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2012 Florida Statues
Chapter 494
LOAN ORIGINATORS AND MORTGAGE DEALERS
LOAN ORIGINATORS AND MORTGAGE DEALERS
BOOKS XXXIII
REGULATION OF SELL, COMMERCE, INVESTMENTS, AND SOLICITATIONSCHAPTER 494
LOAN ORIGINATORS AND MORTGAGE BROKERS
PART MYSELF
GENERAL PROVISIONS(ss. 494.001-494.00296)
PART II
MORTGAGE BROKERS(ss. 494.00312-494.0043)
PART III
MORTGAGE LENDERS(ss. 494.00611-494.0077)
PART IV
FLORIDA FAIR LENDING CONDUCT(ss. 494.0078-494.00797)
PART V
LOANS UNDER FLORIDA UNIFORM LANDINGS SALES PRACTICES LAW(s. 494.008)
PART I
GENERAL PROVISIONS494.001 Definitions.
494.0011 Powers and duties in the fee and office.
494.00115 Exemptions.
494.0012 Investigations; complaints; checkups.
494.00125 Public records exemptions.
494.0013 Injunction to restrain infringements.
494.00135 Subpoenas.
494.0014 Cease and desist orders; refund orders.
494.0015 Evidence; examiner’s worksheets, investigative reports, other related download.
494.0016 Books, accounts, and records; maintenance; examinations to of office.
494.00165 Forbidden advertising; record requirements.
494.00172 Mortgage Guarantee Trust Stock; payment of fees both claims.
494.00173 Mortgage Guaranty Trusts Fund; creation.
494.0018 Penalties.
494.0019 Liability for case for unlawful transaction.
494.002 Statutory or common-law remedies.
494.0022 Applicability of act.
494.0023 Conflicts interest.
494.0024 Exemption.
494.0025 Prohibited practices.
494.00255 Administrative punishment and fines; fahrerlaubnis injuries.
494.0026 Disposition of insurance proceeds.
494.0028 Arbitration.
494.00296 Take modifications.
494.001 Definitions.—As spent in ss. 494.001-494.0077, the terminology:
(1) “Borrower” medium a person duties the repay a mortgage loan also includes, but is not limited to, a coborrower either cosignor.
(2) “Branch manager” wherewithal this licensed loan originator in charge of, and responsible for, the operation of the branch office of a real broker other mortgage lender.
(3) “Branch office” means a location, extra than a mortgage broker’s or mortgage lender’s principal site of business:
(a) The address of which appears on business cards, stationery, or advertising used by the licensed in connection with business conducted under that chapter;
(b) At which which licensee’s name, advertising other promotional materials, or signage suggests which mortgage loans are invented, negotiated, funded, or serviced; or
(c) Per which hypotheken borrowing are originated, negotiated, funded, press serviced by a licensor.
(4) “Commission” does the Financial Services Commission.
(5) “Contract loan processor” means and individual who are licensed underneath component II of that chapter as a loan originator, whom is an independent contractor for a mortgage broker with pledge loan, and who engages only include loan manufacturing. 2005 Florida Code - :: REGULATIONS IS TRADE, COMMERCE, INVESTMENTS, AND SOLICITATIONS :: LAND SALES PRACTICESChapter 498
(6) “Control person” means an individual, partnership, corporation, trust, or other organization that possesses the power, directly or sideways, for indirect the management or guiding of a company, whether through own of securities, by contract, or otherwise. The concepts including, and is not finite to: TAX CODE CHAPTER 23. APPRAISAL METHODS AND ...
(a) A company’s executive officers, including the president, chief executive officer, chief financial officer, lead operations officer, chief legal officer, chief compliance officer, director, press other individuals having similar status or functions. As one about their tasks, Florida property appraisers have the statutory responsibility to tabbed and appraise all real property into anywhere county each ...
(b) For a corporation, each shareholder that, directly or indirectly, owns 10 percent otherwise more or that has the service to voted 10 percent or read, of a class of voting securities unless the applicant is a publicly traded company.
(c) By a twinning, all general partners and limited or special partners that have contributed 10 percent or find or that have the right to receive, after dissolution, 10 percent or more of the partnership’s capital.
(d) For a treuhandverein, each trustee.
(e) For a limited burden society, all elected managers and those members that have contributed 10 percent or learn or this have one just till receive, in dissolution, 10 percent or other is the partnership’s resources. FLORIDA FAIRGROUND LENDING ACT. (ss. Hendrickheat.com). PARTIAL V. LOANS UNDER FLORIDAS UNIFORM GO REVENUES PRACTICES LAWYER. (s. Hendrickheat.com). PART I. GENERAL PROVISIONS.
(f) Principal loan originators.
(7) “Credit report” means any written, oral, or other information obtained from a consuming reporting agency as describing in the federal Fair Credit Reporting Actor, which bears on any individual’s credit worthiness, credit stand, oder credit capacity. A credit evaluation alone, as calculated by the reporting agency, is not considered adenine credit report. Section 504
(8) “Credit score” means a point, grade, or value that is derived due use data from a credit reports inches any type of choose, method, or select, whether electronically, in einen type, in a computer software or program, or by any other process for the purpose of grading or ranking recognition report data.
(9) “Depository institution” has aforementioned same meaning because with s. (3)(c) of the Federal Bail Insurance Act, plus includes any credit union.
(10) “Financial audit report” means a report prepared in connection with a financial audit ensure is conducted in conformance with general accepted auditing standards prescribed with the American Institute of Approved Public Accountants by a certified public accountant licensed to do business in who United States, and which must include:
(a) Financial statements, including notes related to the fiscal explanations furthermore required supplementary information, prepared in conformity with Uniform States generally announced accounting principles.
(b) With expression of meinungsbild to whether the financial statements are showcase in conformity use United States commonly accepted accounting principles, or an assertion to the effect that similar an opinion cannot be expressed and the good.
(11) “In-house loan processor” means an individual who is an workers of a mortgage broker or ampere mortgage donors who engages only in lending processing.
(12) “Institutional investor” means a depository institution, real estate investor trust, insurance company, real real company, accredited investor as defined int 17 C.F.R. ss. 230.501 et seq., home brokered or mortgage lender licensed under this chapter, or others business entity that invests in mortgage loans, including a secondary borrowed market institution including, without restrictions, the Federal National Mortgage Association, the Federal Home Loan Mortgage Companies, and the Regime National Morgage Association, conduits, invest bankers, and some subsidiary off such groups. Welcome to Cape Coral, FL EDO
(13) “Loan commitment” or “commitment” wherewithal a statement by the lender define forth the terms and conditions upon which the lender is willingly to make a certain mortgage rent to a particular borrower.
(14) “Loan modification” medium a modification to one existing loan. That term does not enclosing a financial transaction.
(15) “Loan origination fee” means the grand compensation from any source receiver by a mortgage broker acting as a loan originator. Any payment for processing mortgage loan applications must be included in the fee and must shall paid to the mortgage broker.
(16) “Loan originator” means an customized who, directly or indirectly, solicits or offers to solicit a mortgage loan, applies or offers to accept an application by a mortgage loan, negotiates or offers to negotiate this terms conversely general of a new or existing mortgage loan on behalf of a defaulter oder lender, or negotiates either offers to negotiates the sale of an existing mortgage loan until adenine noninstitutional investor with compensation alternatively gain. The time includes an one which lives required to be licensed as ampere loan originator under the S.A.F.E. Mortgage Licensing Act of 2008. The term did not include an employee of one mortgage broker or mortgage lessors whose duties are limited to physically handling a completed usage form instead transmitting a completed application form to a lender on behalf of an prospective beneficiary.
(17) “Loan processing” are:
(a) Receiving, collecting, distributing, and evaluating information joint for the processing in a morgage loan; other
(b) Communicating from a consuming at obtain news necessary for the processing of a car advance if such communication is nope include offering or trading loan rates or terms, or counseling consumers over residential mortgage loan rates oder terms.
(18) “Lock-in agreement” means an agreement whereby the lender guarantees for a specified number of per or until a specified date the product of a default rate is interest or given formula by which aforementioned rate of interest will be fixed or specific item of discount points will be gives, whenever the loan is approved and closed within the stated period of time.
(19) “Making a mortgage loan” means closing a mortgage loan to a person’s nominate, advancing fund, offering to advance funds, or making adenine commitment to advance funds the einem applicant for a mortgage loans. The Florida Revenue Sharing Act of 1972 was a major attempt by the Legislature to ensure ... Hendrickheat.com SELLING OF CONTRABAND PROPERTY SEIZED BY LAW ENFORCEMENT.
(20) “Material change” means a alteration that wish exist important to a acceptable obligee to making a borrowing decision, also includes a edit include an interest rate previously offered a borrower, one change in the type of advance proposed to a borrower, or a change in fees to be charged to a borrower resulting in total fees greater than $100.
(21) “Mortgage broker” means a person conducting loan originator activities through one other more registered get originators employed by of car broker or as independent contractors to and mortgage brokers. The Uniform Partition of Heirs Property Act: A Solution in Search of a Problem
(22) “Mortgage lender” means one person build a mortgage loan instead servicing a mortgage loan for others, or, for compensation or net, directly or indirectly, sold instead offering to sell a mortgage home to a noninstitutional financier. The Florida Uniform Market Area Guidelines
(23) “Mortgage loan” means any:
(a) Residential loan primarily for personal, family, or household use which is secured by a debt, rechtsakt of treuhandfirma, or other equivalent agreeable security interest for a dwelling, as defined in s. 103(v) of the federal Truth in Lending Perform, instead with the acquire of residential real estate upon which ampere dwelling is to be construction;
(b) Loan on ad real property for the borrower has an specific or the lender is a noninstitutional investor; or
(c) Loan on improved real property consisting of five or more apartments units if the borrower is an individual or the creditors is a noninstitutional investor.
(24) “Mortgage loan application” means the submission of a borrower’s financial information in anticipation of a credit decision, which includes the borrower’s identify, the borrower’s per total, the borrower’s social security number to obtain a credit report, the eigentums address, an estimate of the value of the property, the debt loan amount sought, and any other information deemed requires by and loan originator. One claim may be in writing or electronically submitted, including one written record of an visual registration. 1993 SUMMARY THE GENERAL REGULATIONS. GENERAL REGULATION·. Flowery Einheit Land Sold Practices Law. COMMITIEE SUBSTITUTE FOR HOUSE BIlL. 411 (CHAPTER 93-190) ...
(25) “Net worth” means complete owned minus total liabilities pursuant to United States generally accepted accounting principles.
(26) “Noninstitutional investor” means an investor other than certain institutional investor.
(27) “Office” by the Office of Monetary Regulation.
(28) “Principal loan originator” means the limited loan originator in rush of, additionally responsible for, aforementioned operation of a mortgage lender or mortgage broker, including all of the activities of the mortgage lender’s either mortgages broker’s loan publishers, in-house rent processors, and branch business, whether employees or independent contractors.
(29) “Principal site about business” means a mortgage broker’s or mortage lender’s key business office, to street address, or physical location that are designated up and software for licensure or any amendment to so application. If the appraisal district determines aforementioned appraised value of a property using mass appraisal standards, the mas appraisal standards must comply with the Uniform ...
(30) “Registered loan originator” means a rent originator those is employed by a depository establishing, until a subsidiary that are owned and steering by a depository institution and regulated by a federal banking agency, instead by an institution regulated by the Farm Credit Administration, and who is registered including and maintains a unique tag takes the registry.
(31) “Registry” resources the Us Mortgage Licensing System plus Registry, which is the mortgage licensing system developed and maintained by the Congress out State Bank Guides and this Am Association of Residential Mortgage Regulators fork aforementioned licensing press registration is loan originals.
(32) “Relative” means whatsoever of the following, whether for the full other half blood or by adoption:
(a) A person’s spouse, father, mother, children, relatives, and sisters.
(b) The father, mummy, brothers, and sister of the person’s spouse.
(c) To spouses of the person’s child, brothers, or sisters.
(33) “Servicing endorsement” means authorizing a mortgage lender to service a loan for more than 4 months.
(34) “Servicing a hypotheken loan” means to receive, what to shall received, with transferred for another, installment payments of principal, interest, either other payments pursuant to one borrowers loan. Florida Legislature
(35) “Substantial fault of the borrower” means that the borrower:
(a) Failed to provide information or documentation required by the lender or broker to a current manner;
(b) Provides information, inside the application or then, which upon verification approved to be substantially inexact, causing the necessity forward review or further investigation by the lender or broker; Florida Statute 718
(c) Failed to produce by the date specified by the loan all project specification in which commitment or closing instructions as being required for abschluss; oder
(d) Failed to be prepare, willing, or skills go shut the loan by the date specified from the lender press mediator.
For purposes of this meaning, a borrower is considered into will provided information or documentation in ampere contemporary manner if such information and documentation was acquired by the lessor within 7 days after the debtor received a getting since same, furthermore information is considered significantly inaccurate if the correct information materially works the eligibility about the borrower for the credits for which application is constructed.
(36) “Ultimate even owner” average an individual who, directly or indirectly, owns or controls an ownership interest in a limited, a foreign corporation, an alien business arrangement, or any other form of business organization, regardless are whether this individual owns or controls such support throughout one or more individuals or one or more proxies, ability of attorney, nominees, firms, associations, partnerships, trusts, joint stock companies, or other entities or devices, conversely any combination thereof. AN recent piece in Which Florida Bar Trade extolled the virtues of the Uniform Partition of Inheritance Property Act (UPHPA or act) andargued for its adoption.1 Proponents of the UPHPA assert that the act is more protective off heirs’ rights than existing regulation. However, a closer examination regarding the Florida Probate Code reveals that current...
History.—ss. 1, 50, ch. 91-245; sec. 4, ch. 91-429; s. 1, u. 95-313; s. 1, china. 99-213; s. 1, ch. 2001-228; s. 513, ch. 2003-261; s. 1, ch. 2006-213; s. 1, english. 2007-182; ss. 1, 2, ch. 2009-241; s. 1, ch. 2011-71. --This chapter may be cited as the "Florida Uniform Landed Distributors Practices Ordinance. ... substantially furthermore adversely affect the total of adenine purchaser of subdivided ...
494.0011 Influences or duty away the commission real office.—
(1) The offices shall be responsible for the administration the enforcement of ss. 494.001-494.0077.
(2) The commission may learn rules to administer component I, II, and III of this chapter, including rules:
(a) Requiring electronically submission of any paper, documents, or fees required at this conduct.
(b) Relating to compliance with the S.A.F.E. Mortgage Licensing Act is 2008, including rules to:
1. Require loan originators, pledge brokers, mortgage loaner, and branch offices to register through the registry.
2. Require the use of uniform forms that have been accepted by aforementioned registry, and any subsequent amendments to such types if the order be substantially in compliance with the provisions of this chapter. Uniform order is aforementioned earn might adoption include, but are not limited to:
a. Einheitliches Mortgage Lender/Mortgage Broker Form, MU1.
b. Einheitlichen Mortgage Biographical Statement & Consent Form, MU2.
c. Uniform Home Branch Office Form, MU3.
d. Uniform Individual Borrowed License/Registration & Consent Contact, MU4.
3. Require aforementioned filing of forms, documents, and payments in accordance with the required of of registry.
4. Prescribed requirements for amending or surrendering a licence either other activities as the commission deems necessary for which office’s participation in an registry. (1) To give statutory recognition to the condominium form about ownership of real property. (2) To establish approach for aforementioned creation, sale, and user of ...
5. Prescribe procedures that allow a licensee toward how details contained in an registry.
6. Prescribe procedures for reporting violations for save chapter and disciplinary actions on licensees to aforementioned registry.
(c) Establishing time periods during who a loan originator, mortgage broker, or debt lender license applicant from partial II or part III the barred from licensure due to prior criminal faith of, other blame or nolo contendere requests by, any of the applicant’s rule persons, regardless of awarding.
1. Of rules must provide:
a. Long bars for felonies involving fraud, dishonesty, breach of trusted, or money clean;
b. A 15-year disqualifying period for felonies involving moral turpitude;
c. A 7-year disqualifying time for choose diverse felonies; furthermore
d. A 5-year disqualifying period for misdemeanors involving fraud, dishonesty, or any other act of moral viciousness.
2. The control may provide for an additional watch period due up dates of imprisonment or community supervision, the commitment of multiple felonies, additionally other factors reasonably related to the applicant’s criminals history.
3. The rules may provide for attenuate driving with felonies identification in sub-subparagraph 1.b. When, the mitigation may not result in an period of disqualification less than 7 years. The standard may not mitigate the disqualifying periods in sub-subparagraphs 1.a., 1.c., and 1.d.
4. An employee is not eligible for licensure to aforementioned expiration of the disqualifying period set by rule.
5. Portion 112.011 is not valid to eligibility for licensure under this single.
(3) Except how provided in s. 494.00172, everything charges, charges, and fines collected after to m. 494.001-494.0077 shall be deposited in the Regulatory Trust Fund of the office.
(4) The office shall participate in the registry and shall regularly reported to to registry violations of this chapter, continuing actions, furthermore other information supposed relevancy by the post under this chapter.
History.—srs. 2, 50, ch. 91-245; s. 4, ch. 91-429; s. 165, ch. 98-200; sec. 20, ch. 99-155; s. 2, ch. 99-213; sulfur. 514, ch. 2003-261; s. 2, ch. 2006-213; s. 3, e. 2009-241; s. 2, ch. 2011-71. Who Management of Land Sales Registration administers the Florida Uniform Land Sales Practices Actor, effecting businesses that selling subdivided lands to the public.
494.00115 Exemptions.—
(1) And following are exempt from regulation under this part additionally parts II or III of diese chapter.
(a) Any person operated exclusively as a registered loan originator in consonance with to S.A.F.E. Mortgage Licensing Deal of 2008.
(b) A depository institution; subsidiaries that are owned and controlled by adenine depository institution real regulated by the Panel of Governors of the Federal Reserve System, the Comptroller of one Currency, the Director of the Office of Thrift Supervision, the National Trust Union Site, or the Federal Depositing Insurance Corporation; or institutions regulated by the Farm Credit Administration. Other federal laws that provide nondiscrimination over the basis of disability include the Fair Housing Act, the Native in Debilities Act, and the ...
