Winter 2020-2021 States In Brief

Colorado

Colorado revised regulations governing mortgage loan originators and mortgage companies. The amendments to the regulations were effective January 1, 2021.

Florida

Florida recently adopted a regulation related to loan originator, mortgage broker, and mortgage lender licenses. The regulation was effective on January 18, 2021.

Georgia

On July 29, 2020, Georgia passed House Bill 781, which made several amendments to the Georgia Residential Mortgage Act and was effective January 1, 2021. In connection with House Bill 781, the Department adopted amendments to the corresponding regulations to be consistent with the Act. These amendments were effective January 25, 2021.

Indiana

The Indiana Department of Financial Institutions released the dollar amounts required to be adjusted under the Uniform Consumer Credit Code. Effective January 1, 2021, there is no increase in the high-cost home loan dollar amount.

Maryland

Maryland issued Executive Order 20-10-16-01, amending and restating a prior executive order related to residential foreclosures. The Commissioner’s Notice of Intent to Foreclose Electronic System continued to suspend acceptance of Notices of Intent to Foreclosure until
January 4, 2021.

Oregon

Oregon amend regulations requiring the disclosure of consumer complaint language on certain statements and notices provided to borrowers by mortgage servicers. The amendment is an effort to clarify that borrowers should contact their mortgage servicer if they have questions about certain statements and notices, to and contact the Oregon Division of Financial Regulation if they have complaints about unlawful conduct. The regulation was effective January 1, 2021. However, the information is not required to be included on statements and notices until March 31, 2021.

Pennsylvania

The Pennsylvania Department of Banking announced the adjusted “base figure” for calendar year 2021. Under the Loan Interest and Protection Law, certain restrictions and limitations are applicable to loans with a loan amount equal to or less than the base figure. The adjusted base figure for calendar year 2021 is $263,975. The adjusted base figure was effective January 1, 2021.

Texas

Texas amended certain regulations relating to home equity loans. Regulation Text 39084 amends Chapter 151 and Regulation Text 39085 amends Chapter 153. These amendments were effective November 26, 2020.

Texas adopted amendments to Chapters 80 and 81 of the Texas Administrative Code, which regulate mortgage loan companies, mortgage bankers, and mortgage loan originators. Each Chapter updated its provisions related to definitions, disclosures, advertising, duties and responsibilities, and books and recordkeeping. The revised regulations went into effect January 3, 2021.

Texas amended regulations related to mortgage loan servicers found in Chapter 79 of the Texas Administrative Code. The amendments clarify certain definitions and update a form requirement. The regulation was effective on January 7, 2021.

Vermont

The Vermont Commissioner of Taxes recently released the “declared rate” for 2021. While Vermont does not have state high-cost loan limitations, a disclosure is required in connection with a first mortgage loan in which the borrower is expected to be charged in excess of four points or an interest rate in excess of three percent over the rate established by 32 V.S.A. § 3108 (“declared rate”). The declared rate for 2021 is 4.0%. Therefore, any first mortgage loan with an interest rate greater than 7.0% would trigger this disclosure. The rate change was effective January 1, 2021.

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