§ 26–317. Limitations on fees for cashing checks.

(a)(1) Beginning January 1, 2011, no licensee under this chapter shall directly or indirectly charge any other fee, including late fees or other service fees, for accepting or cashing a payment instrument in excess of the greater of:

(A) Two percent of the face amount of the payment instrument or $3, if the payment instrument is issued by the federal government or a state or local government;

(B) Ten percent of the face amount of a payment instrument or $5, if the payment instrument is a personal check or money order; or

(2) A licensee may charge a customer an additional one-time membership fee not to exceed $5.

(b) The fees for cashing a check shall be evidenced by a receipt. Such receipt shall be presented to the purchaser upon completion of the transaction.

(May 12, 1998, D.C. Law 12-111, § 18, 45 DCR 1782; Nov. 24, 2007, D.C. Law 17-42, § 2(b), 54 DCR 9988; Mar. 12, 2011, D.C. Law 18-315, § 2, 57 DCR 12412.)

Prior Codifications

1981 Ed., § 26-1117.

Effect of Amendments

D.C. Law 17-42, in subsec. (a), deleted the sentence: “An additional verification, handling, and documentation processing fee may be charged, pursuant to § 26-319, for a personal check held for deferred deposit.”

D.C. Law 18-315 rewrote subsec. (a), which had read as follows: “(a) No licensee under this chapter shall directly or indirectly charge or collect in fees or charges for cashing a check a sum to exceed 5% of the face value of a government or payroll check, 7% of the face value of an insurance check, 10% of the face value of a personal check or money order, or $4, whichever is greater. Each licensee shall conspicuously post, in both English and Spanish, and at all times display in every location and upon every mobile unit licensed under this chapter, a schedule of fees and charges permitted hereunder, which schedule shall be approved by the Superintendent prior to posting.”

Effective Dates

Section 4 of D.C. Law 17-42 provided: “This act shall take effect following the certification by the Chief Financial Officer, through a revised quarterly revenue estimate for fiscal year 2008, that local funds exceed the annual revenue estimates incorporated in the fiscal year 2008 budget and financial plan in an amount sufficient to account for its fiscal effect. The Chief Financial Officer shall set aside revenue to account for the cost of fully implementing this act.”