HB 5490 — AN ACT CONCERNING CONSUMER CREDIT LICENSES.

T37T43 "CHFA loan".

T38T44 "Clerical or support duties".

T39T45 "Closely related activities".

T40T46 "Collective managing agency account".

T41T47 "Commercial vehicle".

T42T48 "Community bank".

Section 36a-70.36a-70, as amended by this act.

T43T49 "Community credit union".

T44T50 "Community development bank".

Section 36a-70.36a-70, as amended by this act.

T45T51 "Community reinvestment performance".

T46T52 "Connecticut holding company".

T47T53 "Consolidate".

T48T54 "Construction loan".

T49T55 "Consumer".

T50T56 "Consumer Credit Protection Act".

T51T57 "Consumer debtor" and "debtor".

Sections 36a-645 and 36a-800, T58 as amended by this act.

T52T59 "Consumer collection agency".

T53T60 "Consummation".

T54T61 "Control person".

Sections 36a-485, as amended by this act, 36a-535, T62 as amended by this act, 36a-580, as amended by this act, 36a-596, as T63 amended by this act, 36a-655, as amended by this act, 36a-671, as T64 amended by this act, and 36a-846, as amended by this act.

T55T65 "Controlling interest".

T56T66 "Conventional mortgage rate".

T57T67 "Corporate".

T58T68 "Credit".

T59T69 "Credit manager".

T60T70 "Creditor".

T61T71 "Credit clinic".

T62T72 "Credit rating agency".

T63T73 "Credit report".

T64T74 "Credit union service organization".

T65T75 "Credit union service organization services".

T66T76 "De novo branch".

T67T77 "Debt".

T68T78 "Debt adjustment".

T69T79 "Debt buying".

T70T80 "Debt mutual fund".

T71T81 "Debt negotiation".

T72T82 "Debt securities".

T73T83 "Debtor".

[Section] Sections 36a-655, as amended by this act, and T84 36a-671, as amended by this act.

T74T85 "Deliver".

T75T86 "Deposit".

T76T87 "Deposit account".

T77T88 "Deposit account charge".

T78T89 "Deposit account disclosures".

T79T90 "Deposit contract".

T80T91 "Deposit services".

T81T92 "Depositor".

T82T93 "Depository institution".

T83T94 "Derivative transaction".

T84T95 "Director".

T85T96 "Dwelling".

T86T97 "Earning period".

T87T98 "Electronic payment instrument".

T88T99 "Eligible collateral".

T89T100 "Eligible entity".

T90T101 "Employee".

T91T102 "Entity".

T92T103 "Equity mutual fund".

T93T104 "Equity security".

T94T105 "Executive officer".

T95T106 "Expedited Connecticut bank".

Section 36a-70.36a-70, as amended by this act.

T96T107 "Experience in the mortgage business".

Section 36a-488, as amended T108 by this act.

T97T109 "Federal banking agency".

T98T110 "Federal Credit Union Act".

T99T111 "Federal Home Mortgage Disclosure Act".

T100T112 "FHA loan".

T101T113 "Fiduciary".

T102T114 "Filing fee".

T103T115 "Finance charge".

T104T116 "Financial institution".

Sections 36a-41, 36a-44a, 36a-155, 36a-316, T117 36a-330, 36a-435b, 36a-736 and 36a-755.

T105T118 "Financial records".

T106T119 "First mortgage loan".

Sections 36a-485, as amended by this act, T120 36a-705 and 36a-725.

T107T121 "Foreclosure rescue services".

T108T122 "Foreign banking corporation".

T109T123 "Fully indexed rate".

T110T124 "General facility".

T111T125 "Global net payment entitlement".

T112T126 "Global net payment obligation".

T113T127 "Goods".

T114T128 "Graduated payment mortgage loan".

T115T129 "Guardian".

T116T130 "High cost home loan".

T117T131 "Holder".

T118T132 "Home improvement loan".

T119T133 "Home purchase loan".

T120T134 "Home state".

T121T135 "Housing finance agency".

T122T136 "Immediate family member".

Sections 36a-435b and 36a-485, as amended T137 by this act.

T123T138 "Independent contractor".

T124T139 "Individual".

T125T140 "Insider".

T126T141 "Installment loan contract".

Sections 36a-535, as amended by this act, T142 and 36a-770.

T127T143 "Insurance".

T128T144 "Insurance bank".

T129T145 "Insurance department".

T130T146 "Interest".

T131T147 "Interest rate".

T132T148 "Interim interest".

T133T149 "Investments".

T134T150 "Lender".

T135T151 "Lessor".

T136T152 "License".

T137T153 "Licensee".

Sections 36a-596, as amended by this act, 36a-607, as amended T154 by this act, and 36a-626.

T138T155 "Limited branch".

T139T156 "Limited facility".

T140T157 "Loan broker".

T141T158 "Loan processor or underwriter".

T142T159 "Loss".

T143T160 "Made in this state".

T144T161 "Main office".

T145T162 "Managing agent".

T146T163 "Manufactured home".

T147T164 "Member".

T148T165 "Member business loan".

T149T166 "Member in good standing".

T150T167 "Membership share".

T151T168 "Mobile branch".

T152T169 "Monetary value".

T153T170 "Money transmission".

T154T171 "Mortgage".

T155T172 "Mortgage broker".

Sections 36a-485, as amended by this act, T173 36a-705 and 36a-760.

T156T174 "Mortgage correspondent lender".

T157T175 "Mortgage insurance".

T158T176 "Mortgage lender".

Sections 36a-485, as amended by this act, T177 36a-705 and 36a-725.

T159T178 "Mortgage loan".

T160T179 "Mortgage loan originator".

T161T180 "Mortgage rate lock-in".

T162T181 "Mortgage servicer".

T163T182 "Mortgagee".

Sections 36a-671, as amended by this act, T183 and 36a-715, as amended by this act.

T164T184 "Mortgagor".

Sections 36a-671, as amended by this act, and T185 36a-715, as amended by this act.

T165T186 "Motor vehicle".

T166T187 "Multiple common bond membership".

T167T188 "Municipality".

T168T189 "Net outstanding member business loan balance".

T169T190 "Net worth".

T170T191 "Network".

T171T192 "Nonprime home loan".

T172T193 "Nonrefundable".

T173T194 "Nontraditional mortgage product".

Section 36a-489a, as amended by T195 this act.

T174T196 "Note account".

T175T197 "Office".

T176T198 "Officer".

T177T199 "Open-end line of credit".

T178T200 "Open-end loan".

T179T201 "Organization".

T180T202 "Out-of-state holding company".

T181T203 "Outstanding".

T182T204 "Passbook savings account".

T183T205 "Payment instrument".

T184T206 "Periodic statement".

T185T207 "Permissible investment".

T186T208 "Person".

T187T209 "Post".

T188T210 "Prepaid finance charge".

T189T211 "Prime quality".

T190T212 "Principal amount of the loan".

T191T213 "Processor".

T192T214 "Public deposit".

T193T215 "Purchaser".

T194T216 "Qualified financial contract".

T195T217 "Qualified public depository" and "depository".

T196T218 "Real estate".

T197T219 "Real estate brokerage activity".

T198T220 "Records".

T199T221 "Registered mortgage loan originator".

Section 36a-485, as amended by T222 this act.

T200T223 "Related person".

T201T224 "Relocate".

T202T225 "Residential mortgage loan".

T203T226 "Residential property".

T204T227 "Residential real estate".

T205T228 "Resulting entity".

T206T229 "Retail buyer".

T207T230 "Retail credit transaction".

T208T231 "Retail installment contract".

Sections 36a-535, as amended by this act, T232 and 36a-770.

T233 "Retail installment sale".

Sections 36a-535, as amended by this act, T234 and 36a-770.

T235 "Retail seller".

T209T236 "Retail"Reverse installmentannuity sale".mortgage loan".

Sections 36a-535, as amended by this act, and 36a-770.

T210 "Retail seller".

Sections 36a-535, as amended by this act, and 36a-770.

T211 "Reverse annuity mortgage loan".

T212T237 "Sales finance company".

Sections 36a-535, as amended by this act, T238 and 36a-770.

T213T239 "Savings department".

T214T240 "Savings deposit".

T215T241 "Secondary mortgage loan".

T216T242 "Security convertible into a voting security".

T217T243 "Senior management".

T218T244 "Servicing".

T219T245 "Settlement agent".

T220T246 "Share".

T221T247 "Short sale".

T222T248 "Simulated check".

T223T249 "Single common bond membership".

T224T250 "Special mortgage".

T225T251 "Social purpose investment".

T226T252 "Sponsored".

T227T253 "Standard mortgage loan".

T228T254 "Stored value".

T229T255 "Student education loan".

T230T256 "Student loan borrower".

T231T257 "Student loan servicer".

T232T258 "Table funding agreement".

T233T259 "Tax and loan account".

T234T260 "The Savings Bank Life Insurance Company".

T235T261 "Time account".

T236T262 "Travelers check".

T237T263 "Troubled Connecticut credit union".

