Program Operations

The Banking Division provides regulatory oversight of state-chartered financial institutions, credit unions and licensees through financial examinations and reviews to determine compliance with state banking laws, financial solvency and safety and soundness operations.

The Banking Division is responsible for regulating, monitoring and examining sixteen (16) state-chartered financial institutions and credit unions and approximately one thousand five hundred (1,500) licensees. The division accomplishes its program objectives through the process of licensing, chartering and examining financial institutions and licensees. The purposes of examinations are to determine financial solvency and compliance with Rhode Island Banking Laws and Regulations for the protection of depositors and the public interest. The division reviews and conducts hearings on applications filed by financial institutions and credit unions for charters, branches and other pertinent financial institution and credit union business. Licensees include mortgage loan originators, lenders, loan brokers, small loan lenders, currency transmitters, check cashers, debt  collectors, debt management companies and mortgage servicers. Additionally, The Banking Division enforces statutes relating to maximum interest charges and state usury laws and conducts administrative hearings when required. Additional responsibilities include investigating and resolving several hundred consumer complaints and inquiries each year.

Program Objectives

Charter, license and ensure compliance with statutory requirements for the safe and sound operation of regulated institutions and licensees to protect the public interest.

Statutory History

R.I. Gen. Laws 19-1 to 19-14.2 charge the division with the regulation of financial institutions and lenders, small loan lenders, and loan broker licensees. R.I. Gen. Laws 6-26 to 6-27 relate to interest, usury and truth in lending. R.I. Gen. Laws 34-23 to 34-27 relate to mortgages. R.I. Gen. Laws 19-14.3, 19-4-4 and 19-14.5 relate to Sale of Checks and Electronic Money Transfers, Check Cashing and Foreign Exchange Transactions, respectively. R.I. Gen. Laws 5-66 relates to Debt Pooling.