Bill H.99 seeks to regulate earned wage access services in Vermont by establishing a new chapter in the state's statutes. It introduces definitions for key terms such as "earned wage access services," "consumer," and "provider," and mandates that all entities providing these services must obtain a license. The bill outlines the requirements for license applications, including a description of services, fee structures, and bankruptcy history. It also requires licensees to offer a basic level of service at no cost to consumers and sets guidelines for permissible collection practices to prevent unfair charges. Additionally, the legislation includes provisions to protect consumer data, particularly biometric and geolocation information, prohibiting the sale or sharing of such data without explicit consent.

The bill establishes a licensing requirement for providers of earned wage access services, which will take effect on January 1, 2026, and outlines prohibited practices such as making false statements to consumers and discriminating based on personal characteristics. Consumers are empowered to report violations and seek damages from unlicensed providers. The Commissioner of Financial Regulation is tasked with overseeing compliance and will require annual reporting from licensees. The bill also amends existing laws regarding the application and renewal process for licenses, specifying fees for providers, and includes a grace period for current providers to continue operations without a license until the end of 2025, provided they apply before the deadline. The act is set to take effect on July 1, 2025.

Statutes affected:
As Introduced: 8-2102, 8-2109, 8-10202(5), 8-10202