Bill Text: NJ A1489 | 2022-2023 | Regular Session | Introduced
Bill Title: Requires depository institutions to provide paper account statements to elder adults.
Spectrum: Partisan Bill (Democrat 6-0)
Status: (Introduced - Dead) 2022-01-11 - Introduced, Referred to Assembly Aging and Senior Services Committee [A1489 Detail]
Download: New_Jersey-2022-A1489-Introduced.html
STATE OF NEW JERSEY
220th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2022 SESSION
Sponsored by:
Assemblywoman ANGELA V. MCKNIGHT
District 31 (Hudson)
Assemblyman JOE DANIELSEN
District 17 (Middlesex and Somerset)
Co-Sponsored by:
Assemblywoman Chaparro, Assemblyman Coughlin, Assemblywoman Murphy and Assemblyman Benson
SYNOPSIS
Requires depository institutions to provide paper account statements to elder adults.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel.
An Act concerning depository institutions and account statements and supplementing Title 17 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. As used in this act:
"Account" means an account in a depository institution with respect to which the account holder is permitted to make withdrawals by negotiable or transferable instrument, payment orders of withdrawal, telephone transfers, or other similar items for the purpose of making payments or transfers to third persons or others, including a demand deposit account, negotiable order of withdrawal account, draft account, savings deposit account subject to automatic transfers, share draft account, and all savings deposit and share accounts other than time deposit accounts. "Depository institution" means a State chartered bank, savings bank, savings and loan association or credit union doing business in this State.
"Elder adult" means an individual who is at least 65 years of age.
"Periodic account statement" means a written statement provided on a regular basis at the end of each periodic cycle by a depository institution to an account holder that reflects all debits and credits to an account held by the account holder during a periodic cycle.
"Periodic cycle" means a period of time which is equal to or shorter than a calendar quarter and, if shorter than a calendar quarter, divides a calendar quarter into approximately equal units of time.
2. Notwithstanding any other law to the contrary, with respect to any account held by an elder adult, a depository institution shall mail periodic account statements in paper form to the account holder without charge, unless the elder adult notifies the depository institution that the elder adult chooses to opt out of receiving the periodic statement in paper form.
3. If a depository institution violates this act, the Commissioner of Banking and Insurance may order the depository institution to cease any violation and subject the institution to a fine of not more than $500 for each violation. The fine shall be collected by the commissioner in a summary manner pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
4. The commissioner may promulgate regulations pursuant to
the "Administrative Procedure
Act," P.L.1968, c.410 (C.52:14B-1 et seq.), necessary
to effectuate the provisions of this act.
5. This act shall take effect on the 90th day next following enactment.
STATEMENT
This bill provides that a State bank, savings bank, savings and loan association or credit union shall mail periodic account statements in paper form to any account holder that is an elder adult without charge, unless the elder adult notifies the depository institution that the elder adult chooses to opt out of receiving the periodic statement in paper form.
Under the bill, a "periodic account statement" means a written statement provided on a regular basis at the end of each periodic cycle by a depository institution to an account holder that reflects all debits and credits to an account held by the account holder during a periodic cycle. A "periodic cycle" means a period of time which is equal to or shorter than a calendar quarter and, if shorter than a calendar quarter, divides a calendar quarter into approximately equal units of time.
The bill provides that the Commissioner of Banking and Insurance may order a depository institution that violates the provisions of the bill to cease any violation and subject the institution to a fine of not more than $500 for each violation.
