In this episode of The Consumer Finance Podcast, host Chris Willis is joined by colleague Kim Phan to break down the proposed regulations recently released by the Colorado attorney general (AG) under the Automated Decision-Making Technology (ADMT) Act, Colorado’s newly amended AI statute, and explain why the financial services industry needs to engage before these rules are finalized.
Chris and Kim walk through several provisions that diverge sharply from what industry had hoped for after the statute’s May 2026 rewrite, including a narrow definition of “financial or lending service” that leaves debt collection and insurance in uncertain territory and a meaningful human review requirement that effectively demands full judgmental re-underwriting of automated credit decisions. The hosts also highlight consumer rights provisions that would require disclosure of every data input and score used in an ADMT decision, thus creating significant trade secret exposure and fraud risk with little identifiable consumer benefit.
The episode closes with the rulemaking timeline: public comments are due October 5, a hearing is scheduled for October 26, and the AG must finalize rules by January 1, 2027.