SB3133 - Regulatory Sandbox Act

• Creates a regulatory sandbox program allowing persons to temporarily test innovative financial products and services in Illinois without first obtaining a license from the Department of Financial and Professional Regulation.

• Requires a $500 application fee per innovation, with Department approval or denial within 90 days of application receipt; applicants must be in good standing and authorized to conduct business in Illinois.

• Permits approved innovators to test products with up to 5,000 Illinois resident consumers for an initial 12-month test period, with a one-time extension of up to 6 months available at Department discretion.

• Mandates clear consumer disclosures before transactions, including the innovation's temporary status, lack of state endorsement, expected test end date, and Department contact information for complaints.

• Deposits application fees into the Financial Institution Fund and grants the Department authority to inspect records, suspend, or revoke sandbox participation for non-compliance; takes effect January 1, 2019.