T238T264 "Unique identifier".

T239T265 "Unsecured loan".

T240T266 "Value".

T241T267 "Virtual banking".

T242T268 "Warehouse agreement".

(c) (1) Any licensee may surrender any license issued by the commissioner under any provision of the general statutes by surrendering the license to the commissioner in person or by registered or certified mail, provided, in the case of a license issued through the system, as defined in section 36a-2, as amended by this act, such surrender shall be initiated by filing a request to surrender on the system.

(NEW) (Effective October 1, 2018) (a) The commissionerBanking Commissioner may order a licensee to remove any individual from office and from employment or retention as an independent contractor in a business subject to licensure by the commissioner whenever the commissioner finds as the result of an investigation:

or (2) any reason that would be sufficient grounds for the commissioner to deny a license for such business, by sending a notice to such individual by registered or certified mail, return receipt requested, or by any express delivery carrier that provides a dated delivery receipt, unless such individual is licensed by the commissioner, in which case the notice may be provided by personal delivery, as defined in section 4-166 of the general statutes, in accordance with subsection (c) of section 36a-56536a-52a of the general statutes.

The notice shall be deemed received by such individual on the earlier of the date of actual receipt or seven days after mailing or sending, and in the case of a notice sent by electronic mail, the notice shall be deemed received by the individual in accordance with subsection (c) of section 36a-56536a-52a of the general statutes.

(1) AIf a hearing has been scheduled, a statement of the time, place and nature of the hearing;

(2) a statement of the legal authority and jurisdiction under which the hearing is to be held or may be held;

and (5) if a hearing has not been scheduled, a statement indicating that such individual may file a written request for a hearing on the matters asserted not later than fourteen days after receipt of the notice.

If the commissioner finds that the protection of borrowers requires immediate action, the commissioner may suspend any such individual from office and require such person to take or refrain from taking such action as in the opinioncommissioner ofdeems thenecessary commissionerto will effectuate the purposes of this subsection, by incorporating a finding to that effect in such notice.

(c) If a hearing is requestedrequested, in accordance with subdivision (5) of subsection (b) of this section, within the time specified in the notice, the commissioner shall hold a hearing upon the matters asserted in the notice unless such individual fails to appear at the hearing.

SubdivisionSection (6) of subsection (c) of section 36a-65 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2018):

(a) (1) [The] Except as provided in subsection (e) of this section, the commissioner shall annually, on or after July first for the fiscal year commencing on said July first, collect pro rata based on asset size from each Connecticut bank and each Connecticut credit union an amount sufficient in the commissioner's judgment to meet the expenses of the Department of Banking, including a reasonable reserve for contingencies, provided the commissioner shall not collect such amount from a newly organized Connecticut credit union until July first following the third full calendar year after issuance by the commissioner of such credit union's certificate of authority.

Such assessments and expenses shall not exceed the budget estimates submitted in accordance with section 36a-13.

(2) In addition to any license, investigation or examination fee required under this title, the commissioner may levy assessments on persons licensed as money transmitters pursuant to sections 36a-595 to 36a-612, inclusive, as amended by this act, and persons licensed as student loan servicers pursuant to sections 36a-846 to 36a-854, inclusive, as amended by this act.

The commissioner shall annually, on or after July first for the fiscal year commencing on said July first, collect such additional amounts sufficient in the commissioner's judgment to meet the expenses of the Department of Banking, including a reasonable reserve for contingencies.

Such assessment shall be determined pro rata based on:

(A) For licensed money transmitters, dollar volume of money transmissions in this state, and (B) for licensed student loan servicers, dollar volume of student education loans, as defined in section 36a-846, as amended by this act, of student loan borrowers serviced.

Each such licensee shall pay the commissioner the amount allocated to it not later than the date specified by the commissioner for payment.

Failure by a licensee to timely make such payment shall constitute a violation of this section and a basis upon which the commissioner may take action against such licensee pursuant to section 36a-51, as amended by this act.

(3) Such assessments may be made more frequently than annually at the discretion of the commissioner.

Such assessments for any fiscal year shall be reduced pro rata by the amount of any surplus from the assessments of prior fiscal years, which surplus shall be maintained in accordance with subdivision (4) of subsection (b) of this section.

The commissioner may reduce any such assessment collected from a Connecticut bank up to the amount of any assessment for the same fiscal year collected from such bank by another state in which such bank has established a branch, limited branch or mobile branch.

The commissioner may reduce any such assessment collected from a Connecticut credit union up to the amount of any assessment for the same fiscal year collected from such credit union by another state in which such credit union has established a branch.

Such assessments for any fiscal year shall be a liability of such banks, credit unions and licensees as of the assessment date.

Except as provided in this subsection, such assessments shall not be prorated for any reason.

(b) (1) Each such bank and credit union shall pay the commissioner the amount allocated to it not later than the date specified by the commissioner for payment.

Any such bank or credit union shall pay the commissioner an additional two hundred dollars if such payment is not paid by the time specified.

The provisions of this subdivision shall not apply to any person required to pay the commissioner any fee for license or registration or the whole cost of all examinations made by the commissioner.

(2) Except as provided in section 36a-60, the State Treasurer shall place all funds received from the commissioner in a special fund to be known as the State Banking Fund.

Amounts in the fund may be expended only pursuant to appropriation by the General Assembly.

(3) The Comptroller shall determine for each fiscal year the expenses of the Department of Banking.

(4) The Secretary of the Office of Policy and Management shall examine the State Banking Fund annually after the Comptroller has made his determination and shall direct the Treasurer to set aside within the Banking Fund amounts in excess of a reasonable reserve for contingencies, which excess amounts shall be considered a surplus for the purposes of subsection (a) of this section.

(c) (1) The fee for an examination of a trust department of a Connecticut bank shall be the actual cost of the examination, as such cost is determined by the commissioner.

(2) The fee for an examination of a trust bank shall be the actual cost of the examination, as such cost is determined by the commissioner.

(3) The fee for an examination of a Connecticut credit union service organization is the actual cost of the examination, as such cost is determined by the commissioner.

(4) The fee for an examination of an out-of-state branch of a Connecticut bank or a branch in this state of an out-of-state bank shall be the actual cost of the examination, as such cost is determined by the commissioner, and the commissioner may share any such fee with other banking regulators in accordance with agreements entered into by the commissioner pursuant to subsection (j) of section 36a-145 and subdivision (5) of subsection (a) and subsection (b) of section 36a-412.

(5) The fee for an examination of an out-of-state branch of a Connecticut credit union or a branch in this state of an out-of-state credit union shall be the actual cost of the examination, as such cost is determined by the commissioner, and the commissioner may share any such fee with other state or federal credit union regulators in accordance with agreements entered into by the commissioner pursuant to subsection (f) of section 36a-462a and subsection (b) of section 36a-462b.

(d) (1) The fee for investigating and processing each application is as follows:

(A) Establishment of (i) a branch under subdivision (1) of subsection (b) of section 36a-145, two thousand dollars;

(ii) a mobile branch under subdivision (1) of subsection (d) of section 36a-145, one thousand five hundred dollars;

(iii) a limited branch under subdivision (1) of subsection (c) of section 36a-145, one thousand five hundred dollars;

(iv) a special need limited branch under subdivision (4) of subsection (c) of section 36a-145, five hundred dollars;

(v) an out-of-state branch under subsection (j) of section 36a-145, a reasonable fee not to exceed two thousand dollars from which any fees paid to a state other than this state or to a foreign country in connection with the establishment shall be deducted;

and (vi) an out-of-state limited branch or mobile branch under subsection (j) of section 36a-145, a reasonable fee not to exceed one thousand five hundred dollars from which any fees paid to a state other than this state or to a foreign country in connection with the establishment shall be deducted.

(B) Sale of (i) a branch under subsection (i) of section 36a-145, two thousand dollars, except there shall be no fee for the sale of a branch of a Connecticut bank to another Connecticut bank or to a Connecticut credit union;

and (ii) a limited branch, including a special need limited branch or mobile branch under subsection (i) of section 36a-145, a fee not to exceed one thousand five hundred dollars.

(C) Relocation of (i) a main office of a Connecticut bank under subsection (a) of section 36a-81, two thousand dollars;

and (ii) a branch or a limited branch under subsections (g) and (k) of section 36a-145, five hundred dollars.

(D) Conversions from (i) a branch to a limited branch under subdivision (3) of subsection (c) of section 36a-145;

and (ii) a limited branch to a branch under subdivision (3) of subsection (b) of section 36a-145, five hundred dollars.

(E) Merger or consolidation involving a Connecticut bank under section 36a-125 or subsection (a) of section 36a-126, two thousand five hundred dollars if two institutions are involved and five thousand dollars if three or more institutions are involved.

(F) Acquisition of assets or business under section 36a-210, two thousand five hundred dollars.

(G) Organization of a holding company under section 36a-181, two thousand five hundred dollars.

(H) Organization of any Connecticut bank under section 36a-70, as amended by this act, including the conditional preliminary approval for an expedited bank, fifteen thousand dollars, except no fee shall be required for the organization of an interim Connecticut bank.

