Bill Summary: SB00849

• Effective October 1, 2021, amends Connecticut banking statutes to revise definitions and licensing requirements for mortgage lenders, mortgage brokers, mortgage loan originators, and related consumer credit entities.

• Adds new exemptions and clarifications for lead generators, loan processors, underwriters, and registered mortgage loan originators, including provisions for temporary authority to act as mortgage loan originators for newly hired employees.

• Establishes standardized "change of control" procedures requiring advance notice (at least 30 days) and commissioner approval when majority ownership or control of any licensed entity changes hands, with exceptions for certain director or officer changes.

• Introduces consistent requirements across multiple license types (mortgage servicers, money transmission, debt adjustment, consumer collection agencies) regarding name changes, address changes, and license non-transferability using the state regulatory system.

• Modifies net worth and financial requirements for consumer collection agency applicants, distinguishing between debt-buying-only businesses (requiring positive net worth) and other collection agencies (requiring $50,000 minimum tangible net worth).