EXECUTIVE AND LEGISLATIVE NOMINATIONS COMMITTEE;

CURRENT ISSUES

1. Some banks are encouraging customers with low balances to take advantage of overdraft protection to avoid bouncing checks, but then charge them as much as $ 35 for using the service. The banks say that all customers receive a list of fees when they open an account, but the banks do not disclose the specific overdraft fee when offering the service. How can consumers protect themselves from this type of aggressive banking practice?

2. Identity theft is a major problem in this country. What can banks and other financial institutions do to protect the privacy of their customers’ information while still providing their traditional services?

3. Many credit card companies are soliciting their cards on college and university campuses. They offer food, T-shirts, and other promotional products to entice students to sign up for credit cards. Do you think this is a problem? Do you think the practice contributes to student debt and financial irresponsibility? What can be done to ensure credit card companies can attract new customers without jeopardizing students’ financial futures?

4. A lot of customers have started banking online as a convenient alternative to going to the bank. What do you think of the emergence of online banking? Are there services customers can get in a bank that they cannot get online? Are there services available to customers online that bank employees cannot provide?

5. Predatory lending is a major problem, both in the state and across the country. What is the Banking Department doing to combat this problem and protect Connecticut consumers?

ISSUES RELATING TO AGENCY RESPONSIBILITIES AND PROCEDURES

1. There is a proposal before the legislature this session to merge the Banking and Insurance Departments into a new Department of Financial Services. What do you think of this proposal? How well do you think a consolidated agency would serve the needs of Connecticut residents?

2. How has your department been affected by the state’s fiscal crisis? What impact have the budget problems had on the services you are able to provide?

3. Federal law preempts the state’s authority to act in a number of banking-related areas. Are there clear guidelines regarding where the state and federal governments have jurisdiction? How can the state protect its consumers and businesses against the actions of parties controlled by the federal government, such as national banks?

JG: eh