED AND DISTRIB- UTED IN THE SAME MANNER AS THE TELEPHONE NUMBER INFORMATION DESCRIBED IN SUBDIVISION ONE OF THIS SECTION AND ON CREDIT CARD PROMOTIONAL MATERIAL DISTRIBUTED BY ISSUERS OF SUCH CARDS. S 2. The banking law is amended by adding a new section 14-g to read as follows: S 14-G. POWERS OF THE BANKING BOARD WITH REGARD TO PROVIDING CURRENT BANKING INFORMATION. 1. THE BANKING BOARD IS HEREBY AUTHORIZED AND DIRECTED TO ESTABLISH AND MAINTAIN A WEBSITE ON THE INTERNET IN ORDER TO PROVIDE UP-TO-DATE INFORMATION TO CURRENT AND POTENTIAL BANKING CUSTOM- ERS. SUCH INFORMATION SHALL INCLUDE, BUT NOT BE LIMITED TO, THE FOLLOW- ING: A. A TOLL-FREE TELEPHONE NUMBER WHERE A CUSTOMER MAY CALL TO GET ADDI- TIONAL INFORMATION. B. THE TYPES OF ACCOUNTS AVAILABLE AT EACH BANK IN THIS STATE. C. REQUIREMENTS FOR OPENING AN ACCOUNT AT EACH BANK, INCLUDING MINIMUM AND MAXIMUM BALANCES, IF ANY. D. ALL FEES CHARGED THE CUSTOMER, INCLUDING MONTHLY FEES AND TRANS- ACTION FEES.
2. THE BANKING BOARD SHALL PROMULGATE RULES AND REGULATIONS NECESSARY TO PROVIDE THAT ALL BANKING INSTITUTIONS WITHIN THE STATE SHALL FURNISH THE INFORMATION REQUIRED PURSUANT TO SUBDIVISION ONE OF THIS SECTION, TO SUCH BOARD IN A MANNER THAT WILL ENABLE THE BOARD TO UPDATE ITS WEBSITE INFORMATION. S 3. This act shall take effect on the first of December next succeed- ing the date on which it shall have become a law.

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