Requires banking institutions to accept the Dominican consular identification card as a valid form of identification for all banking transactions

Summary of specific provisions

Banking Law is amended by adding a new section 9-v to allow the use of use of identification issued to foreign nationals by their consulate general to be acceptable proof for all banking transactions and defines "banking institution" for purpose of law.

Section 1. Requires the Department of Financial Services to review the legitimacy of the identification card issued by foreign governments to their nationals living in the state an recommend which one, if any, should be accepted by banking institutions is the state as proof of identification by the identification holder for the purpose of engaging in banking services.

The Department of Financial Services shall recommend:

*Other required forms of identification by foreign nationals living in the state, if any, to supplement verification needed by banking services in order to meet standing rules, regulations, or laws with regards to accessing banking services;

*any legislative measure necessary to facilitate access to banking services by foreign nationals who are currently considered undocumented immigrants;

*any measure, in the form of rules, regulations or legislation necessary to ensure that undocumented immigrants who can provide proof that they have applied for the new federal immigration status classified as Registered Provisional Immigrant, hereinafter "RPI", have access to banking services while such persons wit for official federal identification; and

*a timeframe for requiring banking services to accept the foreign identification and temporary proof of applying for RPI to access banking services and whether the foreign issued identification shall be part of the temporary identification requirements that can be requested by a banking institution.

Section 2.: This act shall take effect immediately.

Justification

Federal immigration reform will allow 11 million currently undocumented immigrants to integrate into American life under the classification of Registered Provisional Immigrant (RPI). This new federal status will allow current undocumented residents to

live and work in the United States while they wait 10 years to be able to apply for US citizenship.

In order for New York State to accommodate changes to federal immigration law, it is a practical step to have state agencies and government chartered and regulated entities accept as proof of identity the paperwork filed by foreign national with the federal government to seek the RPI status.

Until official federal identification is issued to the foreign national, proof of filing for RPI status with the federal government should serve as one of the documents required and accepted by financial and banking services institutions. IDs issued by foreign consulates, after a review of their legitimacy by NYS Department of Financial Services, could be used as legitimate forms of ID to access banking services as well.

This legislation will allow for a temporary use of the paperwork filed for RPI status as proof if ID until formal federal ID is issued to the foreign national who has filed for RPI status when rules and regulations set by the NYS Department of Financial Services are adopted.

Years of having undocumented immigrants living in our state without the ability to open bank accounts or access banking services has created hardships for an estimated 700,000 undocumented living across New York. Many have been the target of crime because their hard-worked savings were stored in their homes not in banks.

This is a practical solution to helping this large group of New York residents to integrate into our society as the federal immigration reform plan outlines. With expected backlogs and delays in issuing official IDs by the federal government, we can facilitate that integration by allowing proof of filing for RPI status and foreign IDs determined to be legitimate and tamper proof by NYSFSD to serve as ID for obtaining financial services.

Prior legislative history

2013 A.2470 Referred to Banks, Died in Banks, Rewritten in its entirety and Amended A2470-A 2011-2012 A.1175 Referred to Banks 2009-2010 S.3153 - Referred to Banks/A.8849 - Referred to Banks 2007-2008 S.778 - Referred to Banks/A.4624 - Referred to Banks 2005-2006 S.831 - Referred to Banks/A.6105 - Referred to Banks 2003-2004 S.6773 - Referred to Banks/A.10812 - Referred to Banks

Fiscal implications

None.

Effective date

Immediately.