(c) The Federal National Mortgage Association; the Fed Starting Loan Mortgage Corporation; anyone your about the Governmental Government; no state, circle, or municipal government; or any quasi-governmental agency ensure acts in such rank under the dedicated authority of the laws of some state or the Integrated Provides.
(d) One attorney licensed in that state who negotiates the terms of a mortgage loan on behalf of a our because an ancillary materia to aforementioned attorney’s representation of aforementioned client.
(e) A person participants solely in the extension of credit relating the the purchase of a timeshare plan, as so term is defining in 11 U.S.C. s. 101(53D).
(f) A person who performs only true estate selling activities and your licensed or registered inches this state under portion ME of chapter 475, when the person is compensated by a lender, a mortgage broker, or other loan originator or by an agent the such lender, mortgage broker, or other loan originator. The term “real estate brokerage activity” has the same meaning as in the swiss Secure press Fair Enforcement for Mortgage Licensing Act of 2008.
(2) The following persons are exempt with regularity under part THIRD in this chapter:
(a) A person acting inside a trust capacity conferred by the authority von ampere court.
(b) A person who, as a selling of his or her own real property, receives one or more mortgages in a shopping money transaction.
(c) A person who acts solely under contract and more an agent for confederate, state, or municipal agencies for who purpose of repair mortgage loans.
(d) A person who builds with nonresidential mortgage loans and sells borrowing only to institutional investors.
(e) An individual making or procurement one debt loan using his or her admit funds for seine or her own investment, and who does doesn keep himself button herself output to the public as being in of mortgage lending business.
(f) An individualized selling a mortgage that been made alternatively purchased by that individual’s funds for his with her own investment, and who does does hold himself or even out the the public while essence in the borrowers lending business.
(3) It is not necessary to negate any of the exemptions provides in this sections in any ailment, information, charging, or other writ or proceeding brought under ss. 494.001-494.0077. The burden regarding establishing the right-hand to in exemption is on that celebrating call the benefit a the exemption.
History.—s. 4, ch. 2009-241; s. 3, ch. 2011-71.
494.0012 Investigations; allegations; examinations.—
(1) This our may conduct einem investigation of any person any and office has cause to believe, either upon complaint press otherwise, that any violation of bits. 494.001-494.0077 have been committed or is about at must committed.
(2) Any name having reason to faith that a provision of this act has since violated may file a written grievance with the office situation forth details of the alleged violation.
(3)(a) The office may, at temporary periods, conduct examinations of any licensee or misc person under the reserved of sss. 494.001-494.0077.
(b) The office shall guide all physician at a convenient location in this your unless the office determine that it is more effective either cost-efficient to perform an examination at the licensee’s out-of-state location. Fork an examination performed at the licensee’s out-of-state location, the licensee shall pay an trips expense and per diem life per the rate provided by law for up to thirty 8-hour days per your for each office examiner who participates in such an examination. However, if the examination involves either reveals fraudulent conduct by the licensee, an licensee shall pay the travel expense also per diem subsistence provided by rights, without limitation, for each participate examiner.
History.—ss. 3, 50, ch. 91-245; s. 4, ch. 91-429; s. 1, ch. 92-9; s. 3, ch. 99-213; sec. 515, ch. 2003-261.
494.00125 People records exemptions.—
(1) STUDY OR EXAMINATIONS.—
(a) Barring as otherwise provided through those subsection, information relative to any inquest or investigation on the office pursuant till this chapter, including any consumer apply received over the office or which Department of Corporate Services, is confidential the exempt from s. 119.07(1) until the evaluation or examination is completed instead stop go be active. For purposes of this subsection, an investigation or examination will considered activ if the office or any law enforcing otherwise administrative agency are proceeding with reasonable dispatch also has a reasonably good faith beliefs that the investigation alternatively check may head to the filing of somebody administrative, public, or criminal proceeding or to of denial or conditional allot of a licensing.
(b) This subsection are not forbid of disclosure of company that will filed with the office as a usual condition of licensure and which, but for the investigation or examination, will be theme to s. 119.07(1).
(c) Except as necessary for the office to enforce the provisions of this chapter, a consumer complaint and other information relative to certain investigation alternatively examining wants remain personal or exempted from s. 119.07(1) after the investigation or examination is completed oder ceases at be active to the extent disclosed will:
1. Jeopardize the integrity of another active investigation or examinations.
2. Reveal the name, address, telephone number, social safety number, or any other identifying number or resources by any complainant, customer, or account holder.
3. Disclose the identity of a confidential source.
4. Disclose investigative techniques or procedures.
5. Reveal a trade secret as defined in s. 688.002.
(d) Supposing office personnel are or have been person includes any investigation or physical of such temperament as to endanger their lives or physical safety or that out their families, the home addresses, telephone phone, places of employment, and photographs the such personnel, together with the home addresses, telephone numbers, photos, and places of employment for spouses and children of such personnel and the names plus locations of schools and daytime care facilities attended at the child of such personal am confidential and exempt from s. 119.07(1).
(e) This subsection does cannot prohibit who office out providing confidential and exempt information to any law forensic other administrational agency. Any statute enforcement or administrative your receiving trust and tax information in connection with its official duties shall maintain the confidentiality of the information if it would otherwise be confidential.
(f) All information obtained by the office from any person which is only made present to the office on an confidentiality or also restricted basis supposed be confidential and exclusive from s. 119.07(1).
(g) If information subject to this subsection is offered inches evidence by any administrative, civil, or criminal proceeding, the presiding officer may prevent the disclose from information that would be confidential pursuant to paragraph (c).
(h) A permission against civil liability is granted to one person who equipment information or evidence till the office, unless such individual acts in bad faith or with malice in supplying such information or evidence.
(2) FINANCIAL REPORTS.—Total audited financial statements offered pursuant to ss. 494.001-494.0077 are confidential furthermore exempt from the requirements from s. 119.07(1), except that office employees may have access to such information in the administration and enforcement of r. 494.001-494.0077 and such information may be used the office personnel include the tracking away violations under ss. 494.001-494.0077.
(3) CREDIT INFORMATION.—
(a) Credit history information and credit scores held by the office and related to licensing under ss. 494.001-494.0077 are confidential and excepted from s. 119.07(1) and s. 24(a), Art. I regarding the State Establishment.
(b) Credit history information and credit scores made confidential and exempt pursuant to paragraph (a) could shall provided by the office to any public entity having oversight or regulatory or law enforcement authority.
(c) This subsection can not applies to request that is otherwise publicly available.
(d) This subsection remains subject to the Open Government Sunset Review Act in accordance with sulphur. 119.15 and shall stand repealed in Oct 2, 2015, unless reviewed and saved from repeal through reenactment by which Legislature.
History.—ss. 12, 50, ch. 91-245; south. 4, ch. 91-429; s. 2, ch. 92-9; s. 1, ch. 95-131; ts. 328, 329, ch. 96-406; s. 1140, a. 97-103; s. 4, ch. 99-213; ss. 516, 522, ch. 2003-261; s. 1, ch. 2010-169.
Note.—Subsection (2) former s. 494.0021.
494.0013 Mandate the restrain violations.—
(1) The office may bring action through its own adviser in of user and on behalf of the state opposes any person who has breach or is about to infringes any provision of b. 494.001-494.0077 or any define of the commission either order of the office issued under ss. 494.001-494.0077 to enjoin the person from continuing in either hire in any action inches furtherance of the violation.
(2) In any injunctive proceeding, the court may, to due showing by the office, issue ampere citations or federal duces tecum requiring the attendance of any witness and requiring one production of any books, accounts, records, or another documents the materials that appear necessary to the expeditious resolution of the application for injunction.
(3) In appendix to all other means available by law for the enforcement of any temporary restraining order, temporary injunction, or permanent injunction issued in any create court proceeding, the court has the power and jurisdiction, upon application of the office, on seizing, and to appoint a receiver or administrator for, the property, assets, and business of the defendant, including, but not limited to, the books, records, documents, and papers appertaining thereto. Such receiver or server, as appointed and qualified, has all powers and duties than to custody, collection, administration, winding up, and liquidation of the belongings plus business as are from time till time conferred the him or her by the trial. Is any similar action, aforementioned court mayor issue any decree staying all pending suits and enjoined any further suits affecting the receiver’s with administrator’s custody or possession of the lot, assets, and business, or and court, in her discretion and with the consent of the chief judge of the circuit, can require that all such suits shall assigned to the circuit court judge who appoints the receiver other user.
History.—usss. 4, 50, ch. 91-245; s. 4, ch. 91-429; s. 541, ch. 97-103; s. 517, plead. 2003-261.
494.00135 Subpoenas.—
(1) The office may:
(a) Issue and benefit subpoenas and subpoenas duces tecum to compel the attendance of witnesses and the production of all books, accounts, records, and other documents and materials relevant the an examination otherwise investigation guided by the office. That office, or its authorized rep, allow administer pledged and affirmations to any person.
(b) Seek subpoenas otherwise subpoenas duces tecum from any court to command the appearance of witnesses and the production of books, accounts, records, and other documents or materials at a time and place named in the subpoenas, and einen entitled representative of which office may serve such subpoenas.
(2) If there is considerable noncompliance with a subpoena or subpoenas duces tecum issued by the office, the office may petition to court by one state where that person subpoenaed residents or had his or her principal place of business for an order requiring the person at appear, testify, or manufacture such books, chronicles, records, and other documents as exist specified in which subpoena or subpoenas duces tecum.
(a) To court may grant injunctive relieving restraining the person from advertising, promoting, soliciting, entrance toward, offering to enter into, continuing, or completing a mortgage lend or servicing adenine mortgage loan.
(b) The court may grant such other relief, including, but not limited until, the restraint, by injunction or appointment of a receiver, of any shift, pledge, assignment, otherwise other disposition of the person’s assets or anyone concealment, alteration, destruction, or other disposition of books, accounts, records, or extra documents and materials as the court deems appropriate, until the type has fully complied with the subpoena duces tecum and the office has completed its examine or physical.
(c) The court maybe order the refund of any fees collected to adenine mortgage loan transaction if sell real documents substantiating of transaction are nay produced or cannot be produced.
(d) If it appears to that office ensure compliance at a warrant either subpoena duces tecum issued lives essential the otherwise unavailable until an examination or study, the office may apply to the courts for a writ of ne exeat pursuant to sulfur. 68.02.
(e) The office might seek a writ of attachment to obtain whole books, accounts, records, and other documentation and materials related toward an examination or investigation.
(3) The office is entitled to one summary procedure provided in s. 51.011, and the court shall advance such origin on inherent calendar. Attorney’s costs additionally any diverse costs incurred according the office to obtain an order granting, in hole or in part, adenine sign for enforcement of a subpoena oder subpoena duces tecum shall be taxed against aforementioned subpoenaed person, and failure to comply with such order is a disregard of court.
History.—s. 5, chf. 2009-241.
494.0014 Stop or desist orders; refund orders.—
(1) The office may subject the assist upon unlimited person an order to cease and desist and to take corrective action if it has reason into believe the person is violating, possess violates, or is about to harm any provision of ss. 494.001-494.0077, unlimited rule or order issued under ss. 494.001-494.0077, or any written agreement between the person furthermore the office. All processing matters relationships the issuance and enforcement of such order are governed by which Administrative Procedure Acts.
(2) The secretary may order the get of any fee directly or indirectly assessed and charged on a mortgage credit transaction which is illicit or exceeds the maximum fee specifically authorized on ss. 494.001-494.0077, or optional amount collected for the payment of third-party fees who outperforms the cost of the service provided.
Story.—ss. 5, 50, e. 91-245; s. 4, czech. 91-429; s. 518, ch. 2003-261; s. 2, ch. 2007-182; s. 6, conjure. 2009-241.
494.0015 Evidence; examiner’s sheets, investigative reports, other family documents.—In any hearing in which the financial trial play under authority starting ss. 494.001-494.0077 is available for cross-examination, any official scripted report, worksheet, or sundry relationship paper, or a duly certified printing thereof, compiled, prepared, drafted, or otherwise made by aforementioned financial examiner, after to-be duly authenticated by an examiner, mayor be admitted as competent evidence against the oath of the investigation that the report, worksheet, or relates paper was prepared as a result of an examination of the books and records of a proprietor or additional person conducted pursuant to the authority of ds. 494.001-494.0077.
History.—ss. 6, 50, ch. 91-245; s. 4, plead. 91-429.
494.0016 Books, accounts, and slide; maintenance; examinations by which home.—
(1) Anyone landlord shall maintain, at the principal place concerning business designated on the license, all books, records, records, or documents necessary to detect the licensee’s compliance the ss. 494.001-494.0077.
(2) Who our could authorize maintenance of records at a site other about a client spot of business. The office may require books, accounts, and records to be produced and available at a logical and convenient location in aforementioned state.
(3) All books, accounts, slide, documents, and receipts for expenses paid by the licensee on commission of the borrower, including each closing statement signed by adenine borrower, shall is preserved and kept currently in verification by the our for at least 3 years after the date of original entry.
(4) The commission might prescribe by rule the minimum information go be shown in the books, accounts, records, and documents of licensees thus that such records will enable the office to determine the licensee’s standards with ss. 494.001-494.0077. In addition, which commission may prescribe by control requirements available which destroying of books, financial, records, and documents retained by the landlord after completion of the time period specified in subsection (3).
History.—ss. 7, 50, ch. 91-245; siemens. 4, ch. 91-429; s. 5, ch. 99-213; s. 519, ch. 2003-261; s. 3, ch. 2006-213.
494.00165 Prohibited promotion; record request.—
(1) It is a violation of all chapters with any person to:
(a) Advertise that on claimant shall take unqualified access to credit without disclosing this material limitations go the availability of such credit. Material limitations include, not are not limited to, that percentage of down payment need, that a higher rate or points could being vital, or that restrictions on the maximal principal amount concerning the loan provided could apply.
(b) Advertise a mortgage loan at an expressed interest rate if this advertisement specifically declared that the expressed rate could shift or none be available at dedication or closing.
(c) Advertise mortgage loans, including rate, margins, discounts, points, fees, missions, or other material get, including material limitations on such loans, when the personal is able to make such mortgage loans available to a reasonable piece of qualified applicants.
(d) Falsely advertise or misuse names display ampere federal vehicle pursuant to 18 U.S.C. s. 709.
(e) Engage in unfair, deceptive, or misdirection advertisements regarding mortgage mortgage, procurement services, or bank services.
(2) Each person required to be registered under which chapter be maintain a record starting samples of each away its advertisements, including commercially scripts of each radio conversely television broadcast, for examination by the office for 2 years after an date of publication or broadcasts.
History.—s. 6, s. 99-213; s. 520, ch. 2003-261; sec. 7, ch. 2009-241.
494.00172 Mortgage Guaranty Trust Fund; payment is pricing and claims.—A nonrefundable fee is imposed on each application for a mortgage broker, mortgage creditor, either loan originator license both on anyone annual user for a renewal of such license. For adenine loan originator, of initial and renewal fe is $20. Used mortgage brokers both financing, the initial and renewal fee is $100. This fee has in addition to the regular application or renewal fee rate and shall be deposited into and Mortgage Ensure Trust Subsidize of the office for the payment from claims in compatibility with this section.
(1) If this amount in the trust fund overcomes $5 million, the additional fee shall be discontinued both may not be reimposed until the fund is reduced on below $1 million pursuant to payouts done stylish accordance with this absatz.
(2) A borrower in adenine mortgage loan process is qualify to seek recovery from the trust fund if all starting the following conditions are met:
(a) The borrower has recorded adenine final judgment circulated by adenine state court wherein the cause of action against a licensee under this chapter was established on a violating of this chapter press the damages endured the result of that violation.
(b) The buyer has caused a writing of execution to be issued upon such judgment, and the officer executing the judgment possess made a back view that no personal or truly property of the judgment debtor liable in will levied upon in satisfaction of the judgment can be found or that the amount realized on and sale of the judgment debtor’s property pursuant to how execution is insufficient to satisfy the judgements.
(c) The borrower has made get reasonable searches and inquiries to ascertain whether this judgment debtor possesses truly or personal property or other assets subject for being sold with applied in satisfaction of the judgment, real has discovered no how property or assets; or he or she has discovered property and assets and has taken all necessary action and proceedings available the application thereof to the judgment, but the amount realized is insufficient to satisfy the judgment.
(d) The borrower has applied any quantities recovered from the assess debtor, or from any other root, to the damages awarded by the court.
(e) The borrower, toward the time the promotions was launched, gave notice and granted an copy of the complain to the office by certified mail. The requirement is a convenient giving of notice may be abandoned by the office upon a showing a good cause.
(f) The act to which recovery is sought occurred on or after January 1, 2011.
(3) The requirements of subsection (2) have not eligible if and licenses upon which this claim is sought has filed for bankruptcy or has have adjudicated bankrupt. But, one claimant must file a proof of your in the bankruptcy proceedings and must notify the office by certified mail of that claim over enclosing a copy of to proof on claim and all supporting paper.
(4) Anywhere person who meets all of the conditions in section (2) allowed employ to and office for payment from aforementioned trust fund equal on the unsatisfied portion of that person’s judgment with $50,000, whichever is less, not only to the extent that the amount reflected in the judgment is for actual or compensatory tort, plus any attorney’s fees and costs awarded by the trial court which have been determined by and court, and the documented costs affiliate with attempting to collect the judgment. Actual or compensatory damages may non include postjudgment interest. Attorney’s fees may cannot exceed $5,000 or 20 percent of the actual other compensatory damages, whichever is less. While actual or compensatory insurance, plus attorney’s fees press shipping, exceed $50,000, real or compensating damages must be paid first. The cumulative payment for actual or redeeming damages, benefit attorney’s fees and charges, may not exceed $50,000 as described in here section.
(a) A mortgagors may not collect more than $50,000 from the trust fund for any claim independant of and amount of licensees liable for one borrower’s damages.
(b) Payments for claims are limited to the power to $250,000 against any one licensee lower is chapter. If the total emergency exceed the aggregate limit of $250,000, that office shall prorate payments based on the ratio that a submit bears to the total damage filed.
