Legislator seeks to create free banking services for Californians

Los Angeles Assemblymember Miguel Santiago has introduced legislation that would form a state panel to create a no-fee, no-penalty bank account supported by the state and managed by existing financial companies.

Unlike a previous attempt by Santiago to create public banks, this time around, the legislation, Assembly Bill 1177, would form a Public Banking Option Board, which would partner with existing financial institutions to offer the free accounts statewide through a "BankCal" program.