Massachusetts 2025-2026 Regular Session

Massachusetts House Bill H1119 Compare Versions

Only one version of the bill is available at this time.

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2	2	HOUSE DOCKET, NO. 3154 FILED ON: 1/16/2025
3	3	HOUSE . . . . . . . . . . . . . . . No. 1119
4	4	The Commonwealth of Massachusetts
5	5	_________________
6	6	PRESENTED BY:
7	7	Mark J. Cusack
8	8	_________________
9	9	To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
10	10	Court assembled:
11	11	The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
12	12	An Act relative to financial technology services.
13	13	_______________
14	14	PETITION OF:
15	15	NAME:DISTRICT/ADDRESS :DATE ADDED:Mark J. Cusack5th Norfolk1/16/2025 1 of 16
16	16	HOUSE DOCKET, NO. 3154 FILED ON: 1/16/2025
17	17	HOUSE . . . . . . . . . . . . . . . No. 1119
18	18	By Representative Cusack of Braintree, a petition (accompanied by bill, House, No. 1119) of
19	19	Mark J. Cusack relative to licensing of earned wage access services providers by the Division of
20	20	Banks. Financial Services.
21	21	[SIMILAR MATTER FILED IN PREVIOUS SESSION
22	22	SEE HOUSE, NO. 4456 OF 2023-2024.]
23	23	The Commonwealth of Massachusetts
24	24	_______________
25	25	In the One Hundred and Ninety-Fourth General Court
26	26	(2025-2026)
27	27	_______________
28	28	An Act relative to financial technology services.
29	29	Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
30	30	of the same, as follows:
31	31	1 The Massachusetts General Laws, as so appearing in the 2022 Official Edition, are
32	32	2hereby amended by inserting after Chapter 140E, the following chapter:-
33	33	3 CHAPTER 140F: Licensing of Earned Wage Access Services Providers
34	34	4 Section 1. Definitions. For the purpose of this chapter, the following terms shall, unless
35	35	5the context indicates otherwise, have the following meanings:
36	36	6 ''Commissioner'', the commissioner of banks.
37	37	7 “Consumer”, any individual. who resides in the commonwealth. A provider may use the
38	38	8mailing address or state of residence provided by a consumer to determine the consumer's state
39	39	9of residence for purposes of this part. 2 of 16
40	40	10 “Consumer-directed wage access services”, the business of offering or providing earned
41	41	11wage access services directly to a consumer based on the consumer’s representation and the
42	42	12provider’s reasonable determination of the consumer’s earned but unpaid income.
43	43	13 “Earned but unpaid income”, salary, wages, compensation, or other income that a
44	44	14consumer or an employer has represented, and that a provider has reasonably determined, has
45	45	15been earned or has accrued to the benefit of the consumer in exchange for the consumer’s
46	46	16provision of services to the employer or on behalf of the employer, including on an hourly,
47	47	17project-based, piecework, or other basis and including where the consumer is acting as an
48	48	18independent contractor of the employer, but has not, at the time of the payment of proceeds, been
49	49	19paid to the consumer by the employer.
50	50	20 “Earned wage access services”, the business of providing consumer-directed wage access
51	51	21services, employer-integrated wage access services, or both.
52	52	22 “Employer”, (1) a person who employs a consumer; or (2) any other person who is
53	53	23contractually obligated to pay a consumer earned but unpaid income in exchange for a
54	54	24consumer’s provision of services to the employer or on behalf of the employer, including on an
55	55	25hourly, project-based, piecework, or other basis and including where the consumer is acting as an
56	56	26independent contractor with respect to the employer. “Employer” does not mean a customer of
57	57	27an employer or any other person whose obligation to make a payment of salary, wages,
58	58	28compensation, or other income to a consumer is not based on the provision of services by that
59	59	29consumer for or on behalf of such person. 3 of 16
60	60	30 “Employer-integrated wage access services”, the business of delivering to consumers
61	61	31access to earned but unpaid income that is based on employment, income, or attendance data
62	62	32obtained directly or indirectly from an employer.
63	63	33 “Fee”, (1) a fee imposed by a provider for delivery or expedited delivery of proceeds to a
64	64	34consumer; (2) a subscription or membership fee imposed by a provider for a bona fide group of
65	65	35services that includes earned wage access services; or (3) an amount paid by an employer to a
66	66	36provider on a consumer’s behalf, which entitles the consumer to receive proceeds at reduced or
67	67	37no cost to the consumer.
