2025 Banking and Related Legislation
2025 Banking and Related Legislation
Each year, the Department of Banking (DOB) conducts an active legislative program coordinated by the Government Relations and Consumer Affairs Division. Below are highlights of the agency and related bills that passed.
Please note that the hyperlinks for the bills lead to the Connecticut General Assembly website. These links provide you with copies of the Public Acts.
Department of Banking Proposals
Public Act 25-37 - HB 7083, An Act Concerning Various Revisions to the Credit Union Statutes Relating to Nonmember Payments, Member Business Loans, Charitable Contributions, Extensions of Credit, Capital and Net Worth.
Effective Date: July 1, 2025
Public Act 25-66 - HB 7082, An Act Concerning Various Revisions to the Money Transmission Statutes, State Payments and Investments in Virtual Currency and Minors’ Money Sharing Application Accounts
Public Act 25-66 makes the following changes:
- Prohibits money transmitters from selling or transferring other people’s virtual currency without that person’s authorization or using a virtual currency control services vendors to store or hold custody of virtual currency unless they are qualified to do so;
- Extends existing disclosure and receipt requirements that apply to virtual currency kiosk owners and operators to all money transmitters that receive, transmit, store, or maintain custody or control of virtual currency;
- Prohibits state and its political subdivisions from accepting or requiring payment in the form of virtual currency, or purchasing, holding, investing in, or establishing a virtual currency reserve; and
- Prohibits any money transmitter, from allowing anyone to sponsor, open, or establish a money sharing application account for a minor unless a notarized statement from the person attesting that he or she is the minor’s parent or legal guardian is received.
Effective Date: October 1, 2025
Public Act 25-85 - HB 6875, An Act Concerning the Connecticut Uniform Securities Act
Public Act 25-85 makes the following changes:
- Expands Commissioner’s enforcement powers to enable the Commissioner to censure or bar a registrant, or any partner, officer, director or control person of a registrant based on grounds enumerated in Section 36b-15(a) of the Act and subject to the registrant’s right to request a hearing;
- Requires notice filing and fee requirements for offerings made pursuant to Tier 2 of federal Regulation A. Specifically, twenty-one calendar days before the initial sales of securities in Connecticut, affected issuers would file a Regulation A – Tier 2 notice fling form, a Consent to Service of Process and a $250 filing fee. Initial filings would be effective for twelve months following which they could be renewed; and
- Creates a state broker-dealer registration exemption for merger and acquisitions broker dealers who facilitate a change in control of private companies. The proposal substantially mirrors that adopted by Congress in December 2022 as part of the Consolidated Appropriations Act of 2023.
Effective Date: Upon Passage
Public Act 25-103 - SB 1255, An Act Concerning the Community Bank and Community Credit Union Investment Program Established by the State Treasurer
Public Act 24-146 redefines "community bank" and "community credit union" for purposes of the community bank and community credit union investment program established by the State Treasurer.
Effective Date: July 1, 2025
Public Act 25-104 - SB 1256, An Act Concerning the Organization, Administration and Receivership of Certain Financial Institutions
Public Act 25-104 does the following:
- increases the application fee to organize a Connecticut bank from $15,000 to $20,000;
- increases the amount of deposit assets that trust banks and innovation banks must keep from $1 million to $1.5 million;
- exempts innovation banks from some CRA ratings, because innovation banks do not accept retail deposits;
- decreases the period allotted for submitting written objections to a proposed name change of a Connecticut bank from 30 to 15 days of a capital stock; and
- requires receivers, when liquidating an innovation bank, to consider the innovation bank’s credit conditions instead of the credit conditions in the locality of the innovation bank.
Effective Date: July 1, 2025
Public Act 25-115 - SB 1257, An Act Consumer Credit and Commercial Financing
Public Act 25-115 makes the following changes:
- Requires all surety bond cancellations to be done electronically and removes bond rider provisions pertaining to office locations;
- Cleans up previous cosigner release requirements in Section 36a-850a;
- Creates statutory renewal timelines and authority to suspend, revoke, or refuse to renew registrations of exempt mortgage servicer registrants, exempt registrants, commercial financing brokers and providers, private education lenders, and private education loan creditors;
- Prohibits commercial financing contracts from containing a waiver of notice and hearing in connection with obtaining a prejudgment remedy at any time (Effective Date: July 1, 2025);
- Introduces several disclosures for mortgage lenders offering shared appreciation agreements; and
- Makes several technical changes.
Effective Date: October 1, 2025, unless specified
Other Legislation
Public Act 25-155 - SB 1396, An Act Concerning Earned But Unpaid Wage or Salary Income Advances
Public Act 25-155 makes the following changes:
- Defines ‘earned but unpaid wage or salary income’ and ‘earned but unpaid wage or salary income advance’;
- Exempts earned but unpaid wage or salary income advances from existing APR caps and limits the total finance charge to $4 per transaction fee cap or $30 monthly fee cap;
- Obligates earned wage access providers to give certain disclosures, verify earned but unpaid wage or salary income and offer ways to receive no-cost advances; and
- Prohibits earned wage access providers from taking certain actions, including, but not limited to, accepting repayment through credit card, pursuing unpaid amounts through lawsuits or collections, charging late fees or any other penalty.
Effective Date: October 1, 2025