other income to a consumer is not based 
on the provision of services by that con-
sumer for or on behalf of such person; or 
(ii) a third-party service provider con-
tracted by the employer to distribute in-
come to consumers, including on demand 
pay for earned but unpaid income re-
quested by the consumer, on behalf of the 
employer at no fee to the consumer. 
(8) EMPLOYER-INTEGRATED
WAGE
ACCESS 
SERVICES.—The term ‘‘employer-integrated wage ac-
cess services’’ means the business of delivering to 
consumers access to earned but unpaid income that 
is based on employment, income, or attendance data 
obtained directly or indirectly from an employer. 
(9) FEE.—The term ‘‘fee’’ means— 
(A) a fee imposed by a provider for deliv-
ery or expedited delivery of proceeds to a con-
sumer; 
(B) a subscription or membership fee im-
posed by a provider for a bona fide group of 
services that include earned wage access serv-
ices; and 
VerDate Sep 11 2014 
22:46 Feb 23, 2024
Jkt 049200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H7428.IH
H7428
ssavage on LAPJG3WLY3PROD with BILLS
(C) does not include a voluntary tip, gra-
tuity, or other donation paid by a consumer to 
a provider. 
(10) OUTSTANDING
PROCEEDS.—The term 
‘‘outstanding proceeds’’ means a payment of pro-
ceeds to a consumer by a provider, which has not yet 
been repaid to that provider. 
(11) PROCEEDS.—The term ‘‘proceeds’’ means 
a payment to a consumer by a provider, which is 
based on earned but unpaid income. 
(12) PROVIDER.—The term ‘‘provider’’— 
(A) means a person who is in the business 
of providing earned wage access services to con-
sumers; and 
(B) does not include— 
(i) a service provider (such as a pay-
roll service provider) whose role may in-
clude verifying a consumer’s available 
earnings but that is not contractually obli-
gated to fund proceeds delivered as part of 
an earned wage access service; 
(ii) an employer that offers a portion 
of salary, wages, or compensation directly 
to its employees or independent contractors 
prior to the normally scheduled pay date; 
VerDate Sep 11 2014 
22:46 Feb 23, 2024
Jkt 049200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H7428.IH
H7428
ssavage on LAPJG3WLY3PROD with BILLS
(iii) a financial institution (as such 
term is defined in section 20 of title 18, 
United States Code) when it permits cus-
tomers to access amounts associated with 
an electronic funds transaction for which 
the financial institution has received infor-
mation but which has not yet settled; and 
(iv) a payroll service provider that fa-
cilitates payments to workers of earned, 
available wage balances in accordance with 
Federal, State, and local law, including the 
Fair Labor Standards Act of 1938. 
SEC. 3. NON-DISCRIMINATION. 
It shall be unlawful for any provider to discriminate 
against any consumer, with respect to any aspect of a 
transaction on the basis of race, color, religion, national 
origin, sex, pregnancy, marital status, or age (provided the 
consumer has the capacity to contract). 
SEC. 4. REQUIREMENTS APPLICABLE TO PROVIDERS. 
(a) DISPUTE POLICY.—Each provider shall develop 
and implement policies and procedures to respond to con-
sumer disputes and questions raised by consumers. 
(b) NON-RECOURSE PAYMENTS.— 
(1) IN GENERAL.—A provider may not compel 
or attempt to compel repayment by a consumer of 
VerDate Sep 11 2014 
22:46 Feb 23, 2024
Jkt 049200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H7428.IH
H7428
ssavage on LAPJG3WLY3PROD with BILLS
outstanding proceeds, fees, voluntary tips, gratuities, 
or other donations to that provider through— 
(A) a civil suit or arbitration proceeding 
against the consumer; 
(B) use of a third party to pursue collec-
tion of outstanding proceeds, fees, voluntary 
tips, gratuities, or other donations on the pro-
vider’s behalf; or 
(C) the sale of outstanding amounts to a 
third-party collector or debt buyer for collection 
from the consumer. 
(2) FRAUD EXCEPTION.—Paragraph (1) shall 
not apply to repayment of outstanding amounts ob-
tained by a consumer through fraudulent means or 
preclude a provider from pursuing an employer for 
breach of its contractual obligations to the provider. 
(c) DISCLOSURES TO CONSUMERS.—Each provider 
shall— 
(1) before entering into an agreement with a 
consumer for the provision of earned wage access 
services— 
(A) inform the consumer of his or her 
rights under the agreement; and 
(B) fully and clearly disclose all fees asso-
ciated with the earned wage access services; and 
VerDate Sep 11 2014 
22:46 Feb 23, 2024
Jkt 049200
PO 00000
Frm 00007
Fmt 6652
Sfmt 6201
E:\BILLS\H7428.IH
H7428
ssavage on LAPJG3WLY3PROD with BILLS
(2) inform a consumer of the fact of any mate-
rial changes to the terms and conditions of the 
earned wage access services before implementing 
those changes for that consumer. 
(d) FORM OF PROCEEDS.—A provider shall provide 
proceeds to a consumer through a process mutually agreed 
upon between the consumer and provider. 
(e) RULES FOR ACCESSING DEPOSIT ACCOUNTS.— 
(1) IN GENERAL.—A provider that seeks repay-
ment of outstanding proceeds, fees, voluntary tips, 
gratuities, or other donations from a consumer’s de-
posit account, including via electronic transfer, 
shall— 
(A) comply with applicable provisions of 
the Electronic Fund Transfer Act and its im-
plementing regulations; and 
(B) reimburse the consumer for the full 
amount of any overdraft or non-sufficient funds 
fees imposed on a consumer by the consumer’s 
depository institution that were caused by the 
provider attempting to seek payment of any 
outstanding proceeds, fees, or other payments 
in connection with the activities covered by this 
Act, including voluntary tips, gratuities, or 
other donations, on a date before, or in an in-
VerDate Sep 11 2014 
22:46 Feb 23, 2024
Jkt 049200
PO 00000
Frm 00008
Fmt 6652
Sfmt 6201
E:\BILLS\H7428.IH
H7428
ssavage on LAPJG3WLY3PROD with BILLS