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S2452Senate2017-2018 SessionSame asA7617

More Bank Withdrawals for Seniors

Official title

“Increases number of withdrawal transactions from basic banking accounts for account holders sixty-five years of age or older from eight to twelve”

Sponsor Jesse HamiltonSD-20Affects Finance
Status
In Senate Committee
Banks
Impact
4/10
Low
Passage
0%

Bill progress

Step 2 of 7

In committee · Banks

What's happening

The bill increases the number of free withdrawals for basic banking accounts to twelve per cycle for account holders aged 65 and older.

Why it matters

  1. Addresses cost-of-living concerns for seniors. By increasing the number of free withdrawals for those aged 65 and older, the bill helps older adults on fixed incomes avoid extra banking fees, which can add up and impact their financial security.

  2. Promotes financial independence for seniors. More free transactions allow older New Yorkers greater flexibility in managing their money, making it easier to access cash or handle finances without worrying about penalty charges for modest banking activity.

  3. Recognizes changing banking habits. As banking is increasingly conducted via electronic means, the inclusion of electronic withdrawals ensures that seniors who may rely on ATMs or online banking aren't penalized for not visiting a branch, improving accessibility and convenience.

  4. Highlights age-based policy differentiation. The bill creates a clear distinction in banking policy based on age, signaling a legislative intent to provide targeted financial relief and support to an aging population that may have different needs than younger account holders.

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Who cares

Headline styles

More Bank Withdrawals for Seniors

Plain English, a few words. Used as the page title.

Sponsors

Primary sponsor
Jesse Hamilton

Senator · Senate District 20

Chair, Banks

No co-sponsors yet.

History

  1. Referred to banks
  2. Referred to banks

Companion bill

The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.

A7617Assembly

More Bank Withdrawals for Seniors

Assembly Floor Calendar · Sponsor Kenneth Zebrowski

Impact 4 · Low0% to pass

Full text

1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗

STATE OF NEW YORK

2452

2017-2018 Regular Sessions

IN SENATE

January 13, 2017

Introduced by Sen. HAMILTON -- read twice and ordered printed, and when printed to be committed to the Committee on Banks

AN ACT to amend the banking law, in relation to the number of withdrawal transactions from a basic banking account

The People of the State of New York, represented in Senate and Assembly, do enact as follows:

Section 1. Paragraph (c) of subdivision 2 of section 14-f of the banking law, as added by chapter 1 of the laws of 1994 and such subdivision as further amended by section 104 of part A of chapter 62 of the laws of 2011, is amended to read as follows:

(c) eight withdrawal transactions for account holders under sixty-five years of age, and twelve withdrawal transactions for account holders sixty-five years of age or older, including those conducted at electronic facilities, during any periodic cycle at no additional charge to the account holder; and

§ 2. This act shall take effect on the sixtieth day after it shall have become a law.

EXPLANATION--Matter in italics (underscored) is new; matter in brackets

[ ] is old law to be omitted.

LBD00711-01-7

Reflowed for reading: line numbers and page breaks removed. Cite the official text.

Sponsor's memo

Title of bill

An act to amend the banking law, in relation to the number of withdrawal transactions from a basic banking account

Purpose or general idea of bill

This bill increases the amount of withdrawal transactions allowed at no additional charge for basic banking account holders aged sixty and older from eight to twelve.

Summary of specific provisions

This bill amends paragraph c of subdivision 2 of section 14-f of the banking law.

Justification

As part of the Banking Deregulation Act of 1994, state chartered banks were required to offer "lifeline" basic checking accounts that allowed consumers eight free withdrawal transactions (including checks, bank withdrawals, and withdrawals from a bank's own ATM) during anyone month billing cycle. The lifeline account was designed to assist the poorest residents of our state who are required 'to use banks to receive their Social Security and 551 payments electronically. However, senior citizens, who make up the largest group who use banks for receipt of federal benefits, are also the group least likely to be able to afford the additional expenses required to maintain a bank account. In many instances, seniors must make more than eight withdrawal transactions per month to cover out-of-pocket medical expenses and unexpected events. Providing an increase for seniors is reasonable and would allow seniors living on fixed incomes to avoid certain banking fees.

Prior legislative history

S6242 of 2015-16 Session

Fiscal implications

None to the state.

Effective date

Sixty days after becoming law.

Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.