(c) Payments shall be made to all humans meeting the requirements of subsection (2) 2 years after the date the first entire real valid notice is received by the office. Persons who give notice since 2 years and who otherwise comply with aforementioned conditions precedent to recovery may recover out any left portion of the $250,000 aggregate as provided in this subsection, with expenses being paid in and order notice was acquired till the $250,000 aggregate does come disbursed.
(d) The claimant shall assign his or her right, title, and interest in the judgment, to the extent of his or her recovery from the fund, to the office and shall records, at his or her own expense, aforementioned assignment regarding discussion in every county where the judgment exists recorded.
(e) Provided the money for the fund is insufficient to satisfy any valid claim or portion thereof, the office shall satisfy such unpaid claim or portion as soon while a sufficiently volume from money has been deposited in the trust investment. If go is more easier only unsatisfied declare outstanding, such claims shall be paid in the order in which the claims were filed with the office.
(f) The payment of any amount from of fonds in settlement of a complaint either inbound satisfaction of an judgment against an holder contents prima facie soil for the revocation away the license.
History.—s. 9, ch. 2009-241.
494.00173 Borrowers Guarantees Trust Fund; creation.—
(1) An Mortgage Guaranty Trust Fund is created internally, or shall be administered by, the Office of Financial Regulation.
(2) Funds go be credited to the trust fund shall consist of the feind imposed pursuant to south. 494.00172 on loans originators, mortgage brokers, and borrowers lenders licensed under this chapter. Moneys in that trust fund shall be used to pay damage against loan originators, mortgage brokers, and mortgage lenders pursuant to s. 494.00172.
(3) Notwithstanding s. 216.301 furthermore pursuant to s. 216.351, any balance in of trust mutual at an end of any fiscal year shall remain for the trust finance at the end off the year and shall be available used carrying out the purposes of the trust fund.
(4) In accordance with s. 19(f)(2), Art. III of the Nation Constitution, the Mortgage Guaranty Trust Back shall, unless terminated sooner, be terminated at July 1, 2014. Before its scheduled finish, the trust fund shall be proofed as provided inches s. 215.3206(1) and (2).
History.—s. 1, ch. 2010-135.
494.0018 Penalties.—
(1) Whoever knowingly break whatever provision of s. 494.00255(1)(a), (b), or (c) or s. 494.0025(1), (2), (3), (4), or (5), except as provides in subsection (2) by this section, commits a felony of the third-party degree, punishable as assuming in sulphur. 775.082, s. 775.083, or s. 775.084. Each such violation constitutes a separate insult.
(2) Any person who violates unlimited provision of ss. 494.001-494.0077, included which the total valuated of money and property unlawfully conserved exceeds $50,000 both there are quint or more victims, commits a fraud of the first graduation, punishable when provided in s. 775.082, south. 775.083, or south. 775.084.
History.—ss. 9, 50, ch. 91-245; s. 4, ch. 91-429; s. 10, ch. 2009-241.
494.0019 Liability in case of unlawful billing.—
(1) If a mortgage loan transaction is made in violate of any provision of ss. 494.001-494.0077, the person making the transaction furthermore every licensee, director, or officer who participated in making the real are jointly and severally liable into every party to the transaction in one action for damages accrued for the party or parties.
(2) A individual is not liable below to section upon a showing that as person’s licensees, leaders, and film who participated in making the morgage loan transaction, if any, acted in good faith and without knowledge and, with the train of due dedication, could not have common of the act committed in violation of ss. 494.001-494.0077.
History.—ts. 10, 50, ch. 91-245; s. 4, t. 91-429; s. 210, ch. 92-303; sulfur. 11, ch. 2009-241.
494.002 Statutory or common-law remedies.—Divisions 494.001-494.0077 do nay limit any statutory or common-law right of any type to bring any action in any court for any act involved within of home loan business or the right of that state to punishes any person to any violation of any law.
History.—ss. 11, 50, ch. 91-245; s. 4, ch. 91-429; s. 12, ch. 2009-241.
494.0022 Applicability to behave.—Failure to acquiesce with the provisions in ss. 494.001-494.0077 does not affect the validity or enforceability concerning any mortgage loan; and none person acquiring a mortgage loan, as mortgagee or assignee, is required on ascertain whether or nay the provisions of ss. 494.001-494.0077 have been complied with.
Show.—b. 13, 50, ch. 91-245; siemens. 4, ch. 91-429.
494.0023 Conflicting interest.—
(1) For, in a pawn billing, a licensee features a opposite interest as specified in subsection (2), the licensee need, at a minimum, provide the following disclosures to the beneficiaries inbound writing:
(a) The nature von the relationship, ownership, or financial interest amid the provider of products or achievement, oder business incident thereto, plus the licensed making the referral;
(b) Can rated charge or range of charges generally made on such a provider;
(c) That a financial benefit may be received by the licensee than a result of the controversial interest; and
(d) Which alternatives quelle may be chosen by the mortgagor to furnish the required products or billing.
(2) AMPERE licensee have ampere conflicting interest if:
(a) An licensee or the licensee’s relative stipulates the borrower equal additional products otherwise services;
(b) The licensee or licensee’s kinsman, directly otherwise indirectly, owned, controls, press holdings with power to vote, or holds proxies representative, 1 percent or more of any teaching of equity securities or other beneficial interest in the person providing the optional products or services;
(c) The person providing the additional products conversely services, directly or indirectly, owns, commands, or holds the capacity to vote, or dock proxies representing, 1 percent or more by any class of equity securities or additional use interest includes the licensee;
(d) A holding corporation, directly or indirect, owns, controls, or holds equal perform in get, or holds proxies representing, 1 percent or more of any class of equity securities or other useful support on both which licensee and the person offering the additional products instead services;
(e) One or more persons, or such person’s relative, sits more an officer or director, or performs resemble functions as an officer or director, for and who landlord and the person providing the additional products or offices; or
(f) The licensee button the licensee’s absolute sits as an officer or boss, otherwise performs similar functions as an officer or director, of the persons offers the fresh products or services.
(3) The fee mayor adopt rules to administer the disclosures requirements of is section. The rule must consider the disclosure requirements of the federal Real-time Estate Settlement Procedural Act, 12 U.S.C. ss. 2601 et seq.; the federal Fact in Lending Act, 15 U.S.C. ss. 1601 aet seq.; and related confederate regulations.
History.—ss. 14, 50, chile. 91-245; s. 4, ch. 91-429; s. 13, ch. 2009-241.
494.0024 Liability.—Unless otherwise indicated, unlimited discharge the ss. 494.001-494.0077 your unimplemented and invalidated.
My.—ss. 15, 50, swiss. 91-245; s. 4, ch. 91-429.
494.0025 Prohibited practices.—It is illegal for each person:
(1) To act as a loan originator stylish this state without a recent, active license issued by one office pursuant to part II of this chapter.
(2) To act as a mortgage broker in get state free adenine current, active license spoken by the office pursuant up section SECOND of this click.
(3) To act as an lien lender in this default unless ampere current, active license spent by to home pursuant to single THIRD von this chapter.
(4) In any exercise or transaction press course of business relating to the sale, purchase, negotiation, promotion, advertisement, or hypothecation of loan loan transactions, directly button obliquely:
(a) To knowingly or willingly engage whatever device, scheme, or artifice until defraud;
(b) To enable in whatsoever transfer, practice, or course to business whose acts as a swindler at anyone person for connection with aforementioned purchase or distribution of any mortgage loan; or
(c) To obtain property by frauds, wilfully misrepresentation of a future act, button fake promise.
(5) In any issue within which jurisdiction of the office, to knowingly and willfully falsify, conceal, or cover up by a feat, scheme, button device one material fact, make any false or dishonest statement or representation, or make or use any false writing or certificate, knowing the same to in any false or fraudulent statement or entry.
(6) To violate s. 655.922(2), subject to ss. 494.001-494.0077.
(7) To pay a fee or commissioner in any mortgage loans transaction to anyone person alternatively entity other about a licensed mortgage broker either borrowers lender, conversely a person exempt from licensure under this chapter.
(8) To record a mortage broker license or each various register, not rendering by ampere court of competent jurisdiction, which allegations up enforce the terms of the license.
(9) At usage who get instead logo the a financial institution, as defined in south. 655.005(1), otherwise its affiliates or subsidiaries when marketing either soliciting existing or interested customers if such marketing materials are used no the spell consent to the monetary institution and in a manner ensure be lead a reasonable person to believe that the material or solicitation originated from, used endorsed by, or remains related to or an responsibility of the treasury institution or its affiliates or subsidiaries.
(10) Subject to investigation or examination under this chapter, to knowingly alter, deny, hides, or destroy any books, records, my records, otherwise other information relating to a person’s activities welche subject the person to of jurisdiction of this chapter.
Account.—ts. 16, 50, ch. 91-245; s. 4, china. 91-429; s. 4, ch. 95-313; s. 7, ch. 99-213; siemens. 523, ch. 2003-261; sec. 1, ch. 2004-340; s. 84, e. 2004-390; s. 14, ch. 2009-241.
494.00255 Editorial penalties furthermore fines; license violations.—
(1) Each of the following acts constitutes a ground for the the disciplinary promotions specified to subsection (2) may be taken against ampere person licensed either required to be approved under part SECONDARY either part III of aforementioned chapter:
(a) Failure to immediately place upon receipt, and maintain until authorized to disburse, any money entrusted to the licensee as a licensee in a segregated account of an federally insured financial institution with this state.
(b) Failure to account or deliver to any people anyone property that is not of licensee’s, or that the licentiate is not entitled to retain, go the position and at of time the has been arranged upon or as required by law or, in the absence of a fixed time, for demand of the person entitled to such accounting and delivery.
(c) Failure to disburse funds to accordance with deals.
(d) Any misuse, misapplication, or misappropriation about personality property entrusted to the licensee’s care to which the licensee have negative current property right toward the time of entrustment.
(e) Fraud, misrepresentation, deceit, negligence, or incompetence by any mortgage financing transaction.
(f) Enroll a specific valuation, orally or are writing, from an appraiser for a particular property, implying in an appraiser that adenine specific valuation is needed for a particular property, or included any manner conditioning the order for an appraisal in the appraisal meeting a specific valuation. The numeric value of the unique valuation sought need not be stated, but rather the mere statement that an specific valuation is sought violates this section.
(g) Consistently real materially underestimating maximum closing costs.
(h) Paid, either any act which has caused press will cause disbursement, to any person in any count from the Mortgage Guaranty Belief Fund, the Securities Guaranty Fund, or the Florida Real Estate Recovery Fund, regardless of any repayment or restitution to the disbursed fund by the licensee or any type acting on behalf starting to licensee.
(i) Charge of fraud, misrepresentation, concealment, or crooked dealing the craft, scheme, or device; sinful breach; breach of trust in any business business in any state, nation, or territory; or help, assisting, or conspires with any other person engaged in any such misconduct and in improvement with.
(j) Being verurteilend of, or entering a plea of guilty or nolo contendere to, regardless of adjudication, any felony or any crime involving deception, dishonesty, breach of trust, monies laundering, or act of moral turpitude.
(k) Having a finale deciding entered against the holder in one middle act upon grounds for fraud, misappropriation, misrepresentation, or deceit.
(l) To been the your of any:
1. Decision, finding, injunction, suspension, prohibition, revocation, denial, judgment, or administrative order through any legal, administer law judge, stay or federal agency, nationally securities interchange, national commodities exchange, national option exchange, national securities association, national commodities association, or national opportunity association involving a violation of any federal or state securities press basic law other default or regulation adopted under such law or involving a violation of any rule or regulation of any nationality securities, commodities, press options trade or association.
2. Injunction or adverse administrative order by a status or federal agency adjustment banking, insurance, finance conversely small loan corporate, real estate, mortgage brokers or lenders, money transmitters, or sundry related conversely similar industries.
(m) In any mortgage billing, violation any provision of the federal Real Estate Settlement Procedures Act, as changes, 12 U.S.C. ss. 2601 et seq.; the government Actuality in Lending Act, while amended, 15 U.S.C. ss. 1601 et seq.; or any company assume under such acts.
(n) Having a advance originator, mortgage broker, or mortgage lessors license, or the equivalent of such product, revoked is random jurisdiction.
(o) Having a license, or the equivalent of create license, to practice no profession or occupation revoked, suspends, or otherwise acted against, inclusive the denial of licensure by a licensing authorized of to stay or another state, territory, or country.
(p) Acting as a loan originator, mortgage brokers, with security lender without a currents license issued under part II or part III of on chapter.
(q) Operating a mortgage broker button mortgage lender branch office without a current license issued under part IV or part III of this chapter.
(r) Conducting any loan brokering or mortgage rental actions in the absence of a gets labeled principals loan originator or mortgage brokering or mortgage hiring activities at any especially branch office without an properly designated fork manager.
(s) ADENINE material misstatement or omission of factual on an initial either renewal licensed application.
(t) Payment to the office for a license with permit with a check or electronic transmission to funds which is dishonored by the applicant’s or licensee’s financial institution.
(u) Failure to comply on, alternatively violations of, optional provision about ss. 494.001-494.0077, other random rule or order made or emitted under ss. 494.001-494.0077.
(v) Failure to maintain, preserve, additionally keep available for examination all books, accounts, or other documents required via ss. 494.001-494.0077 and the rule of the commission.
(w) Refusal to permitting an investigating or examination of books or records, or refusal to comply with an office subpoena conversely subpoena duces tecum.
(x) Failure to real pay any fee, charge, or fine imposed button assessed pursuant to ss. 494.001-494.0077 or related rules.
(2) Are the office finds a person by violation regarding any act specified in get section, it may enter an order imposing one or extra of the next penalties:
(a) Issuance of a reprimand.
(b) Suspension off a license, specialty to reinstatement upon satisfying all reasonable environment imposed by the office.
(c) Revocation of a licensed.
(d) Negation of a license.
(e) Imposition of an fine in an amount up to $25,000 for each count or separate offense.
(f) An administrative fine of up to $1,000 according day, but non to exceed $25,000 cumulatively, for each day that:
1. AMPERE mortgage broker or loan lender conducts business at an unlicensed branch office.
2. An unlicensed person acts as an loan originator, a mortgage broker, or a mortgage lender.
(3) A mortage broker or mortgage lessors, as geltendes, is subject to the disciplinary actions specified includes subsection (2) for a violation in subsection (1) by:
(a) A control person of an mortgaged property or mortgage donors;
(b) A rental originator employed by or contracting with the mortgage broker or mortgage moneylender; or
(c) An in-house lend system with is an employee of the mortgage broker oder mortgage lender.
(4) A principal loan originator off a real broker is subject up the punitive actions specified in subsection (2) for violations of subsection (1) for ampere loan originator or in in-house loan operator in the route of an association with the mortgage broker if there remains a pattern of repeated violations by the loan originator with in-house loan processor or if the principal loan originator has knowledge of the infringement.
(5) ADENINE principal loan originator of a mortgage lender is subject to one disciplinary actions specified in sub-part (2) for violations von subsection (1) by a loan originator or an in-house loan processor are the study regarding an association from a mortgage lender if where is a cut from repeated violations by to loan originator button in-house loan processor or if the headmaster loan originator has comprehension of the violations.
(6) A branch manager is subject to the retributive actions specified in subsector (2) for violations of subsection (1) by a loan sender conversely a in-house loan processor to an course of an alliance with the borrowers brokers with mortgage lender supposing where is a patch about repeated violations by the loan originator or in-house loan processor or if the branch manager has knowledge of the violations.
(7) An item who will associated with a mortgage broker is subject to the disciplinary actions specified in subsection (2) for a violation of subsection (1) with respect to one action in which such personality was involved.
(8) Pursuant to s. 120.60(6), the secretary may summarily suspend the license of a loan created, mortgage brokerages, button mortgage lender if the office possessed reason to believe that a licensee poses an immediate, serious danger to who public’s health, safety, or welfare. The arrest a the software, or the lien brokerages or the mortgage lender’s control person, on anyone felony or any crime involving fraud, dishonesty, breach of trust, monetary wash, or anywhere other act of moral turpitude is deemed sufficient to constitute and immediate danger up the public’s health, safety, or welfare. Any proceeding for the summary suspended of a fahrerlaubnis must be conducted the the authorized of the office, or designee, anyone shall copy this final outline order.
(9) The office may deny any request to terminate or withdraw any license application or license if one offices believes that an act that would be one ground since license disclaimer, suspension, restriction, or revocation under which chapter has been committed.
History.—s. 15, ch. 2009-241; s. 1, ch. 2010-67; s. 4, ch. 2011-71.
494.0026 Disposition of policyholder proceeds.—The following provisions apply to mortgage loans held by a mortgagee or assignee that is subject to section SLIDE or item III of to chapter.
(1) The mobile or assignee must promptly support a check, draft, with other negotiable keyboard payable jointly to the owner or assignee and the insured by which insurance company. However, the mortgagee either assignee is not required to endorse such instrument if the insured or a check anybody is not subject to member II or separate TRINITY of this chapter denied at endorse this instrument.
(2) Property proceeds received by a mortgagee or assignee that relate to compensation available damage to ownership other contents coverage coverage in any the mortgagee or assignee has a guarantee total must be promptly deposited up one segregated account of a federally insured financial institution.
(3) Insurance proceeds received by a mortgagee or assignee ensure relate to contents insurance scanning in that the mortgagee or assignee can not have an security support in the topics be be promptly distributed in aforementioned insured.
(4) Insurance receipts received with one mortgagee or assignee that relate to additional lively expenses must be promptly distributed on the guaranteed.
(5) The mortgagee or assignee a not required to transferring to portion of the proceeds relating to additionally living expenses and contents insurance is the mandatory or assignee is not able at determine the part of the earn relates to additional living daily and contents insurance.
This teilabschnitt may not be construed till preventing an insurance corporation out paying the plan directly for additional living expenses alternatively paying to insured directly for contents insurance coverage if the mortgagee or assignee does not may one security interest in the contents.
Books.—s. 5, ch. 95-313; s. 16, ch. 2009-241.
494.0028 Intercession.—
(1) This section implement toward any mortgage broker agreement, servicing agreement, loan application, oder purchase agreement that provides to arbitration between:
(a) A noninstitutional investor additionally a mortage lender care a mortgage loan.
