Prohibits consumer reporting agencies and lenders from using an individual's late payment of cashless tolls to determine their credit worthiness

• Democratic12

◆ The sponsor's argument

Why Leroy Comrie says this is needed

Cashless Tolling-which exists on all MTA Bridges and Tunnels-is merito- rious to the extent it is designed to ease traffic flow and make payment. of tolls more convenient for motorists; however, implementation of the program has revealed a number of glaring challenges that require our collective attention and planning for remediation. Many residents in New York City and across the State are receiving exor- bitant bills from the MTA for toll charges that are defined as overdue and carry $100 fees per original charge. After less than 3 months past due, residents are receiving fines as high as $100.00 for a toll as small as $8.50. It is not uncommon for drivers to receive bills for a handful of trips that have now multiplied into thousands of dollars in fiduciary obligations. While it is no doubt important that the MTA discourage late payment of toll obligations, and collect toll revenue to keep the system operating efficiently, the current system features fees that are extraordinarily excessive; a fee waiver policy that is unavail- able for the public to understand and other features that are simply not pro-consumer. After only a few months, the fees and fines associated with cashless tolling-which many people may not even be aware they are accruing, and which they may be accruing in error-are reported to credit reporting agencies and then used as a factor in determining the creditworthiness, standing and/or capacity of individuals. This causes permanent damage. The flaws of the cashless tolling system should not be allowed to take a permanent toll on the everyday lives of New Yorkers.

This is the sponsor's own case for the bill, quoted from their memorandum. It is not Agora's description of what the bill does.