AN ACT RELATING TO FINANCIAL INSTITUTIONS -- LICENSED ACTIVITIES

SB 229 repeals the legal authorization for "deferred-deposit transactions," commonly known as payday loans, by removing the specific definition that allowed these services in the state. This directly affects payday lenders operating within the state, ending their ability to legally offer short-term cash advances secured by personal checks or future account debits. The bill eliminates the regulatory framework enabling these transactions, which were previously defined under "deferred-deposit transactions" and "payday loans" in the licensing statutes. The law was signed by the governor on July 1, 2025, making it effective immediately.