Fair Access to Banking Act

Ensuring Fair Treatment for Lawful Businesses: The bill aims to ensure that persons involved in legally operating but "politically unpopular" businesses receive fair access to financial services (Section 3, Subsection 4).

Preventing Subjective Denials: By requiring banks to use "quantitative, impartial risk-based standards" rather than "subjective, category-based evaluations," the bill seeks to prevent customers from being denied services based on political reasons, bias, or prejudice (Section 2, Subsection 3 and 5).

Providing Accountability via Written Justification: If a covered bank denies a financial service, it must provide a written justification explaining the specific basis for that denial (Section 8, Subsection b, Paragraph 1, Subclause D).

Empowering Individuals through Legal Action: The act allows individuals or businesses to commence civil actions against covered banks or credit unions that violate these requirements, allowing for the recovery of reasonable attorney's fees and treble damages (Section 8, Subsection c).

Restricting Unfair Practices in Payment Networks: The bill prohibits payment card networks from using contracts or penalties to inhibit a person's access to services based on political or reputational risk considerations (Section 5, Subsection b).

Potential Burden on Large Financial Institutions: Banks, subsidiaries, and certain depository institutions with more than $10,000,000,000 in total consolidated assets face restrictions on using discount window lending programs and the Automated Clearing House Network if they do not comply with the act (Section 4 and Section 7).

Financial Penalties for Payment Networks: Payment card networks that violate the prohibition on inhibiting access due to political or reputational risks may be assessed civil penalties of up to 10 percent of the value of the services or products involved, not to be more than $10,000 per violation (Section 5, Subsection c).