Section 12-412 – Lender to Comply With Subtitle
A lender may not make or offer to make any secondary mortgage loan except within the terms and conditions authorized by this subtitle.
Section 12-413 – Civil Penalties
Except for a bona fide error of computation, if a lender violates any provision of this subtitle he may collect only the principal amount of the loan and may not collect any interest, costs, or other charges with respect to the loan. In addition, a lender who knowingly violates any provision of this subtitle also […]
Section 12-414 – Criminal Penalty
Any lender, his officer or employee and any other person who willfully violates any provision of this subtitle is guilty of a misdemeanor and on conviction is subject to a fine not exceeding $1,000 or imprisonment not exceeding one year or both.
Section 12-415 – Short Title
This subtitle may be cited as the Maryland Secondary Mortgage Loan Law.
Section 12-406 – Restrictions on Payment of Commissions, Finder’s Fees, and Points
(a) Except as permitted by § 12-405(a) of this subtitle, any commission, finder’s fee, or point shall be paid by the lender, and may be paid only to: (1) A licensed real estate broker; (2) A lawyer licensed to practice law in the State; or (3) A licensee. (b) An agreement to pay a commission, finder’s fee, or point may […]
Section 12-407 – Duties of Lender
(a) (1) In this section the following words have the meanings indicated. (2) “Commissioner” has the meaning stated in § 12–301(b) of this article. (3) “Cost of the loan” means the total amount of: (i) As nearly as the same can be determined, the charges payable by the borrower for the loan under §§ 12–405(a) and (b) and 12–410 of […]
Section 12-407.1 – Form for Secondary Mortgage Loan; Required Statements; Charges Permissible Under 12-404.1; Compliance With 12-401(i)(3)
(a) The Commissioner shall develop and prepare a form that each lender shall furnish to an applicant for a secondary mortgage loan. The form shall state the following: (1) The purpose for which the loan is to be used; (2) A disclosure that, if the loan is for a commercial purpose, the borrower shall forfeit certain rights. (b) The […]
Section 12-408 – Refinancing
A lender may not refinance a loan more often than: (1) Once during any twelve-month period of the loan; and (2) Twice during any five-year period of the loan.
Section 12-409 – Prohibited Provisions in Instruments Which Evidence or Secure Loan
An instrument which evidences or secures a loan may not contain any: (1) Acceleration clause under which any part or all of the unpaid balance of the loan not yet matured may be declared due and payable for any reason other than default by the debtor in the payment or in another required term of the […]
Section 12-409.1 – Home Buyer’s Equity Protection
(a) (1) In this section the following words have the meanings indicated. (2) “Covered loan” means a mortgage loan made under this subtitle that meets the criteria for a loan subject to the federal Home Ownership Equity Protection Act set forth in 15 U.S.C. § 1602(bb), as modified from time to time by Regulation Z, 12 C.F.R. Part […]