On March 6, the Colorado Governor signed SB 19-23, which provides limited exemptions from the state’s securities registration and licensing requirements for persons dealing in certain types of digital tokens. The “Colorado Digital Token Act” (the Act) provides issuer exemptions for digital tokens sold for a “consumptive purpose”—the token is used in exchange for a good,…
On February 26, the Arkansas Governor signed SB 188, which amends certain provisions of the state’s Fair Mortgage Lending Act (the Act) to comply with recent developments in federal law. Among other things, the amendments, which take effect 90 days after adjournment, include (i) modifying the Act’s definition of an “applicant” and “licensee” to now include…
On February 19, the Wyoming Governor signed HB 57, which creates a fintech sandbox program in the state for companies to test innovative financial products and services. Wyoming is the second state to introduce a regulatory sandbox program, following Arizona’s sandbox introduction last March. (Previously covered by InfoBytes here.) Under the “Financial Technology Sandbox Act” (the…
APPROVED founders Tim Lange and Katy Ryan provide a rundown of the highlights from the 2019 NMLS Annual Conference & Training. [Checkpoint Webcast]
On February 14, the Conference of State Bank Supervisors (CSBS) agreed to implement specific recommendations from the CSBS Fintech Industry Advisory Panel. The Advisory Panel, which was formed in 2017 and consists of 33 fintech companies, works to “identify and remove unnecessary pain points in the multistate experience of fintechs and other nonbanks operating regionally or nationwide…
On February 13, the Arkansas Governor approved SB 187, which amends the state’s Uniform Money Services Act as it relates to money transmission licensees and currency exchanges. Among other things, the amendments (i) revise surety bond and net worth amounts money transmission licensees are required to maintain; (ii) specify application and renewal requirements and deadlines; (iii)…
California licensees have a pair of deadlines approaching in March. The annual report for California Residential Mortgage Lending Act licensees is due by March 1, and the annual report for California Financing Law licensees is due by March 15. Both reports cover activity conducted by licensees in calendar year 2018 and the information provided is…
Christopher D’Angelo has been hired by New York Attorney General Letitia James to serve as the Chief Deputy Attorney General for Economic Justice. D’Angelo previously served as the associate director of the CFPB’s Supervision, Enforcement and Fair Lending Division and played a key role in some of the CFPB’s highest profile enforcement matters. In his…
On February 11, the U.S. District Court for the District of New Jersey denied a motion to dismiss a putative class action against a debt collector and its legal counsel, holding that the plaintiff debtor made a plausible claim under the FDCPA that the debt collector was required by New Jersey’s Consumer Financing Licensing Act (NJCFLA) to…
There are 11 states that have enacted some form of the Uniform Consumer Credit Code (UCCC), a model law that regulates all aspects of consumer credit — from advertising to collection. UCCCs include a licensing and/or notification requirement and, depending on the scope of activities engaged in, as well as available exemptions, some companies may…
The Pennsylvania Department of Banking and Securities recently published guidance stating that virtual currency, including “Bitcoin,” is not considered “money” under the state’s Money Transmitter Act (MTA). According to the guidance, only “fiat currency,” or currency issued by the U.S. government is considered “money” under the MTA and that to transmit money under the MTA, (i) fiat…
Buckley attorneys Kathryn L. Ryan, Moorari K. Shah, and Frida Alim authored a Equipment Leasing & Finance Magazine article, “Equipment finance: Understanding licensing obligations,” which discussed an overview of licensing considerations and trends in state enforcement activity with respect to equipment finance. Click here to read the full article.
On January 11, the Georgia Department of Banking and Finance (Department) announced the issuance of a Final Order taken against a Florida-based money transmitter and two of its officers for allegedly failing to, among other things, timely file suspicious activity reports (SARs) or conduct required background checks on covered employees. Following a hearing, the Department issued the Final…
Our panelists discuss some of the most commonly required reports and related requirements, submission deadlines, and tips for submission. [Checkpoint Webcast]
On December 19, 2018, the Ohio Governor signed Substitute House Bill 489 (HB 489), which amends the Ohio Residential Mortgage Lending Act (RMLA) to, among other things, require a person acting as mortgage servicer to obtain a Residential Mortgage Lending Act Certificate of Registration in the state, unless exempt from the RMLA. The amendments define a “mortgage…
Nevada’s administrative code requires that a qualified employee be present at the in-state office of a licensed mortgage broker or banker for the majority of the time that the office is open to the public. In the past, the Nevada Division of Mortgage Lending has permitted certain mortgage broker and banker licensees to satisfy this…
We are excited to share the upcoming dates and topics for the first half of our 2019 Checkpoint webcast series. Please mark your calendars and sign-up for email updates to receive registration details as we get closer to the individual events. If you have questions about the Checkpoint webcast series, suggestions for topics to cover…
On December 18, the Court of Appeals of Maryland held that the licensing requirement, §12-302, of the Maryland Consumer Loan Law (MCLL) is a “statutory specialty” and causes of action under it are accorded a 12-year statute of limitations period. The decision results from a question of law posed to the appeals court by the U.S. District…
On December 19, the Illinois governor signed HB 5542, which amends the state’s Residential Mortgage License Act of 1987 (the Act) to make various changes to state licensing requirements. Among other things, the amended Act (i) clarifies the definition of a “bona fide nonprofit organization”; (ii) provides a list of prohibited acts and practices; (iii) stipulates…
There are two types of NMLS company users: account administrators, who have full access to a company’s NMLS record; and organization users, who have limited access. And while any individual can be an organization user, NMLS specifies in the NMLS Policy Guidebook and elsewhere that only employees can be account administrators. For example, the NMLS…