HOUSE DOCKET, NO. 1907        FILED ON: 1/18/2023

HOUSE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 344

 

The Commonwealth of Massachusetts

_________________

PRESENTED BY:

Kay Khan and Daniel J. Hunt

_________________

To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
Court assembled:

The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:

An Act creating a maximum allowable check-cashing rate.

_______________

PETITION OF:

 

Name:

District/Address:

Date Added:

Kay Khan

11th Middlesex

1/17/2023

Daniel J. Hunt

13th Suffolk

1/30/2023

Michael D. Brady

Second Plymouth and Norfolk

1/30/2023

James K. Hawkins

2nd Bristol

1/30/2023

Michelle M. DuBois

10th Plymouth

2/7/2023

Lindsay N. Sabadosa

1st Hampshire

5/31/2023

David Henry Argosky LeBoeuf

17th Worcester

6/23/2023


HOUSE DOCKET, NO. 1907        FILED ON: 1/18/2023

HOUSE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 344

By Representatives Khan of Newton and Hunt of Boston, a petition (accompanied by bill, House, No. 344) of Kay Khan, Daniel J. Hunt and others for legislation to limit fees charged by cashers of checks, drafts or money orders.  Consumer Protection and Professional Licensure.

 

[SIMILAR MATTER FILED IN PREVIOUS SESSION
SEE HOUSE, NO. 417 OF 2021-2022.]

 

The Commonwealth of Massachusetts

 

_______________

In the One Hundred and Ninety-Third General Court
(2023-2024)

_______________

 

An Act creating a maximum allowable check-cashing rate.

 

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
 

SECTION 1. Section 13 of chapter 169A of the General Laws is hereby amended by striking out, in line 3, the words “five hundred” and inserting in place thereof the following words:- one thousand.

SECTION 2. Said chapter 169A is hereby amended by adding after section 13 the following new section:-

Section 14. (a) No licensee shall directly or indirectly charge or collect fees or other considerations for cashing checks payable to natural persons in excess of the following:

(1) 2.5 per cent of the face value of the check plus a service charge of one dollar for any government check issued by the United States, the Commonwealth of Massachusetts or any political subdivision thereof.

(2) 2.25 per cent of the face value of a payroll check plus a service charge of one dollar.

(3) 5 per cent of the face value of the check or 5 dollars, whichever is greater, plus a service charge of one dollar, for all personal checks.

(4) 3 per cent plus a service charge of 1 dollar for all other payment instruments, including checks, drafts, or money orders.

(b) No licensee shall charge more than 5 dollars to set up an initial customer account.

SECTION 3.  This act shall take effect six months after the date of enactment.