1. (a) In this subtitle the following terms have the meanings indicated.
2. (b) “Bank” has the meaning stated in § 1-201 of this article.

3. (c) “Consumer-directed earned wage access” means delivery to a consumer of access to unpaid but earned wages:

   1. (1) That is provided to a consumer by a third party who does not have a relationship with the consumer's employer;
   2. (2) That is based on employment, income, or attendance data obtained directly from the consumer; and
   3. (3) Where the consumer does not pay the provider interest.
4. (d) “Consumer reporting agency” has the meaning stated in § 14-1201 of this article.

5. (e) “Earned wage” means salary, wages, compensation, or other income earned:

   1. (1) On an hourly, project-based, piecework, or other basis; or
   2. (2) Through services rendered as an independent contractor.

6. (f) “Earned wage access” means:

   1. (1) Consumer-directed earned wage access; or
   2. (2) Employer-integrated earned wage access.

7. (g) “Employer-integrated earned wage access” means delivery of unpaid but earned wages:

   1. (1) That are provided to a consumer directly by a person the employer has contracted to provide the service;
   2. (2) That are determined based on employment, income, or attendance data obtained directly or indirectly from the consumer's employer, including a payroll service provider; and
   3. (3) Where the consumer does not pay the provider interest.

8. (h)

   1. (1) “Fee” means:

      1. (i) A fee imposed by a provider for delivery or expedited delivery of earned wage access to a consumer; or
      2. (ii) A subscription or membership fee imposed by a provider for a group of services that includes earned wage access.
   2. (2) “Fee” does not include a voluntary tip, gratuity, or other donation.

9. (i)

   1. (1) “Interest” has the meaning stated in § 12-101 of this title.
   2. (2) “Interest” does not include a fee imposed by an earned wage access provider licensed under Title 11, Subtitle 2 of the Financial Institutions Article.

10. (j)

    1. (1) “Loan” has the meaning stated in § 12-101 of this title.
    2. (2) “Loan” includes earned wage access, subject to the provisions of this subtitle.
11. (k) “Payroll period” means a period of time during which a consumer earns wages that an employer owes to the employee at the end of the period.
12. (l) “Proceeds” means a payment to a consumer by a provider that is based on unpaid but earned wages.

13. (m)

    1. (1) “Provider” means a person who provides to consumers either consumer-directed earned wage access or employer-integrated earned wage access.

    2. (2) “Provider” does not include:

       1. (i) A service provider, such as a payroll service provider, that may verify the available earnings of a consumer but that is not contractually obligated to fund any proceeds delivered as part of an earned wage access service; or
       2. (ii) An employer that offers a portion of salary, wages, or other compensation directly to its employees or independent contractors before a normally scheduled pay date for a payroll period.
14. (n) “Tip” has the meaning stated in § 12-101 of this title.
15. (o) “Wages” has the meaning stated in § 12-101 of this title.

Added by Acts 2025, c. 847, § 1, eff. Oct. 1, 2025. Amended by Acts 2025, c. 142, § 5.