A11264 • 2025

Relates to requiring the availability of no-fee basic banking accounts for consumers

Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor: Angelo Santabarbara
Last action: 2026-05-04
Official status: In Assembly Committee
Effective date: Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

Relates to requiring the availability of no-fee basic banking accounts for consumers

Relates to requiring the availability of no-fee basic banking accounts for consumers Provides that every banking institution operating in the state of New York shall offer at least one no-fee basic banking account that charges no monthly maintenance or service fees, requires no minimum balance, charges no fees based on account inactivity, and provides certain essential services including deposits and withdrawals, debit card access, and electronic payments and transfers.

What This Bill Does

Relates to requiring the availability of no-fee basic banking accounts for consumers Provides that every banking institution operating in the state of New York shall offer at least one no-fee basic banking account that charges no monthly maintenance or service fees, requires no minimum balance, charges no fees based on account inactivity, and provides certain essential services including deposits and withdrawals, debit card access, and electronic payments and transfers.

Limits and Unknowns

This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

2026-05-04 Assembly
REFERRED TO BANKS

Official Summary Text

Relates to requiring the availability of no-fee basic banking accounts for consumers
Provides that every banking institution operating in the state of New York shall offer at least one no-fee basic banking account that charges no monthly maintenance or service fees, requires no minimum balance, charges no fees based on account inactivity, and provides certain essential services including deposits and withdrawals, debit card access, and electronic payments and transfers.

Current Bill Text

Read the full stored bill text

S T A T E   O F   N E W   Y O R K
        ________________________________________________________________________

                                          11264

                                  I N  A S S E M B L Y

                                       May 4, 2026
                                       ___________

        Introduced  by  M.  of  A. SANTABARBARA -- read once and referred to the
          Committee on Banks

        AN ACT to amend the banking law, in relation to requiring the availabil-
          ity of no-fee basic banking accounts for consumers

          THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
        BLY, DO ENACT AS FOLLOWS:

     1    Section  1.  The banking law is amended by adding a new section 9-e to
     2  read as follows:
     3    § 9-E. NO-FEE BASIC BANKING ACCOUNTS.  1.  EVERY  BANKING  INSTITUTION
     4  OPERATING IN THE STATE OF NEW YORK SHALL OFFER AT LEAST ONE NO-FEE BASIC
     5  BANKING ACCOUNT THAT:
     6    (A) CHARGES NO MONTHLY MAINTENANCE OR SERVICE FEES;
     7    (B) REQUIRES NO MINIMUM BALANCE;
     8    (C) CHARGES NO FEES BASED ON ACCOUNT INACTIVITY; AND
     9    (D) PROVIDES ESSENTIAL SERVICES INCLUDING:
    10    (I) DEPOSITS AND WITHDRAWALS;
    11    (II) DEBIT CARD ACCESS; AND
    12    (III) ELECTRONIC PAYMENTS AND TRANSFERS.
    13    2.  NO  BANKING  INSTITUTION  OPERATING IN THE STATE OF NEW YORK SHALL
    14  CIRCUMVENT THE REQUIREMENTS OF SUBDIVISION ONE OF THIS SECTION BY:
    15    (A) RE-LABELING MAINTENANCE FEES UNDER ALTERNATIVE NAMES;
    16    (B) IMPOSING INDIRECT FEES TIED TO ACCOUNT BALANCE THRESHOLDS; OR
    17    (C) CONDITIONING ACCESS TO AN ACCOUNT ON  UNRELATED  PRODUCT  REQUIRE-
    18  MENTS.
    19    3.  EACH  BANKING INSTITUTION OPERATING IN THE STATE OF NEW YORK SHALL
    20  CLEARLY DISCLOSE THE AVAILABILITY AND TERMS OF SUCH NO-FEE BASIC BANKING
    21  ACCOUNT AT THE TIME OF AN ACCOUNT OPENING BY  A  CONSUMER  AND  ON  SUCH
    22  BANKING INSTITUTION'S WEBSITE.
    23    4.  THE  DEPARTMENT  SHALL  BE AUTHORIZED TO ENFORCE THE PROVISIONS OF
    24  THIS SECTION, TO DEFINE PROHIBITED PRACTICES UNDER THIS SECTION, AND  TO
    25  IMPOSE CIVIL PENALTIES FOR VIOLATIONS.
    26    § 2. This act shall take effect on the one hundred eightieth day after
    27  it  shall  have  become  a law. Effective immediately, the department of
    28  financial services is authorized to promulgate any rules and regulations
    29  necessary for the implementation of this act on or before such effective
    30  date.

         EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD15747-01-6