General Assembly Raised Bill No. 7083 proposes significant revisions to the credit union statutes in Connecticut, with an effective date of July 1, 2025, and October 1, 2025. The bill introduces a new definition for "loan officer," clarifying that it pertains to individuals who accept loan applications or negotiate terms for compensation, while excluding those who merely process or underwrite loans. It also updates definitions for terms such as "capital," "branch," and "shared service center," and repeals outdated language regarding "regular reserves" and "donated equity." Additionally, the bill modifies the membership criteria, clarifying what constitutes a "member in good standing" and the nature of "membership shares."

Key amendments include allowing credit unions to accept payments from nonmembers under specific conditions, particularly for those designated as community development financial institutions, with limits on the amount accepted. The bill also governs charitable contributions by credit unions, permitting senior management to make smaller contributions while larger ones require board approval. Furthermore, it revises the rules for extensions of credit to insiders and updates procedures for the resale of repossessed goods, including a requirement for written notice to retail buyers before sales. Overall, the bill aims to modernize the legal framework governing credit unions, ensuring alignment with current practices and terminologies while repealing outdated provisions.

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