S T A T E O F N E W Y O R K
________________________________________________________________________
2692--A
2025-2026 Regular Sessions
I N A S S E M B L Y
January 22, 2025
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Introduced by M. of A. FORREST -- read once and referred to the Commit-
tee on Banks -- recommitted to the Committee on Banks in accordance
with Assembly Rule 3, sec. 2 -- committee discharged, bill amended,
ordered reprinted as amended and recommitted to said committee
AN ACT to amend the financial services law, in relation to establishing
a working group to create a pilot program for an alternative system to
a credit score
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The financial services law is amended by adding a new
section 312 to read as follows:
§ 312. CREDITWORTHINESS ALTERNATIVE PILOT AND WORKING GROUP. 1. FOR
THE PURPOSES OF THIS SECTION:
(A) "CREDITWORTHINESS" MEANS A MEASURE OF HOW LIKELY AN INDIVIDUAL
WILL DEFAULT ON SUCH INDIVIDUAL'S DEBT OBLIGATIONS ACCORDING TO A LEND-
ER'S ASSESSMENT, OR HOW WORTHY AN INDIVIDUAL IS TO RECEIVE NEW CREDIT.
(B) "CREDIT SCORE" MEANS A NUMBER THAT PROVIDES A COMPARATIVE ESTIMATE
OF AN INDIVIDUAL'S CREDITWORTHINESS BASED ON AN ANALYSIS OF SUCH INDI-
VIDUAL'S CREDIT REPORT AND IS USED BY LENDERS TO EVALUATE THE RISK OF
LENDING MONEY OR OFFERING FINANCIAL SERVICES TO CONSUMERS.
2. THE SUPERINTENDENT SHALL FORM A WORKING GROUP TO CREATE A PILOT
PROGRAM TO DEVELOP AN ALTERNATIVE CREDIT WORTHINESS PROGRAM FOR INDIVID-
UALS WHO DO NOT HAVE A CREDIT SCORE; ARE UNBANKED, UNDOCUMENTED IMMI-
GRANTS, INDIGENT; OR WHO WOULD BENEFIT FROM SUCH A MECHANISM. MEMBERS OF
THE WORKING GROUP SHALL:
(A) BE APPOINTED BY THE SUPERINTENDENT AND SHALL INCLUDE REPRESEN-
TATIVES OF THE FINANCIAL INDUSTRY AND IMMIGRATION ADVOCATES;
(B) NOT RECEIVE COMPENSATION, BUT SHALL BE ELIGIBLE TO RECEIVE
REIMBURSEMENT FOR EXPENSES SUBJECT TO THE APPROVAL OF THE SUPERINTENDENT
AND THE DIVISION OF BUDGET;
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD03974-02-6
A. 2692--A 2
(C) ANALYZE MODELS FOR ALTERNATIVES TO TRADITIONAL CREDIT SCORES NOW
BEING DISCUSSED AND DEVELOPED BY THE CREDIT CARD INDUSTRY IN EUROPE,
AMONG OTHER MODELS SUCH MEMBERS DEEM APPROPRIATE; AND
(D) FIRST CONVENE WITHIN NINETY DAYS OF THE EFFECTIVE DATE OF THIS
SECTION AND SHALL CONVENE NO LESS THAN ONCE PER MONTH; AND
(E) PROVIDE THE SUPERINTENDENT, THE GOVERNOR, AND THE LEGISLATURE A
REPORT WITHIN ONE YEAR OF THE EFFECTIVE DATE OF THIS SECTION CONTAINING
SUCH WORKING GROUP'S RECOMMENDATIONS FOR THE ESTABLISHMENT OF A PILOT
PROGRAM, AND A FEASIBLE TIMELINE FOR THE IMPLEMENTATION OF SUCH PROGRAM.
§ 2. This act shall take effect immediately.