In 2019, the NYS Department of Financial Services announced it was leading a multi state investigation into the emerging paycheck advance industry—only to quietly shelve it. Meanwhile, the industry has expanded unchecked, preying on working people across New York State. Paycheck or cash advance apps, also known as Earned Wage Access (EWA), provide high-cost, small-dollar, short-term loans, automatically deducting repayment—plus fees and “tips”—from the worker’s next paycheck.

FINDING: New Economy Project estimates that payday loan apps have siphoned over half a billion dollars in deceptive fees from New Yorkers’ paychecks since 2019.

Read the full research brief here.