The proposed legislation, known as the "Louisiana Earned Wage Access Services Act," aims to regulate consumer-directed earned wage access services in Louisiana. It establishes definitions for key terms such as "consumer," "earned but unpaid income," and "provider," and outlines the required and prohibited actions for providers of these services. Providers are mandated to develop policies for consumer inquiries, disclose fees, allow cancellation of services without penalties, and comply with privacy laws. Additionally, they must provide options for consumers to access proceeds at no cost and cannot engage in aggressive collection practices or share consumer fees with employers.

The bill also includes provisions for statutory compliance, requiring providers to submit annual reports to the Office of Financial Institutions detailing their earned wage access services, including revenue, transaction numbers, and consumer complaints. Enforcement of the act will be overseen by the attorney general, and failure to comply with reporting requirements can result in the nullification of agreements made with consumers. The first report is due by March 1, 2027, marking the beginning of oversight for these services in the state.