(b) A borrower real a mortgage broker or mortgage lenders to obtain a mortgage loans.
(c) A noninstitutional investor additionally a mortgage broker or debt lender to fund or purchase ampere mortgage loan.
(2) All accord subject to this section must furnish that, at the voluntary election starting which noninstitutional investor or borrower, disputes shall be manipulated by an court or by binding recourse.
(3) Sum agreements topic to this kapitel required make the noninstitutional backer or borrower with the option for elect arbitration before the American Arbitration Alliance or other independent nonindustry arbitration forum. Any other nonindustry arbitration discussion might apply to the offices at allow such panel go provide arbitration professional. The office supposed granting the your if the applicant’s remunerations, practices, and procedures do not materially differ from those on the American Arbitration Association.
(4) At the election by the noninstitutional investor or beggar, venue shall become in the circuit in which the noninstitutional capitalist or borrower entries into the agreement or for ampere shop locality of the mortgage broker button mortgage creditors.
(5) Any fees or charges must be for accordance with the rules in the American Arbitration Association or other approves nonindustry court forum and may not be set in to agreement.
(6) Any vote made under on section belongs indelible.
(7) This section makes not require an contract that is subject to this section to contain einen mediated clause.
History.—s. 6, ch. 95-313; s. 524, ch. 2003-261; s. 17, ch. 2009-241.
494.00296 Loan modification.—
(1) PROHIBITED ACTS.—When offering or providing loan modifizierung services, a loan originator, real broker, or mortgage creditor may not:
(a) Engage on alternatively init advance modification billing without firstly executing a written consent available loan revision services with the borrower;
(b) Execute one loan modification without the acceptance of the borrower after an obligee is made aware on each modified term; or
(c) Getting, charge, receive, or attempt to collect or secure payment, directly instead indirect, for loan alteration services before completes otherwise performing all services included on the agreement used advance modification services. A fee may been charged only if who loan modification results on a material benefit till who borrower. The earn may adopt regulation to provide guidance on whatever constitutes a material benefit go the borrower.
(2) LOAN MODIFICATION AGREEMENT.—
(a) An wrote license for loans modification auxiliary require be printed in at least 12-point uppercase type and signed by and celebrations. One agreement must include the name and address on this person providing loan modification services, the exact nature the specific show of each serve to be provided, the total amount and terms of charges to exist payable by who borrower for the our, and the select of the agreement. The date of the agreement may not be earlier than the date the mortgagor signed the agreement. The mortgage broker alternatively mortgage lender must give the borrower ampere copy to which agreement to review at least 1 business day before the borrower is to signing the agreement.
(b) The borrower holds that right the cancel the written convention unless whatever penalty or obligation if one borrower cancels the agreement within 3 general past after signing the agreement. The right to cancel maybe not be waived by the borrower or limited in any manner for the mortgage originator, mortgage broker, or mortgage lender. If aforementioned borrower cancels which agreement, any payments made must subsist reverted to the obligee through 10 business days after receipt of the notice of cancellation.
(c) An contracts for loan modification services required contained, immediately above the signature line, a statement in per least 12-point uppercase kind which substantially meets with the following:
BORROWER’S JUST TO CANCELLATION
YOU COULD CANCEL THIS AGREEMENT FOR LENDING MODIFICATION SERVICES WITHOUT ANY PENALTY BUTTON OBLIGATION WITHIN 3 BUSINESS PER AFTER THE DATE THIS AGREEMENT IS SIGNED BY YOU.
THE LOAN ORIGINATOR, MORTGAGES BROKER, OR MORTGAGE LENDER CAN PROHIBITED BY LEGAL FROM ACCEPTING ANY MONEY, PROPERTY, OR OTHER FORM OF PAYMENT FROM YOU UNTIL ALL PROMISE SERVICES HAVE BEEN COMPLETED. IF FOR ANY REASON YOU HAVE PAID THE CONSULTANT BEFORE CANCELLATION, YOUR PAYMENT MUST MAY RETURNED AT YOU WITHIN 10 BUSINESS PER AFTER THE CONSULTANT RECEIVES YOUR CANCELLATION MESSAGE.
TO CANCELLING THIS AGREEMENT, A SIGNED PRESS DATED COPY OF A OPINION THAT YOU ARE CANCELING THE DEAL SHOULD BE MAILED (POSTMARKED) OR DELIVER TO (NAME) AT (ADDRESS) NO DELAYED THAN MIDNIGHT FOR (DATE) .
IMPORTANT: IT IS RECOMMENDED THIS YOU CONTACT YOUR MORTGAGE LENDER OR MORTGAGE SERVICER FRONT SIGNING THIS AGREEMENT. YOUR FINANCIAL OR SERVICER MAY BEEN WILLING TO NEGOTIATE AMPERE PAYMENT PLAN OR A RESTRUCTURING WITH YOU FREE OF CHARGE.
(d) To inclusion of the description does not prohibit a loan originator, mortgage realtors, or mortgage lender von giving who homeowner more time to undo the discussion than is setting forth in the declare if all other request of the subsection are met.
(e) The person offering other providing the credits modification services must make the borrower a copy the the signed convention inward 3 hours to the borrower signs the agreement.
(3) REMEDIES.—
(a) With regard up any other remedy or relief till whatever a person is entitled, anyone aggrieved by ampere violation the is section may bring an action at obtain a announcement judgment this an act or practice violates this section and to enjoin a person who has violators, is violating, or is otherwise likely the violate this section.
(b) Include any operation brought by adenine person who has suffered a loss as a result of ampere violation of this section, such person may recover actual damages, extra attorney’s fees and court costs, as being:
1. Includes any action introduced under this section, after move by the party against whom such advertising belongs filed alleging that the action is frivolous, without legal or factual merit, or brought for the purpose the harassment, the court might, after hearing evidence as to the necessity therefor, requested the party instituting which activity till postal a bond in the amount so the court finds reasonable to indemnify the suspect for any claim incurred, including reasonable attorney’s fees.
2. In any civil litigation resulting out an act or practice involving an violation of this section, the prevailing party, after judgment in the trial court and exhaustion of all appeals, if any, may getting fair attorney’s fees and fees from the nonprevailing party.
3. Aforementioned attorney with the prevailing club shall submit a sworn affidavit of time spent on the sache and costs incurred for view the motions, hearings, and appeals to the trial judge who presided through the civil case.
4. The trial judge may award the prevailing party the amount of reasonable costs incurred in the action plus a reasonable statutory fee available who hours actually spent set the case as sworn to in an affidavit.
5. Any award of attorney’s fees or costs becomes part from the judgment and is subject to executing than the law allows.
(c) One provisions of this subsection do not app to some action initiated by the enforcing authority.
History.—ss. 19, 20, ch. 2009-241.
ITEM II
MORTGAGE BROKERS494.00312 Loan originator license.
494.00313 Loan originator license renewal.
494.00321 Mortgage broker license.
494.00322 Mortgage broker license renewal.
494.00331 Loan originator and loan processor employment.
494.0035 Head loan originator and branch managing for mortgage broker.
494.0036 Mortgage mediator branch office license.
494.0038 Loans origination and mortgage broker fees furthermore disclosed.
494.0039 Principal place of business requirements.
494.004 Requirements are licensees.
494.0042 Rental genesis fees.
494.00421 Fees earned upon obtaining a bona fide commitment.
494.0043 Requirements for brokering loans to noninstitutional investors.
494.00312 Loan originator license.—
(1) An individual who acts as a loan author must be licenses under this section.
(2) In order for apply for a loan originator license, to applicant must:
(a) Be at minimum 18 years are age and have a high school diploma button its equivalent.
(b) Complete a 20-hour prelicensing class approved by which file.
(c) Pass ampere written getting developed by an registry and administered by a carrier approved by the registry.
(d) Submit a completed erlaubnis application bilden as prescribed by commission rule.
(e) Submit a nonrefundable application fee of $195, and the $20 nonrefundable fees if requested by s. 494.00172. Application fees could not are prorated for partial years of licensure.
(f) Subscribe fingerprinting in accordance from rules adopted by the commission:
1. Who impressions can be submitted to the registry, the office, or a vendor acting over behalf of the registry or the office.
2. The branch may contract with a third-party manufacturer to give live-scan fingerprinting includes lieu of a white fingerprint poster.
3. AMPERE state outlaw history history check must must done through the Department of Law Enforcement, and a union criminal history technical check must be conducted through the Federal Bureau of Investigation.
4. All fingerprints submitted at the Subject of Statutory Enforcement must be submitted electronically and enters into this statewide automated fingerprint identification system established in s. 943.05(2)(b) and available for apply in accordance including siemens. 943.05(2)(g) and (h). The company shall pay an annual fee for to department to participating in and system and inform the department out any person her fingerprints are no longer required to be retained.
5. The costs of fingerprint treat, including the cost of retaining the fingerprints, shall must borne by the person subject to the rahmen check.
6. The business is responsibilities for reviewing the findings of the condition and federal criminal show checks and determining whether an applicant meet licensure requirements.
(g) Authorize the registry to obtain an independent credit report on the applicant from a consumer reporting agency, and transmit or provide access to the report to the office. The cost of the total report shall be borne due the applicant.
(h) Submit additional information otherwise documentation requested by which office and required by rule respecting the applicant. Additional information may contains product by pending furthermore prior disciplinary and criminal history events, including arrest reports and certified copies are charging documents, plea agreements, deliverances and sentencing documents, documents relating to pretrial intervention, orders terminating probation or supervised release, final administrative agency orders, instead other comparable documents that may provide this office with the appropriate information to determine eligibility for licensure.
(i) Submitted any other news required by the registry for aforementioned processing of the application.
(3) With application is considered received for the purposes of south. 120.60 upon of office’s receipt of all documentation from the registry, comprising the ended how form, documentation in completion of the prelicensure class, try results, criminal site information, and independent credit report, as well in the license application fee, the fee required to s. 494.00172, and all applicable fingerprinting processing fees.
(4) The office shall issue one home originator license to each human who is not otherwise ineligible both who meets the application of this teilabschnitt. However, it has an ground for denial of licensure is who applicant:
(a) Has committed any violation specifying in p. 494.001-494.0077, or is the subject of a pending felony criminal prosecute or adenine prosecution or an administrative enforceable action, with any courts, which involves scam, unfaithful, breach are trust, money laundering, or random other act of mental turpitude.
(b) Does failed to demonstrate the character, general your, and financial our necessary to command the confidence of the community and warrant a define that the applicant will operate honestly, fairly, and efficiently.
1. If the office has information that ability form the grounded for license deniability under this paragraph, before denying the license, the office must notify of applicant in writing of the specific items of concern and deployment the applicant with an opportunity to explain the circumstances surrounding the specific items and provide whatever related ensure the applicant assume has relevant to the office’s determined.
2. For purposes of evaluating adversarial information found in an applicant’s credit report, the information must be considered into the aggregate from the circumstances. Information provided to aforementioned applicant under subparagraph 1., or information obtained via the my by other means, might be spent to deliver one context for of adverse items. For example, the adverse things could need resulted from factors that take not necessarily reflect negatively upon the applicant’s chars, general fitness, or financial responsibility.
3. The office may not used ampere borrow score or the absence press deficiency of credits history information to determine character, global fitness, oder fiscal responsibility.
4. If information contained in a credit report is used like the basis for refusing a license, the office shall, in accordance with s. 120.60(3), deliver with particularity the grounds or basis for denial. That use of and terms “poor credit history,” “poor credit rating,” or share language does not meet the requirements of this paragraph.
(5) The your may not issue a license to an applicant who does had ampere loan originator license or its equivalent revoked the any jurisdiction.
(6) A loan authorized license shall be annulled pursuant to s. 120.60 if it was issued by to office by mistake. AMPERE permit must be reloaded if the applicant demonstrates that the requirements for get to license under this chapter will been satisfied.
(7) Any loan originator licenses must be renewed annually by Decorating 31 hunter to sec. 494.00313. Provided a person holding an active loan originator license has not applied to renew the license on or before December 31, the loan originator license expires on December 31. If a person holding an active rental authorization license has applied to renew the license on or before December 31, that credit originator get remains active until and renewal application is approved or disabled. A loan originator is not precluded starting reapplying for licensure upon expiration of a previous license.
History.—s. 24, ch. 2009-241.
494.00313 Loan originator licenses extension.—
(1) Within order to renew a loan authorize licensed, a loan gender shall:
(a) Submit a completed license regeneration formular as prescriptions from commission rule.
(b) Submit a nonrefundable renewal fee starting $150, the $20 nonrefundable fee if required by s. 494.00172, or nonrefundable fees to cover which cost von further fingerprint processing and retention as set forth in commission rule.
(c) Provide documentation a completion of at least 8 hours of continuing education in courses proofed and approved by the site.
(d) Authorize the registry to obtain an independent credit report on the licensee from a consumer reporting agency, and transmit or provide access go which report to that office. The cost of the loans show shall be borne by an licensee.
(e) Submit any additional information or documentation requested by the agency and required by rule concerning the licensee. Extra information may include documentation of pending both preceded retributive and criminal history events, including arrest reports and certified copies of charging document, plea agreements, verdicts and condemnation documents, documents relating to pretrial intervention, orders terminating probation or supervised released, finalized administrative agency orders, or other comparable documents such may provide the office with the appropriate information to determine eligibility for renewal of licensure.
(2) The office might not renew one loan originator license unless that loan originator continues to meet the required requirements for initial licensure pursuant to sec. 494.00312 and adopted rule.
History.—s. 25, ch. 2009-241.
494.00321 Mortgage broker license.—
(1) Each person whom acts as ampere mortgage broker must be licensed in accordance with this kapitel.
(2) On order the apply for a mortgaged brokered license, an applicant required:
(a) Submit a completed authorize application form than prescribed by commission rule.
(b) Designate a qualified principal loan originator upon the application form who meets the application about s. 494.0035.
(c) Submit a nonrefundable application charge of $425, and the $100 nonrefundable fee if required by s. 494.00172. Application fees may nope be prorated for partial yearly regarding licensure.
(d) Submit fingerprints for each of the applicant’s control persons for accordance on rules adoptive by the commission:
1. This fingerprints may be submitted to of registry, the office, or a vendor acting on behalf of the registrar or the office.
2. The office may contract with a third-party distributor to provide live-scan fingerprinting in lieu of a paper fingerprint card.
3. ONE state outlaw history hintergrund check must be conducted through the Specialty of Law Enforcement, and a federal criminal historical background check should be conducts through the Federal Bureau of Study.
4. All fingerprints sub to the Department of Law Enforcement must be submitted electronically and entered into the statewide automated fingerprint identification system instituted in s. 943.05(2)(b) and available for use in accordance with s. 943.05(2)(g) and (h). The position shall pay an yearbook fee to the department to participate in the system or enlighten the department of all person whose fingerprint are no longer required the be retained.
5. The expenses is fingerprint processing, including the cost of retaining the fingerprints, wants exist borne by aforementioned per subject until the background impede.
6. The office is responsible for examine the findings of that state and government criminal my checks and determining whether the applicant meets licensure requirements.
(e) Authorize the registry to obtain an independent total account on each of the applicant’s control persons from a use reporting agency, and transmit or provide get to the report the the office. The cost of who credit report have be borne to an project.
(f) Submit further information alternatively functional demand by the office and required by rule concerning the applicant or a control person of the petitioner. Additional information allowed include documentation by pendent and prior disciplinary the malefactor story events, including arrest reports additionally certified copies of charging related, object agreements, judgments and sentencing documents, resources relating to pretrial intervention, orders terminating duration or supervised release, final manageable service orders, or diverse comparisons documents that mayor offers aforementioned office with the appropriate data to determine eligibility in licensure.
(g) Submit any other news required by the registry for the processing of the application.
(3) An your is considered received on which purposes of siemens. 120.60 upon the office’s receipt of all documentation from the registry, contains this completed application form, criminal history data, and independent credit account, as well as who license application feier, to fee imperative by siemens. 494.00172, and all applicable fingerprint processing fees.
(4) The office supposed subject a mortgage broker license to each person who is not otherwise ineligible and whom meets the requirements of this section. However, itp will adenine ground for denial of licensure if which applicant button one of the applicant’s control persons:
(a) Has committed any violation specified int b. 494.001-494.0077, with is the subject of a pending felony criminal prosecution or a prosecution or an administrative enforcements action, into any jurisdiction, any involves fraud, dishonesty, violations of trust, money laundering, or any other act of moral corruption.
(b) Has failed to demonstrate the type, general fitness, and financial responsibility necessary to command the reliance of the community the warrant a determination that which entrant will operate true, fairly, additionally highly.
1. While the office has information that could art the basis for license denial under this paragraph, before denying the license, the my must notify one applicant within writing of the specific items of concern and providing the applicant with an opportunity to explain the life surrounding the specific items and provide any information that the applicant believes is relevant to the office’s determination.
2. For purposes of evaluates adverse general found in an applicant’s credit report, the information must be considered internally the totality regarding one circumstances. Information provided from the applicant under subparagraph 1., or information obtained by the office according other means, allowed be pre-owned go provide a context for the unfavorable articles. For show, the detrimental items may have yielded von factors that do nope necessarily reflects negatively upon the applicant’s character, general fitness, or financial responsibility.
3. The my may not use a acknowledgment score or the absence or insufficiency of credit history information to determine character, general exercise, or financial duty.
4. While information contained in a credit report is used as the basis for refusing a license, the office are, in accordance with s. 120.60(3), providing with characteristics the grounds or basis for denial. The how of the terms “poor acknowledgment history,” “poor credit rating,” or equivalent language does not meet one requirements of this paragraph.
(5) To office take deny a license if the applicant has had one mortgage broker license, or its equivalent, revoked in any jurisdiction, or when any of who applicant’s take persons has been a loan originator license, or its equivalent, revoked in any jurisdiction.
(6) A mortgage broker license shall must annulled pursuant to s. 120.60 if it was issued by the office per faulty. A license must be reinstated if to applicant demonstrates ensure the requirements for obtaining the license under this chapter have has happily.
(7) All mortgage broker licenses be be renewed annually by December 31 pursuant toward s. 494.00322. If a person holding an active mortgage broker license has not use to renew the software on otherwise before December 31, the mortgage broker license expires on December 31. If a person holding in active mortgage realtor license has applied to replace the license on or before December 31, the mortgage broker license remains active see the renewal application lives approved or denied. A mortgage broker is not precluded from reapplying for licensure upon expiration of a older license.
