New York Amends Mortgage Loan Consummation Definition (Update)
The state of New York recently added an amendment to its banking laws to define the term “consummation of a mortgage loan.” The original amendment has been more recently revised to update the definition of consummation to:
“[F]or purposes of the act of congress entitled Truth in Lending Act and the regulations thereunder and the Real Estate Settlement Procedures Act of 1974, as amended, and the regulations thereunder, when the applicant for the mortgage loan executes the promissory note and mortgage including by electronic signature, in accordance with applicable federal and state laws, rules, and regulations.”
The revision reflects the inclusion of execution by electronic signature, in accordance with applicable regulation.
View the amendment in its entirety below:
https://www.nysenate.gov/legislation/bills/2017/s982/amendment/original
Margaret Wright, JD, is regulatory compliance director with CLA. She is a graduate of Stonehill College and earned her juris doctor at Suffolk University Law School. She is admitted to the Massachusetts Bar.
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