Earlier today, Arkansas Governor Sarah Huckabee Sanders signed House Bill 1517, The Earned Wage Access Services Act, into law.
In enacting this bill, Arkansas recognizes earned wage access (EWA) products as a financial service requiring its own, dedicated oversight system distinct from lending frameworks. The bill enacts new definitions related to EWA and requires providers to uphold important consumer protections. Payactiv is already fully compliant with these requirements.
Arkansas joins six other states in enacting a dedicated EWA regulatory framework – California, Nevada, Missouri, Wisconsin, Kansas, and South Carolina. These states each recognize EWA as a distinct financial product and have instituted a tailored oversight system. Similar regulatory models, which range from registration to licensure, have been introduced in more than twenty other states.
Payactiv supported the bill through the legislative session and applauds Arkansas in taking this important step to regulate EWA and ensure workers have access to their own wages – saving them significant costs in late fees and avoiding high-cost debt products like payday loans.
