Bill Text: NY S02797 | 2017-2018 | General Assembly | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Provides that every banking institution which maintains checking accounts for customers shall pay checks in the order received within account balance; provides such banks may dishonor check for insufficient funds, but then must honor smaller checks within amounts on deposit in the subject account.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2018-04-25 - PRINT NUMBER 2797A [S02797 Detail]
Download: New_York-2017-S02797-Introduced.html
Bill Title: Provides that every banking institution which maintains checking accounts for customers shall pay checks in the order received within account balance; provides such banks may dishonor check for insufficient funds, but then must honor smaller checks within amounts on deposit in the subject account.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2018-04-25 - PRINT NUMBER 2797A [S02797 Detail]
Download: New_York-2017-S02797-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 2797 2017-2018 Regular Sessions IN SENATE January 17, 2017 ___________ Introduced by Sen. BRESLIN -- read twice and ordered printed, and when printed to be committed to the Committee on Banks AN ACT to amend the banking law, in relation to the order in which a payor bank shall pay checks The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The banking law is amended by adding a new section 9-x to 2 read as follows: 3 § 9-x. Banking institutions to pay checks drawn therein in order of 4 presentation. Notwithstanding any other law, rule or regulation to the 5 contrary, every banking institution which provides checking accounts for 6 its customers shall, in paying such checks as are presented for payment, 7 pay the checks in the order wherein they are received; provided, howev- 8 er, if a check is dishonored for insufficient funds and thereafter smal- 9 ler checks which could be paid are received, the smaller checks shall be 10 honored within amounts on deposit in the subject account. 11 § 2. This act shall take effect on the first of January next succeed- 12 ing the date on which it shall have become a law. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD07483-01-7