# Indiana HB 1125: Earned wage access services. Indiana HB 1125, Earned wage access services., is a First Regular Session 124th General Assembly (2025) House bill sponsored by Jake Teshka (Republican); status signed, last action 2025-05-06 (Signed by the Governor); PRIA reads it as touching household money (as of 2026-10-17). - Canonical: https://policyrisk.com/state-bill/IN-HB1125-2025 - As of: 2026-10-17 - Plain-text twin of the page above; the HTML and this file carry the same facts. ## Facts - Bill: Indiana HB 1125 - State: Indiana - Session: First Regular Session 124th General Assembly (2025) - Title: Earned wage access services. - Status: signed - Chamber: House - Introduced: 2025-01-08 - Last action: 2025-05-06, Signed by the Governor - Sponsor: Jake Teshka (Republican) - Cosponsors: 5 - Subjects: financial institutions, the senate, insurance and financial institutions - Touches household money: yes - Roll calls: 4 (229 yes, 46 no in all) - Economic provisions PRIA read: 20 ## Summary Provides that under certain circumstances, a lender may contract for and receive a nonrefundable prepaid finance charge of 3% (instead of 2%, under current law) of the loan amount on a loan that is secured by an interest in land and is not made under a revolving loan account. Provides that under certain circumstances, a lender may contract for and receive a nonrefundable prepaid finance charge of 3% (instead of 2%, under current law) of the line of credit on a loan that is secured by an interest in land and is made under a revolving loan account. Provides that: (1) if a joint agreement of merger is approved by the department of financial institutions, any credit union whose existence will terminate as a result of the merger shall submit the joint agreement to a vote of its shareholders as directed by the resolution of the board of directors; and (2) a majority of shareholders voting may approve the joint agreement. Establishes within the Indiana Code a new chapter, to be known as the Indiana Earned Wage Access Act (Act), governing the offering and provision of earned wage access services to Indiana consumers. Provides that the Act is to be administered by the division of consumer credit within the department of financial institutions (department). Sets forth provisions that address the following: (1) Definitions of terms. (2) Exemptions from the Act's requirements. (3) The department's supervisory authority under the Act. (4) The licensing of providers of earned wage access services (providers). (5) The acquisition of control of a licensee. (6) Reporting and record keeping requirements for licensees. (7) Duties of providers under the Act. (8) Prohibited acts by providers. (9) The department's enforcement authority under the Act. (10) Criminal liability for certain prohibited acts. (11) Statutory construction of the Act's provisions. Makes conforming changes to sections of the Indiana Code codified outside the Act. ## Bill overview: provisions PRIA read - Free wage access and capped fees: benefit, low. Providers charging fees or asking for tips must offer a reasonable free delivery option, displayed as prominently as paid options. Paid delivery cannot be the default, and providers must explain how to choose free delivery. Providers must start the chosen free delivery within one business day after… - More rights for wage access users: benefit, low. Before you sign up, providers must explain your rights and clearly disclose all service fees. Before major changes, they must notify you or get your consent. You can cancel at any time without a provider-imposed cancellation fee. Providers must handle questions and complaints promptly, though the l… - Workers control optional wage access tips: benefit, low. Before each transaction, providers requesting tips must say tips are optional and can be $0. Contracts must say tipping cannot affect available money, service frequency, service level, or cost. Providers cannot suggest a default tip above $0, mislead users about voluntary tips, or claim tips benefi… - Workers gain wage app privacy controls: benefit, low. Wage access apps must honor your choices to stop covered ads, surveys, and electronic alerts. Providers may check your location when you create an account to confirm you are in Indiana. Later location access requires your permission. Covered app data cannot be sold or shared except for service deli… - Workers get wage advance repayment protections: benefit, low. Licensed providers cannot add late fees, deferral fees, interest, or other penalties for unpaid advances, fees, or tips. They cannot collect through unsolicited calls, consumer lawsuits, outside collectors, or sales to debt buyers, except for fraud or unlawful conduct. Providers can still pursue em… - Indiana can penalize wage access violations: benefit, low. After notice and a chance to be heard, Indiana can impose civil penalties up to $10,000 per violation. These penalties can accompany or replace other remedies, and collections go to the