New Hampshire Amends Provisions Regarding Mortgage Servicers
RSA 397-A Licensing of Nondepository Mortgage Bankers, Brokers, and Servicers
397-A:1 Definitions
XII. “Mortgage banker” means a person not exempt under RSA 397-A:4 who, for compensation or gain, or in the expectation of compensation or gain, whether such compensation or gain is direct or indirect:
(a) Makes or originates a mortgage loan as payee on the note evidencing the loan;
(b) Advances, or offers to advance, or makes or offers to make, a commitment to advance a banker’s funds for a mortgage loan, or closes a mortgage loan in its own name or with the banker’s funds; or
(c) Otherwise funds or offers to fund a mortgage loan.
XIII. “Mortgage broker” means a person not exempt under RSA 397-A:4 who for compensation or gain, or in the expectation of compensation or gain, either directly or indirectly:
(a) Acts or offers to act as an intermediary, finder, or agent of a lender or borrower for the purpose of negotiating, arranging, finding, or procuring mortgage loans, or commitments for mortgage loans.
(b) Offers to serve as agent for any person in an attempt to obtain a mortgage loan.
(c) Offers to serve as agent for any person who has money to lend for a mortgage loan.
XIV-a. “Mortgage servicing company” or “mortgage servicer” means an individual, partnership, corporation, association, or other entity however organized and wherever located which, for itself or on behalf of the holder of a mortgage loan, holds the servicing rights or records such payments on its books and records and performs such other administrative functions as may be necessary to properly carry out the mortgage holders obligations under the mortgage agreement including, when applicable, the receipt of funds from the mortgagor to be held in escrow for payment of real estate taxes and insurance premiums and the distribution of such funds to the taxing authority and insurance company.
XVII.(a) “Originator” or “mortgage loan originator” or “mortgage originator” or “loan originator” means an individual who for direct or indirect compensation or gain or in the expectation of direct or indirect compensation or gain, takes a mortgage application or offers, negotiates, solicits, arranges, or finds a mortgage loan or who offers or negotiates terms of a residential mortgage loan.
397-A:2 Application
I. This chapter shall provide for the department’s regulation of persons that engage in the business of a mortgage banker, mortgage broker, mortgage servicer, or mortgage originator for a mortgage loan from the state of New Hampshire or a mortgage loan secured by real property located in the state of New Hampshire.
397-A:12 Examinations
I. The banking department may examine the business affairs of any licensee or any other person, whether licensed or not, as it deems necessary to determine compliance with this chapter and the rules adopted pursuant to it and with the Consumer Credit Protection Act, (15 U.S.C. 1601 et seq.) as amended. In determining compliance, the banking department may examine the books, accounts, records, files, and other documents or matters of any licensee or person. The banking department shall have the power to subpoena witnesses and administer oaths in any adjudicative proceedings, and to compel, by subpoena duces tecum, the production of all books, records, files, and other documents and materials relevant to its investigation.
II. For the purpose of discovering violations of this chapter, the banking department may examine, during business hours, the records of any licensee and of any person by whom any such loan is made, whether such person shall be licensed to act, or claim to act, as principal, agent, or other representative, or under, or without the authority of this chapter; and for that purpose, the banking department shall have access to the books, papers, records, files, and vaults of all such persons. The banking department shall also have authority to examine, under oath, all persons whose testimony it may require relative to such loans or business.
397-A:13 Reporting
I. Each mortgage banker, mortgage broker, or mortgage servicer shall submit to the Nationwide Mortgage Licensing System and Registry reports of condition, which shall be in such form and shall contain such information as the Nationwide Mortgage Licensing System and Registry may require, including but not limited to mortgage call reports and financial statements.
397-A:16 Lender’s Rights and Broker’s Rights
I. Mortgage bankers, mortgage brokers, or mortgage servicers may charge fees and points for services rendered in conjunction with the origination, closing, and servicing of loans. If any fee is collected in advance of the closing of the loan, the mortgage banker or mortgage broker shall provide the borrower with a written explanation of the purpose and disposition of the fee. A mortgage banker or mortgage broker may charge an application fee which may include the direct costs incurred by the mortgage banker or mortgage broker for processing an application, and for a real estate appraisal, a credit bureau report, or income verification, or other third party services.
II. Pursuant to RSA 397-A:3, only mortgage brokers, mortgage bankers, mortgage originators, and mortgage servicers licensed under the provisions of this chapter shall be entitled to compensation for services rendered.
View the full text at: http://www.gencourt.state.nh.us/bill_status/billText.aspx?id=710&txtFormat=html
Comments are closed.