Section 12-1402 – Subtitle Not Applicable to Merchant Processing Agreement Between Credit Card Processor and Business Entity Under Certain Conditions
This subtitle does not apply to a merchant processing agreement between a credit card processor and a business entity: (1) That may be terminated without assessment of fees, fines, penalties, or liquidated damages; or (2) If at the time of entry into the merchant processing agreement, the business entity employs 50 or more employees or reasonably estimates […]
Section 12-1403 – Merchant Processing Agreement
(a) If a business entity cancels a merchant processing agreement before the expiration of the initial term agreed on by the credit card processor and the business entity, the credit card processor may not assess or charge a fee, fine, or penalty that exceeds $500. (b) If a business entity terminates the merchant processing agreement after the […]
Section 12-1404 – Investigation of Complaint of Violation of 12-1403
If a complaint about a violation of § 12–1403 of this subtitle is filed with the Commissioner of Financial Regulation, the Commissioner may investigate the complaint and use any of the investigative and enforcement powers provided under Title 2, Subtitle 1 of the Financial Institutions Article.
Section 12-1203 – Specific Payment Plan or Loans to Borrowers Not Holding Fee Simple Interest Not Required
This subtitle does not require a lender that offers to make a reverse mortgage loan to offer a reverse mortgage loan: (1) With any one or more particular payment plans; or (2) To a prospective borrower who holds title to a dwelling in other than fee simple interest.
Section 12-1204 – Conformance to Requirements of Federal Law
(a) Except as otherwise provided in this subtitle, a lender that offers or makes a reverse mortgage loan secured by a dwelling in the State shall conform to the requirements of 12 U.S.C. § 1715z–20, and any regulations and guidance adopted under 12 U.S.C. § 1715z–20, regardless of whether the reverse mortgage loan is insured under […]
Section 12-1205 – Inapplicability of Federal Provisions — Uninsured Loans
(a) A reverse mortgage loan that is not insured under 12 U.S.C. § 1715z–20 is not subject to the provisions in 12 U.S.C. § 1715z–20, or in any regulations or guidance adopted under 12 U.S.C. § 1715z–20, that: (1) Limit origination fees to $6,000 as adjusted under 12 U.S.C. § 1715z–20(r); (2) Impose maximum claim amounts or other […]
Section 12-1206 – Requirements for Purchasers
(a) (1) Except as provided in paragraph (2) of this subsection, a lender or an arranger of financing may not require a borrower to purchase an annuity, a long–term care policy, or other financial or insurance product as a condition to obtaining a reverse mortgage loan. (2) A lender or an arranger of financing may require a borrower […]
Section 12-1207 – Counseling Agency Checklists
(a) On receiving an application for a reverse mortgage loan, a lender or an arranger of financing shall provide a prospective borrower with a written checklist, written in 12 point type or larger, advising the borrower to discuss the following issues with a counseling agency counselor: (1) How unexpected medical or other events that cause the borrower […]
Section 12-1208 – Violations; Penalties
(a) Except as otherwise provided in this section: (1) A lender or arranger of financing for a reverse mortgage loan insured under 12 U.S.C. § 1715z–20 that violates this subtitle is subject to the penalties provided in 12 U.S.C. § 1715z–20, and in any regulations and guidance adopted under 12 U.S.C. § 1715z–20; and (2) A lender or […]
Section 12-1301 – Definitions
(a) In this subtitle the following words have the meanings indicated. (b) “Borrower” has the meaning stated in § 11–501 of the Financial Institutions Article. (c) “Home buyer education or housing counseling” means instruction on preparing for home ownership, shopping for a home, obtaining a mortgage, loan closing, and life as a homeowner. (d) “Lender” means a person that […]