Section 34-25.2-1. – Short title.

§ 34-25.2-1. Short title. This chapter shall be known as the “Rhode Island Home Loan Protection Act.” History of Section.P.L. 2006, ch. 569, § 1; P.L. 2006, ch. 573, § 1.

Section 34-25.2-10. – Rights in addition to other laws.

§ 34-25.2-10. Rights in addition to other laws. The rights conferred by this chapter are independent of and in addition to any other rights under other laws. History of Section.P.L. 2006, ch. 569, § 1; P.L. 2006, ch. 573, § 1.

Section 34-25.2-11. – Exemption.

§ 34-25.2-11. Exemption. The provisions of this chapter shall not apply to: (1) Any national bank, federal savings bank, federal credit union, credit union, or financial institution, as defined under § 19-1-1, or their wholly-owned subsidiary; and (2) The Federal Housing Administration, the Department of Veterans Affairs, or other state or federal housing finance agencies. […]

Section 34-25.2-12. – Department of business regulation.

§ 34-25.2-12. Department of business regulation. The director may promulgate such rules and regulations as are necessary and proper to carry out the provisions of this chapter. Rules and regulations promulgated for subsections 34-25.2-4(q) and 34-25.2-5(b) may contain such factors, classifications, differentiations or other provisions, and may provide for such adjustments and exceptions for any […]

Section 34-25.2-13. – Reporting.

§ 34-25.2-13. Reporting. The department shall report to the governor and the general assembly on or before January 1, 2009, with regard to the effectiveness of this act in achieving its purpose, which report shall include, but not be limited to: (1) The reported incidence of prohibited practices by calendar quarter for the period January […]

Section 34-25.2-14. – Liberal construction.

§ 34-25.2-14. Liberal construction. This chapter shall be construed liberally in aid of its declared purpose of protecting the homes and the equity of individual borrowers in this state. History of Section.P.L. 2006, ch. 569, § 1; P.L. 2006, ch. 573, § 1.

Section 34-25.2-15. – Severability.

§ 34-25.2-15. Severability. If any provision of this chapter or the application of this chapter to any person or circumstances is held invalid or unconstitutional, the invalidity or unconstitutionality shall not affect other provisions or applications of this chapter which can be given effect without the invalid or unconstitutional provision or application, and to this […]

Section 34-25.2-2. – Legislative findings.

§ 34-25.2-2. Legislative findings. The general assembly finds that predatory lending has become an increasing problem in this state, threatening the viability of many communities and causing decreases in home ownership. While the marketplace may appear to be operating effectively for most home loans, too many homeowners are falling victim to unprincipled creditors who provide […]

Section 34-25.2-3. – Purpose.

§ 34-25.2-3. Purpose. The purpose of this act is to prohibit predatory lending practices in this state while preserving access to credit in the subprime market. History of Section.P.L. 2006, ch. 569, § 1; P.L. 2006, ch. 573, § 1.

Section 34-25.2-4. – Definitions.

§ 34-25.2-4. Definitions. The following definitions shall apply for the purposes of this chapter, unless the context otherwise requires: (a) “Accelerate” means the advancing of a loan agreement’s maturity date so that payment of the entire debt is due immediately. (b) “Affiliate” means any company that controls, is controlled by, or is under common control […]

Section 34-25.2-5. – Prohibited acts and practices regarding home loans.

§ 34-25.2-5. Prohibited acts and practices regarding home loans. A home loan shall be subject to the following prohibited acts and practices. (a) No creditor making a home loan shall finance, directly or indirectly, any credit life, credit disability, credit unemployment or credit property insurance, or any other life or health insurance, or any payments […]

Section 34-25.2-6. – Limitations and prohibited practices regarding high-cost home loans.

§ 34-25.2-6. Limitations and prohibited practices regarding high-cost home loans. A high-cost home loan shall be subject to the following additional limitations and prohibited practices: (a) In connection with a high-cost home loan, no creditor shall directly or indirectly finance any points or fees which total is greater than five percent (5%) of the total […]

Section 34-25.2-7. – Assignee liability.

§ 34-25.2-7. Assignee liability. (a) Any person who purchases or is otherwise assigned a high-cost home loan shall be subject to all affirmative claims and any defenses with respect to the loan that the borrower could assert against the original creditor of the loan; provided, that this section shall not apply if the purchaser or […]

Section 34-25.2-8. – Civil action.

§ 34-25.2-8. Civil action. (a) An aggrieved borrower or borrowers may bring a civil action for injunctive relief or damages in a court of competent jurisdiction for any violation of this chapter. (b) In addition, the court shall, as the court may consider appropriate: (1) Issue an order or injunction rescinding a home mortgage loan […]

Section 34-25.2-9. – Subterfuge prohibited.

§ 34-25.2-9. Subterfuge prohibited. It shall be a violation of this chapter for any person to attempt in bad faith to avoid the application of this chapter by: (1) Dividing any loan transaction into separate parts for the purpose of evading the provisions of this chapter; (2) Structuring a home loan transaction as an open-end […]