The Banking, Commerce and Insurance Committee heard a bill Jan. 22 that would bring state law into conformity with federal law relating to automatic teller machine (ATM) fee disclosure requirements.
LB100, introduced by Syracuse Sen. Dan Watermeier, would eliminate a requirement that an ATM fee notice be affixed to or displayed on an ATM.
Currently, fee notices are required to be affixed to or displayed on ATMs as well as displayed on the ATM screen or on a paper notice issued from the machine after a transaction is initiated and before the consumer is irrevocably committed to complete the transaction.
Watermeier said the current state requirement was patterned after federal ATM disclosure requirements that have since changed. Federal law recently was amended to require fee notification only on-screen or on a paper notice, he said.
“Congress recognized that the [additional] requirement was no longer necessary,” he said. “Consumers are provided with adequate protection.”
Robert J. Hallstrom, representing the Nebraska Bankers Association, testified in support of the bill, saying the current two-pronged approach to fee notification has resulted in “frivolous” class-action lawsuits brought by individuals claiming inadequate fee notification.
Kathy Siefken of the Nebraska Grocery Industry Association also testified in support of the bill, saying it would help protect Nebraska businesses from such lawsuits. She said people have been known to remove fee notification placards from ATMs, take a photo and claim violation of the existing fee notification law.
No opposition testimony was offered and the committee voted 8-0 to advance the bill to general file.