Requires financial institutions to notify a customer thirty days prior to charging a fee based on account inactivity; such notice shall include a telephone number and the full contact information of a representative of the financial institution responsible for resolving any matter relating to the fee.
BILL NUMBER:A9352
TITLE OF BILL: An act to amend the banking law, in relation to requir-
ing financial institutions to notify a customer prior to charging a fee
based on account inactivity
PURPOSE OR GENERAL IDEA OF BILL:
This bill amends the banking law to require financial institutions to
provide notice to customers that includes a telephone number and full
contact information to reach a representative of the financial institu-
tion regarding any charges tendered to a customer for any account inac-
tivity.
SUMMARY OF SPECIFIC PROVISIONS:
Section one amends section 9-v of the banking law to add a provision
requiring financial institutions, whether headquartered within or
outside of the State of New York, to provide notice including a tele-
phone number and full contact information for a representative of the
financial institution responsible for resolving the matter prior to
charging a fee to a customer based on account inactivity.
EFFECTS OF PRESENT LAW WHICH THE BILL WILL ALTER:
This bill amends section 9-v of the banking law to add a provision
S T A T E O F N E W Y O R K
________________________________________________________________________
9352
I N A S S E M B L Y
(PREFILED)
January 6, 2010
___________
Introduced by M. of A. GABRYSZAK, ORTIZ, CAHILL, CHRISTENSEN, MAYERSOHN,
BOYLAND, ALFANO, FIELDS, PHEFFER, COLTON -- Multi-Sponsored by -- M.
of A. BARRA, FARRELL, PEOPLES-STOKES -- read once and referred to the
Committee on Banks
AN ACT to amend the banking law, in relation to requiring financial
institutions to notify a customer prior to charging a fee based on
account inactivity
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The banking law is amended by adding a new section 9-v to
read as follows:
S 9-V. FEES BASED ON INACTIVITY; NOTIFICATION. NOTWITHSTANDING ANY
OTHER PROVISION OF LAW OR RULE OR REGULATION TO THE CONTRARY, ANY FINAN-
CIAL INSTITUTION SUBJECT TO THE PROVISIONS OF THIS CHAPTER, INCLUDING
ANY BANK, TRUST COMPANY, SAVINGS BANK, SAVINGS AND LOAN ASSOCIATION,
CREDIT UNION, MORTGAGE BROKER, MORTGAGE BANKER, OR OTHER INVESTMENT
ENTITY, WHETHER HEADQUARTERED WITHIN OR OUTSIDE THE STATE, WHICH
PROVIDES AN ACCOUNT TO A CUSTOMER SHALL PROVIDE WRITTEN NOTICE OF THE
PENDING CHARGES TO A CUSTOMER THIRTY DAYS PRIOR TO CHARGING ANY FEE
BASED ON ACCOUNT INACTIVITY. SUCH NOTICE SHALL INCLUDE A TELEPHONE
NUMBER AND FULL CONTACT INFORMATION FOR A REPRESENTATIVE OF THE FINAN-
CIAL INSTITUTION RESPONSIBLE FOR RESOLVING ANY MATTER RELATING TO THE
FEE.
S 2. This act shall take effect on the ninetieth day after it shall
have become a law.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD03267-01-9
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