Bill Text: NJ A1252 | 2014-2015 | Regular Session | Amended

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Bill Title: Requires ATM operators to disclose balance inquiry fees.

Spectrum: Partisan Bill (Democrat 5-0)

Status: (Engrossed - Dead) 2014-12-18 - Received in the Senate, Referred to Senate Commerce Committee [A1252 Detail]

Download: New_Jersey-2014-A1252-Amended.html

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[First Reprint]

ASSEMBLY, No. 1252

STATE OF NEW JERSEY

216th LEGISLATURE

 

PRE-FILED FOR INTRODUCTION IN THE 2014 SESSION

 

 

Sponsored by:

Assemblyman  VINCENT PRIETO

District 32 (Bergen and Hudson)

Assemblyman  GARY S. SCHAER

District 36 (Bergen and Passaic)

Assemblyman  DANIEL R. BENSON

District 14 (Mercer and Middlesex)

 

Co-Sponsored by:

Assemblyman Wimberly

 

 

 

 

SYNOPSIS

     Requires ATM operators to disclose balance inquiry fees.

 

CURRENT VERSION OF TEXT

     As reported by the Assembly Financial Institutions and Insurance Committee on October 2, 2014, with amendments.

  

An Act concerning certain automated teller machine fee disclosures and supplementing P.L.1983, c.466 (C.17:16K-1 et seq.).

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    As used in this act:

     "Account" means a demand, time, or savings deposit, or other consumer asset account, other than an occasional or incidental credit balance, held either directly or indirectly by a financial institution and established for personal, family or household purposes.

     "Automated teller machine" means an electronic information processing device located in the State which accepts or dispenses cash in connection with a credit or deposit account. The term does not include tellers' stations staffed by a person or other staffed facilities.

     "Operator" means any State or federally chartered bank, savings bank, savings and loan association, credit union or other entity which operates an automated teller machine.

 

     2.    An operator shall not charge a fee to a consumer for the consumer's use of an automated teller machine to inquire as to the balance in the consumer's account unless both of the following conditions are met:

     a.    A notice is prominently displayed on the automated teller machine screen, disclosing to the consumer before the consumer is committed to completing the inquiry and paying the fee:

     (1)   that a fee will be imposed for providing the balance inquiry service;

     (2)   the amount of the fee; and

     (3)   that the consumer has a right to cancel the inquiry without paying the fee; and

     b.    The consumer elects to continue the inquiry after the notice is displayed.

 

     3.    ¹a.¹  The Department of Banking and Insurance shall enforce the provisions of this act. ¹[An] Except as provided in subsection b. of this section, an¹ operator found to be in violation of this act shall be subject to a civil penalty of not more than $1,000 per day for each day that the operator is in violation of this act, which penalty may be collected by the Commissioner of Banking and Insurance by summary proceedings instituted in accordance with the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).

     ¹b. If an operator that is found to be in violation of this act also incurs a civil penalty pursuant to 12 C.F.R. 1005.16 or any other federal rule, or regulation, for the same offense that constitutes a violation of this act, the operator shall not be subject to a civil penalty from the department pursuant to subsection a. of this section.¹

 

     4.    This act shall take effect on the 90th day following enactment.