68	68	38 ''Multi-state licensing system'', a system involving 1 or more states, the District of
69	69	39Columbia, or the Commonwealth of Puerto Rico for the sharing of regulatory information and
70	70	40the licensing and application processes, by electronic or other means, for mortgage lenders,
71	71	41mortgage brokers, and other financial services providers.
72	72	42 “Outstanding proceeds”, a payment of proceeds to a consumer by a provider that has not
73	73	43yet been repaid to that provider.
74	74	44 “Person”, a business entity other than an individual.
75	75	45 “Provider”, a person who is in the business of offering and providing earned wage access
76	76	46services to consumers.
77	77	47 Section 2. License requirement; exempted entities. No person shall act as an earned wage
78	78	48access services provider without first obtaining a license from the commissioner.
79	79	49 The provisions of this chapter shall not apply to a bank as defined in section one of
80	80	50chapter one hundred and sixty-seven, a national banking association, a federally chartered credit 4 of 16
81	81	51union, a federal savings and loan association, a federal savings bank, or any subsidiary or
82	82	52affiliate of the above, or to any bank, trust company, savings bank, savings and loan association,
83	83	53or credit union organized under the laws of any other state.
84	84	54 The commissioner may adopt, amend or repeal rules and regulations, which may include
85	85	55an adequate capitalization requirement for earned wage access services providers, to aid in the
86	86	56administration and enforcement of this chapter.
87	87	57 Section 3. License application; multi-state licensing system. The application for a license
88	88	58shall be in a form prescribed by the commissioner and shall contain the name and address or
89	89	59addresses where the headquarters of the applicant is located and if the applicant is a partnership,
90	90	60association, corporation, or other form of business organization, the names and addresses of each
91	91	61member, director, principal officer thereof, and, if applicable, any individual acting as a manager
92	92	62of an office location. Such application shall also include a description of the activities of the
93	93	63applicant, in such detail and for such periods as the commissioner may require, as well as such
94	94	64further information as the commissioner may require. The commissioner may require a
95	95	65background investigation of each applicant for a license by means of fingerprint checks by the
96	96	66department of criminal justice information services pursuant to section 172 of chapter 6, and the
97	97	67Federal Bureau of Investigation for state and national criminal history record checks. If the
98	98	68applicant is a partnership, association, corporation or other form of business organization, the
99	99	69commissioner may require such background investigation by means of fingerprint checks on
100	100	70each member, director, principal officer of such applicant, and, if applicable, any individual
101	101	71acting as a manager of an office location. Receipt of criminal history record information by a
102	102	72private entity shall be prohibited. Each application for a license shall be accompanied by an 5 of 16
103	103	73investigation fee. Investigation and license fees shall be determined annually by the
104	104	74commissioner of administration under section 3B of chapter 7.
105	105	75 The commissioner may participate in a multi-state licensing system for the sharing of
106	106	76regulatory information and for the licensing and application, by electronic or other means, of
107	107	77entities engaged in the business of offering or providing earned wage access services. The
108	108	78commissioner may establish requirements for participation by an applicant in a multi-state
109	109	79licensing system which may vary from the provisions of this section and section 5. The applicant
110	110	80shall pay directly to the multi-state licensing system any additional fees relating to participation
111	111	81in the multi-state licensing system.
112	112	82 Section 4. Issuance of license by commissioner; notice of license denial; appeal. Upon
113	113	83the filing of an application for a license, if the commissioner finds that the financial
114	114	84responsibility, character, reputation, integrity and general fitness of the applicant, and of the
115	115	85partners or members thereof if the applicant is a partnership or association, and of the officers,
116	116	86directors and principal employees if the applicant is a corporation, are such as to warrant belief
117	117	87that the business will be operated honestly, fairly, soundly and efficiently in the public interest
118	118	88consistent with the purposes of this chapter, he shall thereupon issue the applicant a license to
119	119	89engage in the business of an earned wage access services provider. If the commissioner shall not
120	120	90so find, he shall not issue a license and he shall notify the applicant of the denial. Within twenty
121	121	91days thereafter, he shall enter upon his records a written decision and findings containing the
122	122	92reasons supporting the denial and shall forthwith give written notice thereof by registered mail to
123	123	93the applicant. Within thirty days after the date of such notice, the applicant may appeal from such
124	124	94denial to the superior court for Suffolk county, sitting in equity. The court shall hear all pertinent
125	125	95evidence and determine the facts and upon the facts as so determined, review said denial and, as 6 of 16
126	126	96justice and equity may require, affirm the same or order the commissioner to issue such license.
