Connecticut Senate Bill SB00921

Connecticut 2015 Regular Session

• Introduced: 2/18/15
• Refer: 2/18/15

Caption

An Act Concerning Revisions To The Connecticut Truth-in-lending Act.

Impact

The revisions mandated by SB00921 will have direct implications for financial institutions operating in Connecticut. The act is intended to enhance consumer protections by enforcing stricter compliance with disclosure requirements, thereby reducing misleading or inaccurate information at the point of sale. Financial entities will need to re-evaluate their disclosure processes to align with the updated regulations, which may require retraining of staff and adjustments to existing procedures to avoid potential penalties.

Summary

SB00921, also known as the Act Concerning Revisions to the Connecticut Truth-in-Lending Act, aims to update and enhance the existing framework surrounding consumer credit regulations in Connecticut. It seeks to ensure that state law remains consistent with federal standards under the Truth-in-Lending Act, incorporating all required provisions while also making necessary technical and conforming changes to related statutes. The act proposes specific amendments to sections governing credit disclosure, penalties for non-compliance, and the roles of financial institutions in consumer protection.

Contention

Discussions around SB00921 highlighted various points of contention, especially concerning the proposed enforcement mechanisms and potential penalties for non-compliance. Critics raised concerns that the civil penalties stipulated in the act could be overly harsh, particularly for smaller institutions that may struggle with compliance due to resource constraints. Proponents, however, argue that robust penalties are essential to uphold consumer rights and ensure accountability within the lending industry. The balance between protecting consumers and not overburdening lenders remains a focal point of debate.