The bill establishes a new requirement for financial institutions in Wyoming regarding loans that involve a guarantor or co-signer. Specifically, it mandates that at the time a loan is made for the purchase of property or when property is pledged as collateral, the guarantor or co-signer must sign a disclosure document. This document, provided by the lending institution, will inform the guarantor or co-signer that their agreement to guarantee or co-sign does not automatically grant them any rights or interests in the property involved in the loan or any collateral.

Additionally, the bill clarifies that signing this disclosure will not impact any existing rights or interests that the guarantor or co-signer may have in the property due to other legal agreements or instruments. The effective date for this legislation is set for July 1, 2023.