The licensing and regulation by the Department of Financial Institutions of consumer lenders, payday lenders, money transmitters, sales finance companies, collection agencies, mortgage bankers and mortgage brokers, adjustment service companies, community currency exchanges, and insurance premium finance companies; the Nationwide Multistate Licensing System and Registry; modifying and repealing rules promulgated by the Department of Financial Institutions; and granting rule-making authority. (FE)
Impact
This legislative amendment is significant as it modifies current administrative procedures, aiming to improve transparency and efficiency within the financial sector. By requiring these agencies to adopt standardized licensing protocols through the NMLSR, SB668 enhances consumer protection efforts, which may also streamline processes for financial entities wishing to operate across multiple states. Furthermore, it creates more stringent requirements for financial service providers regarding their operations, compliance, and reporting duties, which could reshape the landscape of financial services in Wisconsin.
Summary
Senate Bill 668 aims to reform and standardize the licensing and regulation processes for various financial services providers including licensed lenders, collection agencies, and money transmitters, under the oversight of the Department of Financial Institutions (DFI). By introducing a licensed financial services framework, the bill expands the scope of DFI's authority to encompass a variety of financial service providers regulated within the state. Notably, the bill mandates the use of the Nationwide Multistate Licensing System and Registry (NMLSR) for the licensing and regulation procedures, ensuring consistency and potentially enhancing compliance across state lines.
Contention
However, the bill does face criticism, particularly regarding its expanded regulatory measures and the implications for smaller financial service providers who might struggle with compliance burden. Critics argue that while consumer protection is crucial, the added requirements could hinder access to financial services for consumers, especially those using smaller, community-based services. As financial institutions adapt to these new standards, there remains concern about potential unintended consequences on service availability and overall market competition.
The licensing and regulation by the Department of Financial Institutions of consumer lenders, payday lenders, money transmitters, sales finance companies, collection agencies, mortgage bankers and mortgage brokers, adjustment service companies, community currency exchanges, and insurance premium finance companies; the Nationwide Multistate Licensing System and Registry; modifying and repealing rules promulgated by the Department of Financial Institutions; and granting rule-making authority. (FE)
Various changes to the unemployment insurance law, federal Reemployment Services and Eligibility Assessment grants, and granting rule-making authority. (FE)
Various changes to the unemployment insurance law, federal Reemployment Services and Eligibility Assessment grants, and granting rule-making authority. (FE)
Authorized activities and operations of credit unions; the lending area of savings and loan associations; automated teller machines; residential mortgage loans and variable rate loans; payments for public deposit losses in failed financial institutions; promissory notes of certain public bodies; repealing rules promulgated by the Department of Financial Institutions; providing an exemption from rule-making procedures; and providing a penalty. (FE)
Authorized activities and operations of credit unions; the lending area of savings and loan associations; automated teller machines; residential mortgage loans and variable rate loans; payments for public deposit losses in failed financial institutions; promissory notes of certain public bodies; repealing rules promulgated by the Department of Financial Institutions; providing an exemption from rule-making procedures; and providing a penalty. (FE)
The licensing and regulation by the Department of Financial Institutions of consumer lenders, payday lenders, money transmitters, sales finance companies, collection agencies, mortgage bankers and mortgage brokers, adjustment service companies, community currency exchanges, and insurance premium finance companies; the Nationwide Multistate Licensing System and Registry; modifying and repealing rules promulgated by the Department of Financial Institutions; and granting rule-making authority. (FE)
Enacting the Kansas money transmission act and the Kansas earned wage access services act, providing when applications under the state banking code are considered abandoned or expired, allowing an originating trustee to have such trustee's principal place of business outside of Kansas, authorizing any person to become a depositor or lessor of a safe deposit box, providing methods in which bank deposits may be withdrawn by a depositor and prohibiting banks from requiring a cosigner for an account of a child in the custody of the secretary for children and families, secretary of corrections or a federally recognized Indian tribe.
Requiring that adoption of new occupational licensing requirements and material changes to existing occupational licenses by a state agency be approved by joint resolution of the legislature unless otherwise ratified by the legislature by the enactment of a bill and providing for notice to agencies and the legislature and a procedure for legislative review of such occupational licensing requirements.