(I) Reorganization of a mutual savings bank or mutual savings and loan association into a mutual holding company under section 36a-192, five thousand dollars.

(J) Conversions under (i) sections 36a-135 to 36a-138, inclusive, five thousand dollars;

(ii) sections 36a-139, 36a-139a and 36a-469c, two thousand five hundred dollars;

and (iii) section 36a-139b, fifteen thousand dollars.

(K) Acquiring, altering or improving real estate for present or future use in the business of the bank or purchasing real estate adjoining any parcel of real estate owned by the bank under subdivision (33) of subsection (a) of section 36a-250, five hundred dollars, except that no fee shall be charged for such application if it is filed in connection with an application to relocate a main office of a Connecticut bank under subsection (a) of section 36a-81 or establish (i) a branch in this state under subdivision (1) of subsection (b) of section 36a-145, (ii) a limited branch in this state under subdivision (1) of subsection (c) of section 36a-145, or (iii) a branch or limited branch outside of this state under subsection (j) of section 36a-145.

(L) Investigation and processing an interstate banking transaction application filed under section 36a-411 or 36a-412, two thousand five hundred dollars, unless the transaction otherwise requires an investigation and processing fee under this section.

(M) Issuance of a final certificate of authority for an expedited Connecticut bank, fifteen thousand dollars.

(N) Establishment of a loan production office under subsection (o) of section 36a-145 or subsection (d) of section 36a-412, one thousand dollars.

(2) The fee for investigating and processing each acquisition statement filed under section 36a-184 is two thousand five hundred dollars, except if the acquisition statement is filed in connection with a transaction that requires one or more applications, a reasonable fee not to exceed two thousand five hundred dollars.

(3) Any fee for processing a notice of closing of a branch, limited branch or special need limited branch under subdivision (1) of subsection (f) of section 36a-145, if charged, shall not exceed two thousand dollars.

There shall be no fee for processing a notice of closing of any mobile branch.

(4) The fee for a miscellaneous investigation shall be the actual cost of the investigation, as such cost is determined by the commissioner.

(e) (1) If the commissioner determines that the assessment to be collected from an uninsured bank or a trust bank pursuant to subdivision (1) of subsection (a) of this section is unreasonably low or high based on the size and risk profile of the bank, the commissioner may require such bank to pay a fee in lieu of such assessment.

Each such bank shall pay such fee to the commissioner not later than the date specified by the commissioner for payment.

If payment of such fee is not made by the time specified by the commissioner, such bank shall pay to the commissioner an additional two hundred dollars.

(2) Any uninsured bank required to pay a fee in lieu of assessment shall also pay to the commissioner the actual cost of the examination of such bank, as such cost is determined by the commissioner.

(a) No person shall engage in the business of making residential mortgage loans or act as a mortgage broker in this state unless such person has first obtained [the][the arequired] requireda license for its main office and for each branch office where such business is conducted in accordance with the provisions of sections 36a-485 to [36a-498f] 36a-498e, inclusive, as amended by this act, 36a-534a and 36a-534b, as amended by this act.

Any organization that demonstrates to the satisfaction of the commissioner its status as a bona fide nonprofit organization shall timely report any change in any information previously submitted to the commissioner and, not later than December thirty-first of each year, submit to the commissioner a renewed certification and documentation to update all information last filed in support of such bona fide nonprofit organization status [and timely report any change in any information previously submitted]submitted.] or such status shall expire, except that any organization that obtained initial bona fide nonprofit status from the commissioner after November first of a given year shall submit a renewal certification and documentation by December thirty-first of the following year.

No person granted a waiver of the requirements of subparagraph (B) of this subdivision shall conduct any activity at the main office or at any branch office that would have precluded issuance of such waiver without first designating a qualified individual or branch manager, as theapplicable, case may be, who meets all applicable requirements and is approved by the commissioner.

The specified office shall be within a one-hundred-mile distance from where thesuch licensee resides, unless thesuch licensee can otherwise demonstrate to the commissioner's satisfaction that the licensee will be subject to supervision by a qualified individual or branch manager.

After a license has been automatically suspended pursuant to this section, the commissioner shall (i) give such[such] the licensee notice of the automatic suspension, pending proceedings for revocation or refusal to renew pursuant to section 36a-494, as amended by this act, and an opportunity for a hearing on such action in accordance with section 36a-51, as amended by this act, and (ii) require such licensee to take or refrain from taking such action that,[that, in the opinion of the commissioner, willwill] as the commissioner deems necessary to effectuate the purposes of this section.

After a license has been automatically suspended pursuant to this section, the commissioner shall (i) give such[such] the licensee notice of the automatic suspension, pending proceedings for revocation or refusal to renew pursuant to section 36a-494, as amended by this act, and an opportunity for a hearing on such action in accordance with section 36a-51, as amended by this act, and (ii) require such licensee to take or refrain from taking such action that,[that, in the opinion of the commissioner, willwill] as the commissioner deems necessary to effectuate the purposes of this section.

After a license has been automatically suspended pursuant to this section, the commissioner shall (i) give such[such] the licensee notice of the automatic suspension, pending proceedings for revocation or refusal to renew pursuant to section 36a-494, as amended by this act, and an opportunity for a hearing on such action in accordance with section 36a-51, as amended by this act;

and (ii) require such licensee to take or refrain from taking such action that,[that, in the opinion of the commissioner, willwill] as the commissioner deems necessary to effectuate the purposes of this section.

Any change in any control person shall be the subject of an advance change notice filed on the system not later than sixty days prior to the effective date of such change and anyno such change shall not occur without the commissioner's approval.

No licensee shall use any name or address other than the name and address specified on the license issued by the commissioner.

After thea license has been automatically suspended pursuant to this subsection, the commissioner shall (A) providegive the licensee notice of suchthe automatic suspensionsuspension, pending proceedings for revocation of or refusal to renew the license pursuant to section 36a-494, as amended by this act, (B)and provide the licensee an opportunity for a hearing in accordance with section 36a-51, as amended by this act, and (C)(B) require the licensee to take or refrain from taking action that,as in the opinioncommissioner ofdeems the commissioner, is necessary to effectuate the purpose of this section.

(c) [The] Except as otherwise specified in subsection (b) of this section, each mortgage lender, mortgage correspondent lender, mortgage broker or lead generator applicant or licensee, and each individual designated as a control person, qualified individual or branch manager of such applicant or licensee, shall file on the system, or, if the information cannot be filed on the system, notify the commissioner, in writing, of any change in the information such applicant, licensee, control person, qualified individual or branch manager most recently submitted to the system in connection with the application or license withinnot later than fifteen days fromafter the date such applicant, licensee, control person, qualified individual or branch manager had reason to know of the change.

A mortgage lender, mortgage correspondent lender, mortgage broker or lead generator licensee shall [promptly] file with the system or, if the information cannot be filed on the system, [directly] notify the commissioner, in writing, of the occurrence of any of the following developments withinnot later than fifteen days ofafter the date thatsuch the licensee had reason to know of thesuch development:

(d) Each mortgage loan originator applicant or licensee and each loan processor or underwriter applicant or licensee shall [promptly] file with the system or, if the information cannot be filed on the system, [directly] notify the commissioner, in writing, of any change in the information most recently submitted in connection with the application or license [and] withinnot later than fifteen days ofafter the date such applicant or licensee had reason to know of the change.

Each mortgage loan originator licensee and each loan processor or underwriter licensee shall file with the system, or, if the information cannot be filed on the system, notify the commissioner, in writing, of the occurrence of any of the following developments withinnot later than fifteen days ofafter the date that such licensee had reason to know of the development:

The commissioner may proceed on such bond against the principal or surety thereon, or both, to collect any civil penalty imposed upon a licensee pursuant to subsection (a) of section 36a-50 and any unpaid costs of examination of a licensee as determined pursuant to section 36a-65, as amended by this act, and, on and effectiveafter April 1, 2019, any restitution imposed pursuant to subsection (c) of section 36a-50 and unpaid assessment as determined pursuant to section 36a-65, as amended by this act, as applicable.

After a mortgage lender, mortgage correspondent lender or mortgage broker license has been automatically suspended pursuant to this section, the commissioner shall (A) give such[such] the licensee notice of the automatic suspension, pending proceedings for revocation or refusal to renew pursuant to section 36a-494, as amended by this act, and an opportunity for a hearing on such action in accordance with section 36a-51, as amended by this act, and (B) require such licensee to take or refrain from taking such action as in[in the opinion ofof] the commissioner will[will] deems necessary to effectuate the purposes of this section.

