Banking and Finance Law Daily Wrap Up, PRIVACY—New York bill would allow consumers to access their financial data, (Mar 24, 2026)

By Carrie DeLeon

A bill called the New York Financial Data Rights Act was recently introduced in the state Legislature to prohibit banks from charging customers a fee to access and share their financial data.

Lawmakers in New York are considering legislation that would affirm the ability of consumers to access and share their financial data at no cost with authorized third parties. The legislation proposed in the state Assembly (AB 10640) and a companion Senate bill (SB 9483) would also prohibit financial institutions from charging fees or imposing unreasonable barriers when consumers request to access or share financial data.

Under the legislation, consumers and small businesses would be able to securely their financial information, including transaction data and account balances, held by financial institutions, including banks, custodians, and other regulated data providers, in a standardized, machine-readable format. Financial institutions would be required to maintain standardized developer interfaces, such as APIs, to facilitate these data requests and would be prohibited from imposing any fees or charges for providing access to such data.

The bill also imposes strict data security and consent requirements and establishes penalties for non-compliance. The Superintendent of Financial Services would be granted enforcement authority, with civil penalties of up to $10,000 per violation for non-compliance, including improper fee charging or unreasonable denial of data access.

Bill sponsors, Assemblyman Clyde Vanel (D., District 33) and Sen. Rachel May (D., District 48), explain that the legislation is in response to a 2025 regulation promulgated by the Consumer Financial Protection Bureau which permitted banks to charge fees as a condition of allowing consumers to share access to their own financial data (see Banking and Finance Law Daily, Aug. 21, 2025). This reversed a policy established by the agency in October 2024 allowing consumers to share their financial data with any financial technology platforms (see Banking and Finance Law Daily, Oct. 22, 2024). “This sharing is necessary for budgeting apps, payments apps, credit building services, and more which provide valuable services to consumers, oftentimes at no cost,” bill sponsors point out.

“In other words, a financial institution could charge a consumer to access and share their own financial data. Fees charged to third parties who provide easy access to this data undoubtedly will have to pass that cost down to consumers, effectively shutting many consumers out of valuable products that can assist them during affordability crises. This bill will require financial institutions to provide a consumer their financial information for free,” they write in a recent memo.

The Financial Technology Association expressed support for the proposed bill, saying that it would protect Americans’ financial freedoms by prohibiting fees for consumer data access. “Americans have a foundational right to securely access and share their financial data with the apps and services of their choice – without paying a fee,” said Penny Lee, president and chief executive of the Financial Technology Association, in a statement. “Secure, fee-free data portability is the lynch pin not only of a flourishing financial ecosystem but also of future innovations that will benefit consumers.”

Companies: Financial Technology Association

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