127	127	97The commissioner shall approve or deny every application for a license within ninety days after
128	128	98the filing thereof, but any failure of the commissioner to act within such period shall not be
129	129	99deemed to be an approval of any such application.
130	130	100 Section 5. Information on license; changes; notice requirements. Each license shall state
131	131	101the name of the licensee and shall state the address at which the business is to be conducted or
132	132	102shall state that the licensee’s business will be conducted entirely online. If a licensee intends to
133	133	103carry on such business at any place in addition to the address on the license, he shall so notify the
134	134	104commissioner, in writing, at least 30 days prior thereto, and he shall pay a fee for such additional
135	135	105location at a reasonable cost as determined by the commissioner. Such notice shall contain the
136	136	106address of any such additional location and such other information as the commissioner may
137	137	107require; provided, however, that any such business shall at all times be conducted in the name of
138	138	108the licensee as it appears on the license. A copy of such license shall be prominently posted in
139	139	109each place of business of the licensee or, if the licensee conducts business online, shall be posted
140	140	110on the licensee’s internet web site. Such copies for places of business at addresses other than that
141	141	111appearing on the license may be obtained at a reasonable cost, as determined by the
142	142	112commissioner. Such license shall not be transferable or assignable and shall expire annually on a
143	143	113date determined by the commissioner. Any change of location or closing of a place of business
144	144	114of the licensee, either at the address stated on the license or at a place other than said address
145	145	115stated on the license, shall require prior written notice thereof to the commissioner. Such notice
146	146	116shall be in writing setting forth the reason therefor and shall be filed with the commissioner at
147	147	117least thirty days prior to any such relocation or closing. If there shall be any change among the
148	148	118members, officers, partners or directors of any licensee, the licensee shall notify the 7 of 16
149	149	119commissioner in a timely manner of the name, address and occupation of each new member,
150	150	120officer, partner or director, and provide such other information as the commissioner may require.
151	151	121 Section 6. Requirements applicable to persons required to be licensed. A person required
152	152	122to be licensed under this part shall comply with the following requirements:
153	153	123 Develop and implement policies and procedures to respond to questions raised by
154	154	124consumers and address complaints from consumers in an expedient manner.
155	155	125 Whenever it offers a consumer the option to receive proceeds for a fee, offer that
156	156	126consumer at least one reasonable option to obtain proceeds at no cost and clearly explain how to
157	157	127elect that no-cost option.
158	158	128 Before entering into an agreement with a consumer for the provision of earned wage
159	159	129access services, do both of the following: (1) Inform the consumer of his or her rights under the
160	160	130agreement; (2) Inform the consumer that the agreement is not intended to create a legal
161	161	131obligation for the consumer to repay advances; and (3) Fully and clearly disclose all fees
162	162	132associated with the earned wage access services.
163	163	133 Inform the consumer of the fact of any material changes to the terms and conditions of
164	164	134the earned wage access services before implementing those changes for that consumer.
165	165	135 Allow the consumer to cancel use of the provider’s earned wage access services at any
166	166	136time, without incurring a cancellation fee imposed by the provider.
167	167	137 Comply with all applicable local, state, and federal privacy and information security
168	168	138laws. 8 of 16
169	169	139 If a provider solicits, charges, or receives a tip, gratuity, or other donation from a
170	170	140consumer, do both of the following: (1) Clearly and conspicuously disclose to the consumer
171	171	141immediately prior to each transaction that a tip, gratuity, or other donation amount may be zero
172	172	142and is voluntary; (2) Clearly and conspicuously disclose in its service contract with the consumer
173	173	143and elsewhere that tips, gratuities, or donations are voluntary and that the offering of earned
174	174	144wage access services, including the amount of proceeds a consumer is eligible to request and the
175	175	145frequency with which proceeds are provided to a consumer, is not contingent on whether the
176	176	146consumer pays any tip, gratuity, or other donation or on the size of the tip, gratuity, or other
177	177	147donation.
178	178	148 Provide proceeds to a consumer by any means mutually agreed upon by the consumer
179	179	149and the provider.
