HB5055 103RD GENERAL ASSEMBLY

LRB103 38935 RTM 69072 b

103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB5055

Introduced 2/8/2024, by Rep. Edgar Gonzalez, Jr.

SYNOPSIS AS INTRODUCED:

205 ILCS 5/45.2 new

Amends the Illinois Banking Act. Provides that beginning July 1, 2025, digital payment applications and digital wallet applications operating in this State must pay interest to customers that are residents of the State on any financial balance stored in the application greater than $50 and that is stored on the application for more than 10 days. Provides that digital payment applications and digital wallet applications must pay interest equivalent to the national deposit interest rate for interest checking accounts, as calculated on a monthly basis by the Federal Deposit Insurance Corporation.

A BILL FOR

AN ACT concerning regulation.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Illinois Banking Act is amended by adding Section 45.2 as follows:

(205 ILCS 5/45.2 new)

Sec. 45.2. Digital wallet applications and digital payment applications; interest.

(a) As used in this Section:

"Digital payment application" means an electronic application with the primary purpose of facilitating transactions made with a payment card or by a direct debit transaction, processed by a digital dispatch service.

"Digital wallet application" means an electronic application with the primary purpose of allowing customers to store a digital version of a payment method provided by a financial institution, as defined in Section 2 of this Act.

(b) Beginning July 1, 2025, digital payment applications and digital wallet applications operating in this State must pay interest to customers that are residents of the State on any financial balance stored in the application greater than $50 and that is stored on the application for more than 10 days.

(c) Digital payment applications and digital wallet applications must pay interest equivalent to the national deposit interest rate for interest checking accounts, as calculated on a monthly basis by the Federal Deposit Insurance Corporation.