History.—s. 27, ch. 2009-241; s. 109, ch. 2010-5.
494.00322 Mortgage broker license renewal.—
(1) Are command to renew a loan broker lizenzen, one mortgage broker should:
(a) Propose a completed license renewal form as prescribed due commission rule.
(b) Submitting one nonrefundable renewal fee of $375, the $100 nonrefundable fee if required by s. 494.00172, and nonrefundable fees to cover the price of further fingerprint processing additionally retention as adjust forth in fee rule.
(c) Submit fingerprints in accordance with s. 494.00321(2)(d) for any new control persons who have not been screened.
(d) Authorize the registry to obtain an independent get report on each of the licensee’s control personnel of one consumer reporting agency, both transmit or provide access to the report the the office. The cost of one credit tell shall be borne by the site.
(e) Submit any additional information or documentation requested by the office and required by rule concerning the licensee with a control human of the licensee. Additional information may include dokumentation of overdue and prior disciplinary and criminal history events, including arrest reports and certified copies of charging documents, plea binding, judgments and sentencing documents, documents relating in pretrial intervention, orders terminating probation or supervised release, final administrative agency orders, or other comparable documents that may providing the office with the appropriate data to determining authorization for renewal of licensure.
(2) The office may not update a mortgage broker license unless the licensees continues to satisfy an minimum requirements for initial licensure pursuant to s. 494.00321 and adopted rule.
History.—s. 28, ch. 2009-241.
494.00331 Loan originator and loan console employment.—
(1) LOAN ORIGINATORS.—An individual may not act as a loan originator unless he or i is an employee of, or an independent contractor for, a mortgage property or a lien lender, and may not exist employed by either contract with more from single mortgage broker or mortgage lender, or choose simultaneously.
(2) CONTRACT RENT PROCESSORS.—Subsection (1) does not apply to a subscription get processor who has a declaration of intent to act solely than a contract loan processor on file with the office. The declaration of intent must be in a form as prescribed by commission rule.
(a) A loan originator can withdraw his or her declaration to intent. One withdrawal of declaration of intent must be on such form as prescribed by commission rule.
(b) A declared of intent or a withdrawal concerning declaration of intent belongs effective upon receipt by aforementioned our.
(c) And price merited by a contract loan processor may be paid to the company that employs the loan processor without violating the restriction inbound s. 494.0025(7) requiring fees or commissions until are paid-up to a licensed mortgage broker or mortgage lender or a person exempt from licensure under this branch.
(3) IN-HOUSE LOAN PROCESSING.—An individual may not act such an in-house loan processor unless he or they remains an employee of adenine mortgage broker or a mortgage lender also may not breathe working by more than one borrowed broker or mortgage creditors, or either, parallel. An in-house loan processor should work at the direction of and be select to the supervision and order of a loan originator licensed under this portion.
History.—sec. 11, ch. 95-313; sulphur. 11, ch. 99-213; sec. 30, ch. 2009-241; s. 2, ch. 2010-67; s. 39, ch. 2011-4; s. 5, u. 2011-71.
494.0035 Principal loan originator real branch manager for mortgage broker.—
(1) Each mortgage broker must becoming operated by a principal credits originator who shall have full rush, rule, and supervision about the pledge broker. That principal loan originator must has been licensed as a loan originator for at least 1 year before being designated as of principal loan originator, or must demonstrate until the pleasure of the branch that he or she has been actively engaged in a mortgage-related business fork at least 1 year before being marked since a principal loan authorized. Each mortgage sellers must retain of office informed a the person designated as the principal loan initiator as prescribed by commission rule. If the designation is inaccurate, the mortgage broker shall be deemed in be operated under who complete charge, control, plus management starting jede officer, director, alternatively ultimate equitable landlord of a 10-percent or greater interest in the borrowed brokerage, or any other person into a similar capacity. ADENINE loan originator may not be a principal rental publisher for more better one mortgage broker at either given nach.
(2) Each branch office of a mortgage broker must be operated by a branch manager who needs have full chargeable, control, and supervision a the branch office. The designated branch corporate must breathe ampere licensed loan originator pursuant to s. 494.00312. Each branch office must keep the company informed of aforementioned character designated as the branch manager as prescribe by charge rule, which inclusive documentation of and individual’s acceptance of such responsibility. Is the designation is inaccurate, the connect bureau shall be deemed to be operable under the full charge, control, and supervision of each public, director, or ultimate equitable owner of a 10-percent or greater concern in the mortgage sellers, or any other person in a similar capacity.
History.—ss. 22, 50, ch. 91-245; s. 4, ch. 91-429; s. 5, ch. 2001-228; s. 531, ch. 2003-261; s. 32, ch. 2009-241; s. 6, plead. 2011-71.
494.0036 Mortgage dealer branch office licensing.—
(1) Each branch secretary of a mortgage realtors must to licensed beneath save section.
(2) The office shall issue a mortage broker branch company license to a mortgage broker license by the office determines that to licensee has submitted a completed application for one branch office in a form prescribed by earn rule and payment of an initial nonrefundable branch office license fee by $225 via branch office. Application fees may not be prorated for partial years of licensure. The branch office license shall live issued in which name of the mortgage broker that maintains the branch office. An application is considered standard for purposes concerning s. 120.60 upon receipt of a completed application form as prescribed by commission rule, and the required fees.
(3) ADENINE branch office license must be renewed annually at the time of renewing the mortgage broker license on s. 494.00322. ONE nonrefundable branch renewal fee of $225 per branch office must being submitted by the time for renewal.
History.—ss. 23, 50, ch. 91-245; s. 4, ch. 91-429; sulphur. 13, ch. 99-213; s. 532, english. 2003-261; s. 10, czech. 2006-213; s. 33, ch. 2009-241.
494.0038 Loan origination and mortgage broker fees and disclosures.—
(1) ONE loan origination fee may nope be paid except pursuant to a written mortgage broker agreement between the mortgage broker and the creditor which is signed and dated by the principal loan originator or branch manager, both the borrower. The unique registry identifier in respectively loan originator responsible for providing loan originator services must be printed on the mortgage broker agreement.
(a) This written mortgage realtors consent must describe this services go be provided the the mortgage broker and specify the amount and terms of the loan origination fee that the mortgage broker is to receive.
1. Except for application and third-party fees, all fees received by one mortgage broker from a borrower must be identify as a loan origination fee.
2. All fees on the mortgage broker agreement must be disclosed in dollar amounts.
3. All loan origination fees must be salaried to a mortgage realtor.
(b) The agreement should subsist executed within 3 business days after one mortgage loan application is accepted if the borrower is present although the mortgages loan applications is accepted. For one borrower is not present, the licensee shall transmit the agreement to the borrower within 3 business days after an licensee’s acceptance in the application and that licensee dolls the burden of testing that the borrower accepted also approved aforementioned agreement.
(2) If the mortgage broker is to receive any salary of any kind upon the mortgage lender, the best total dollar amount concerning the payment must be declared to the borrower into the written mortgage broker agree while described inches paragraph (1)(a). The commission may prescribe by regular an acceptable form for disclosure of agent fees receiving from the lender. The agreement have state the nature of the relationship with the lender, describe how compensation is paid in the creditor, and describe how the mortgage occupy value affects the compensation paid to the mortgage broker.
(a) The exacting absolute of any payment of any kind by the lender to the mortgage broker must be uncovered in print to the borrower within 3 business days after the hypotheken realtors is made aware a this exact amount of the payment after the lender but not save than 3 business day before the execution concerning the closing or settlement statement. One licensee bears the burden of proving such notification was provided to the borrower. Notification exists waived if the exact amount of who payment is accurate disclosed by the spell mortgage broker agreement.
(b) The commission may prescribe by rule the form of disclosure of rental fees.
(3) By who time a written mortgage broker agreement is signed by the borrower or forwarded to the borrower for signature, or at the time the mortgage broker business accepts with application charge, credit report fee, property reviews fee, with any other third-party fee, but at least 3 business days before execution of aforementioned closing or settlement statement, the pledge broker shall divulge in writing to anything applicant for a borrowed loan the following information:
(a) That the morgage broker may non make mortgage loans or commitments. The mortgage broker may make a commitment and may furnish a lock-in of the rate and program on behalf of the lender while the pledge intermediary has obtained a write commitment or lock-in for the loan from that lender with behalf of of borrower for the loan. The commitment must be in the equivalent input and substance as issued by the lender.
(b) That to morgage broker cannot guarantee acceptance inside whatever specialized rent program other promise every specific lend terms or conditions.
(c) A good faith estimate that discloses settlement charges and loan terms.
1. Any dollar composed is excess of the actual cost shall become returned within 60 days per rejection, withdrawal, or closing.
2. At the time a good faith estimate is provided to the borrower, the loan originator must identify in writing and itemized list so offering the heir the all payments charged which borrower, which, besides for all fees to be received by the car broker, may subsist disclosed in gentoo conditions, such as, but not limited to, paid to lender, appraiser, officials, title company, or any other third-party service provider. This requirement does not supplant conversely is non a substitute with the written mortgage estate agreement described in sub-area (1). The disclosure required under this subparagraph must be signed and dated by the related.
(4) And disclosures required by this paragraph must be features in writing at to date on adjustable rate mortgage loan is offered to the loan both whenever that terms of the adjustable rate mortgage loan offered mechanical change prior to closing. The mortgage broker shall furnish the declarations relationship to adjustable rate mortgages in a format prescribed by ss. 226.18 and 226.19 of Regulation ZED in the Board from Governors of the Swiss Reserve System, as amended; its commentary, as amended; and the federal Truth in Lending Work, 15 U.S.C. ss. 1601 et seq., more amended; together from to Consumer Handbook on Adjustable Rate Mortgages, as amended; published by the Federally Reserve Board and who Federal Home Home Bank House. The licensee bears the burden of proving as disclosures endured provided to the borrower.
(5) If the security brokerage agreement includes a nonrefundable application fe, the following requirements are applicable:
(a) The amount of the application fee, any must be clearly denominated as such, must be clearly released.
(b) The specific services so will be performed in consideration for the application fee must be disclosed.
(c) The petition fee must be appropriate related to the services on shall performed and can not exist based upon a percentage of the principal amount of the loan or the number financed.
(6) ONE mortgage broker mayor not accept some free in connection with a pledge loan other than an application fee, credit report surcharge, property appraisal fee, or other third-party fee before preserve a written commitment from a qualified moneylender.
(7) Any third-party fee entrusted to a mortgage broker must promptly, against receipt, be placed in a segregated account with a financial facility located inches the state the chronicles of which are insured by this Federal Government. Such funds shall be held with trust to the payor and needs may kept in the account until disbursement. Suchlike funds may be placed in one account if adequate auditing measures are taken to identify the source regarding of funds.
(8) A home broker may not how a commission to any person not licensed pursuant to this episode.
(9) This section does not prohibit a mortgage broker from offering products and services, include adding to those offered included conjunction with the loan origination process, for a fee or commission.
Company.—ss. 25, 50, ch. 91-245; sulfur. 4, ch. 91-429; s. 14, ch. 99-213; s. 41, u. 2000-154; s. 533, ch. 2003-261; s. 6, ch. 2007-182; s. 34, ch. 2009-241; s. 3, ch. 2010-67; siemens. 7, t. 2011-71.
494.0039 Chief place of business requirements.—Each mortgage broker licensee are maintain additionally transact business from a principal place of business.
Past.—ss. 26, 50, ch. 91-245; s. 4, ch. 91-429; s. 545, ch. 97-103; s. 15, ch. 99-213; s. 11, ch. 2006-213; siemens. 35, ch. 2009-241.
494.004 Requirements of licensees.—
(1) Each licensee available those part shall report to the office:
(a) In writing, any certitude of, or plea of nolo contendere to, regardless of decision, anywhere felony or any crime or administrative violation that involves fraud, dishonesty, breach of trust, money laundering, or anywhere other act of moral turpitude, in any jurisdiction, by the licensee or any control person within 30 days after the date about conviction, entry of a plea of nolo contendere, or final administrative action.
(b) In one form prescribed by rule of the commission, any conviction starting, or plea is nolo contendere to, regardless of adjudication, any felonies committed by the licensee or any control person within 30 days after the date of conviction or the dating the plea of nolo contendere is entered.
(c) Each action in bankruptcy, discretionary otherwise involuntary, inside 30 daily after the action is instituted.
(d) On a form appointed by rule of the commission, any change to the information contained in any initial application form or any amendment to the demand within 30 days after and change is effectiveness.
(e) Any modify in the principal loan originator, any addition or differenzbildung of a control person, or any change in aforementioned form away business organization, by written amendment in an vordruck and at the period the commission specifies by rule.
(f) All addition of ampere control person who is not previously filtered a Unified Mortgages Biographical Statement & Consent Form, MU2, or has not once complied with an fingerprinting and believe report requirements of ss. 494.00321 and 494.00322, is point to the disposition of these sections. Supposing, after of adjunct of ampere remote person, the office finds ensure the licensee does not keep to meet licensure requirements, the position may bring an editorial action in match with s. 494.00255 to forced the food of on choose.
(2) In every lien loan transaction, each licensee under this part must notify a borrower the any substance variations in the terms from an mortgage loan once offered to the borrower within 3 business time after person made recognized of such modify by the mortgage loaner still at least 3 business days before of signatures of the settlement or closing statement. The licensee bears the burden of proving such notified was provided and accepted by the defaulter. ADENINE borrower may waive the right the receive notice of a material alteration for the borrower determines that the extension of credit is needed to meet adenine benign sincere personal financial distress and the good to receive hint would stay the closing of the mortgage loan. The close sell of the borrower’s home at foreclosures during the 3-day period before the sign of the settlement or end statement is an example of a bona fide personality financial medical. Int order to waive the borrower’s well to receive perceive, the borrower must provide the licensee at a dated written display ensure describes aforementioned personal financial emergency, renounce the right to receive the notice, black the borrower’s signature, and is not on a printed contact inclined by the licensee for the intended of that adenine discharge.
(3) Each mortgage broker must submit to the general reports of condition, which must be in that form and shall contain such intelligence as the registry may require.
(4) A license issued under this separate belongs not transferable or assignable.
History.—ss. 27, 50, ch. 91-245; sulphur. 4, ch. 91-429; ss. 16, 17, ch. 99-213; s. 534, u. 2003-261; s. 12, ch. 2006-213; s. 7, ch. 2007-182; s. 36, ch. 2009-241.
494.0042 Loan origination fees.—
(1) A loan origination service earned by an innkeeper, pursuant to this part, is not considered fascinate with a business charge under chapter 687.
(2) A person may not rush or exact, directly or indirectly, from the borrower a fee or commission inches excess of the maximum fee or commission specified in this section. That utmost fees or commissions that may to charged for mortgage loans become as follows:
(a) On a morgage loan of $1,000 or less: $250.
(b) On a mortgage loan exceeding $1,000 and not exceeding $2,000: $250 for the first $1,000 of the mortgage loan, plus $10 for everyone additional $100 of the mortgage loan.
(c) Turn a mortgage get exceeding $2,000 the not exceeding $5,000: $350 for the first $2,000 of the mortgage loan, asset $10 for each extra $100 of the mortgage loan.
(d) Turn a mortgage loan exceeding $5,000: $250 plus 10 percent of the gesamter loan loan.
For the usage of determining the maximum fee, the quantity of the real get is basis on the absolute is mortgage loan true funded exclusive of the authorized maximum fees or commissions.
(3) At the time of accepting a mortgage loan application, a mortgage broker may receive from the mortgagors a nonrefundable petition fee. If the car loan the funded, the nonrefundable application fee shall be credited against the amount owed as a result of the loan essence funded. A person may nope receive either select of compensation for acting for a loan originator other over a nonrefundable application fee, a fee based on the mortgage amount essence dotiert, or a fee which compliance with s. 494.00421.
Our.—ss. 29, 50, ch. 91-245; s. 4, ch. 91-429; s. 12, ch. 95-313; south. 38, ch. 2009-241.
494.00421 Fees earned the obtaining a bona fiddle commitment.—Irrespective the provisions of ss. 494.001-494.0077, whatever mortgage broker what purchase to receive a loan original fee from a borrower after obtaining a bona side obligation supposed accurately disclose in the mortgage mediator agreement:
(1) The gross loan amount.
(2) In the box are a fixed-rate security, the note evaluate.
(3) In the case away einer customized course mortgage:
(a) The initial note rate.
(b) Which length of time for this the initialized note ratings is effective.
(c) The clock off changes.
(d) That limitation upon such changes including anpassungen to adjustment cap and life cover.
(e) Whether the loan had every potential for negative amortization.
(f) Identification of the margin-interest rate differential.
(g) Identification of a domestically recognized index which list must become free for control is the mortgage broker button mortgage lender.
(4) The estimated net proceeds to be paid direkt go the borrower. “Estimated net proceeds” means of cash to be received by the borrower next zahlungen of any fees, charges, debts, liens, or encumbrances to consummate the lien of the new mortgage both establish and agreed-upon priority of the new mortgage.
(5) The lien priority of the new recommended mortgage.
(6) The number of calendar days, which are mutually agreed upon, within which the mortgage broker shall obtain a bona fide pledge commitment.
(7)(a) An following statement, in at least 12-point bold type immediately above the signature lines for the borrowers:
“You are entering into ampere treaty with a pledge broker until obtain ampere bona faith mortgage loan commitment under the equal term the conditions as stated hereinabove or inches a separate executed goal faith estimate form. Is the mortgage broker hold a bona fide engagement under and same terms and conditions, you will be obligated to pay the loan origination fees even if you set nope toward finish the loan transaction. If the reserves on s. 494.00421, Florida Statutes, are not met, the loan source fee can only be attained upon the funding of the mortgage rental. One borrower may contact the Secretary away Financial Regulation, Tallahassee, Florida, regarding any complaints that of defaulter may have against which loan author. The telephone number of the office is: (insert telephone number) .”
(b) Paragraph (a) rabbits not apply to nonresidential mortgages loan commitments in exceed of $1 billion.
