SB 54 - Consumer Credit Licenses Summary

• Expands mortgage broker licensing requirements to include restrictions on prepaid finance charges for first and secondary mortgage loans, matching existing restrictions on mortgage lenders and correspondent lenders.

• Removes the ten-year limitation on criminal history reporting requirements for license applicants across multiple consumer credit businesses (sales finance companies, small loan lenders, check cashers, money transmitters, debt adjusters, debt negotiators, and consumer collection agencies).

• Authorizes the commissioner to conduct state and national criminal history records checks under Section 29-17a for applicants and key personnel of licensed consumer credit businesses.

• Effective October 1, 2010, applies to all amended sections governing mortgage lending, small loans, check cashing, money transmission, debt adjustment, debt negotiation, and consumer collection agencies.