HB645: AN ACT relating to earned income access transactions.

Legislative Summary

Establish Subtitle 13 of KRS Chapter 286, the Kentucky Financial Services Code, and create new sections thereof to regulate earned income access transactions; define terms; establish licensing requirements for certain earned income access providers; establish requirements for the change of control of a licensee; establish records requirements for licensees; require annual and other reports by licensees; permit the commissioner of the Department of Financial Institutions to conduct examinations and investigations of licensees and other persons; establish trade practice requirements for licensees; require the commissioner to establish a database for use by the department and licensees and establish requirements relating to the use of the database; require the nonrenewal, revocation, or suspension of licenses if certain conditions are met; authorize the commissioner to promulgate administrative regulations and to levy civil penalties for certain conduct; provide that certain transactions are void; amend KRS 286.4-410 and 371.150 to conform; provide that Sections 1 to 11 of this Act may be cited as the Kentucky Earned Wage Access Act; provide that the Act applies to earned income access transactions offered or provided on or after January 1, 2026.