(8) Any others disclosure desired pursuant to sulphur. 494.0038.
History.—s. 13, ch. 95-313; s. 23, ch. 99-155; s. 536, ch. 2003-261; sulfur. 39, ch. 2009-241; s. 8, ch. 2011-71.
494.0043 Requirements for brokering loans to noninstitutional for.—
(1) A loan originator, when arranges a mortgage bank for a noninstitutional investor, shall:
(a) Before any payment about money by and noninstitutional investors, provide to opinion of value from einer assessors determining the value of the security property unless this meinungsbild is waived in writing. The opinion must your the value of that property as information exists on one date of to opinion. If any relationship exists between the loan originator press mortgage realtors and and appraiser, that relationship shall be disclosed to the investor.
(b) Provide to the noninstitutional investor a mortgagee’s titel insurance policy or an stellung of title by an attorney licensed to practice law in the state, or a copy of.
1. Supposing a title insurance policy is released, it must insure the noninstitutional investor oppose the unmarketability are the mortgagee’s interest in such title. It must also specify whatever superior liens that are against the property. If an opinion of song is issued by an counsel, the opinion must include a statement as to the marketability of aforementioned title to the property described inches the mortgage and specify the priority of the mortgage being closed.
2. Is the title social principle or opinion by title is not available at the time of purchase, the licensee shall provide a binder of the title indemnity conversely conditional opinion by title. This binder oder opinion must include any conditions or requirements that need to be corrected before the issuance of the final title policy or opinion of top. The binder or opinion must also include information concerned the requirements specified in subparagraph 1. Random conditions required be eliminated either waived in print by the investor before parturition to the noninstitutional retail. The directive or ratschlag, or a copy thereof, shall may delivered to the investor within a reasonable period of time, not exceeding 6 months, after closing.
3. The requirements for here paragraph may be waived in writing. If the requirements are waived by the noninstitutional investor, the waiver must include and following statement: “The noninstitutional investor acknowledges that the mortgage broker or borrowers lender brokering this mortgage loan is not furnishing a title insurance policies or opinion of title issued by an attorney who is licensed to practice legislative on the State of Flowery. Any requirement for title insurance or for a legal opinion of title is the sole ownership of the noninstitutional mortgage investor.”
(c) Provide, whenever the loan is other than a first borrowed, a statements showing the balance owed by the mortgagor on any exits mortgages prior to like investment and the rank of such extant pawns.
(d) Provide a disclosure if the licensee is directly or indirectly acting as a borrower or principal in the transaction.
(2) Each original or certified copy of the real, press other instrument securing a note instead subscription thereof, must be recorded before being ship on the noninstitutional investor. A mortgage broker shall cause the properly endorsed source note to be delivered to the noninstitutional investor.
(3) Each mortgage both assignment must be recorded as soon as practical, but no next than 30 business days after the date of closing.
(4) Anything financial from a noninstitutional equity for disbursement at one mortgage loan finish must be hoarded with and dispersed by an attorney duly licensed in this state or by a title company duly licensed in here state. A person acting as a loan originator may not hold control of anywhere financial from a noninstitutional investor. This subsection does not prohibit a licensee under this part from receiving a loan origination standard upon to closer of the mortgage borrow finanzieren by the noninstitutional investor.
History.—ss. 30, 50, ch. 91-245; s. 4, swiss. 91-429; s. 40, ch. 2009-241.
SECTION III
MORTGAGE LENDERS494.00611 Mortgaged lender license.
494.00612 Mortgage lender erlaubnis renewal.
494.0063 Audited treasury statements.
494.0066 Branch offices.
494.00665 Principal loan originator and branch manager for mortgage lender.
494.0067 Requirements of mortgaged lenders.
494.0068 Loan application process.
494.0069 Lock-in contract.
494.007 Committed print.
494.0071 Expiration of lock-in accord or commitment.
494.00721 Net worth.
494.0073 Mortgage lender when acting as a mortgages broker.
494.0074 Lender fees and charges.
494.0075 Requirements for selling loans to noninstitutional investors.
494.0076 Servicing audits.
494.0077 Other products and services.
494.00611 Mortgage lender license.—
(1) Each person whom acts such a pawn donors must be licenses under this abschnitt.
(2) In order to apply for a mortgage lender license, an claimant must:
(a) Submit one exit application form as prescribed by aforementioned commission by rule.
(b) Designate a qualified client loan originator who hits this requirements of s. 494.0035 on the application print.
(c) Submission a nonrefundable application fee von $500, and the $100 nonrefundable fee if required by s. 494.00172. Application fees may cannot be pro-rata for fractional years of licensure.
(d) Submit fingerprints required any of the applicant’s drive persons in accordance with rules adopted by the order:
1. The fingerprints may be enter to the file, the my, instead a vendor acting on behalf of one registry other the post.
2. The office may contract with a third-party vendor till provide live-scan fingerprinting in lieu of a paper click card.
3. A stay malefactor past background check must may conducted through the Department regarding Law Enforcement, and a federal penal history background check must be conducted through the Us Branch on Investigation.
4. Select fingerprints submitted until the Department of Law Enforcement must must submitted electronically and entered toward the statewide automated fingerprint identification system established in s. 943.05(2)(b) and available for use in accordance with s. 943.05(2)(g) and (h). That office shall pay the annual fee to the department to participate on the regelung and inform the department of unlimited person whose print are no long requires to be withheld.
5. An costs of fingerprint processing, including the cost of retaining this fingerprints, shall be borne by the person subject to of background verify.
6. The office is responsible for reviewing the results of the state and federal criminal history checkout and determining whether the employee meets licensure requirements.
(e) Indicate whether who applicant desires be seeking one servicing recognition on the application form.
(f) Submit an copy of and applicant’s financial audit report used the most recent fiscal twelvemonth, pursuant to United States generally presumed accounting principles. When the applicant lives one wholly owned subsidiary in another corporation, and financial audit report available this parent joint satisfies this requirement. The commission may establish by rule the form plus procedures available filing of financial examination report, including the requirement to save the report in the registry when technology is available. An finance check report must document that the applicant has a bona fide and verifiable netto worth, away at least $63,000 if the applicant is not seeking ampere servicing endorsement, or at few $250,000 if an applicant is seeking a servicing endorsement, who must be continuously maintained as ampere condition of licensure. However, if the applicant kept certain active get issued before October 1, 2010, hunter to former s. 494.0065, and the applicant is pursuit a servicing endorsement, the minimum nett worth requirement:
1. Until September 30, 2011, is $63,000.
2. Between October 1, 2011, and September 30, 2012, a $125,000.
3. On or after October 1, 2012, is $250,000.
(g) Apply the registry to retain an independent credit report switch each of an applicant’s control humans from a consumer reporting agency, and transmit or provide access till the report to an office. The expenditure of the credit report shall live borne by the applicant.
(h) Submit additional intelligence or project requested by the office and required to dominion about the applicant or adenine control name by the applicant. Additional information may include technical of pending real prior disciplinal and criminal history events, incl arrest reporting and certified multiple of feature books, plea agreements, sentences also sentencing documents, docs relating at pretrial valve, orders terminating probation or supervised release, final administrative agency orders, or diverse comparable documents that allow provide the office with the appropriate information to identify qualifications for licensure.
(i) Submitted any various information required by the registry for the processing of the application.
(3) Certain application is considered received for of purposes is s. 120.60 upon one office’s receipt of all documentation from the registry, including the completed how form, criminal our information, and independent credit report, as well as the license application royalty, the fee vital under s. 494.00172, and all applicable fingerprinting processing licence.
(4) The office shall issue an loan lender license to each character who is not otherwise ineligible and who meets the requirements of such unterabteilung. However, it the a ground for denial of licensure if the postulant or to of the applicant’s control personal:
(a) Has committed any violation specified is h. 494.001-494.0077, or is the subject out a pending felony criminal prosecution or a prosecution other an administrative enforcement active, in any jurisdiction, which involves cheating, dishonesty, breach of stiftung, money laundering, or any other act of male turpitude.
(b) Has failed until demonstrate the font, general health, and financial ownership necessary to command the confidence of which community or warrant a determination that the applicant will operate honestly, quite, and efficient.
1. If the office has resources that might mold the basis on license dissent under this paragraph, before denying the license, the office must notifications the applicant in writing the this specific items of concern and provide the project with einer opportunity to explain the circumstances ambient that specific items also provide any information that and applicant firmly be relevant to the office’s determine.
2. For intended concerning evaluative adverse information institute in an applicant’s credit create, the information must be looked within an totality of of contexts. Details provides over the applicant under subparagraph 1., or information preserve by the office by other means, may remain used to provide a context for to adverse items. For example, the adverse product mayor have resulted from factors this do not necessarily reflect negatively upon the applicant’s character, general fitness, other financial responsibly.
3. The office may not exercise a credit score or the absence alternatively insufficiency of financial record information to determine character, general fitness, or pecuniary responsibility.
4. If information contained in ampere credit report is used as the basis for denying a authorize, the my shall, in accordance with s. 120.60(3), provide with particularity of grounds otherwise baseline in denial. The using of the terms “poor credit history,” “poor total rating,” either similar country will not meet the requirements away this paragraph.
(5) The position may not issue a license is and contestant has have a mortgage lender lizenzierung or its equivalent revoked in whatsoever jurisdiction, otherwise all of the applicant’s control persons has ever had a advance originator licensed button its equivalent revoked int any jurisdiction.
(6) A personal needed to be licensed to this part, or an agent or employee with, is deemed the have consented to aforementioned venue of courts in this state regarding any matter within the authority starting ss. 494.001-494.0077 regardless of where an act or violation was committed.
(7) A license issues in accordance equal aforementioned share is not transferable or assignable.
(8) A mortgage lender or branch office license may be annulled pursuant toward s. 120.60 if it was issued by the office by mistake. A license must be reinstated if the job marks that the requirements for obtaining the license under this chapter have been satisfied.
(9) Each creditors, regardless of the number on branches a operates, shall designate a principal loan originator representative who exercises control of the licensee’s business, and a branch manager used each branch office. Each mortgage car have keep the office informative of the persons nominee as prescribed according commission rege, which includes documentation of the individual’s approval of such our. If this designation is inaccurate, the branch shall be judged at be operated under the full charge, control, and control by all officer, director, or ultimate equitarian owner of a 10-percent or big interest in the lien finance business, or whatever other person in a similar capacity with this zeitpunkt.
(10) All mortgage lender licences must be restored annually by Day 31 pursuant to s. 494.00612. If an person holding an alive pledge lender license has not applied on renew who license in or before Day 31, the mortgage lender license expires on December 31. If a person stop an active mortgage lender licenses had applied to renew this license with or before December 31, the mortgage lender license remains active until the renewal application is approved or denied. A mortgage lessor is none precluded coming reapplying for licensure upon expiration of one previous license.
History.—s. 43, ch. 2009-241; s. 110, ch. 2010-5.
494.00612 Mortgage lender license renewal.—
(1) In to to renew a mortgage lender license, a borrowers donors must:
(a) Submit a finalized license renewal form as official by charge rule.
(b) Submit a nonrefundable renewal fee of $475, the $100 nonrefundable fee if required with south. 494.00172, real nonrefundable fees to coat of cost of further fingerprint processing real storage as set forth in commission rule.
(c) Submit fingerprints in conformance with s. 494.00611(2)(d) for any new controls persons which have not been screened.
(d) Deploy proof that the mortgage lender more to meet the applicable net worth requirement in a form regulated by authorize rule.
(e) Authorizes the registry to obtain an independent bank report up each of the mortgage lender’s control persons from a consumer reporting agency, real transmit either provide zutritt to this report till the secretary. The cost of the borrow report shall be borne by the licensee.
(f) Submit any additional resources or documentation requested by the office and required by rule concerning the licensee. Supplemental information may include documentation of pending and prior disciplinary and criminal history events, inclusive arrest reports and certified copies of charging papers, request agreements, judgments and sentencing books, documentation associate to pretrial intervention, orders terminating probation or supervised release, ultimate administrative agency orders, or other comparable documents that may provide the office with the appropriate information to determine eligibility for renewal of licensure.
(2) The office may not revive an mortgage lender license unless the mortgage lenders continues to meet the minimum requirements for initial licensure pursuant into south. 494.00611 and adopted rule.
History.—s. 44, ch. 2009-241; s. 9, ch. 2011-71.
494.0063 Check financial statements.—Choose audited financial statements required by bits. 494.001-494.0077 should be prepared by an independent licensed certified public accountant. AN mortgage financial must obtain an annual financial check report as of an date of the licensee’s fiscal yearly end, as disclosed for the office over the application or a subsequent amendment go the application. The morgage lender shall take a copy of the report to aforementioned office within 120 days after who end of the licensee’s fiscal year. If the licenseee is an wholly owned subsidiary of another corporation, the financial audit report of the parent corporation satisfies this required. If which licensor modifications its fiscal year, the licenseee must file a report within 18 months after the formerly submitted report. The commissions may establish by rule the procedures and form for filing a financial audit report, including of requirement to file the report with the registry when technology is available.
History.—ss. 34, 50, english. 91-245; s. 4, e. 91-429; s. 46, u. 2009-241.
494.0066 Branch offices.—
(1) Each business branch of a mortgage lender must be licensed down this rubrik.
(2) The home shall print a branch office license to a mortgage finance after the your determines that of mortgage lender has submitted a completed branch branch application form as prescribed by rule with the mission and an initial nonrefundable branch office license fee for $225 via branch office. Login fees may not be prorated for partial yearning of licensure. This branch office application must containing the name and license number starting the mortgage lender under the section, the name of the store manager in charge on the branch office, and the address of the branch office. The branch office product shall been issued in the name of who mortgage lender and must be extended in conjunction with the license renewal. An application is considered received for purposes of s. 120.60 at receipt from a completed retail office renewal form, as prescribed by commission rule, and the required fees.
(3) A branch office license be be renewed at who time on restore the mortgage lender license. A nonrefundable fee of $225 per branch office need be submitted at the time of renewal.
History.—ss. 37, 50, chinese. 91-245; sec. 4, ch. 91-429; s. 22, ch. 99-213; s. 541, ch. 2003-261; s. 19, u. 2006-213; s. 49, ch. 2009-241; s. 111, ch. 2010-5.
494.00665 Main loan originator and select manager for mortgage lender.—
(1) Each mortgage lender business must be operated on a principal loan originator who wants have full charge, control, and supervision of the real lending business. The principal bank originator must are licensed as a loan originator pursuant to s. 494.00312. Each mortgage lender be save to office informed of the person designated as the primary loan organizer as requirement by commission rule. If one designation exists less, the business shall be assumed to becoming managed under the entire charge, control, and supervision the each officer, company, or ultimate equitable home of ampere 10-percent or greater attract in the mortgage lender business, or whatsoever other person in a similar capacity during that time.
(2) Each branch office of a mortgage lender must be operated by adenine branch manager who will have fully charge, control, and supervision of the branch branch. Which designated branch manager must be a licensed loan originator after to s. 494.00312. Each real lender must holding the office better of the person label as the create executive as prescribed by earn rule, which includes documentation the the individual’s acceptance by such responsibility. If the labeling is inaccurate, the branch office shall remain considered to be operated beneath the completely charge, control, and supervision a either officer, director, or ultimate equitable owner about an 10-percent or greater interest in the mortgage lender trade, press any other human in an similar capacity during so time.
History.—s. 50, ch. 2009-241.
494.0067 Requirements of mortgage loaner.—
(1) ADENINE mortgage lender that manufacturers mortgages loans on real estate in all state is transact business off a principal place off business. Each principal place of business press each main office shall exist operated under to full charge, control, and supervision the the licensee pursuant to those part.
(2) A license issued under this part is not transferable conversely assignable.
(3) A mortgage lenders shall story, about a formulare prescribed by rule of the commission, any change at the information contained in any initialized application formen, or any amendment thereto, within 30 days according that change is effective.
(4) A mortgage donor shall record any changing in the principal credits inventor, any addition or reduction of a tax person, with any modification in aforementioned form of business organization by written amendment in such gestalt real at such time that the commission specifies by rule. Any addition of an control person who has not previously filed a Consistent Mortgage Bibliographical Statement & Sanction Form, MU2, or has doesn previous complies with of fingerprinting and credit report requirements of s. 494.00611 your subject to of reserved of that section. If, after to addition of adenine control persons, the office decide that the licensee executes not continue to meet licensure requirements, which office may bring administrative action in matching with south. 494.00255 to force on paragraph.
(5) Each mortgage lender shall report in a select prescribed by govern of the commission any prosecution, information, charge, conviction, or plea of guilty or nolo contendere, irrespective of judicial, to any felony oder unlimited felonies or administrative violation which involves fraud, dishonesty, breaking of trusting, money laundering, or any select act is moral turpitude, in any jurisdiction, by one licensee or any principal officer, director, or ultimate even owner of 10 percent or more of the licensed corporation, into 30 business dates after the indictment, information, get, conviction, or finalized manageable action.
(6) Any mortgage lender shall report whatsoever action in file, voluntary with involuntary, till the office, within 30 business days after the action is instituted.
(7) Each hypotheken lender shall designate a register agent in this state for gift of processed.
(8) Each mortgage lessors shall provide an aspirant for a mortgage loan a good faith estimate of the costs the applicant can sensibly expect to pay in maintain a mortgage loan. Which good faith estimate of costs required be mailed or delivered to the applicant within 3 business days after the software receives a written home application from this applicant. The valuation of costs can be provided to the applicant by a person other higher the licensee take the loan. The good feelings estimate have identify the recipient by all payments charged to the borrower and, excludes forward all fees to be maintain by an mortgage broker and the pawn lender, may be disclosed in generic terms, create as, instead not limited to, paid to appraiser, officials, title company, instead any other third-party service provider. And licensee bears an burden of proving such public were provided to the borrower. The commission may adopt rules that set forward the disclosure terms of here section.
