The 2009 and 2010 sessions of the Missouri General Assembly resulted in numerous legislative enactments affecting financial
services in Missouri. Below are bills that have a direct impact on the Division of
Finance and regulated entities.
HB 382 - Enacted pursuant to a federal law known as the Secure and Fair Enforcement
Mortgage Licensing Act of 2008 (SAFE Act). The bill, known as the Missouri Secure and Fair
Enforcement for Mortgage Licensing and Residential Mortgage Brokers Licensing Act, requires
all individual mortgage loan originators to be licensed by July 31, 2010, and eliminated most of
the licensing exemptions (except for depository institutions and first tier subsidiaries) that
previously existed for residential mortgage loan brokers.
HB 914 - Removed the requirement that the Commissioner of Finance seek circuit court
approval for appointment of the FDIC as liquidating agent for failed banks.
HB 239 - Established the Uniform Prudent Management of Institutional Funds Act, which
provides guidelines for the management and investment of endowed funds held by charitable
HB 273 - Changed the evidence allowed for a personal representative to prove expenditures
over $75. This bill now allows canceled checks, an electronic copy of a check or a bank
statement to serve as adequate documentation.
HB 836 - Requires a tenant be provided 10 business days notice prior to foreclosure of real
SB 277 - Allows a bank or trust company to transfer irrevocable life insurance trusts to the
Missouri trust office of an out-of-state trust company. Prior to this change, transfers could only
be made to Missouri based companies.
HB 2201 - Exempted certain entities from mortgage originator licensing until June 1, 2010. The
bill also included assets secured by financial institutions insured by the National Credit Union
Share Insurance Fund in the Missouri Prudent Investor Act. Finally, it amended section
443.701 RSMo, changing the name of the act to “Missouri Secure and Fair Enforcement for
Mortgage Licensing Act.”
SB 771 - Changed the amount of a certified check that must be submitted by a bank bidding to
be a depository for a county.
HB 661 - Amends Chapter 425 RSMo, regarding debt adjusters by modifying definitions pertaining to debt settlement services and debt settlement servicers, incorporates fee restrictions, and mandates full disclosure to the debtor. The legislation also includes a bonding requirement for the benefit of any debtor damaged by the debt adjuster’s breach of the debt management or debt settlement plan or his/her failure to properly administer debtor funds.
HB 83 - Amended §361.111 RSMo, to allow the owner of an ATM machine to charge a fee to individuals accessing bank accounts in foreign countries.
HB 464 - Amends Chapters 361, 362 and 369 by merging the State Banking Board and the Savings and Loan Commission and establishes the State Banking and Savings and Loan Board.
HB 1308 - Amended §30.270 to allow public funds to be secured by a letter of credit issued by a Federal Home Loan Bank without the current requirement that the FHLB “possessing the highest rating issued by at least one nationally recognized statistical rating agency.”
HB 1400 - Amended the following statutes:
- Section 67.085 now allows public funds to be placed in deposit accounts versus certificates of deposit.
- Section 361.070 requires the Division of Finance to establish policies relating to employees seeking employment with entities regulated by the Division.
- Section 361.080 establishes what information and format the Division of Finance can provide to the state auditor during an audit of the Division.
- Section 400.9-311 changes the filing requirements with respect to leased goods. Financing statements are no longer necessary for leased goods. There was a conflict between UCC filing requirements and certificate of title filing requirements where leased goods were concerned. The change makes Missouri law consistent with the UCC model act. Identical language was also included in SB 628 and SB 636.
- Section 408.052 was amended to exempt any mortgage broker making loans on manufactured homes or modular units from the fee limitations contained in the provision (allows charging points and other fees).
SB 628 - Amended the following statutes:
- Section 456.950 seeks to clarify and/or expand what constitutes a “qualified spousal trust” under Missouri law. The benefit of meeting the requirements of a qualified spousal trust is that married couples can create a trust or trusts in order to accomplish a variety of estate planning goals without losing the creditor protection accorded under Missouri common law, which prevents a creditor from attaching property owned by both husband and wife to satisfy a debt of only one spouse. Identical language was also included in SB 636.
- Section 456.8-808 now allows a grantor to allow for the appointment of a trust protector, which serves in a fiduciary capacity. A trust protector's powers may include: the power to remove and appoint a trustee, or name a successor trust protector, the power to modify or amend the documents that created the trust, the power to modify the interests of a beneficiary of the trust, the power to terminate the trust in favor of the beneficiary, the power to change which law applies to the trust and which state the trust is located in, and any powers that are expressly included in the trust documents.