financial institutions fund. The director can ask courts to stop actual or threatened violations of the law or di… - Credit union mergers count shareholders voting: benefit, low. Beginning July 1, 2025, certain credit union mergers need approval from a majority of shareholders voting, rather than shareholders present. This applies after state approval of the merger agreement, when the merging credit union’s separate existence ends. The department may allow a merger without… - Easier ownership changes for qualifying providers: benefit, low. Some wage access ownership changes bypass the usual state approval application. Exceptions cover designated-meeting proxy votes, certain court-appointed or legally appointed officials, exempt persons, public offerings, and reorganizations keeping the same ultimate controller. The director may grant… - Higher upfront charges on land-secured loans: cost, low. Beginning July 1, 2025, the maximum nonrefundable upfront finance charge on land-secured consumer loans rises from 2% to 3%. For revolving loans, the 3% cap applies to the full credit line. The charge remains subject to the existing combined-rate limit. This raises the allowed charge, but does not… - Workers face advance and repayment limits: cost, low. Licensed providers cannot accept credit cards for repayment of advances, fees, tips, gifts, or donations. A provider offering both wage access and small loans cannot give you an advance while its small loan remains outstanding. It also cannot make you a small loan while its wage advance remains out… - Wage providers face ongoing leadership checks: cost, low. Applicants, specified leaders, and known owners with at least 10% of any equity class must meet experience, financial-responsibility, character, and fitness standards. Controllers, proposed controllers, and key leaders must provide fingerprints and background histories through the multistate licens… - Wage providers must maintain financial bonds: cost, low. Wage access license applicants must provide a surety bond, and licensees must keep it continuously. The required bond equals the greater of $100,000 or average daily proceeds to Indiana consumers during the latest completed calendar quarter. The required amount is capped at $250,000, though provide… - Wage providers pay yearly licensing fees: cost, low. Initial and annual renewal fees are $1,500 until Indiana sets a fee schedule, with each capped at $2,500. Examination fees cannot exceed $100 per hour, and late examination or renewal payments can incur up to $50 daily. Licenses renew for January 1 through December 31, with fees due December 31 unl… - Lender data sharing descriptions conflict: mixed, low. The supplied sources conflict about sharing workers’ data with licensed small-loan lenders. The bill summary describes restrictions on that sharing. The backing provision summary instead describes a duty to sell and share consumer data with those lenders. These descriptions do not establish a relia… - Wage access providers need Indiana licenses: mixed, low. Providers generally need an Indiana license to offer or advertise access to earned, unpaid wages. Coverage includes consumer-directed and employer-linked services when consumers live in Indiana or request money there; small loans are excluded. Federally insured depository institutions, direct emplo… - Wage providers face exams and recordkeeping: mixed, low. Covered providers must keep transaction records for two years after initiation and give Indiana’s financial regulator free access. The director can examine licensed providers and suspected unlicensed operators, requiring reasonably needed records in the specified place and format. Examined parties… - Compliant wage advances are not loans: mixed, low. Licensed wage access services following this law are not classified as loans, credit, debt, or money transmission. They also do not violate the listed payroll-deduction and earned-income transfer laws. Offering these services alone does not make providers lenders, creditors, credit services organiz… - Wage access licensing limits and appeals: mixed, low. Indiana may suspend or revoke a wage access provider’s license when renewal forms or fees remain overdue for 60 days. Providers may pay overdue fees and seek reinstatement or appeal; licenses remain in force while an administrative-review hearing decision is pending. Beginning January 1, 2026, susp… - Wage access provider records gain privacy: mixed, low. Beginning January 1, 2026, existing financial-institution disclosure limits also cover wage access licensees and registrants. Department personnel and others covered by the rule cannot disclose specified information about these businesses. This protects provider information but also limits public a… - Wage provider takeovers need state approval: mixed, low. People or groups acquiring control of a licensed wage provider generally need prior written state approval and a fitness review. The nonrefundable application fee is $1,500 until Indiana sets