BALTIMORE — Governor Wes Moore signed legislation Tuesday that delivers new safeguards for Maryland workers seeking early access to their pay and expands financial services for low- and moderate-income families across the state.
The Earned Wage Access bill, SB94, closes regulatory gaps that allowed certain apps to operate like payday lenders while charging users substantial fees. The measure follows a state market inquiry that documented more than $35 million in fees paid by Maryland consumers on 5.5 million transactions between 2019 and 2024.
Under the new law, providers may no longer solicit or rely on “tips” that often functioned as mandatory charges averaging more than $280 per user. The legislation also restores standard lender protections, barring false advertising and discrimination based on race, age or sex.
Earlier this month, Moore signed the expansion of the Access to Banking Act, SB43/HB259, which strengthens the Maryland Community Investment Venture Fund. The fund now offers grants to community banks and credit unions working with financial technology partners to serve both small businesses and individual consumers in underserved areas.
The updated statute encourages development of Maryland Opportunity Accounts — safe, low-cost deposit products designed to help unbanked and underbanked residents receive income, avoid high fees and begin building financial stability. State fee credits will incentivize participating banks and credit unions to offer these accounts.
Department of Labor Secretary Portia Wu welcomed the measures.
“Marylanders deserve to safely manage their earnings and build wealth, and we are thrilled to see these consumer protections become law,” Wu said. “New technology should not be a back door for old, harmful practices to re-emerge. Workers are now able to access their earned wages without sacrificing transparency, fairness, or legal protections.”
Commissioner of Financial Regulation Antonio P. Salazar highlighted dual benefits of the package.
“The Earned Wage Access bill safeguards borrowers from exploitative tipping practices,” Salazar said. “At the same time, the Access to Banking Act expansion boosts opportunities for people in low- to moderate-income communities to access critical financial services and continue to grow Maryland’s economy.”
Francesca Ioffreda, the state’s Chief Innovation Officer, described the banking expansion as building on a proven model.
“This Access to Banking Act update transforms a successful, nationally-recognized model into sustainable, long-term infrastructure for financial inclusion,” Ioffreda said. “It allows the State to leverage innovative technology to break down barriers and expand access to opportunities for Maryland families.”
Consumer advocacy organizations applauded the twin bills.
CASH Campaign of Maryland and Economic Action Maryland stated jointly: “We applaud the enactment of both the Earned Wage Access bill and the Access to Banking update bill, which together build on Maryland’s commitment to expanding safe and affordable access to banking and financial services. By officially banning tips, the Earned Wage Access bill gives consumers the strong protections they need to prevent them from incurring hidden costs when accessing their own wages and addresses the unintended consequences of previous exemptions from Maryland’s anti-discrimination laws. Furthermore, the Access to Banking bill expands the Fund to explicitly include consumers and recognize that families are often the most affected by limited access to safe and affordable banking. The push for new Maryland Opportunity Accounts will help families avoid high fees, safely receive income, and build long-term financial stability.”
The actions align with Moore’s broader priorities on affordability, economic mobility and closing the racial wealth gap. Officials say the laws protect workers from high-cost debt traps while creating pathways for greater participation in the financial system.
For Southern Maryland residents, where access to traditional banking can vary by community, the measures offer potential relief for families and small businesses seeking reliable, transparent financial tools. State leaders expect the Community Investment Venture Fund expansions to support local partnerships that improve services in counties including St. Mary’s, Calvert and Charles.
Information about the Maryland Community Investment Venture Fund is available through the Office of Financial Regulation. Residents may also contact the Governor’s Innovation Team at innovation.team@maryland.gov for details on opportunity accounts and related programs.
The legislation takes effect following standard state timelines, with implementation guidance expected in coming months.