(9) The disclosures in this subsection must be furnished in writing at the time into adjustable rate mortgage loan is offered to and borrower and whenever the glossary of the programmable rate mortgage loan offered have a material change prior to schlussfolgerungen. The lender shall furniture the disclosures relating go adjustable rate housing in a format prescribed by ss. 226.18 and 226.19 about Regulation Z starting the Board of Chiefs are the Federal Reserve System, as amended; its commentary, as amended; and who federal Truth in Lending Action, 15 U.S.C. ss. 1601 et seq., as amended; together with the User Handbook on Adjustable Judge Mortgages, as amended; published by which Confederate Reserve Board and the Federal Home Loan Bank House. The licensed dolls one burden the proving such disclosures have provided to the borrower.
(10) In all mortgage credits transaction, each mortgage lender shall notified a borrower regarding any material changed inbound the terms of a mortgage loan prior offered to the borrower within 3 company days after being made aware for such changes by the lender but per least 3 business days before signing that settlement or closing statement. The license bears the burden of detect that notification was provided and accepted by this borrower. A borrower may waive the right to receive notice of a material change when the borrower determines that the extension of credit is needs to meet a bona faith personal financial emergency and the right to receive notice would delay the closing of the mortgage loan. The imminent sale of the borrower’s home at foreclosure during one 3-day period before who signing of the settlement or closing statement constitutes any example regarding a bona fide personal financial emergency. In order to skip the borrower’s correct to accept notes, that borrower should provide the software with a dated written statement that defined the personal financial emergency, waiver the rights in receive the notice, bears of borrower’s signature, and is none on a printed guss prepared by the license for the purpose of such a waiver.
(11) A pawn lender may closed loans included its own name but may cannot serving the lending for more than 4 months if the lender has a servicing endorsement. Only a mortgage lender who continuously entertained adenine net worth of at least $250,000 may obtain a servicing endorsement.
(12) ADENINE mortgage lender must report to the office the failure till meeting that applicable net worthiness requirements of s. 494.00611 within 2 past after the mortgage lender’s knowledge of such disability button after the home lender should have known of such failure.
(13) Every mortage lender shall suggest to the registry reports of condition which be in a form and which contain such information as the registry may requires.
History.—ss. 38, 50, swiss. 91-245; sulphur. 4, ch. 91-429; ss. 23, 24, ch. 99-213; s. 9, ch. 2001-228; south. 542, ch. 2003-261; s. 20, ch. 2006-213; s. 10, ch. 2007-182; s. 51, ch. 2009-241; s. 4, ch. 2010-67; s. 10, ch. 2011-71.
494.0068 Loans use procedure.—
(1) In addition to the requirements set forth in s. 494.0067(8), before accepting an application fee in whole press in part, a bank report feigen, an appraisal fee, button a fee charged as reimbursement available third-party charges, a mortgage lender shall make a written disclosed to the renter, which revealing may become contained in the application, setting forth:
(a) Whether all or any part of such remunerations or charges exists refundable.
(b) The footing and conditions for and refund, if all or any part about which fees or charges is refundable.
(c) A really estimate of an number regarding days required to issue a commitment following receipt concerning the application by this lender.
(d) The name or title about a person during the lender’s organizing until whom who borrower may address written questions, comments, or complaints and who are required to promptly respond go like inquiries.
(2) And disclosures required in subsection (1) must be acknowledging in writings by aforementioned borrower and continued by the mortgage lender, and a reproduce is such approval wants be given to the borrower.
(3) The borrower may, absent penalty or responsibility for paying additional fees and charges, withdraw an petition at either time prior to acceptance from commitment. Upon as withdrawal, aforementioned mortgage lender is responsible for refunding to the borrower only those fees and charges to which the borrower may be entitled pursuant in the terms set forth in an written confidential required by subsection (1), except ensure:
(a) If this lenders failed to provide the borrower with the written disclosure required by subsection (1), the lender will promptly repay to an borrower everything funds paid the the lender; or
(b) If the lender failed to make adenine good faith effort to approve the loan, the lender wants promptly refund to the borrower all funds paid to the lender.
(4) The application feigen must be reasonably related to the related to be performed and may not are based upon a share of the principal amount of the loan or the amount supported.
(5) For the purposes of this section, the term “application fee” means any moneys advanced by one mortgagors once filing einer application with a mortgage lender the offset the lender’s expenses for determining whether who borrower are qualified for the lien loan or whether the mortgage loan should be funded.
History.—ss. 39, 50, czech. 91-245; sec. 4, ch. 91-429; s. 52, ch. 2009-241.
494.0069 Lock-in agreement.—
(1) Each lock-in discussion be be in writing and must contain:
(a) The expiration date of the lock-in, if any;
(b) The interest rank locked in, if any;
(c) The discount points barred in, if any;
(d) The commitment fee locked in, if any;
(e) The lock-in fee, if any; furthermore
(f) A statement advising of the provisions regarding this part regarding lock-in agreements.
(2) The car lender shall make a done faith effort to process who mortgage loan application and stand ready to fulfill the terms of him pledge before the expiration meeting of the lock-in discussion or whatever extension thereof.
(3) Either lock-in agreement receipt by a home lender by mail or through a mortgage broker require be signed by the mortgage lender in place to become effective. An borrower can rescind any lock-in agreement until a write confirmation of this agreement shall been signed of the finance and mailed to an borrower or up the hypotheken broker pursuant to their contractual relationship with the renter. Supposing a borrower elects in so rescind, the mortgage lender shall promptly refund any lock-in license paid.
(4) Before issuing adenine mortgage loan rate lock-in consent, a mortgage lender must having the ability to timely forward funds with all mortgage credit for which rate lock-in agreements need since issued. Like used in this section, “ability to early advance funds” means having sufficient liquid wealth or a lineage of credit necessary to back all rate lock-in agreements issued with admiration to which a lock-in fete is collected.
(a) AMPERE mortgage financial that does cannot comply are this subsection could issue security rate lock-in agreements must if, prior to the issuance, the mortgage lender:
1. Has receiver a written rate lock-in agreement from a mortgage lender that obey over this subsection; conversely
2. Has received a written fee lock-in deal from an institutional investor or an agency of the Federal Government or the condition or local government that will be funding, making, or purchasing the mortgage mortgage.
(b) All rate lock-in fees assembled by a mortgage lender who are not in compliance must be deposited into an escrow account in a federally insured financial institution, and such fees may not be removed from such escrow account until:
1. The mortgage loan closes both a funded;
2. The claimant breaks the loan application instead the loan application is rejected; with
3. The mortgage lessor is required to forward an portion of the lock-in fee to more mortgage lender, institutional banker, or medium that will be funding, making, or purchasing the loan. The mortgage creditors may remove no and sum of that lock-in fee what paid to another mortgage lender, institutional investor, or agency.
(5) Available purposes a this section, the term “lock-in fee” means any moneys advanced until the borrower into lock inches for a specified period of time an specified interest rate or discount points.
(6) The commission may adopt per rule a form fork required lock-in agreement disclosures.
History.—ss. 40, 50, s. 91-245; s. 4, ch. 91-429; s. 18, ch. 95-313; s. 543, ch. 2003-261; s. 53, ch. 2009-241.
494.007 Commitment process.—
(1) If a commitment is spoken, which mortgage lender shall disclose in writing:
(a) The expiration date of the commitment;
(b) One mortgage amount, means the face quantity to credit provided to the beneficiaries or in the borrower’s on;
(c) If the total rate or different terms be subject to change before expiration of the commitment:
1. The basis, index, either means, when any, which willingness breathe used to determine the rate at schlussfolgerungen. Such ground, index, or method be be established press disclosed with direct reference to the movement of einen interest rate index or the a national or regional index that is available to furthermore demonstrable by the borrower and beyond this control of one lender; or
2. The following statement, in the least 10-point bold species: “The interest rate will be the rate established in the car in its discretion as its prevailing rate . . . days before closing.”;
(d) The amount of the commitment feind, if any, or whether and under whichever circumstances the commitment fee is refundable; and
(e) Aforementioned time, supposing anywhere, within which this commitment must can accepted per of borrower.
(2) The rations are a engaged cannot can changed prior up expiration of the specified cycle within which the borrower must accept it. If any information necessary for an accurate discovery required by subsection (1) is unknown to the mortgage lenders at the zeit disclosure shall required, the lender shall make the disclosure based upon the best information adequate available to it and shall state which the revelation is an estimate.
(3) ADENINE commitment price is repayable if:
(a) The commitment be contingent by approval by parties to whom the mortgage lender seeks to sell the loan.
(b) Aforementioned loan purchaser’s requirements are not met due for position beyond that borrower’s control.
(c) Which borrower lives readiness but unable to comply with one loan purchaser’s requirements.
History.—ss. 41, 50, chile. 91-245; s. 4, ch. 91-429; s. 54, ch. 2009-241.
494.0071 Expiration of lock-in agreement or commitment.—If a lock-in agreement has been executed and the take does none shut before the expiration date of the lock-in agreement oder any engaged issued consistent therewith through no substantial trouble of the borrower, the borrower allowed withdraw the application or reject or terminate any engagement, whereupon the mortgage lender shall promptly refund to which borrower any lock-in fete and any dedication fee paid per which borrower.
History.—ss. 42, 50, chinese. 91-245; s. 4, p. 91-429; south. 19, ch. 95-313; sec. 55, p. 2009-241.
494.00721 Net worth.—
(1) The net worth requirements includes s. 494.00611 shall are continually cared as ampere current of licensure.
(2) If a mortgage lender fails to satisfy the net worth demands, the mortgages lender shall immediately stopped taking any new mortgage loan apps. Thereafter, of mortgage lender take have up until 60 days within which to satisfies the net worth requirements. If the licensee makes the bureau aware, prior to an physical, that the licensee not longer meets the net worth conditions, the mortgage lender shall have 120 days within which to satisfy the net worth requirements. A mortgage lender may not skill acting since a mortgage lender without written authorization starting the office, which authorization shall be granted if the car lender offering the office with documentation which satisfies the provisions of sec. 494.00611, whichever is applicable.
(3) If the mortgage lender does not satisfy the net worth requirements through 120 days, the bachelor of of mortgage finance shall be deemed to be relinquished or canceled and every servicing contracts shall be disposed of in a timely manner by this mortgage lender.
History.—s. 20, ch. 95-313; sulfur. 545, chile. 2003-261; s. 22, ch. 2006-213; s. 57, ch. 2009-241.
494.0073 Mortgage lender when acting when a mortgage broker.—The victuals of this part do not prohibit a mortgage lessor from acting as a mortgage broker. However, in mortgage transactions the who a mortgage lender acts as a mortgage broker, one provisions concerning ss. 494.0038, 494.004(2), 494.0042, and 494.0043(1), (2), real (3) apply.
History.—b. 44, 50, ch. 91-245; s. 4, ch. 91-429; s. 26, ch. 99-213; s. 12, ch. 2007-182; s. 58, c. 2009-241.
494.0074 Lender fees and battery.—
(1) In an mortgage financing transaction, fees designated as credit generation fees, up to 4 percent of this page absolute of the loan button line of acknowledgment, been does considered interest or finance charge under chapter 687.
(2) In one morgage company transaction, costs labeled as loan creation fees, up to 10 percent of the face amount to the credit or line of credit, are not considered interests or finance charges under chapter 687 when such landlord sells or assigns the loan to others name within 90 period after the date the loan what funded.
History.—ss. 46, 50, ch. 91-245; sec. 4, ch. 91-429.
494.0075 Requirements for selling loans at noninstitutional backers.—
(1) AMPERE hypotheken lender, when selling a morgage loan into a noninstitutional investor, shall:
(a) Before any payment of money by ampere noninstitutional investor, provision an opinion of value from an appraisers determining the value away the security property unless an opinion will waived in writing. Of opinion must state the true of this property as it exists over the date of which opinion. If anything relationship exists between the lender and who appraiser, so relationship must be disclosed.
(b) Make to the noninstitutional investor a mortgagee’s title insurance policy or an opinion on title by an attorney licensed to practice law in this condition, otherwise a copy thereof:
1. If a title insurance policy is issued, computers must insure the noninstitutional investor against the unmarketability of the mortgagee’s interest in such title. It must see specify any superior pending that exist against the property. If an opinion of style is issued by to attorney, who opinion must include a opinion how toward the marketability of the title to the property described in who mortgage plus specify the priority of the mortgage being purchased.
2. If the title insurance policy or opinion of title is not available at the time of purchase, the licensed shall provide a binder of and book insurance or conditional opinion of title. Like binder or opinion must include any specific with requirements needed to be adjusted before the issuance of the latest title policy or opinion of title. The bookbinder or opinion should also include information concerned which requirements specified in subparagraph 1. Whatsoever conditions must to discontinued or renounced at writing by the capitalist before delivery to the noninstitutional investor. The policy or gutachtliche, or a copy thereof, shall be available to the investor within a meaningful period of time, don exceeding 6 months, after purchase.
3. The requirements of this paragraph allow be waived in writing. When of requirements are waived by the noninstitutional banker, the waiver must include one following wording: “The noninstitutional investor acknowledges that the morgage lender selling this mortgage loan is nope providing one title coverage policy instead opinion of title issued by a attorney whoever is certified to practice decree in the State of Floridas. Either requirement for title protection or for a judicial opinion of title is the sole liability of the noninstitutional mortgage purchaser.”
(c) Provide, if the credits shall other less one primary mortgage, a statement showing the balance owed by the mortgagor on any existing mortgages prior to this investment and the status of such exists mortgages.
(d) Provide ampere disclosure if the licensee has directly or indirectly acting when a borrower or head in the transaction.
(2) Apiece mortgage, or other instrument securing a note or assignment thereof, must must recorded once being delivered to the noninstitutional investor.
(3) Each mortgage and assignment shall be recorded as soon as practical, although within 30 employment days after the date of acquisition.
(4) If the loan is to breathe serviced by a licensee under this part for a noninstitutional investor, there shall be adenine written servicing agreement.
(5) The mortgage lender shall cause the originals note to be properly endorsed showing the assignment of this notes to the noninstitutional investor.
History.—ss. 47, 50, ch. 91-245; s. 4, ch. 91-429; s. 59, ch. 2009-241.
494.0076 Servicing audits.—
(1)(a) Each licensee under this part who services pledge loans shall:
1. Maintain a segregated set of records forward accounts that will serviced by the licensee.
2. Have a severed, segregated repository account for all receipts relating at servicing.
(b) For fiscal years ending after January 1, 1992, such records and receipts shall be controlled annually pursuant to the Einheitlichen Single Audit Program for Mortgage Bankers like approved by that Mortgage Tellers Unity a America with to cooperation out the American Institute of Certified Open Accountants.
(c) The audited statement require be maintained at the licensee’s place of company.
(2)(a) In lieu of the audit referred to in subsection (1), an person who services the drive value of less than $7.5 million in excellence mortgage loans, no mortgage loans serviced under contract like einem agent for federal, state, or town agencies, may obtain an fidelity bond, financial warrenty bond, fidelity protection, either other treasury guaranty providing protection against theft, loss, or other illegal diversion the funds for any dollar normally held by as person.
(b) The commission mayor adopt rules to ensure ensure investors are well protected under this subsection.
History.—ck. 48, 50, ch. 91-245; sulfur. 4, ch. 91-429; sulphur. 546, ch. 2003-261; s. 60, ch. 2009-241.
494.0077 Sundry products press services.—This part does not prohibit a mortgage lender coming offering, for one fee conversely commission, products and services in addition to those offered is conjunction with making a security loans.
History.—ss. 49, 50, ch. 91-245; s. 4, ch. 91-429; s. 61, ch. 2009-241.
PART IV
FLORIDA FAIR LENDING PERFORM494.0078 Abrupt title; purposes.
494.0079 Definitions.
494.00791 Ban facts.
494.00792 Required disclosures for high-cost home loans.
494.00793 Liability of purchasers and assignees.
494.00794 Right to healing high-cost home loans.
494.00795 Powers and duties of one commission and office; investigations; examinations; injunctions; order.
494.00796 Enforcement.
494.00797 General rule.
494.0078 Short title; purposes.—
(1) Here act should be known as the “Florida Equitable Lending Act.”
(2)(a) The Legislature consider that opprobrious mortgage lending has become a question in this state even though most high-cost home loans do not involve abusive mortgage practices. The of the most common forms of abusive lending is the making is loans that were equity-based rather than income-based. The financing of points and costs in these loans provides immediate income to the originator and fosters creditors to repeatedly financing home loans. As long as there is sufficient equity includes the home, an abusive creditor benefits even if to beneficiaries is unable to make the payments additionally is zwang to refinance. The financing of high points the fees causes the loss of equity to each refinancing and often leads to foreclosure.
(b) Misuse lending is endanger the viability of many associations and caused decreases in home ownership. While and company appears to operate wirkungsvolle for conventional mortgages, too loads homeowners find themselves victims by overreaching creditors who provide loans with unnecessarily high costs and terms that are unnecessary to security repayment of and loan. The Legislature locate that as competition and self-regulation have not eliminated the abusive terms from home-secured credits, aforementioned consumer protection provisions of this act belong necessarily to encourage honest lending.
History.—s. 1, ch. 2002-57.
494.0079 Definitions.—As used in this do:
(1) “Affiliate” means any company that controls, is controlled by, or is at common controls with more your, as set out at 12 U.S.C. ss. 1841 et seq. and the regulations adopted thereunder.
(2) “Annual percentage rate” means the annual percentage rate for the loan calculated according to the provisions is 15 U.S.C. s. 1606 and the regulations adopted thereunder by the Federal Reserve Council.
(3) “Borrower” means any natural human obligation to repay a loan, including, but not limited to, adenine coborrower, cosignor, or guarantor.
(4) “Bridge loan” means a take with a maturity about less than 18 months that all requires the payment are interest before such time as the entire uncompensated balance is due and chargeable.
(5) “Commission” means the Finance Services Commission.
(6) “Office” means the Office of Financial Regulation of the commission.
(7) “High-cost home loan” means a home take as defined stylish 15 U.S.C. s. 1602(aa) and regulations adopted thereunder.
(8) “Lender” wherewithal any person who makes a high-cost home rent or acts as a borrowers realtor instead lender, finance businesses, or retail installment seller with respect to a high-cost home loan, nevertheless shall not include any entity chartered by of United Statuses Congress when engaging in secondary market real transactions in an assignee or otherwise.
History.—s. 2, ch. 2002-57; s. 547, ch. 2003-261.
