The bill seeks to regulate earned wage access services in Ohio by amending section 1321.21 and enacting new sections 1320.01 through 1320.10 of the Revised Code. It introduces key definitions such as "consumer," "provider," "earned wage access services," and "employer," which clarify the roles of involved entities. A significant requirement is that no person may offer these services without a valid certificate of registration, which necessitates compliance with rules set by the superintendent of financial institutions. The application process for this certificate includes background checks for key officers and the payment of specific fees, while also establishing criteria for financial responsibility and general fitness of applicants.

Additionally, the bill allows providers to change their business location within the same municipality without needing to submit a new application or pay additional fees, while mandating that they notify the division of any changes in business address or name. It outlines provider responsibilities, including developing consumer complaint procedures and offering at least one no-cost option for accessing wages. The bill also clarifies that earned wage access services are not classified as loans or credit, thus exempting them from certain regulations. Furthermore, it establishes a consumer finance fund for administrative costs and mandates a portion of collected fees to be directed to a financial literacy education fund. The bill repeals the existing section 1321.21 to streamline the regulatory framework.

Statutes affected:
As Introduced: 1321.21