180	180	150 If the provider will seek repayment of outstanding proceeds or payment of fees or other
181	181	151amounts owed, including voluntary tips, gratuities, or other donations, in connection with the
182	182	152activities covered by this chapter, from a consumer’s depository institution, including by means
183	183	153of electronic funds transfer, do both of the following: (1) Comply with applicable provisions of
184	184	154the federal Electronic Funds Transfer Act, 15 USC 1693 et. seq., and regulations adopted under
185	185	155that Act; and (2) Reimburse the consumer for the full amount of any overdraft or non-sufficient
186	186	156funds fees imposed on a consumer by the consumer's depository institution that were caused by
187	187	157the provider attempting to seek payment of any outstanding proceeds, fees, or other payments, in
188	188	158connection with the activities covered by this chapter, including voluntary tips, gratuities, or
189	189	159other donations, on a date before, or in an incorrect amount from, the date or amount disclosed to
190	190	160the consumer. However, the provider is not subject to the requirements of this subdivision with 9 of 16
191	191	161respect to payments of outstanding amounts or fees incurred by a consumer through fraudulent or
192	192	162other unlawful means.
193	193	163 Section 7. Prohibitions applicable to persons required to be licensed. A person required to
194	194	164be licensed under this part shall not do any of the following:
195	195	165 (a) Share with an employer a portion of any fees, voluntary tips, gratuities, or other
196	196	166donations that were received from or charged to a consumer for earned wage access services.
197	197	167 (b) Require a consumer's credit report or a credit score provided or issued by a consumer
198	198	168reporting agency to determine a consumer's eligibility for earned wage access services.
199	199	169 (c) Accept payment of outstanding proceeds, fees, voluntary tips, gratuities, or other
200	200	170donations from a consumer by means of a credit card or charge card.
201	201	171 (d) Charge a late fee, deferral fee, interest, or any other charge for failure to pay
202	202	172outstanding proceeds, fees, voluntary tips, gratuities, or other donations.
203	203	173 (e) Report to a consumer reporting agency or debt collector any information about the
204	204	174consumer regarding the inability of the provider to be repaid outstanding proceeds, fees,
205	205	175voluntary tips, gratuities, or other donations.
206	206	176 (f) Compel or attempt to compel payment by a consumer of outstanding proceeds, fees,
207	207	177voluntary tips, gratuities, or other donations to the provider through any of the following means:
208	208	178(1) Use of unsolicited outbound telephone calls; (2) A suit against the consumer in a court of
209	209	179competent jurisdiction; (3) Use of a third party to pursue collection from the consumer on the
210	210	180provider’s behalf; or (4) Sale of outstanding amounts to a third party collector or debt buyer for
211	211	181collection from the consumer. However, this subdivision does not preclude the use by a provider 10 of 16
212	212	182of any of the foregoing methods to compel payment of outstanding amounts or fees incurred by a
213	213	183consumer through fraudulent or other unlawful means, nor do they preclude a provider from
214	214	184pursuing an employer for breach of its contractual obligations to the provider.
215	215	185 (g) If the provider solicits, charges, or receives tips, gratuities, or other donations from a
216	216	186consumer, mislead or deceive consumers about the voluntary nature of the tips, gratuities, or
217	217	187donations or make representations that tips, gratuities, or other donations will benefit any
218	218	188specific individuals.
219	219	189 Section 8: License suspension or revocation; notice and hearing. The commissioner may
220	220	190suspend or revoke any license issued pursuant to this chapter if said commissioner finds that:
221	221	191 (i) the licensee has violated any provision of this chapter or any rule or regulation
222	222	192adopted hereunder, or any other law applicable to the conduct of its business; or
223	223	193 (ii) any fact or condition exists which, if it had existed at the time of the original
224	224	194application for such license, would have warranted the commissioner in refusing to issue such
225	225	195license.
226	226	196 Except as provided in section nine, no license shall be revoked or suspended except after
227	227	197notice and a hearing thereon pursuant to chapter thirty A.
228	228	198 A licensee may surrender a license by delivering to the commissioner written notice that
229	229	199it thereby surrenders such license, but such surrender shall not affect the civil or criminal liability
230	230	200of the licensee for acts committed before such surrender.
231	231	201 No revocation, suspension or surrender of any license shall impair or affect the obligation
232	232	202of any pre-existing lawful contract between the licensee and any person. 11 of 16
233	233	203 Section 9: Commissioner's order to cease and desist from unlawful act or practice; prior
234	234	204notice and opportunity for hearing; temporary order. (a) If the commissioner determines, after
235	235	205giving notice of and opportunity for a hearing, that a licensee has engaged in or is about to
236	236	206engage in an act or practice constituting a violation of a provision of this chapter or a rule,
237	237	207regulation or order hereunder, he may order such licensee to cease and desist from such unlawful
238	238	208act or practice and take such affirmative action as in his judgment will effect the purposes of this
239	239	209chapter.
