1. Short title This Act may be cited as the Postal Banking Act . 2. Authority for the Postal Service to offer certain financial services (a) In general Section 404 of title 39, United States Code, is amended— (1) in subsection (a)— (A) in paragraph (7), by striking and at the end; (B) in paragraph (8), by striking the period at the end and inserting a semicolon; and (C) by adding at the end the following: (9) to provide basic financial services, including— (A) low-cost, small-dollar loans, not to exceed $500 at a time, or $1,000 from 1 year of the issuance of the initial loan, as adjusted annually by the Postmaster General to reflect any change in the Consumer Price Index for All Urban Consumers of the Department of Labor; (B) alone, or in partnership with depository institutions, as defined in section 3 of the Federal Deposit Insurance Act ( 12 U.S.C. 1813 ), and Federal credit unions, as defined in section 101 of the of the Federal Credit Union Act ( 12 U.S.C. 1752 ), small checking accounts and interest-bearing savings accounts, not to exceed the greater of— (i) $20,000 per account; and (ii) 25 percent of the median account balance reported in the Federal Deposit Insurance Corporation’s quarterly Consolidated Reports of Condition and Income; (C) transactional services, including debit cards, automated teller machines, online checking accounts, check-cashing services, automatic bill-pay, mobile banking, or other products that allows users to engage in the financial services described in this paragraph; (D) remittance services, including the receiving and sending of money to domestic or foreign recipients; and (E) such other basic financial services as the Postal Service determines appropriate in the public interest; (10) to set interest rates and fees for the financial instruments and products provided by the Postal Service that— (A) ensures that the customer access to the products and the public interest is given significant consideration