New Jersey 2022-2023 Regular Session

New Jersey Assembly Bill A379

Introduced
1/11/22  

Caption

Requires financial institutions to cash payroll checks under certain circumstances.

Impact

If enacted, A379 would significantly influence the operations of financial institutions within New Jersey. By prohibiting the charging of fees for cashing payroll checks under the outlined conditions, the bill enhances consumer protection and supports individuals, especially minors and those who may not have easy access to traditional banking resources. The financial implications for banks could involve increased operational demands as they adjust to these requirements, and it may affect their revenue streams from check-cashing operations.

Summary

Assembly Bill A379 aims to mandate that financial institutions cash payroll checks under specific conditions, promoting greater financial accessibility for individuals, including minors. The bill requires that upon the presentation of a payroll check and a valid photographic identification confirming the individual's identity as the payee, banks and credit unions must cash the check without charging any fees, provided that the individual either holds an account at the institution or the check is drawn on it. This legislation is intended to streamline the check-cashing process for employees and avoid barriers that often come with traditional banking services.

Contention

Notably, discussions surrounding A379 may center on concerns regarding its enforceability and the potential for financial institutions to react negatively in terms of service alterations or cost redistribution. Opponents may argue that this bill could impose a burden on financial institutions by limiting their discretion to set fees for cashing checks; thereby potentially reducing service availability or increasing costs in other areas. There might also be debates about ensuring compliance and what penalties should be imposed on institutions that fail to adhere to the mandates of this bill.

Companion Bills

NJ S1917

Same As Requires financial institutions to cash payroll checks under certain circumstances.

Previously Filed As

NJ A443

Requires financial institutions to cash payroll checks under certain circumstances.

NJ S1917

Requires financial institutions to cash payroll checks under certain circumstances.

NJ S68

Requires financial institutions to cash payroll checks under certain circumstances.

NJ A2608

Requires certain financial institutions to provide schedule of fees, charges, and penalties for deposit accounts.

NJ H0431

Financial Institutions

NJ HB433

AN ACT relating to financial institutions.

NJ A4952

Requires public institutions of higher education to disclose all financial donors.

NJ HB343

Financial institutions; regulation of money transmitters, penalty.

NJ HB343

Financial institutions; regulation of money transmitters, penalty.

NJ SB98

Modifies various provisions relating to financial institutions

Similar Bills

CA AB850

Institutional Debt Transparency Act.

TX SB174

Relating to accountability of institutions of higher education, including educator preparation programs, and online institution resumes for public institutions of higher education.

CA AB1344

Private postsecondary education: California Private Postsecondary Act of 2009.

NJ A5181

Revises calculation of student financial need and provides circumstances for reduction of financial aid at institutions of higher education and proprietary institutions.

NJ S3566

Revises calculation of student financial need and provides circumstances for reduction of financial aid at institutions of higher education and proprietary institutions.

NJ A3422

Revises calculation of student financial need and provides circumstances for reduction of financial aid at institutions of higher education and proprietary institutions.

CA AB70

Private postsecondary education: California Private Postsecondary Education Act of 2009.

CA AB3167

California Private Postsecondary Education Act of 2009: highly qualified private nonprofit institution.