240	240	210 (b) If the commissioner makes written findings of fact that the public interest will be
241	241	211irreparably harmed by delay in issuing an order under subsection (a) he may issue a temporary
242	242	212cease and desist order. Upon the entry of a temporary cease and desist order, the commissioner
243	243	213shall promptly notify, in writing, the licensee affected thereby that such order has been so
244	244	214entered, the reasons therefor, and that within twenty days after the receipt of a written request
245	245	215from such licensee, the matter will be scheduled for hearing to determine whether or not such
246	246	216temporary order shall become permanent and final. If no such hearing is requested and none is
247	247	217ordered by the commissioner, the order shall remain in effect until it is modified or vacated by
248	248	218the commissioner. If a hearing is requested or ordered, the commissioner, after giving notice of
249	249	219and opportunity for a hearing to the licensee subject to said order, shall, by written finding of
250	250	220facts and conclusions of law, vacate, modify or make permanent the order.
251	251	221 (c) No order under this section, except an order issued pursuant to subsection (b), may be
252	252	222entered without prior notice of and opportunity for a hearing. The commissioner may vacate or
253	253	223modify an order under this section upon finding that the conditions which required such an order
254	254	224have changed and that it is in the public interest to so vacate or modify. 12 of 16
255	255	225 Any order issued pursuant to this section shall be subject to review as provided in chapter
256	256	226thirty A.
257	257	227 Section 10: Annual report; examination of business records. Each licensee shall annually,
258	258	228on or before a date determined by the commissioner, file a report with the commissioner
259	259	229containing such information as said commissioner may require concerning the business and
260	260	230operations conducted by the licensee in the commonwealth during the preceding calendar year. A
261	261	231licensee neglecting to file such report or failing to amend the same within fifteen days of notice
262	262	232from said commissioner directing the same shall, unless such neglect or failure is due to
263	263	233justifiable cause and not due to wilful neglect, pay to the commonwealth fifty dollars for each
264	264	234day during which such neglect or failure continues.
265	265	235 A licensee shall keep and use such business records in such form and at such location as
266	266	236said commissioner shall, by regulation, determine, which shall enable said commissioner to
267	267	237determine whether such licensee is complying with the provisions of this chapter and any rules
268	268	238or regulations promulgated hereunder by said commissioner and any other law, rule or regulation
269	269	239applicable to the conduct of the business for which it is licensed under this chapter. Such
270	270	240regulations may contain provisions for the suspension or revocation of licenses for violations
271	271	241hereof and for such records to be recorded, copied or reproduced by photographic, photostatic,
272	272	242microfilm, microcard, miniature photographic, electronic, including, but not limited to, optical
273	273	243imaging, or other process which accurately reproduces or forms a durable medium for
274	274	244reproducing the original record or document or in any other form or manner authorized by the
275	275	245commissioner; provided, however, that nothing in this section shall be construed to permit any
276	276	246such licensee to destroy original records or documents. Each such licensee shall preserve all such
277	277	247business records for as long a period as the commissioner shall prescribe by regulation. 13 of 16
278	278	248Notwithstanding the provisions of any general or special law or the Massachusetts Rules of Civil
279	279	249Procedure to the contrary, service of a subpoena for business records upon a licensee, delivered
280	280	250to an office of such licensee located within the commonwealth or delivered to a licensee’s agent
281	281	251for service of process, shall be deemed to have been served at the location, whether within or
282	282	252outside the commonwealth, where the original business records or documents are kept or
283	283	253maintained.
284	284	254 The commissioner may inspect a licensee's relevant records and evidence of compliance
285	285	255with the provisions of this chapter or any rule or regulation issued hereunder and with any other
286	286	256law, rule or regulation applicable to the conduct of the business for which it is licensed under this
287	287	257chapter. For the purposes of such inspection, the commissioner or a representative of the
288	288	258commissioner shall have access to the offices and place of business, books, accounts, papers,
289	289	259records and files of all such licensees. The commissioner, and any person designated by him,
290	290	260may require the attendance and testimony of any person whom the commissioner deems
291	291	261necessary relative to the conduct and operation of such business. The total cost for any such
292	292	262inspection, which shall be paid by the licensee within 30 days after the receipt of an invoice
293	293	263therefore, shall be in accordance with fees determined annually by the commissioner of
294	294	264administration pursuant to section 3B of chapter 7, including expenses for necessary travel
295	295	265outside the commonwealth for the purposes of conducting such inspections.
