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Marianas banking bill passes US House
WASHINGTON, D.C.—Delegate Gregorio Kilili C. Sablan (Ind-MP) reports that legislation that would limit how many days banks can hold checks cashed in the Marianas or American Samoa has passed the House.
H.R. 385, which Sablan cosponsored with Delegate Aumua Amata Coleman Radewagen (R-A. Samoa), was added to a larger bill, the Financial CHOICE Act of 2017, which the House passed on June 8.
“With today’s electronic banking, most Marianas customers get access to their funds promptly,” Sablan said. “But as long as federal banking law does not specifically include the Marianas, then people are at risk of not getting their money as quickly as they need it.
“I want to be sure that people in the Marianas are given the same protections as other Americans,” he added.
H.R. 385 amends the Expedited Funds Availability Act to apply to American Samoa and the Commonwealth of the Northern Mariana Islands. The Act sets out the maximum number of days that banks may hold checks before making payment.
For instance, funds deposited in a Marianas account by check from another local bank must be available within two business days. Funds deposited by check from a nonlocal bank must be available to withdraw within five business days.
“The current law does treat Alaska and offshore areas such as Hawaii and the other Pacific islands differently than mainland states,” Sablan said. “Non-mainland banks get one extra day.
“But there is no good reason for treating the Marianas or American Samoa differently than Guam or Hawaii or Alaska. We all have 21st century banking technology, and it is time the law reflects that.”
The Financial CHOICE Act was received in the Senate on Monday. (PR)
