H 7266Rights & Warranties

Commercial Law - General Regulatory Provisions - Senior Savings Protection Act

Businesses offering discounts for automatic payments must extend the same discount to seniors paying by paper check.

Held for study

Population
Affected

Introduced Jan 23, 2026Committee House Corporations

Plain-English Summary

This legislation mandates that any business or individual selling goods or services must offer fair pricing to senior citizens regarding payment methods. Specifically, if a business provides a discount to customers who use automatic payment systems like electronic funds transfers, they are required by law to offer that same discount to customers aged sixty-five or older who prefer to pay by paper check. This ensures that seniors are not financially penalized for using traditional payment methods instead of digital automation.

For younger readers

Some companies give you a lower price if you let them take money automatically from your bank account using a computer. This new rule says that if a company does that, they have to give the same lower price to older people (who are 65 or older) even if they pay with a regular paper check. This helps grandparents who might not know how to use computer banking or who prefer using checks to save money just like everyone else.

Who & Where It Applies

Impacted groups

Senior Citizens (65+)Small Business OwnersUtility CompaniesService ProvidersBanks and Credit Unions

Impacted communities

All

Constitutional & Fiscal Check

None Likely

Estimated cost

None

Estimated revenue

None

Bill Analysis

Both viewpoints

For Progressives

Protects the financial interests of the elderly, a vulnerable population often on fixed incomes, by ensuring they receive the same discounts as tech-savvy consumers.
Promotes economic equity by preventing discrimination against individuals who may lack the internet access or digital literacy required for automatic electronic payments.
Resists the exclusion of traditional banking methods, ensuring that essential services remain accessible and affordable for community members who rely on paper checks.
Encourages the continued use of paper checks, which is less environmentally friendly than digital payment methods due to paper waste and transportation emissions.
Fails to address the root cause of the digital divide, offering a workaround rather than funding education or access to technology for seniors.
May impose administrative burdens on small businesses that are trying to modernize their accounting systems to reduce overhead and improve efficiency.

For Conservatives

Protects the freedom of senior citizens to conduct business using traditional methods without being penalized by corporate policies favoring automation.
Supports the financial well-being of seniors, a demographic that traditionally respects fiscal responsibility and established banking practices.
Prevents businesses from effectively coercing customers into sharing digital banking data, upholding a level of consumer privacy and autonomy in financial transactions.
Represents government overreach into the free market by dictating how private businesses must structure their pricing and discount strategies.
Imposes additional administrative costs on businesses by forcing them to process paper checks manually while losing the efficiency savings that justified the original discount.
Violates the principle of freedom of contract between a business and its customers by mandating specific terms based on age demographics.

Votes

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Full Bill Text

Changes to existing Rhode Island law · 5 additions

SECTION 1. Chapter 6-40.1 of the General Laws entitled "Senior Savings Protection Act [Effective January 1, 2025.]" is hereby amended by adding thereto the following section: 6-40.1-2.1. Senior discounts. Any person or business engaged in the sale of goods or services, who offers a discount to its customers for utilizing automatic payment systems, via an automated clearinghouse (ACH) or an electronic funds transfer (EFT) or similar payment systems, shall provide the same discount to any person who is sixty-five (65) years of age or older who makes a payment using paper checks.

SECTION 2. This act shall take effect upon passage.