Steil Introduces Legislation to Provide Consumer Protections and Regulatory Clarity for Earned Wage Access Services
Washington, D.C. (February 22, 2024) - Congressmen Bryan Steil (WI-01) and French Hill (AR-02), Chairman of the Subcommittee on Digital Assets, Financial Technology, and Inclusion, this week introduced the Earned Wage Access Consumer Protection Act (H.R. 7428).
Earned Wage Access (EWA) is a financial technology service that allows workers access to a portion of the wages they’ve already earned prior to payday. There are multiple models for the delivery of EWS, including versions that provide early access to pay without cost to the wage earner.
This legislation will provide important consumer protections and regulatory clarity on EWA services. The Earned Wage Access Consumer Protection Act will establish the first federal framework governing this new industry.
“Earned Wage Access enables American workers to access the benefits of their hard work on the timeframe that best meets their needs,” said Steil. “My bill will ensure workers across the country can continue to use these services, which help them to better connect work to reward.”
“Many Americans rely on Earned Wage Access to afford unexpected expenses that have to be covered before their next paycheck,” said Hill. “I thank my friend, Rep. Bryan Steil, for his leadership on addressing this issue and am proud to cosponsor this important legislation.”
This legislation is supported by the Financial Technology Association, the trade association for technology based financial service providers. It is also supported by the American Fintech Council and the Innovative Payments Association.
NOTE: Last October, Rep. Steil brought attention to the Earned Wage Access Consumer Protection Act during a House Financial Services Subcommittee on Digital Assets, Financial Technology, and Inclusion hearing. CLICK HERE to watch.
CLICK HERE to read the bill.
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