Senate Bill No. 1544 mandates the Banking Commissioner, or their designee, to conduct a study on presettlement legal funding and loans associated with anticipated wrongful incarceration awards. The study will focus on consumer complaints against entities regulated under title 36a of the general statutes from July 1, 2020, to June 30, 2025. It will examine issues such as alleged improprieties in presettlement funding, unlicensed small loans related to wrongful incarceration awards, and any consent decrees or enforcement actions taken by the department regarding these matters. Additionally, the study will involve consultations with the Commissioner of Consumer Protection and the Attorney General to recommend legislative changes aimed at enhancing consumer protections for individuals seeking compensation for wrongful incarceration.

The bill also requires the Banking Commissioner to submit a report to the relevant joint standing committees of the General Assembly by January 8, 2026. The new legal language introduced in this bill includes provisions for the study and recommendations for consumer protections, while no existing legal language is deleted. The fiscal impact of the bill is assessed as neutral, as the Department of Banking possesses the necessary expertise to fulfill the study's requirements without incurring additional costs.