AN ACT RELATING TO FINANCIAL INSTITUTIONS -- LENDERS AND LOAN BROKERS

HB 5331 removes an existing exemption that allowed lenders to operate without a license if they originated fewer than six loans in a year. This change directly affects small lenders or loan brokers who previously did not need a license for low-volume lending activity. The key provision requires these lenders to obtain a license under Rhode Island’s financial regulations, aligning their requirements with other lenders. The bill does not create new licensing standards but eliminates the exemption for the specified low-volume activity. This change applies to all lenders meeting the threshold, regardless of loan purpose or amount.