On May 15, SC LEG passed bill on earned wage access services act.
SC LEG passed bill S 700 establish South CarolinaEarned wage access services act.
Specifies requirements and limitations for earned wage access services providers.
Adds new Article 8 to Ch. 5, Title 39, SC code of laws (SC LEG 39-5-810 through 890).
Bill Provisions
A person, including a person that is not physically located in State, may not provide earned wage access in this State unless the person is registered as a provider.
Does not apply to any person doing business under authority of and as permitted by any law of this State or US re banks, credit unions, savings and loan associations.
A person required to be registered apply to the department for a registration on form.
Registration is annual and must be on a form; annual renewable period runs from May 1 to June 13, provider that files its renewal and annual report may continue operating.
Provider shall develop and implement policies and procedures to respond to questions raised by consumers and address complaints from consumers in an expedient manner.
Also, shall offer to the consumer at least one reasonable option to obtain proceeds at no cost to the consumer and clearly explain how to elect that no-cost option.
Provider to maintain records of its earned wage access services transactions, shall preserve records for 2 years after final date it provides proceeds to a consumer.
Must keep books and records that will enable the department to determine whether the provider is in compliance and must be able to readily produce if requested.
Legislative History
On Mar. 30, 2023, bill introduced in Senate; on Feb. 1, 2024, bill passed in Senate.
On Feb. 6, 2024, bill introduced in House; on May 9, 2024, bill passed in House.
On May 15, 2024, bill was ratified as R 188 and is pending delivery to the governor.
Effectiveness
Act takes effect six months after approval by the governor.
May 2024 SC LEG Governor Approval
On May 21, 2024, SC LEG reported governor approved bill, effective Nov. 21, 2024.
Regulators
SC LEG
Entity Types
Corp
Reference
Bill, 5/21/2024; Bill, R188, S700, 5/15/2024; Citation: SC LEG 39-5;
Functions
Compliance; Financial; Legal; Operations; Record Retention; Registration/Licensing; Reporting
