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 establishes definitions for key terms and mandates that entities offering these services must obtain a valid certificate of registration, which involves compliance with specific provisions, background checks for key officers, and payment of various fees. The bill outlines requirements for registrants, including maintaining a minimum net worth and assets, and details the application, renewal, and revocation processes for certificates. It also allows for additional fees if the annual registration fees do not cover the estimated expenditures of the consumer finance section, aiming to ensure transparency and consumer protection in the industry.

Additionally, the bill introduces provisions that allow providers to change their business location without needing to submit a new application or pay extra fees, while requiring them to notify the division of any changes in their business name or address. It clarifies that the regulations do not apply to federally regulated banks and prohibits state or local governments from imposing additional fees on registrants. The bill mandates consumer complaint procedures, clear fee disclosures, and at least one no-cost option for consumers to access their wages. It also establishes a consumer finance fund for administrative costs and mandates that a portion of collected funds be allocated to financial literacy education. The existing section 1321.21 is repealed as part of this legislative update.

Statutes affected:
As Introduced: 1321.21