The proposed bill, General Assembly Proposed Bill No. 5501, aims to amend title 36a of the general statutes to mandate that providers of short-term installment loans, which do not charge interest if paid off within a specified timeframe, must obtain a license. This legislative change is intended to enhance regulation and oversight of such financial services, ensuring that consumers are protected and that providers adhere to established standards.

The bill does not specify any deletions from current law but focuses on the insertion of new licensing requirements for these loan providers. By implementing this requirement, the bill seeks to create a more accountable lending environment for short-term installment loans, thereby promoting responsible lending practices.