(C) violated any of the provisions of this title or of any regulation or order adopted or issued pursuant thereto,thereto and[, and] pertaining to any such person, or any other law or regulation applicable to the conduct of its business;

(2) The commissioner may suspend, revoke or refuse to renew any mortgage loan originator license or any loan processor or underwriter license or take any other action, in accordance with the provisions of section 36a-51, as amended by this act, for any reason which would be sufficient grounds for the commissioner to deny an application for such license under sections 36a-485 to [36a-498f] 36a-498e, inclusive, as amended by this act, 36a-498h, 36a-534a and 36a-534b, as amended by this act, or if the commissioner finds that the licensee has committed any fraud, misappropriated funds, misrepresented, concealed, suppressed, intentionally omitted or otherwise intentionally failed to disclose any of the material particulars of any residential mortgage loan transaction or has violated any of the provisions of this title or of any [regulations] regulation or order adopted or issued pursuant [to such title] thereto,thereto and pertaining to any such person, or any other law or regulation applicable to the conduct of such licensee's business.

(a) (1) The unique identifier of any mortgage loan originator or loan processor or underwriter licensed under section 36a-489, as amended by this act, shall be clearly shown on all residential mortgage loan application forms.

[,] (2) The unique identifier of any mortgage lender, mortgage correspondent lender, mortgage broker or lead generator licensed under section 36a-489, as amended by this act, shall be clearly shown on all solicitations or advertisements, including business cards or web sites, and any other documents as established by rule, regulation or order of the commissioner and shall be clearly stated in all audio solicitations or advertisements.

(3) The unique identifier of a mortgage loan originator or loan processor or underwriter licensed under section 36a-489, as amended by this act, shall be clearly shown on all solicitations orand advertisements, including business cards orand web sites, and any other documents as established by rule, regulation or order of the commissioner, and shall be clearly stated in all audio solicitations orand advertisements when disseminated by:

(1)(A) A mortgage loan originator or loan processor or underwriter regarding such individual's own services, or (2)(B) the sponsor of such mortgage loan originator or loan processor or underwriter if such solicitation or advertisement identifies the services of a particular mortgage loan originator or loan processor or underwriter.

and (4) shall be retained for two years from the date of its use.

(10) Negligently make any false statement or knowingly and wilfully make any omission of material fact in connection with any information or reports filed with a governmental agency or the system, as defined in section 36a-2, as amended by this act, or in connection with any investigation conducted by the commissioner or another governmental agency;

[and] (4) "Control person" has the same meaning as provided in section 36a-485, [.] as amended by this act;

No person, unless excluded from the definition of a "sales finance company" as provided in section 36a-535, as amended by this act, shall (1) engage in the business of a sales finance company unless [licensed as provided in sections 36a-535 to 36a-546, inclusive] such person has obtained a required license for its main office and for each branch office where such business is conducted in accordance with the provisions of sections 36a-535 to 36a-547, inclusive, as amended by this act, and (2) conduct any activity that is subject to licensure pursuant to sections 36a-535 to 36a-547, inclusive, as amended by this act, at any office located outside of the United States.

The commissioner, in accordance with section 29-17a, may conduct a state and national criminal history records check of the applicant and of each partner, member, officer, director and principal employee of the applicant.] An application for a license as a sales finance company or for renewal of such license shall be made and processed on the system pursuant to section 36a-24b, in the form prescribed by the commissionercommissioner. on the system.

[, provided if such application is filed not earlier than one year before the date such license will expire, such person shall pay a license fee of four hundred dollars.] Each such license [issued pursuant to sections 36a-535 to 36a-546, inclusive,] shall expire at the close of business on [September thirtieth of the odd-numbered year following its issuance] December thirty-first of the year in which the license was approved, unless such license is renewed, and[provided] providedexcept that any such license that[that is [renewedrenewed effective July 1, 2003,] approved on or after November first shall expire [on September 30, 2005.

An application for renewal of a license shall be filed between November first and December thirty-first of the year in which thesuch license expires.

After thea license has been automatically suspended pursuant to this subsection, the commissioner shall (1) give suchthe licensee notice of the automatic suspension pending proceedings for revocation or refusal to renew pursuant to section 36a-543, as amended by this act, and an opportunity for a hearing on such action in accordance with section 36a-51, as amended by this act, and (2) require such licensee to take or refrain from taking such action that,as in the opinioncommissioner ofdeems thenecessary commissioner,to will effectuate the purposes of this section.

No licensee shall use any name other than the name specified on the license issued by the commissioner.] Any change in any control person of the licensee shall be the subject of an advance change notice filed on the system not later than sixty days prior to the effective date of such change and anyno such change shall not occur without the commissioner's approval.

No licensee shall use any name or address other than the name and address specified on the license issued by the commissioner.

After the license has been automatically suspended pursuant to this subsection, the commissioner shall (1) providegive the licensee notice of suchthe automatic suspensionsuspension, pending proceedings for revocation of or refusal to renew the license pursuant to section 36a-543, as amended by this act, (2)and provide the licensee an opportunity for a hearing in accordance with section 36a-51, as amended by this act, and (3)(2) require the licensee to take or refrain from taking action that,as in the opinioncommissioner ofdeems the commissioner, is necessary to effectuate the purpose of this section.

(d) Not later than fifteen days after the date a licensee ceases to engage in this state in the business of a sales finance company for any reason, including a business decision to terminate operations in this state, license revocation, bankruptcy or voluntary dissolution, such licensee shall surrender to the commissionercommissioner, [in person or by registered or certified mail] in accordance with subsection (c) of section 36a-51, as amended by this act, its license for each location in which such licensee has ceased to engage in such business.

(b) A sales finance company licensee shall file on the system or, if the information cannot be filed on the system, notify the commissioner, in writing, of the occurrence of any of the following developments withinnot later than fifteen days ofafter the date the licensee had reason to know of the occurrence of any such development:

or (5) Receiving of notification of the filing for bankruptcy of any control person, branch manager or qualified individual of the licensee.

(d) The unique identifier of any person licensed under section 36a-541, as amended by this act, shall be clearly shown on all solicitations orand advertisements, including business cards orand web sites, and any other documents as established by rule, regulation or order of the commissioner, and shall be clearly stated in all audio solicitations orand advertisements.

(1) Shall not include any statement that such person is endorsed in any way by this state, except that such solicitations orand advertisements may include a statement that such person is licensed in this state;

(3) shall otherwise conform to the requirements of sections 36a-535 to 36a-541,36a-547, inclusive, as amended by this act, any regulations issued thereunder and any other applicable law;

(1) Knowingly or without the exercise of due care to prevent such violation, has violated any provision of [sections 36a-535 to 36a-546, inclusive, or of any other law regulating] this title, or of any regulation or order adopted or issued pursuant thereto,thereto and pertaining to any such person, or any other law or regulation applicable to the conduct of such licensee's installment sales financing [, or has] business;

(d) Whenever it appears to the commissioner that (1) any person has violated, is violating or is about to violate any provision within the jurisdiction of the commissioner of sections 36a-535 to [36a-546] 36a-547, inclusive, as amended by this act, within the jurisdiction of the commissioner or any regulation adopted under said sections, [or that any] (2) any person is, was or would be a cause of the violation of any such provision or regulation due to an act or omission such person knew or should have known would contribute to such violation;

(e) The commissionercommissioner, in accordance with section 5 of this act, may order a licensee to remove any individual conducting business under sections 36a-535 to 36a-547, inclusive, as amended by this act, from office and from employment or retention as an independent contractor in the sales finance business in this statestate. in accordance with section 5 of this act.

Notwithstanding the foregoing, no person licensed or required to be licensed under section 36a-556 shall engage in any of the activities described in subsection (a) of section 36a-556 for any small loan that has a disclosed APR in excess of thirty-six per cent if that small loan contains any condition or provision inconsistent with the requirements of subsections (d) to (g), inclusive, of section 36a-558.36a-558, as amended by this act.

After the license has been automatically suspended pursuant to this subsection, the commissioner shall (1) give such[such] the licensee notice of the automatic suspension pending proceedings for revocation or refusal to renew pursuant to section 36a-570, as amended by this act, and an opportunity for a hearing on such action in accordance with section 36a-51, as amended by this act, and (2) require such licensee to take or refrain from taking such action that,[that, in the opinion of the commissioner, willwill] as the commissioner deems necessary to effectuate the purposes of this section.

Not later than fifteen days after the date a licensee ceases to engage in this state in the business of a small loan lender for any reason, including a business decision to terminate operations in this state, license revocation, bankruptcy or voluntary dissolution, such licensee shall request surrender of the license on the system for each location in which such licensee has ceased to engage in such business.

Any [proposed] change in [the] any control [persons] person shall be the subject of an advance change notice filed on the system at least thirty days prior to the effective date of such change and any[any] no such change [to the control persons] shall not[not] occur without the commissioner's approval.

Any proposed change in a licensee's name or to the licensee's place of business shall be the subject of an advance change notice filed on the system at least thirty days prior to the effective date of such change and any[any] no such change to the licensee's name or place of business shall not[not] be made without the commissioner's approval of such change.

(c) The commissioner may automatically suspend any license for a violation of this section or upon a failure of the licensee to designate a qualified individual or branch manager who meets the requirements set forth in section 36a-562, as amended by this act, withinnot thirty-dayslater ofthan thethirty-days dateafter such position becomes vacant.