296	296	266 The commissioner shall adopt regulations implementing the requirements of this section.
297	297	267 The commissioner shall preserve a full record of each such examination of a licensee,
298	298	268including a statement of its condition. All records of investigation and reports of examination by
299	299	269the commissioner, including work papers, information derived from such reports or in response 14 of 16
300	300	270to such reports, and any copies thereof in the possession of any licensee under the supervision of
301	301	271the commissioner, shall be confidential and privileged communications, shall not be subject to
302	302	272subpoena and shall not be a public record under clause Twenty-sixth of section 7 of chapter 4.
303	303	273For the purpose of this paragraph, records of investigation and reports of examinations shall
304	304	274include records of investigation and reports of examinations conducted by any financial
305	305	275institution regulatory agency of the federal government and any other state, and of any foreign
306	306	276government which are considered confidential by such agency or foreign government and which
307	307	277are in possession of the commissioner. In any proceeding before a court, the court may issue a
308	308	278protective order to seal the record protecting the confidentiality of any such record, other than
309	309	279any such record on file with the court or filed in connection with the court proceeding, and the
310	310	280court may exclude the public from any portion of a proceeding at which any such record may be
311	311	281disclosed. Copies of such reports of examination shall be furnished to a licensee for its use only
312	312	282and shall not be exhibited to any other person, organization or agency without prior written
313	313	283approval by the commissioner. The commissioner may, in his discretion, furnish to regulatory
314	314	284agencies of the federal government, of other states, or of foreign countries and any law
315	315	285enforcement agency, such information, reports, inspections and statements relating to the
316	316	286licensees under his supervision.
317	317	287 Section 11: Civil actions filed by the commissioner. The commissioner may enforce the
318	318	288provisions of this chapter, or restrain any violations thereof, by filing a civil action in any court
319	319	289of competent jurisdiction.
320	320	290 Section 12: Penalties. (a) Whenever the commissioner finds that a person has violated
321	321	291section 2 or any rule or regulation promulgated thereunder, the commissioner may, by order, in
322	322	292addition to any other action authorized under this chapter or any rule or regulation made 15 of 16
323	323	293thereunder, impose a penalty upon the person which shall not exceed $1,000, plus the costs of
324	324	294investigation. The penalty provision of this section shall be in addition to, and not in lieu of, any
325	325	295other law applicable to a licensee or other person for violating section 2 or any rule or regulation
326	326	296made thereunder.
327	327	297 (b) Whenever the commissioner finds that any licensee or exempt person under section 2
328	328	298has violated this chapter or any regulation, rule or order adopted thereunder, the commissioner
329	329	299may, by order, in addition to any other action authorized under this chapter or any rule or
330	330	300regulation made thereunder, impose a penalty upon the person which shall not exceed $500 for
331	331	301each violation, plus the costs of investigation.
332	332	302 (c) Any findings or order issued by the commissioner pursuant to this section shall be
333	333	303subject to review as provided in chapter 30A.
334	334	304 Section 13. Applicability of other state laws. (a) Notwithstanding any other provision of
335	335	305law, earned wage access services offered and provided by a licensee in accordance with this
336	336	306chapter shall not be considered to be any of the following: (1) a violation of or noncompliance
337	337	307with any law of this state governing the sale or assignment of, or an order for, earned but unpaid
338	338	308income; (2) a loan or other form of credit or debt, nor shall the provider be considered a creditor,
339	339	309debt collector, or lender with respect thereto; (3) money transmission, nor shall the provider be
340	340	310considered a money transmitter for purposes of any law of this state.
341	341	311 (b) Notwithstanding any other provision of law, fees, voluntary tips, gratuities, or other
342	342	312donations paid by a consumer to a licensee in accordance with this part shall not be considered
343	343	313interest or finance charges. If there is a conflict between the provisions of this chapter and any
344	344	314other state statute, the provisions of this chapter control. 16 of 16
345	345	315 Section 14. Coverage of providers operating in the commonwealth prior to enactment of
346	346	316this chapter. A person who, as of January 1, 2025, was engaged in the business of providing
347	347	317earned wage access services in the commonwealth may, until July 1, 2026, continue to engage in
348	348	318the business of providing earned wage access services in the commonwealth without obtaining a
349	349	319license pursuant to Section 2 if the person submits an application for such a license before
350	350	320January 1, 2026, and otherwise complies with this chapter.