another amount, capped at $2,500. The state has 60 days after an application is complete to decide, unless… ## Sponsors and cosponsors - Sponsor: Jake Teshka (Republican), House - Cosponsor: Kyle Miller (Democratic), House - Cosponsor: Kyle Walker (Republican), Senate - Cosponsor: Lonnie Randolph (Democratic), Senate - Cosponsor: Matt Lehman (Republican), House - Cosponsor: Scott Baldwin (Republican), Senate ## Roll call votes | Date | Chamber | Motion | Result | Yes | No | Other | | --- | --- | --- | --- | --- | --- | --- | | 2025-04-23 | House | Rules Suspended. Conference Committee Report 1: adopted by the House | pass | 67 | 26 | | | 2025-04-23 | Senate | Rules Suspended. Conference Committee Report 1: adopted by the Senate | pass | 44 | 1 | | | 2025-04-15 | Senate | Third reading: passed | pass | 48 | 1 | | | 2025-02-10 | House | Third reading: passed | pass | 70 | 18 | | ## Actions (33) - 2025-05-06: Signed by the Governor (House) - 2025-05-06: Public Law 222 (House) - 2025-04-29: Signed by the President of the Senate (Senate) - 2025-04-24: Signed by the Speaker (House) - 2025-04-24: Signed by the President Pro Tempore (Senate) - 2025-04-23: Rules Suspended. Conference Committee Report 1: adopted by the Senate; Roll Call 500: yeas 44, nays 1 (Senate) - 2025-04-23: Rules Suspended. Conference Committee Report 1: adopted by the House; Roll Call 530: yeas 67, nays 26 (House) - 2025-04-23: CCR # 1 filed in the Senate (Senate) - 2025-04-23: CCR # 1 filed in the House (House) - 2025-04-22: Senator Qaddoura removed as conferee (Senate) - 2025-04-22: Senator Baldwin added as conferee (Senate) - 2025-04-22: Senator Baldwin removed as advisor (Senate) - 2025-04-17: House conferees appointed: Teshka and Miller K (House) - 2025-04-17: House advisors appointed: Lehman, Lucas, Lauer and Andrade (House) - 2025-04-17: Senate advisors appointed: Randolph Lonnie M and Baldwin (Senate) - 2025-04-17: Senate conferees appointed: Walker K and Qaddoura (Senate) - 2025-04-17: House dissented from Senate amendments (House) - 2025-04-16: Returned to the House with amendments (Senate) - 2025-04-16: Motion to dissent filed (House) - 2025-04-15: Third reading: passed; Roll Call 431: yeas 48, nays 1 (Senate) - 2025-04-14: Second reading: ordered engrossed (Senate) - 2025-04-10: Senator Randolph added as cosponsor (Senate) - 2025-04-10: Committee report: amend do pass, adopted (Senate) - 2025-04-10: Senator Baldwin added as second sponsor (Senate) - 2025-02-20: First reading: referred to Committee on Insurance and Financial Institutions (Senate) - 2025-02-11: Referred to the Senate (House) - 2025-02-10: Third reading: passed; Roll Call 109: yeas 70, nays 18 (House) - 2025-02-10: Senate sponsor: Senator Walker K (House) - 2025-02-06: Second reading: ordered engrossed (House) - 2025-02-04: Committee report: amend do pass, adopted (House) - 2025-01-08: Coauthored by Representatives Lehman and Miller K (House) - 2025-01-08: Authored by Representative Teshka (House) - 2025-01-08: First reading: referred to Committee on Financial Institutions (House) ## Bill text - Enrolled House Bill (H): [PDF](https://api.iga.in.gov/2025/bills/HB1125/versions/HB1125.04.ENRS?format=pdf) - House Bill (H): [PDF](https://api.iga.in.gov/2025/bills/HB1125/versions/HB1125.03.COMS?format=pdf) - House Bill (S): [PDF](https://api.iga.in.gov/2025/bills/HB1125/versions/HB1125.02.COMH?format=pdf) - Introduced House Bill (H): [PDF](https://api.iga.in.gov/2025/bills/HB1125/versions/HB1125.01.INTR?format=pdf) ## Related bills - SB 231: Various corrections matters. (signed) - SB 324: Criminal procedures. (signed) - SB 80: Code publication. (signed) - SB 453: Various tax matters. (signed) - SB 464: Financial institutions and consumer credit. (signed) - SB 371: Workforce matters. (signed) ## Sources - [Enrolled House Bill (H) (PDF)](https://api.iga.in.gov/2025/bills/HB1125/versions/HB1125.04.ENRS?format=pdf) - [House Bill (H) (PDF)](https://api.iga.in.gov/2025/bills/HB1125/versions/HB1125.03.COMS?format=pdf) - [House Bill (S) (PDF)](https://api.iga.in.gov/2025/bills/HB1125/versions/HB1125.02.COMH?format=pdf) - [Introduced House Bill (H) (PDF)](https://api.iga.in.gov/2025/bills/HB1125/versions/HB1125.01.INTR?format=pdf) ## Related - [SB 231: Various corrections matters.](https://policyrisk.com/state-bill/IN-SB231-2025) - [SB 324: Criminal procedures.](https://policyrisk.com/state-bill/IN-SB324-2025) - [SB 80: Code publication.](https://policyrisk.com/state-bill/IN-SB80-2025) - [SB 453: Various tax matters.](https://policyrisk.com/state-bill/IN-SB453-2025) - [SB 464: Financial institutions and consumer credit.](https://policyrisk.com/state-bill/IN-SB464-2025) - [SB 371: Workforce matters.](https://policyrisk.com/state-bill/IN-SB371-2025) - [Indiana bills](https://policyrisk.com/states/indiana/bills) - [Indiana state hub](https://policyrisk.com/states/indiana) - [All state legislation](https://policyrisk.com/state-bills) Source: PRIA, https://policyrisk.com/state-bill/IN-HB1125-2025 (as of 2026-10-17).