After thea license has been automatically suspended pursuant to this subsection, the commissioner shall (1) providegive the licensee notice of suchthe automatic suspensionsuspension, pending proceedings for revocation of or refusal to renew the license pursuant to section 36a-570, as amended by this act, (2)and provide the licensee an opportunity for a hearing in accordance with section 36a-51, as amended by this act, and (3)(2) require the licensee to take or refrain from taking action that,as in the opinioncommissioner ofdeems the commissioner, is necessary to effectuate the purpose of this section.

(a) [A] Except as otherwise specified in section 36a-566, as amended by this act, each small loan license applicant or licensee, and each control person, qualified individual and branch manager of the applicant or licensee shall file any change in the information most recently submitted to the system by such licensee, control person, qualified individual or branch manager in connection with the application or license, [with the system] or, if the information cannot be filed on the system, [directly] notify the commissioner, in writing, of such change in the information not later than fifteen days after the date the applicant, licensee, control person, qualified individual or branch manager has reason to know of such change.

(3) violated any of the provisions of this title [, any regulations] or any regulation or order adopted or issued pursuant thereto,thereto and pertaining to any such personperson, or any other law or regulation applicable to the conduct of [its] such licensee's small loan business;

(a) Except as provided for in section 36a-580, as amended by this act, no person shall engage in the business of cashing checks, drafts or money orders for consideration without obtaining a required general facility license [to operate a general facility or a license to operate a limited facility] for its main office and a general or limited facility license for each branch office location where such business is to be conducted.

The commissioner, in accordance with section 29-17a, may conduct a state and national criminal history records check of the applicant and of each member, officer, director, authorized agent and shareholder owning ten per cent or more of the outstanding stock of the applicant] at minimum, furnish to the system information concerning the identity of the applicant, any control person of the applicant, the qualified individual and any branch manager responsible for the actions of the licensee, including, but not limited to, information related to such person's personal history and experience, and any administrative, civil or criminal findings by any governmental jurisdiction.jurisdiction relating to such person.

As part of an application, the commissioner may (A) in accordance with section 29-17a, conduct a state or national criminal history records check of the applicant, any control person of the applicant, the qualified individual and any branch manager, and (B) in accordance with section 36a-24b, (i) require the submission of fingerprints of the applicant, any control person of the applicant, the qualified individual and any branch manager to the Federal Bureau of Investigation or other state, national or international criminal databases, and (ii) investigate the financial condition of anyeach such person and require authorization of anyeach such person for the system and the commissioner to obtain an independent credit report from a consumer reporting agency, as described in Section 603(p) of the Fair Credit Reporting Act, 15 USC 1681a, as amended from time to time.

(f) [An applicant or licensee shall promptly notify the commissioner, in writing, of any change in the information provided in its initial or renewal application for licensure or most recent renewal of such license.] Except as otherwise specified in subdivision (1) of subsection (a) of section 36a-583, as amended by this act, and subdivision (1) of subsection (d) of section 36a-581, as amended by this act,section, each check cashing applicant or licensee and each individual designated as a control person, qualified individual or branch manager of such applicant or licensee shall file toon the system any change in the information such licensee, applicant, control person, qualified individual or branch manager most recently submitted to the system in connection with the application or license, or, if the information cannot be filed on the system, notify the commissioner, in writing, withinnot later than fifteen days ofafter the date such applicant, licensee, control person, qualified individual or branch manager had reason to know of the change.

A check cashing licensee shall file with the system or, if the information cannot be filed on the system, notify the commissioner, in writing, of the occurrence of any of the following developments withinnot later than fifteen days ofafter the date the licensee had reason to know of the development:

Each licensee shall file with the commissioner, not later than September first of each even-numbered year, the information required by subdivision (8) of subsection (c) of section 36a-581.] December thirty-first of the year in which the license is approved, unless such license is renewed, andexcept providedthat any such license approved on or after November first shall expire at the close of business on December thirty-first of the year following the year in which it is approved.

After thea license has been automatically suspended pursuant to this subsection, the commissioner shall (1) give the licensee notice of such automatic suspension pending proceedings for revocation of or refusal to renew the license pursuant to section 36a-587, as amended by this act, and an opportunity for a hearing in accordance with section 36a-51, as amended by this act, and (2) require the licensee to take or refrain from taking action that,as in the opinioncommissioner ofdeems the commissioner, is necessary to effectuate the purpose of this section.

A change in any control person shall be the subject of an advance change notice filed on the system at least sixty days prior to the effective date of such change and anyno such change shall not occur without the commissioner's approval.

After thea license has been automatically suspended pursuant to this subsection, the commissioner shall (A) providegive the licensee notice of suchthe automatic suspensionsuspension, pending proceedings for revocation of or refusal to renew the license pursuant to section 36a-587, as amended by this act, (B)and provide the licensee an opportunity for a hearing in accordance with section 36a-51, as amended by this act, and (C)(B) require the licensee to take or refrain from taking action that,as in the opinioncommissioner ofdeems the commissioner, is necessary to effectuate the purpose of this section.

(b) Not later than fifteen days after the date a licensee ceases to engage in this state in the business of cashing checks, drafts or money orders for consideration at a general facility or limited facility for any reason, including, but not limited to, a business decision to terminate operations in this state, license revocation, bankruptcy or voluntary dissolution, such licensee shall surrendersurrender, [to the commissioner in person or by registered or certified mail] in accordance with subsection (c) of section 36a-51, as amended by this act, its license for each location in which such licensee has ceased to engage in such business.

(c) Not later than January 15, [2006] 2019, and quarterly thereafter, each check cashing licensee shall submit a report to the commissioner that specifies the number and type of checks cashed by such licensee [and the number of checks cashed] that exceed [two] six thousand [five hundred] dollars during the previous calendar quarter, unless no such activity occurred in the previous quarter, in which case,case the licensee shall file a written statement to that effect.

Each check cashing licensee shall, to the extent required by the system, timely submit to the system accurate reports of condition that shall be in such form and shall contain such information as the system may require.

(b) Before a check cashing licensee deposits with any financial institution a check, draft or money order cashed by such licensee, the item shall be endorsed with the actual name under which the licensee is doing business and must[must] have the words "licensed check cashing service" legibly written or stamped immediately after or below such name.

(e) The unique identifier of any person licensed under section 36a-581, as amended by this act, shall be clearly shown on all solicitations orand advertisements, including business cards orand web sites, and any other documents as established by rule, regulation or order of the commissioner, and shall be clearly stated in all audio solicitations orand advertisements.

(1) Shall not include any statement that such person is endorsed in any way by this state, except that such solicitations orand advertisements may include a statement that such person is licensed in this state;

(3) shall otherwise conform to the requirements of sectionsections 36a-580 to 36a-589, inclusive, as amended by this act, any regulations issued thereunder and any other applicable law;

(3) violated any [provision of sections 36a-580 to 36a-589, inclusive,] ofprovision the provisions of this title or any regulation [promulgated under said sections] or order adopted or issued pursuant thereto,thereto and pertaining to such personperson, or any other law or regulation applicable to the conduct of such licensee's check cashing business;

(b) Whenever it appears to the commissioner that (1) any person has violated, is violating or is about to violate any of the provisions of sections 36a-580 to 36a-589, inclusive, as amended by this act, or any regulation adopted pursuant to said sections, or[or] (2) any person is, was or would be a cause of the violation of any such provision or regulation due to an act or omission such person knew or should have known would contribute to such violation;

(c) The commissioner may order a licensee to remove any individual conducting business under sections 36a-580 to 36a-589, inclusive, as amended by this act, from office and from employment or retention as an independent contractor in the salescheck financecashing business in this state in accordance with section 5 of this act.

(B) time deposits, as defined in section 36a-2, as amended by this act, or other debt instruments of a bank;

(a) No person shall engage in the business of money transmission in this state, or advertise or solicit such services, without a required main office license issued by the commissioner as provided in sections 36a-595 to 36a-612, inclusive, as amended by this act, except as an authorized delegate of a person that has been issued a license by the commissioner and in accordance with section 36a-607, as amended by this act.

The application shall include:]include: [(1) The exact name of the applicant and, if incorporated, the date of incorporation and the state where incorporated;

(1) The exact name of the applicant and, if incorporated, the date of incorporation and the state where incorporated;

or the members, if the applicant is a limited liability company;] and processed on the system pursuant to section 36a-24b, in the form prescribed by the commissionercommissioner. on the system.

[(6)][(6) (1)(A)] (A)(1) A copy of the applicant's audited financial statements for the most recent fiscal year.

(c) [An] Except as otherwise specified in subsections (d) and (e) of this section, each applicant, [or] licensee, control person and qualified individual shall [notify the commissioner, in writing, of] file with the system any change in the information [provided in the application for license or most recent renewal of such license] most recently submitted to the system by such licensee, control person or qualified individual in connection with the application or license, or, if the information cannot be filed on the system, notify the commissioner, in writing, of such change in the information not later than fifteen days after the date the applicant, [or] licensee, control person or qualified individual has reason to know of such change.

Any change in any control person shall be the subject of an advance change notice filed on the system notat laterleast than sixty days prior to the effective date of such change and anyno such change shall not occur without the commissioner's approval.

