Prohibits fees for any service rendered through a bank relating to the use of an electronic benefit transfer card issued by the state or certain departments or agencies thereof

Updated the section title and definitions to replace 'benefit banking services' with 'electronic benefit transfer services' and added new definitions for 'interchange fee' and 'payment card network'.

Expanded the list of prohibited fee-imposing entities to include out-of-state banks with New York branches and foreign banking corporations.

Added a new provision explicitly stating that the fee prohibition does not apply to national banks, federal savings institutions, or federally chartered credit unions.

Clarified that ATM operators cannot charge fees for these services except for standard interchange fees paid to payment card networks.

Updated the effective date application to include contracts entered into with entities subject to the general business law or financial services law.