Conn. Gen. Stat. § 36a-555

Current with legislation from the 2024 Regular and Special Sessions.

Section 36a-555 - (Formerly Sec. 36-225). Definitions

As used in this section and sections 36a-556 to 36a-573, inclusive:

(1) "Advertise" or "advertising" means any announcement, statement, assertion or representation that is placed before the public in a newspaper, magazine or other publication, in the form of a notice, circular, pamphlet, letter or poster, over any radio or television station, by means of the Internet, by other electronic means of distributing information, by personal contact, or in any other way or medium;

(2) "APR" means the annual percentage rate for the loan calculated according to the provisions of the federal Military Lending Act, 10 USC 987, as amended from time to time, and the regulations promulgated thereunder. For the purpose of calculating the APR, each of the following shall be deemed to be a finance charge:

(A) A charge set forth in 32 CFR 232.4(c)(1), as amended from time to time,

(B) a charge for any ancillary product, membership or service sold in connection or concurrent with a small loan,

(C) any amount offered or agreed to by a borrower in furtherance of obtaining credit or as compensation for the use of money, and

(D) any fee, voluntarily or otherwise, charged, agreed to or paid by a borrower in connection or concurrent with a small loan;

(3) "Branch office" means a location other than the main office where the licensee, or any person on behalf of the licensee, will engage in activities that require a small loan license;

(4) "Connecticut borrower" means any borrower who resides in or maintains a domicile in this state and who (A) negotiates or agrees to the terms of the small loan in person, by mail, by telephone or via the Internet while physically present in this state, (B) enters into or executes a small loan agreement with the lender in person, by mail, by telephone or via the Internet while physically present in this state, or (C) makes a payment on the loan in this state. For purposes of this subdivision, "payment on the loan" includes a debit on an account the borrower holds in a branch of a financial institution or the use of a negotiable instrument drawn on an account at a financial institution. For purposes of this subdivision, "financial institution" means any bank or credit union chartered or licensed under the laws of this state, any other state or the United States;

(5) "Control person" means an individual that directly or indirectly exercises control over another person, and includes any person that (A) is a director, general partner or executive officer, (B) in the case of a corporation, directly or indirectly has the right to vote ten per cent or more of a class of any voting security or has the power to sell or direct the sale of ten per cent or more of any class of voting securities, (C) in the case of a limited liability company, is a managing member, or (D) in the case of a partnership, has the right to receive upon dissolution, or has contributed, ten per cent or more of the capital. For purposes of this subdivision, "control" means the power, directly or indirectly, to direct the management or policies of a company, whether through ownership of securities, by contract or otherwise;

(6) "Generating leads" means (A) engaging in the business of selling leads for small loans, (B) generating or augmenting leads for small loans for other persons for or with the expectation of compensation or gain, or (C) referring consumers to other persons for a small loan for or with the expectation of compensation or gain for such referral, except "generating leads" shall not include generating or augmenting leads for small loans for an exempt person, as described in subsection (b) of section 36a-557, using the exempt person's data or customer information;

(7) "Lead" means any information identifying a potential consumer of a small loan;

(8) "Main office" means the main address designated on the system;

(9) "Open-end small loan" has the same meaning as "open-end credit", as defined in 12 CFR 1026.2, as amended from time to time;

(10) "Person" means a natural person, corporation, company, limited liability company, partnership or association;

(11) "Small loan" (A) means any loan of money or extension of credit, or the purchase of, or an advance of money on, a borrower's future potential source of money, including, but not limited to, future pay, salary, pension income or a tax refund, if (i) the amount or value is fifty thousand dollars or less, and (ii) the APR is greater than twelve per cent, and (B) does not include (i) a retail installment contract made in accordance with section 36a-772, (ii) a loan or extension of credit for agricultural, commercial, industrial or governmental use, (iii) a residential mortgage loan, as defined in section 36a-485, or (iv) an open-end credit account that is accessed by a credit card issued by an exempt entity, as described in subdivision (1) of subsection (b) of section 36a-557;

(12) "Trigger lead" means a consumer report obtained pursuant to Section 604(C)(1)(B) of the Fair Credit Reporting Act, 15 USC 1681b, where the issuance of the report is triggered by an inquiry made with a consumer reporting agency in response to an application for credit. "Trigger lead" does not include a consumer report obtained by a small loan lender that holds or services existing indebtedness of the applicant who is the subject of the report; and

(13) "Unique identifier" means a number or other identifier assigned by protocols established by the system.

Conn. Gen. Stat. § 36a-555

(1949 Rev., S. 5937; 1949, S. 2753d; 1957, P.A. 439, S. 1; 1963, P.A. 175, S. 1; 1969, P.A. 242, S. 1; P.A. 77-129, S. 1; 77-183, S. 1, 2; P.A. 78-121, S. 71, 113; 78-303, S. 50, 136; P.A. 87-9, S. 2, 3; P.A. 88-65, S. 33; P.A. 89-338, S. 1; P.A. 92-12 , S. 65 ; P.A. 94-122 , S. 258 , 340 ; P.A. 97-13 , S. 1 ; P.A. 98-264 ; P.A. 02-111 , S. 34 ; P.A. 04-69 , S. 19 ; P.A. 08-176 , S. 58 ; P.A. 09-208 , S. 40 ; 09-209 , S. 18 ; P.A. 15-235 , S. 13 ; P.A. 16-65 , S. 19 ; P.A. 17-233 , S. 12 .)

Amended by P.A. 23-0126,S. 1 of the Connecticut Acts of the 2023 Regular Session, eff. 10/1/2023.

Amended by P.A. 17-0233, S. 12 of the Connecticut Acts of the 2017 Regular Session, eff. 10/1/2017.

Amended by P.A. 16-0065, S. 19 of the Connecticut Acts of the 2016 Regular Session, eff. 7/1/2016.

Amended by P.A. 15-0235, S. 13 of the Connecticut Acts of the 2015 Regular Session, eff. 8/1/2015.

Amended by P.A. 09-0209, S. 18 of the the 2009 Regular Session, eff. 7/31/2009.

Amended by P.A. 09-0208, S. 40 of the the 2009 Regular Session, eff. 10/1/2009.

Annotation to former section 36-225: Cited. 149 C. 158.