No licensee shall use any name or address other than the name and address specified on the license issued by the commissioner.

After thea license has been automatically suspended pursuant to this subsection, the commissioner shall (A) providegive the licensee notice of suchthe automatic suspensionsuspension, pending proceedings for revocation of or refusal to renew the license pursuant to section 36a-608, as amended by this act, (B)and provide the licensee an opportunity for a hearing in accordance with section 36a-51, as amended by this act, and (C)(B) require the licensee to take or refrain from taking action that,as in the opinioncommissioner ofdeems the commissioner, is necessary to effectuate the purpose of this section.

Each such license shall expire at the close of business on December thirty-first of the year in which the license was approved, unless such license is renewed, andexcept providedthat any such license approved on or after November first shall expire at the close of business on December thirty-first of the year following the year in which it is approved.

(b) [A license issued pursuant to sections 36a-595 to 36a-612, inclusive, shall expire at the close of business on September thirtieth of the odd-numbered year following its issuance, unless renewed or earlier surrendered, suspended or revoked pursuant to said sections.] Not later than fifteen days after the date a licensee ceases to engage in the business of money transmission in this state for any reason, including a business decision to terminate operations in this state, license revocation, bankruptcy or voluntary dissolution, such licensee shall [provide written notice of surrender and] request surrender [to the commissioner its] of the license in accordance with subsection (c) of section 36a-51, as amended by this act, for each location [in which] where such licensee has ceased to engage in such business.

The [written notice of surrender] licensee shall also identifyidentify, in writingwriting, to the commissioner the location where the records of the licensee will be stored and the name, address and telephone number of an individual authorized to provide access to the records.

(3) [(A) If the applicant is an individual, such individual is in all respects properly qualified and of good character, (B) if the applicant is a partnership, each partner is in all respects properly qualified and of good character, (C) if the applicant is a corporation or association, each president, chairperson of the executive committee, senior officer responsible for the corporation's business, chief financial officer or any other person who performs similar functions as determined by the commissioner, director, trustee and each shareholder owning ten per cent or more of each class of the securities of such corporation is in all respects properly qualified and of good character, or (D) if the applicant is a limited liability company, each member is in all respects properly qualified and of good character] The applicant's control persons and qualified individual are in all respects properly qualified and of good character by,as demonstrated by a showing of qualities, including, but not limited to, demonstrating financial responsibility;

After thea license has been automatically suspended pursuant to this subsection, the commissioner shall (1) give the licensee notice of the automatic suspension pending proceedings for revocation or refusal to renew pursuant to section 36a-608, as amended by this act, and an opportunity for a hearing on such action in accordance with section 36a-51, as amended by this act, and (2) require the licensee to take or refrain from taking such action that,as in the opinioncommissioner ofdeems thenecessary commissioner,to will effectuate the purposes of this section.

[Such] If the bond is issued electronically on the system, such written notice of cancellation may be provided by the surety company to the licensee and the commissioner through the system at least thirty days prior to the date of cancellation.

After a license has been automatically suspended, the commissioner shall (A) give the licensee notice of the automatic suspension pending proceedings for revocation or refusal to renew such license and an opportunity for a hearing on such actions in accordance with section 36a-51, as amended by this act, and (B) require the licensee to take or refrain from taking such action as in[in the opinion ofof] the commissioner will[will] deems necessary to effectuate the purposes of this section.

(a)[(a) [OnOn or before the thirtieth day of April each year, each licensee shall file with the commissioner:commissioner:] [(1) (A)] (a) Any person making any filing or submission of any information on the system shall do so in accordance with the procedures and requirements of the system and pay the applicable fees or charges to the system.

(1) (A)] Any person making any filing or submission of any information on the system shall do so in accordance with the procedures and requirements of the system and pay the applicable fees or charges to the system.

Any such reportsreport shall be timely and accurately filed on the system in accordance with the due dates and formats required by the system.

[, (B) if] If the licensee is a wholly-owned subsidiary of another corporation, [(i)] it shall file (i)(A) the most recent audited consolidated annual financial statements of the parent corporation or the licensee's most recent audited consolidated annual financial statement, and (ii)[(ii)] (B) the most recent audited unconsolidated financial statement of the licensee, including its balance sheet and receipts and disbursements for the preceding year.

[, and (D) if a] If the licensee or parent company of a wholly-owned subsidiary licensee is publicly traded on a foreign exchange, it shall file a copy of documentation similar to the 10-K report filed[filed [pursuantpursuant to subparagraph (C) of this subdivision] that was filed with the applicable securities regulator;

(b) The commissioner may suspend, [or] revoke or refuse to renew a license or take any other action, in accordance with section 36a-51, as amended by this act, (1) on any ground on which the commissioner might [refuse to issue] deny an initial license, (2) for any violation [of sections 36a-595 to 36a-612, inclusive,] by the licenseelicensee, or by the licensee's control persons, qualified individual, trustee, employee or agent, including, but not limited to, the licensee's authorized delegatesdelegates, of theany provision of this title or of any regulation or order adopted [under said sections, for noncompliance with an order that the commissioner may issue under said sections to a licensee,] or issued pursuant thereto,thereto and pertaining to any such personperson, or any other law or regulation applicable to the conduct of such licensee's money transmission business, (3) for failure of the licensee to pay a judgment ordered by any court within or outside this state within thirty days after the judgment becomes final or within thirty days after expiration or termination of a stay of execution of the judgment, (4) for engaging in fraud, intentional misrepresentation or gross negligence, or (5) for engaging in an unsafe or unsound practice.

(5) the competence, experience, character or general fitness of the authorized delegate or [a manager, partner, director, trustee, principal officer, member or shareholder owning ten per cent or more of each class of the authorized delegate's securities] any control personsperson of the authorized delegate demonstrates that it would not be in the public interest to permit such authorized delegate to engage in the business of money transmission in this state on behalf of a licensee;

(a) Each licensee [, as defined in section 36a-596,] shall maintain and prepare such records as will enable the [Banking Commissioner] commissioner to determine whether the licensee and any of its authorized delegates are complying with the provisions of sections 36a-595 to [36a-609] 36a-612, inclusive, [this section, and section 36a-612] as amended by this act, [this section, and section 36a-612] at the office named in the license, or, if requested by the commissioner, shall make such records available at such office or send such records to the commissioner by registered or certified mail, return receipt requested, or by any express delivery carrier that provides a dated delivery receipt, not later than five business days after such request by the commissioner.

(c) The unique identifier of any person licensed under section 36a-600, as amended by this act, shall be clearly shown on all solicitations orand advertisements, including business cards orand web sites, and any other documents as established by rule, regulation or order of the commissioner, and shall be clearly stated in all audio solicitations orand advertisements.

The solicitations or advertisements of any person licensed under section 36a-600, as amended by this act, (1) shall not include any statement that such person is endorsed in any way by this state, except that such solicitations orand advertisements may include a statement that such person is licensed in this state;

A licensee [, as defined in section 36a-596,] shall notify the [Banking Commissioner in writing] commissioner on the system not later than fifteen days after the date of any change in the list of the licensee's authorized delegates or locations where the licensee or the licensee's authorized delegates engage in the business of money transmission in this state.

Each applicant for a license and each licensee shall notify the commissioner of any change in the applicant's business from that stated in the application for the license] unless such person has first obtained a required license for the main office and for each branch office where such business is conducted in accordance with the provisions of sections 36a-655 to 36a-665, inclusive, as amended by this act.

The commissioner, in accordance with section 29-17a, may conduct a state and national criminal history records check of the applicant and of each partner, member, officer, director and principal employee of the applicant.] processed on the system pursuant to section 36a-24b, in the form prescribed by the commissionercommissioner. on the system.

[(1)] (A) The financial responsibility, character, reputation, integrity and general fitness of the applicant [and of the partners thereof if the applicant is a partnership, of the members if the applicant is a limited liability company or association, and of the officers, directors and principal employees if the applicant is a corporation,] and any control person, qualified individual and branch manager of the applicant are such as to warrant belief that the business will be operated soundly and efficiently, in the public interest and consistent with the purposes of sections 36a-655 to 36a-665, inclusive, [;and (2)] as amended by this act, (B)[; the applicant is solvent and no proceeding in bankruptcy, receivership or assignment for the benefit of creditors has been commenced against the applicant, (C) the applicant has the bond required pursuant to section 36a-664, as amended by this act, the commissioner may thereupon issue the applicant a debt adjuster license.

and (2)] (B) the applicant is solvent and no proceeding in bankruptcy, receivership or assignment for the benefit of creditors has been commenced against the applicant, (C) the applicant has the bond required pursuant to section 36a-664, as amended by this act, the commissioner may thereupon issue the applicant a debt adjuster license.

After thea license has been automatically suspended pursuant to this subsection, the commissioner shall (1) give the licensee notice of the automatic suspension pending proceedings for revocation or refusal to renew pursuant to section 36a-657, as amended by this act, and an opportunity for a hearing on such action in accordance with section 36a-51, as amended by this act, and (2) require such licensee to take or refrain from taking such action that,as in the opinioncommissioner ofdeems thenecessary commissioner,to will effectuate the purposes of this section.