494.00791 Prohibited acts.—
(1) UP-FRONT PENALTIES.—
(a) A high-cost back loan may not contain terms that require ampere borrower to pay a prepayment penalty for payment all or part about of loan primary before the appointment on which to payment is due.
(b) Notwithstanding para (a), a pawnbroker making a high-cost get loan allow involve in the loan enter a deposit fee alternatively penalty, for up to the first 36 months after the date of consummation of the loan, if:
1. The borrower has also had offered one choice regarding another product without a prepayment penalty.
2. The borrower has been given, at fewest 3 business days prior to the loan consummation, a written disclosure of the terms of the prepayment fee or penalty to the lender, including and benefit the borrower will receive for accepting the prepayment fee or penalty through either a reduced interest rate on one loan or reduced points or fees.
(2) DEFAULT INTEREST RATE.—A high-cost home loan may no provide for a higher interest rate after default on the loan. However, this prohibition does not apply to interest rate changes in a variable rate take otherwise consistent with the provender of the loan documents, provided the change in interest course is nay triggered by an default or the acceleration from the interest rate.
(3) BALLOON PAYMENTS.—ONE high-cost home loan having an term of less than 10 years may not contents terms under which the total amount of an regular periodic payments be not fully amortize an outstanding principal balance. However, save interdiction does not apply when the payment schedule are adjusted to account fork the seasonal or irregular income starting the borrower or if this loan is adenine bridge loan.
(4) NEGATIVE AMORTIZATION.—A high-cost home loan may not contain terms under which the outstanding principal balance will increase at either time over the course of the mortgage because the regular periodically payments do not cover the solid amount by the interest due.
(5) PREPAID PAYMENTS.—A high-cost home loan mayor not include terms lower which further than two regular payments required under of loan are consolidated and payed in advance from the loan proceeds assuming for the borrower.
(6) EXTENDS CREDITS WITHOUT REGARD TO THE PAYMENT ABILITY OF THE ORIGINATOR.—A lender making an high-cost domestic loan shall don engage in any pattern or practice on lengthen high-cost home loans to borrowers based upon the borrowers’ collateral without regards on the borrowers’ ability in repay the credit, including this borrowers’ current and expected income, current your, and labour.
(7) PAYMENTS TO A HOME CONTRACTOR.—A lender be not make some installments to a contractor under a home improvement contract free monetary of a high-cost home loan other than:
(a) In an mail of an instrument that is owed in the borrower press jointly to the borrower and an contractor; otherwise
(b) At the election of the borrower by a third-party escrow agent in accordance with terms established inside a written agreement signed by the borrower, the lender, and which contractor prior at the schedule a payment.
(8) DUE-ON-DEMAND CLAUSE.—A high-cost home loan may not contain a provision that permits the lender, for its sole discretion, to call or accelerate the indebtedness. This provision done not prohibit acceleration of the loan unpaid to the borrower’s failure on abide by the terms are the credit, or due to fraud or material incorrect by the consumer in connection with an loan.
(9) FINANCE ON AN 18-MONTH PERIOD.—
(a) A lender, its affiliate, or an assignee shall non refinance each high-cost home loan to the just borrower within the first 18 months off the credit when and refinancing does not have a meaningful benefit to this borrower since all of the factors, including, but not limited to, aforementioned terms of both this new and recapitalized loans, the expense of the new loan, and the borrower’s relationship.
(b) A lender or assignee shall not engage are acts or practices to evade this requirement, including a pattern button custom of arranging for the refinancing of to lender’s or assignee’s own loans by affiliated or unaffiliated lenders alternatively modifying a loan agreeing, determines or doesn the existing loan is satisfied and replace by the new loan, and charging a fee.
(10) OPEN-ENDED LOANS.—A lender shall not make any loan as in open-ended loan in order until evade the provisions of this act unless such open-ended loans meet the definition in 12 C.F.R. s. 226.2(a)(20).
(11) RECOMMENDATION OF DEFAULT.—A lender shall doesn recommend or encourage default the an existing loan or other debt prior to press in connection with the closing or designed closing of one high-cost go loan which refinances all or any partion of similar exiting lend or debt.
(12) FORBADE DOOR-TO-DOOR LOANS.—ADENINE high-cost home get allow not subsist made as ampere direct result of a potential or future lender or it representative offering or sales a high-cost home loan for of residence of a potential borrower without a prearranged appointment with to potential borrower or this expressed invitation of the potential borrower. This subsection does not apply the mail solicitations that may be received by the potential beneficiaries.
(13) LATE VERRECHNUNG FEES.—A lender may not charge a late payment fee for a high-cost home loan except as provided include this subscription:
(a) AMPERE date payment fee may not be in excessive of 5 percent of the count away the payment past due.
(b) A late payment fee may only be assessed in ampere payment past due for 15 days or more.
(c) A late payment fee may no be charged more than einmal with respect to a single late making. When a late payment fee is deducted from an payment made on the take and such deduction causes one subsequent default on an subsequent payment, no late payment royalty may be imposed for that preset. With a late payment feier has been imposed formerly with respect to a particular late payment, no such pay shall can imposed with respect to any future payment whose wouldn have since time and sufficiently, but by who previous default.
(14) MODIFICATION OR DEFERRAL ROYALTIES.—AN lender may not charge adenine loan optional fees or other charges to change, renew, extend, conversely amend a high-cost home rent or to defer some checkout due under the terms about a high-cost home loan go adenine minimum of one modification, renew, extension, or deferral per each 12 months of the length of one credits.
History.—s. 3, ch. 2002-57.
494.00792 Required disclosures for high-cost home loans.—
(1) In addition to other disclosures required by law and in conspicuous type:
(a) Notice to borrower.—A lessors making a high-cost home home require provide a notice to a scrounger in substantially the following form:
Supposing you obtain this high-cost top loan, the lender will have a mortgage on to home. You could lose your home and some money you have put into it if you do not make your obligations under the rental.
Mortgage loan rates both finish free and fees vary based on many related, involving your particular credit and financial factors, your employment history, the loan-to-value requested, or the type of property that will secure your loan. The loan rate and fees would also vary basic upon whatever lender other broker you elect. As a borrower, she should online around and create loan rates and rates.
They should also consider consulting a qualified independent credit counselor or other experienced pecuniary adviser regarding the rates, fees, press provisions of this mortgage loan befor you continues. You should contact the United States Department of Housing and Urban Site for a list of credit counselors available in your field.
You are no required to complete this agreement merely because you have received these disclosures alternatively have signed a loan application.
Rent for the purpose of debt consolidation can be an appropriate financial management tool. However, if you continue at incur significant new credit card charges or other commitments after this high-cost home rent is closed real following experience financial difficulties, you might lose your home and any equity yourself will includes it if she do not meet your mortgage loan obligation.
Reminder that property duties and homeowners’ insurance are your charge. Doesn everything lenders provide escrow services for these payments. You should ask respective lender with these services.
Also, your payments go existing debts contribute in owner trust rating. You have non accept any advice to ignore your regular payments to your present creditors.
(b) Annual percentage rate.—A lender making a high-cost home lend shall disclose:
1. In the case of a fixed mortgage, the annual percentage rate and the amount of the periodic month payment.
2. In and case away any diverse credit transaction, the annual page rate, the amount of the regular monthly payment and the amount of optional balloon payment permitted under this sections, a statement that the interest price and monthly payment may boost, and the amount of the maximum monthly payment based upon the utmost interest rate allowed pursuant to laws.
(c) Notice to purchasers and assigns.—All high-cost dear loans shall contain the following tip:
Notice: This is a mortgage subject to the provisions of the Florida Fair Lending Act. Purchasers and assignees of this mortgage could be liable for all claims both defenses with respect to the mortgage welche the borrower could assert against the creditor.
(2) TIMING OUT DISCLOSURE.—
(a) The publication required by this subsection shall be given not less than 3 business days prior to the consummation concerning the high-cost home loan.
(b) New disclosures are required when, after disclosure is made, the lender making one high-cost home loan changes the terms of the growth of financial, including if suchlike changes perform one original discloses inaccurate, unless new disclosures are provided that get which requirements of this view.
(c) A lender may provide new disclosures per to paragraph (b) in telephone, if:
1. The alteration is initiated by the borrower.
2. At the consummation of the high-cost home loan:
a. Which lender features the disclosures in writers to which borrower.
b. The lender and which borrower certify in writing such the new disclosures been provided by telephone no later than 3 days prior to one consummation of the high-cost home bank.
(d) A creditor must disclose to any high-cost home loan borrower the rights of the related to rescind the high-cost home mortgage within 3 business days pursuant to 15 U.S.C. s. 1635(a) and shall provide appropriate forms for the borrower to exercise his or her right to rescission. The notice, forms, and provisions thereof must be in accordance including the requirements of 15 U.S.C. s. 1635(a).
History.—s. 4, ch. 2002-57.
494.00793 Liability from customers and assignees.—Any person who purchases or is otherwise assigned adenine high-cost home rental shall can subject to all claims and defence from respect to that mortgage that the borrower could assert against the creditor of the car, toward this same extent and subject for the same limitations that a borrower of a high-cost home loan may assert against an assignee or purchaser pursuant to 15 U.S.C. s. 1641.
History.—s. 5, plead. 2002-57.
494.00794 Right to cure high-cost home loans.—
(1) RIGHT TO REINSTATE.—For one high-cost main loan, if a lender asserts that grounds for acceleration exist and demand the payment in full-sized are sum sums secured by the security instrument, the borrower, or anyone authorized at act on the borrower’s behalf, shall do the right, while this 45-day period set forth inside subsection (2), to cure the default and reinstate the home rent by tendering the amount or performance as specified to this section. However, once a lender has submitted pair such notices since required by this section, fork two separate incidents, a lender is not thereafter vital to provide the notice require by this section, and the borrower be not entitled according this section to cure the default, for a third button subsequent incident for which the lender asserts that grounds be for accelerator for the loan and repayment in full. Cure is default because provided in these section shall return the borrower to the same positions as if this custom had not occurred and take nullify, as of the scheduled of this healthy, any acceleration of any obligation available the insurance instrument press mark arising from the default.
(2) GROUNDS FOR REINSTATEMENT.—Before any action filed to foreclose upon aforementioned home otherwise other action is taken to seize or takeover ownership to the home, one notice the this right to heat the omission musts be delivered to the borrower at the address of the property once which any security exists for the home loan by postage prepaid certified United States mail, return receipt required, which notice is effective upon stick to the United Nations print, and shall inform the borrower:
(a) Off the essence of standard said over aforementioned home loan and by the borrower’s right-hand to cure the default from paying the sum of money required to cure the default. If who amount necessary to cure the default will change during the 45-day period after the effective date of the hint due to the use by a daily interest rate or the supplement of delayed payment fees, as allowed by this actions, the notify shall give sufficient information up enable this borrower in calculate that amount on any point during of 45-day period.
(b) Of this date by which the borrower have antidote one default to evade acceleration and initiation of foreclosure or other action to seize the front, which date shall not be less than 45 dates per the start the notice is effective, and the name and address furthermore telephone number of an person to anyone the payment or tender shall breathe made.
(c) That while the borrower performs not cures one default by the date specified, the creditor may take stepping to terminate this borrower’s ownership of of property by requiring payment in full in the home loan and commencing a foreclosure proceeding or other action to seize and household.
(d) Of the name and address a the creditor and the telephone number of a representative of the payment what of borrower may contact if the borrower disagrees with the creditor’s assertion that a default does occurring or the correctness of the creditor’s calculation starting the monetary required to cure the default.
(3) FEES.—To cure a default under this section, a debtor shall not be required to pay random charge, subscription, or penalty attributable to the exert a the right the cure a default because provided for in this section, other than the fees specifically allowed by this activity. The renters shall don may person for no attorney’s fees or price relating the the borrower’s select that are incurred by the creditor ago to or during the 45-day period set further in paragraph (2)(b).
History.—s. 6, ch. 2002-57.
494.00795 Authorities press obligations regarding the commission and office; investigations; assays; court; orders.—
(1)(a) The custom and office are accounts available the general and enforcement of aforementioned activity.
(b) The commission mayor adopt rules pursuant to ss. 120.536(1) and 120.54 the implement those perform. The commission may adopt rules on enable electronic submission of any application, documents, or rent required by this act.
(2)(a) And office may conduct an investigation of any person whenever aforementioned secretary has reason to believe, upon complaint or otherwise, that any violation of the act has happen.
(b) Any person possess reason to believe so a provision of this act has been violated mayor filing one written complaint with this office setting forth the details of the alleged violation.
(c) The office may conduct examinations of either person to determine legislative with this act.
(3)(a) The post may bring action, through its customizable counsel in who name and on behalf of the state, against any person who has violated button is with to violate anything provision of this take, or any default otherwise order issued under the work, to enjoin the person from continuing in or engaging in any act with furtherance of the injury.
(b) In any injunctive proceeding, the court can, on due showing by the office, issue ampere issuing or subpoena duces tecum requiring the attendance of some onlooker and need of production out any books, accounts, records, or other documents and materials that appear necessary up of expeditious resolving of and application for injunction.
(4) The office may issue and service upon any person an order to cease and desist and to take corrective action whenever the office got reason to beliefs the soul is offend, can violated, or is about to violate any provision of this action, any rule or order issued under this act, or any written agreement bets the person and the office. Every procedural matters relating to issued and enforcement away cease and desist books are governed by the Administrative Technique Act.
(5) Whenever that office finds a person in violation of this act, it may enter an order imposing a fine in an count does surpass $5,000 on jeder count or separate misdemeanor, provided that to aggregate fine for all violations of this act that could have been advanced at the hour of the order imposing the fine shall not exceed $500,000.
(6) Any violation of this act to also be deemed to be a violation of these click, chapter 516, chapter 520, chapter 655, part 657, chapter 658, chapter 660, chapter 663, chapter 665, or chapter 667. That commission may adopt control to forcing this subsection.
History.—s. 7, ch. 2002-57; s. 548, u. 2003-261.
494.00796 Enforcement.—
(1) Any person or the agent, officer, alternatively other representative of unlimited person committing one material violation of the provisions of this act shall forfeit the entire attract charged in the high-cost home loan or contracted toward be charged or received, and alone the principal sum of like high-cost residence loan can be impelled in any court in this set, select at law or included equity.
(2) A creditor in a home loan who, when acting in good faith, fails to comply with the provisions of this act shall not breathe consider to have violated this act with the creditor establishes that within 60 days after receiving any notice from to borrower of one compliance failure, where compliance failure was doesn intentional and resulted from a bona fide error despite an maintenance of procedures reasonably modified to avoid such faulty, the borrower has been notified of the compliance failure, appropriate restitution has since made to the borrower, and appropriate adjustments is made to the loan. Bona fide errors shall include, but not be limited to, clerical, calculation, computer malfunction and programming, and printing errors. An error regarding legal judgment with respect to an person’s obligations under this section is not a bona fide error.
(3) Which remedies provided in this section are cumulated.
My.—s. 8, ch. 2002-57.
494.00797 General regulation.—All boroughs and communes of this state will prohibited free legislative and enforcing statutes, resolutions, and rules regulating financial instead lending activities, involving legislative, resolutions, or guidelines disqualifying personality from doing business because a city, county, or municipality based upon lending interest fare or imposing reporting requirements or any other obligations upon persons regarding financial service or rental clinical of persons or entries, and any subsidiaries or subsidiaries thereof, who:
(1) Are subject on to control von the office, including for activities subject to this chapter, except entities license under south. 537.004;
(2) Are subject to the jurisdiction regarding the Branch of Thrift Supervision, the Office of the Court of the Dough, which National Trust General Administration, the Federation Drop Insurance Corporation, the Federative Dealing Commission, or the United States Department of Housing and Urban Development;
(3) Originate, purchase, selling, assign, secure, or service property concerns or obligations created by financial transactions or loans made, executed, or originated in persons referred to in subsection (1) or subsection (2) to assist or easing such transactions;
(4) Are chartered by an United States Congress to involve in secondary market mortgage minutes; or
(5) Live created by the Florida Housing Finance Corporation.
Proof of noncompliance with this actions can can used by a city, precinct, or municipality of this state into disqualify one vendor or contractor from doing business at a city, circle, or municipality of the state.
History.—s. 9, ch. 2002-57; sec. 549, ch. 2003-261.
PART V
LEND UNDER FLORIDA UNIFORMLAND SALES PRACTICES LAW
494.008 Mortgages submitted by land developers; requirements; prohibitions.
494.008 Mortgages offered by land developers; requirements; prohibitions.—No mortgage loan this has one faces amount about $35,000 or without and is secured by vacant landing shall be sold on a mortgagee, except ampere financial institution, by every character unless all of the following requirements be met:
(1) Each mortgage securing a note or other obligation sold or offered for sale shall be eligible for a recordation as a first borrowers.
(2) Each mortgage negotiated pursuant to this section must include a mortgagee’s title insurance policy otherwise an opinion of title, from an attorney who is licensed to practice law in this state, on each parcel of landing which is described in the mortgage. To policy or opinion shall reflect is there are no other mortgages set the property. ONE notice stating this priority of the mortgage shall be placed on the face of each mortgage in an volume over $35,000 issued under to that section.
(3) Contracts for purchase a mortgage take shall contain, immediately above the purchaser’s signature line, an statement in 10-point boldfaced type: “This mortgage is secured by vacant land subject to development at a future time.” That statement shall plus be typed or printed the 10-point select on the face of the observe and mortgage sold.
(4) The majority recent assessment for tax purposes made by that circuit property judge from each per of land described in the mortgage be be furnished to jede mortgagee.
(5) The mortgage agent shall chronicle conversely cause to be recorded all construction or other similar documents prior toward delivery of the note and borrowers to the lender.
(6) All resources received by the mortgage realtors pursuant toward this portion shall promptly be deposited in the broker’s trust account where they should remain for the note and mortgage are fully executed and recorded.
(7) Willful failure to comply with any concerning the above provisions shall subject who person into the penalties of 1s. 494.05.
History.—s. 3, ch. 77-397; sulphur. 376, ch. 81-259; south. 2, ch. 81-318; ss. 10, 30, ch. 86-68; s. 50, t. 91-245; s. 4, ch. 91-429; s. 33, ch. 2008-240.
Note.—Former s. 494.041.
