Duties of provider; applicability to certain payments. [Effective through December 31, 2029.]

1. A provider shall: (a) Develop and implement policies and procedures to respond to questions raised by users and address complaints from users in an expedient manner; (b) Before entering into an agreement with a user for the provision of earned wage access services: (1) Inform the user of his or her rights under the agreement; and (2) Fully and clearly disclose all fees associated with the earned wage access services; (c) Allow the user to cancel, at any time and without incurring a fee, his or her participation in an agreement for the provision of earned wage access services; (d) Comply with all local, state and federal privacy and information security laws; (e) If the provider solicits, charges or receives a tip, gratuity or donation from a user: (1) Conspicuously disclose or cause to be disclosed to the user that any tip, gratuity or donation paid by the user does not inure to the direct benefit of any specific employee of the provider or any other person; and (2) Conspicuously provide an option for the user to select zero as an amount for such tip, gratuity or donation; and (f) If a provider seeks payment of outstanding proceeds, fees or other payments including, without limitation, voluntary tips, gratuities or other donations from a user’s account at a depository institution, including through a preauthorized electronic fund transfer: (1) Comply with the applicable provisions of the Federal Electronic Fund Transfer Act and regulations thereunder; and (2) Reimburse the user for the full amount of any overdraft or non-sufficient funds fee imposed on a user by the user’s depository institution that were caused by the provider attempting to seek payment of any outstanding proceeds, fees or other payments, including, without limitation, voluntary tips, gratuities or other donations on a date before, or in an incorrect amount from, the date or amount disclosed to the user. 2. The requirements set forth in subparagraphs (1) and (2) of paragraph (f) of subsection 1 do not apply to any payments of outstanding amounts or fees incurred by a user through fraudulent or other unlawful means.