(h) Every debt adjuster license shall remain in force and effect until the license has been surrendered, revoked or suspended or has expired in accordance with the provisions of sections 36a-55536a-655 to 36a-665, inclusive, as amended by this act.

Not later than fifteen days after the date a licensee ceases to engage in the business of a debt adjuster in this state for any reason, including a business decision to terminate operations in this state, license revocation, bankruptcy or voluntary dissolution, such licensee shall surrender to the commissioner its license for each location in which such licensee has ceased to engage in such business in accordance with subsection (c) of section 36a-51, as amended by this act.

(3) violated any of the provisions of [sections 36a-655 to 36a-665, inclusive, or any other law or regulation] this title or of any regulation or order adopted or issued pursuant thereto,thereto and pertaining to any such person or any other law or regulation applicable to the conduct of [its] such licensee's debt adjustment business;

(c) The commissioner may order a licensee to remove any individual conducting business under sections 36a-55536a-655 to 36a-565,36a-665, inclusive, as amended by this act, from office and from employment or retention as an independent contractor in the debt adjuster business in this state in accordance with section 5 of this act.

[, provided any change of location of a licensee shall require only prior written notice to the commissioner.] Any change in any control person shall be the subject of an advance change notice filed on the system at least sixty days prior to the effective date of such change and anyno such change shall not occur without the commissioner's approval.

After thea license has been automatically suspended pursuant to this subsection, the commissioner shall (1) give the licensee notice of such automatic suspension pending proceedings for revocation of or refusal to renew the license pursuant to section 36a-567,36a-657, as amended by this act, and an opportunity for a hearing in accordance with section 36a-51, as amended by this act, and (2) require the licensee to take or refrain from taking action that,as in the opinioncommissioner ofdeems the commissioner, is necessary to effectuate the purpose of this section.

(d) Not later than fifteen days after the date a licensee ceases to engage in this state in the business of debt adjustment for any reason, including a business decision to terminate operations in this state, license revocation, bankruptcy or voluntary dissolution, such licensee shall surrender to the commissioner [in person or by registered or certified mail] its license for each location in which such licensee has ceased to engage in such business in accordance with subsection (c) of section 36a-51, as amended by this act.

(e) Except as otherwise specified in subsections (a) and (b) of this section, each debt adjuster applicant or licensee, and each control person, qualified individual or branch manager of such applicant or licensee shall file on the system or, if the information cannot be filed on the system, notify the commissioner, in writing, of any change in the information such applicant, licensee, control person, qualified individual or branch manager most recently submitted to the system in connection with the application or license withinnot later than fifteen days fromafter the date such applicant, licensee, control person, qualified individual or branch manager had reason to know of the change.

(f) A debt adjuster licensee shall file on the system or, if the information cannot be filed on the system, notify the commissioner, in writing, of the occurrence of any of the following developments withinnot later than fifteen days ofafter the date the licensee had reason to know of the occurrence of any of the following developments:

(h) The unique identifier of any person licensed under section 36a-656, as amended by this act, shall be clearly shown on all solicitations orand advertisements, including business cards orand web sites, and any other documents as established by rule, regulation or order of the commissioner, and shall be clearly stated in all audio solicitations orand advertisements.

The solicitations or advertisements of any person licensed under section 36a-541,36a-656, as amended by this act:

(1) Shall not include any statement that such person is endorsed in any way by this state, except that such solicitations orand advertisements may include a statement that such person is licensed in this state;

[Each] To the extent not captured on a required report of condition on the system, each licensee shall submit to the commissioner, by September first of each year, in a form and manner as may be prescribed by the commissioner, a report containing information on the average daily balance of the payments received by the licensee from Connecticut debtors during the preceding twelve months ending [July thirty-first] June thirtieth of each such year.

The commissioner may proceed on any such surety bond against the principal or surety thereon, or both, to collect any civil penalty imposed upon the licensee pursuant to subsection (a) of section 36a-50,36a-50. and effective April 1, 2019, any restitution imposed pursuant to subsection (c) of section 36a-50, and any unpaid costs of examination and unpaid assessment as determined pursuant to section 36a-65, as amended by this act, as applicable.

On and after April 1, 2019, the commissioner may also proceed on any restitution imposed pursuant to subsection (c) of section 36a-50, and any unpaid costs of examination and unpaid assessment as determined pursuant to section 36a-65, as amended by this act, as applicable.

After a license has been automatically suspended, the commissioner shall (1) give the licensee notice of the automatic suspension pending proceedings for revocation or refusal to renew and an opportunity for a hearing on such actions in accordance with section 36a-51, as amended by this act, and (2) require the licensee to take or refrain from taking such action as in[in the opinion ofof] the commissioner will[will] deems necessary to effectuate the purposes of this section.

Each applicant for a license and each licensee shall notify the commissioner of any change in the applicant's business from that stated in the application for the license] unless such person has first obtained a required license for its main office and for each branch office where such business is conducted in accordance with the provisions of sections 36a-671 to 36a-671f, inclusive, as amended by this act.

The commissioner, in accordance with section 29-17a, may conduct a state and national criminal history records check of the applicant and of each partner, member, officer, director and principal employee of the applicant] made and processed on the system pursuant to section 36a-24b, in the form prescribed by the commissionercommissioner. on the system.

Each such license shall expire at the close of business on December thirty-first of the year in which the license was approved, unless such license is renewed, andexcept providedthat any such license approved on or after November first shall expire at the close of business on December thirty-first of the year following the year in which it is approved.

Each applicant for renewal of a moneydebt transmissionnegotiation license shall pay to the system any required fees or charges and a renewal fee of eight hundred dollars.

After a license has been automatically suspended pursuant to this section, the commissioner shall (1) give suchthe licensee notice of the automatic suspension, pending proceedings for revocation or refusal to renew pursuant to section 36a-671a, as amended by this act, and an opportunity for a hearing on such action in accordance with section 36a-51, as amended by this act, and (2) require such licensee to take or refrain from taking such action that,as in the opinioncommissioner ofdeems thenecessary commissioner,to will effectuate the purposes of this section.

Any change in any control person of the licensee shall be the subject of an advance change notice filed on the system notat laterleast than sixty days prior to the effective date of such change and anyno such change shall not occur without the commissioner's approval.

No licensee shall use any name or address other than the name and address specified on the license issued by the commissioner.

After thea license has been automatically suspended pursuant to this subsection, the commissioner shall (1) providegive the licensee notice of suchthe automatic suspensionsuspension, pending proceedings for revocation of or refusal to renew the license pursuant to section 36a-671a, as amended by this act, (2)and provide the licensee an opportunity for a hearing in accordance with section 36a-51, as amended by this act, and (3)(2) require the licensee to take or refrain from taking action that,as in the opinioncommissioner ofdeems the commissioner, is necessary to effectuate the purpose of this section.

(k) Not later than fifteen days after the date a licensee ceases to engage in the business of debt negotiation in this state for any reason, including, but not limited to, a business decision to terminate operations in this state, bankruptcy or voluntary dissolution, such licensee shall surrender to the commissioner its license for each location in which such licensee has ceased to engage in such business in accordance with subsection (c) of section 36a-51, as amended by this act.

(l) Except as otherwise specified in subsections (h) and (i) of this section, each debt negotiation applicant or licensee, and each individual designated as a control person, qualified individual or branch manager of such applicant or licensee, shall file toon the system any change in the information most recently submitted to the system by such applicant, licensee, control person, qualified individual or branch manager in connection with the application or license, or, if the information cannot be filed on the system, notify the commissioner of such change, in writing, not later than fifteen days from the date such applicant, licensee, control person, qualified individual or branch manager had reason to know of the change.

A debt negotiation licensee shall file with the system or, if the information cannot be filed on the system, notify the commissioner, in writing, not later than fifteen days after the date the licensee had reason to know of the occurrence of any of the following events:

(n) The unique identifier of any person licensed under section 36a-671, as amended by this act, shall be clearly shown on all solicitations orand advertisements, including business cards orand web sites, and any other documents as established by rule, regulation or order of the commissioner, and shall be clearly stated in all audio solicitations orand advertisements.

The solicitations orand advertisements of any person licensed under section 36a-671, as amended by this act:

(1) Shall not include any statement that such person is endorsed in any way by this state, except that such solicitations orand advertisements may include a statement that such person is licensed in this state;

(3) violated any of[of the provisions of [sectionssections 36a-671 to 36a-671e, inclusive] provision of this title or of any regulation or order adopted or issued pursuant thereto,thereto and pertaining to any such person, or any other law or regulation applicable to the conduct of [its] such licensee's debt negotiation business;

(d) The commissioner may order a licensee to remove any individual conducting business under sections 36a-671 to 36a-671f, inclusive, as amended by this act, from office and from employment or retention as an independent contractor in the salesdebt financenegotiation business in this state in accordance with section 5 of this act.

