HB 279: Earned Wage Access Services Act - Utah

Amended 2/18/2025 14:02:415 → Substitute #1 · 6 edits

MODERATE

This bill introduces the Earned Wage Access Services Act to regulate companies that provide early access to employees' earned wages. The primary change is the addition of a new chapter (Chapter 75) establishing registration requirements, fee disclosure rules, and penalties for providers. The bill also updates the Division of Consumer Protection's list of chapters it administers to include this new act.

Scope change

The bill expands the Division of Consumer Protection's enforcement authority to include earned wage access services providers, which were previously not covered under existing consumer protection laws.

REQUIREMENT

New registration and renewal requirements for earned wage access service providers, including background checks and application fees

Mandatory disclosure requirements for fees, tips, and voluntary donations to ensure consumers understand the voluntary nature of these charges

Prohibitions on using credit reports to determine eligibility and restrictions on accepting credit card payments

ENFORCEMENT

Administrative fines up to $2,500 per violation and civil penalties up to $5,000 per violation for non-compliance

DEFINITION

New definitions for 'consumer', 'earned but unpaid income', 'earned wage access services', and 'provider'

TECHNICAL

Minor formatting and punctuation changes in the Division of Consumer Protection's list of administered chapters, including removal of a stray semicolon and bracketed text cleanup

Amended Excerpts 2/18/2025 14:02:415 → Amended 2/18/2025 14:02:415 · 3 edits

MINOR

This bill adds the Earned Wage Access Services Act to Utah's consumer protection framework, establishing a new chapter (Chapter 75) that regulates providers of earned wage access services. The changes primarily involve adding new statutory definitions and expanding the Division of Consumer Protection's enforcement authority to include this new chapter alongside other consumer protection acts.

Scope change

The bill expands the Division of Consumer Protection's enforcement authority to include the newly created Earned Wage Access Services Act (Chapter 75), and establishes new definitions for terms like 'consumer', 'earned but unpaid income', and 'earned wage access services'.

ENFORCEMENT

Added Chapter 75 (Earned Wage Access Services Act) to the list of chapters administered and enforced by the Division of Consumer Protection.

DEFINITION

Created new definitions for 'Consumer', 'Earned but unpaid income', and 'Earned wage access services' to establish regulatory clarity for the new chapter.

TECHNICAL

Added new statutory sections (13-75-101 through 13-75-106) to codify the Earned Wage Access Services Act, including definitions and provisions for provider registration and renewal.

Enrolled → Amended Excerpts 2/18/2025 14:02:415 · 1 edit

MINOR

The House amended HB 279 to clarify that providers must disclose voluntary tip, gratuity, or donation opportunities alongside fees when entering into agreements with consumers. This change ensures consumers are fully informed about all potential costs associated with earned wage access services, not just direct fees.

Scope change

The bill's scope regarding consumer disclosure requirements was refined to explicitly include voluntary tips, gratuities, and donations as items that must be disclosed to consumers.

REQUIREMENT

Added 'opportunities' to the list of items providers must clearly and conspicuously disclose to consumers when entering into earned wage access service agreements, ensuring full transparency about voluntary payments.

Substitute #1 → Substitute #2 · 8 edits

MODERATE

This bill substitutes a new version of the Earned Wage Access Services Act that adds new definitions, expands provider registration requirements, and introduces additional disclosure obligations for companies offering early access to wages. The changes clarify how fees are defined, require providers to obtain employment data from employers, and add specific rules about how funds are delivered and disclosed to consumers.

Scope change

The bill's scope remains focused on regulating earned wage access services in Utah, but the new version expands the definition of how providers determine payment amounts and adds more detailed requirements for fee disclosures and consumer protections.

DEFINITION

Added a new definition for 'earned wage access services' that includes payment determined by employment, income, and attendance data obtained from employers or payroll providers.

REQUIREMENT

Providers must now obtain employment, income, and attendance data directly or indirectly from employers or payroll service providers to determine payment amounts.

New disclosure requirements mandate that providers clearly disclose the voluntary nature of tips, gratuities, or donations and ensure services are not contingent on such payments.

Providers must offer at least one no-fee option to receive funds and clearly disclose how consumers can select this option.

New requirement for providers to reimburse overdraft or non-sufficient fund fees incurred by consumers due to provider errors in disclosed or actual payment amounts.

Providers must obtain customer consent for changes to terms and conditions, or disclose material changes at least 30 days before they take effect.

ENFORCEMENT

Added new Utah Code sections (13-75-105 and 13-75-106) that were not present in the previous version, expanding the regulatory framework.

TECHNICAL

Changed Senate Sponsor name from 'LONG TITLE' to 'Chris H. Wilson' and updated formatting throughout the document.

Introduced → Enrolled · 4 edits · Mar 26, 2025

MODERATE

The bill was finalized in enrolled form with minor formatting and punctuation corrections, including adding a Senate sponsor, adjusting line numbers, and correcting punctuation in the list of chapters administered by the Division of Consumer Protection. The substantive policy content regarding earned wage access services remains unchanged from the introduced version.

TECHNICAL

Added Senate Sponsor: Chris H. Wilson to the enrolled copy header.

Corrected punctuation in Subsection (2)(bb) by removing extra brackets around 'and' and period placement.

Corrected grammar in Subsection (3)(a) by removing the redundant word 'who' before 'that'.

Adjusted line numbering and formatting throughout the enrolled document to match standard legislative formatting.

Earned Wage Access Services Act

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