Villa backs SB3113 to revise state credit union laws in 50-6 Senate vote

Sen. Karina Villa (D-25th) cast a Yes vote on SB3113, legislation revising Illinois credit union regulations during the 104th General Assembly on May 31, 2026, based on records from the Illinois Senate. The bill was approved in the Senate 50-6.

The official description of the bill states: "CREDIT UNIONS-VARIOUS."

Below is an explanatory summary, based on the legislation's actual text and offering additional interpretation for clarity.

This measure amends the Illinois Credit Union Act to permit a credit union's registered agent office to be at a different location than its principal business address and clarifies requirements for preparing, signing, and approving minutes from board and membership meetings. It allows credit unions to provide or facilitate digital asset services for members via authorized third parties, contingent upon due diligence, formal agreements, and required risk disclosures. Additionally, the bill allows credit unions to offer fee-based motor vehicle debt cancellation products, classifying them as loan-related products rather than insurance. It also broadens approved investments to include commercial mortgage-related securities and collateralized mortgage obligations that meet federal criteria. The bill is effective immediately.

The official action for SB3113 was recorded as 'House Floor Amendment No. 2 Senate Concurs.'

Villa, a Democrat, began serving in the Illinois State Senate in 2021, representing the 25th District after succeeding Jim Oberweis.

Illinois legislation follows a multi-step process, starting with introduction in either chamber, proceeding through committee evaluation, floor debate, votes in both the House and Senate, and then submission to the governor for signature or veto. The General Assembly operates biennially, with thousands of bills introduced each session, but only a minority advancing to become law.