After a license has been automatically suspended, the commissioner shall (1) give the debt negotiation licensee notice of the automatic suspension pending proceedings for revocation or refusal to renew and an opportunity for a hearing on such actions in accordance with section 36a-51, as amended by this act, and shall[shall] (2) require the debt negotiation licensee to take or refrain from taking such action as,as [, in the opinion ofof] the commissioner,commissioner will[, will] deems necessary to effectuate the purposes of this section.

(a) On and after January 1, 2015, no person shall act as a mortgage servicer, directly or indirectly, without first obtaining a required license under section 36a-719, as amended by this act, from the commissioner for its main office and for each branch office where such business is conducted, unless such person is exempt from licensure pursuant to subsection (b) of this section.

(b) An application for a license as a mortgage servicer or renewal of such license shall be [filed,] made and processed on the system pursuant to section 36a-24b in a form prescribed by the commissioner [, with]with on the systemsystem] and accompanied by the fees required by section 36a-719b.

After a license has been automatically suspended pursuant to this section, the commissioner shall (A) give such[such] the licensee notice of the automatic suspension, pending proceedings for revocation or refusal to renew pursuant to section 36a-719j, as amended by this act, and an opportunity for a hearing on such action in accordance with section 36a-51, as amended by this act, and (B) require such licensee to take or refrain from taking such action that,[that, in the opinion ofof] as the commissioner,commissioner will[, will] deems necessary to effectuate the purposes of this section.

(g) The unique identifier of any person licensed under this section shall be clearly shown on all solicitations orand advertisements, including business cards orand web sites, and any other documents as established by rule, regulation or order of the commissioner, and shall be clearly stated in all audio solicitations orand advertisements.

The solicitations orand advertisements of any person licensed under this section:

(1) Shall not include any statement that such person is endorsed in any way by this state, except that such solicitations orand advertisements may include a statement that such person is licensed in this state;

(3) shall otherwise conform to the requirements of sectionsections 36a-715 to 36a-719l, inclusive, as amended by this act, any regulations issued thereunder and any other applicable law;

[No licensee may use any name other than its legal name or a fictitious name approved by the Banking Commissioner, provided such licensee may not use its legal name if the commissioner disapproves use of such name.] Any change in any control person shall be the subject of an advance change notice filed on the system at least sixty days prior to the effective date of such change and anyno such change shall not occur without the commissioner's approval.

(d) The commissioner may automatically suspend any license for a violation of subsection (a) or (b) of this section or upon a failure of the licensee to designate a qualified individual or branch manager who meets the requirements set forth in section 36a-719, as amended by this act, withinnot later than thirty days ofafter a vacancy in the position.

After a license has been automatically suspended pursuant to this section, the commissioner shall (1) give such licensee notice of the automatic suspension, pending proceedings for revocation or refusal to renew pursuant to section 36a-719j, as amended by this act, and an opportunity for a hearing on such action in accordance with section 36a-51, as amended by this act, and (2) require such licensee to take or refrain from taking such action that,as in the opinioncommissioner ofdeems thenecessary commissioner,to will effectuate the purposes of this section.

After a mortgage servicer license has been automatically suspended pursuant to this section, the commissioner shall (A) give such[such] the licensee notice of the automatic suspension, pending proceedings for revocation or refusal to renew pursuant to section 36a-719j, as amended by this act, and an opportunity for a hearing on such action in accordance with section 36a-51, as amended by this act, and (B) require such licensee to take or refrain from taking such action as in[in the opinion ofof] the commissioner will[will] deems necessary to effectuate the purposes of this section.

(3) violated any of the provisions of this title or of any [regulations] regulation or order adopted or issued pursuant thereto,thereto and pertaining to any such person, or any other law or regulation applicable to the conduct of [its] such licensee's mortgage servicer business;

[(2)] (3) "Consumer collection agency" means any person (A) engaged as a third party in the business of collecting or receiving payment for others on any account, bill or other indebtedness from a consumer debtor, (B) engaged in the business of [collecting on any account, bill or other indebtedness from a consumer debtor for such person's own account if the indebtedness was acquired from another person and if the indebtedness was either delinquent or in default at the time it was acquired] debt buying, or (C) engaged in the business of collecting or receiving tax payments, including, but not limited to, property tax and federal income tax payments, from a property tax debtor or federal income tax debtor on behalf of a municipality or the United States Department of the Treasury, including, but not limited to, any person who, by any device, subterfuge or pretense, makes a pretended purchase or takes a pretended assignment of accounts from any other person, municipality or taxing authority of such indebtedness for the purpose of evading the provisions of this section and sections 36a-801 to 36a-812,[36a-812] 36a-814, inclusive, as amended by this act.

"Consumer collection agency" does not include (i) an individual employed on the staff of a licensed consumer collection agency, or by a creditor who is exempt from licensing, when attempting to collect on behalf of such consumer collection agency, (ii) persons not primarily engaged in the collection of debts from consumer debtors who receive funds in escrow for subsequent distribution to others, including, but not limited to, real estate brokers and lenders holding funds of borrowers for payment of taxes or insurance, (iii) any public officer or a person acting under the order of any court, (iv) any member of the bar of this state, (v) a person who services loans or accounts for the owners thereof when the arrangement includes, in addition to requesting payment from delinquent consumer debtors, the providing of other services such as receipt of payment, accounting, record-keeping, data processing services and remitting, for loans or accounts which are current as well as those which are delinquent, (vi) a bank or out-of-state bank, as defined in section 36a-2, as amended by this act and (vii) a subsidiary or affiliate of a bank or out-of-state bank, provided such affiliate or subsidiary is not primarily engaged in the business of purchasing and collecting upon delinquent debt, other than delinquent debt secured by real property.

(b) [Any person desiring to act within this state as a consumer collection agency shall make a written application to the commissioner for such license in such form as the commissioner prescribes.] An application for a license as a consumer collection agency or for renewal of such license shall be made and processed on the system pursuant to section 36a-24b, in the form prescribed by the commissionercommissioner. on the system.

Each such license shall expire at the close of business on December thirty-first of the year in which the license was approved, unless such license is renewed, andexcept providedthat any such license approved on or after November first shall expire at the close of business on December thirty-first of the year following the year in which it is approved.

[(c)] (2) If the commissioner finds, upon the filing of an application for a consumer collection agency, that [(1)] (A) the financial responsibility, character, reputation, integrity and general fitness of the applicant, [and the partners of such applicant if the applicant is a partnership, of the members if the applicant is a limited liability company or association, and of the officers, directors and principal employees if the applicant is a corporation,] the control persons of the applicant, the qualified individual and any branch manager are such to warrant belief that the business will be operated soundly and efficiently, in the public interest and consistent with the purposes of sections 36a-800 to [36a-812] 36a-814, inclusive, as amended by this act, and [(2)] (B) the applicant is solvent and no proceeding in bankruptcy, receivership or assignment for the benefit of creditors has been commenced against the applicant, the commissioner may, upon such finding, issue the applicant a consumer collection agency license.

(2) Except as otherwise specified in subsection (i) of this section, each consumer collection agency applicant or licensee, and each individual designated as a control person, qualified individual or branch manager of such applicant or licensee, shall file toon the system any change in the information such applicant, licensee, control person, qualified individual or branch manager most recently submitted to the system in connection with the application or license, or, if the information cannot be filed on the system, notify the commissioner of such change, in writing, withinnot later than fifteen days fromafter the date the applicant, licensee, control person, qualified individual or branch manager had reason to know of the change.

(3) A consumer collection agency licensee shall file on the system or, if the information cannot be filed on the system, notify the commissioner, in writing, of the occurrence of any of the following developments withinnot later than fifteen days ofafter the date the licensee had reason to know of the occurrence of any of the following developments:

After a license has been automatically suspended pursuant to this section, the commissioner shall (1) give suchthe licensee notice of the automatic suspension, pending proceedings for revocation or refusal to renew pursuant to section 36a-804, as amended by this act, and an opportunity for a hearing on such action in accordance with section 36a-51, as amended by this act, and (2) require such licensee to take or refrain from taking such action that,as in the opinioncommissioner ofdeems thenecessary commissioner,to will effectuate the purposes of this section.

Any change in any control person shall be the subject of an advance change notice filed on the system at least sixty days prior to the effective date of such change and anyno such change shall not occur without the commissioner's approval.

After a license has been automatically suspended pursuant to this section, the commissioner shall (A) give suchthe licensee notice of the automatic suspension, pending proceedings for revocation or refusal to renew pursuant to section 36a-804, as amended by this act, and an opportunity for a hearing on such action in accordance with section 36a-51, as amended by this act, and (B) require such licensee to take or refrain from taking such action that,as in the opinioncommissioner ofdeems thenecessary commissioner,to will effectuate the purposes of this section.

(k) The unique identifier of any person licensed under section 36a-801, as amended by this act, shall be clearly shown on all solicitations orand advertisements, including business cards orand web sites, and any other documents as established by rule, regulation or order of the commissioner, and shall be clearly stated in all audio solicitations orand advertisements.