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