Bill Text: NY A04633 | 2011-2012 | General Assembly | Introduced
Bill Title: Prohibits the issuer of a credit card from increasing the rate of interest or imposing a fee on the account of a holder who has made timely payments and in the minimum amounts required, based on such holder's indebtedness or failure to make timely payments to another creditor; provides that violation of such prohibition shall constitute a misdemeanor.
Spectrum: Moderate Partisan Bill (Democrat 52-12)
Status: (Introduced - Dead) 2012-09-04 - enacting clause stricken [A04633 Detail]
Download: New_York-2011-A04633-Introduced.html
S T A T E O F N E W Y O R K ________________________________________________________________________ 4633 2011-2012 Regular Sessions I N A S S E M B L Y February 4, 2011 ___________ Introduced by M. of A. P. RIVERA, PHEFFER, BOYLAND, JAFFEE, ROSENTHAL, CASTRO, DESTITO, CAMARA, GABRYSZAK, PERRY, GUNTHER, JACOBS, P. LOPEZ, TITUS, SPANO, MAGEE, DenDEKKER, LANCMAN, RUSSELL, SCARBOROUGH, MAISEL, JEFFRIES, MENG, LIFTON, ENGLEBRIGHT -- Multi-Sponsored by -- M. of A. ARROYO, BENEDETTO, BRENNAN, BROOK-KRASNY, BURLING, CLARK, COLTON, COOK, CROUCH, FARRELL, GALEF, GIGLIO, HIKIND, V. LOPEZ, MARKEY, McDO- NOUGH, McENENY, MILLMAN, O'DONNELL, ORTIZ, PEOPLES-STOKES, RAIA, REIL- LY, J. RIVERA, N. RIVERA, ROBINSON, SWEENEY, THIELE, TOBACCO, TOWNS, WEISENBERG, WRIGHT, ZEBROWSKI -- read once and referred to the Commit- tee on Consumer Affairs and Protection AN ACT to amend the general business law, in relation to prohibiting issuers of credit cards from increasing the rate of interest imposed upon outstanding balance based upon a holder's indebtedness or late payments to other creditors THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. The general business law is amended by adding a new section 2 515-a to read as follows: 3 S 515-A. INCREASING RATE OF INTEREST OR IMPOSITION OF FEES FOR INDEBT- 4 EDNESS TO OTHER CREDITORS. 1. NO ISSUER SHALL INCREASE THE RATE OF 5 INTEREST UPON THE ACCOUNT OF THE HOLDER OR IMPOSE A FEE UPON THE 6 OUTSTANDING BALANCE OWED BY A HOLDER WHEN THE INCREASED RATE OF INTEREST 7 OR THE IMPOSITION OF A FEE IS SOLELY THE RESULT OF THE HOLDER'S INDEBT- 8 EDNESS OR FAILURE TO MAKE TIMELY PAYMENTS TO ANY OTHER CREDITOR OR CRED- 9 ITORS. 10 2. A VIOLATION OF SUBDIVISION ONE OF THIS SECTION SHALL CONSTITUTE A 11 MISDEMEANOR. 12 S 2. This act shall take effect on the first day of the calendar month 13 which commences next succeeding the date on which it shall have become a 14 law. EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD00125-01-1