SB-1284, As Passed House, December 12, 2012
September 19, 2012, Introduced by Senators NOFS, GREEN and BOOHER and referred to the Committee on Banking and Financial Institutions.
A bill to amend 2002 PA 660, entitled
"Consumer mortgage protection act,"
by amending section 2 (MCL 445.1632).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 2. As used in this act:
(a) "Commissioner" means the commissioner of the office of
financial
and insurance services regulation
of the department of
consumer
and industry services licensing
and regulatory affairs.
(b) "Depository institution" means a bank, savings and loan
association,
savings bank, or a credit union chartered under state
or federal law.
(c) "Home improvement installment contract" means an agreement
consisting
of 1 or more documents covering that covers the sale of
goods or furnishing of services to a buyer for improvements to the
buyer's principal dwelling, if that dwelling is located in this
state and used for occupancy of 4 or fewer families, under which
the buyer promises to pay in installments all or any part of the
price of the goods or services.
(d) "Mortgage loan" means a loan or home improvement
installment contract secured by a first or subordinate mortgage or
any
other form of lien or a land contract covering that covers real
property located in this state that is used as the borrower's
principal dwelling and is designed for occupancy by 4 or fewer
families. Mortgage loan does not include any of the following:
(i) Loans A loan transaction in which
the proceeds are used to
acquire the borrower's principal dwelling.
(ii) Reverse-mortgage transactions A reverse-mortgage
transaction.
(iii) An open-end credit plan. being
As used in this
subparagraph, "open-end credit plan" means a loan in which the
lender reasonably contemplates repeated advances.
(iv) A loan transaction in which the proceeds are not used
primarily for a personal, family, or household purpose.
(e) "Person" means an individual, corporation, limited
liability company, partnership, association, governmental entity,
or any other legal entity.
(f) "Reverse-mortgage" means a nonrecourse loan under which
both of the following apply:
(i) A mortgage or other form of lien securing 1 or more
advances is created in the borrower's principal dwelling.
(ii) The principal, interest, or shared appreciation or equity
is payable only after the borrower dies, the dwelling is
transferred, or the borrower ceases to occupy the dwelling as a
principal dwelling.
(g)
"Regulated lender" means a depository institution; or
a
licensee or a registrant under the consumer financial services act,
1988 PA 161, MCL 487.2051 to 487.2072, 1984 PA 379, MCL 493.101 to
493.114, the secondary mortgage loan act, 1981 PA 125, MCL 493.51
to 493.81, or the mortgage brokers, lenders, and servicers
licensing
act, 1987 PA 173, MCL 445.1651 to 445.1684; , and or a
seller under the home improvement finance act, 1965 PA 332, MCL
445.1101 to 445.1431.
(h) "State and federal laws" means, individually and
collectively, 1 or more of the laws or regulations of this state or
the federal government which regulate or are applicable to a
mortgage
loan or a person when that
is brokering, making,
servicing, or collecting a mortgage loan, including, without
limitation,
the federal truth in lending act, title I of the
consumer
credit protection act, Public Law 90-321, 15 U.S.C. USC
1601
to 1608, 1610 to 1613, 1615, 1631 to 1635, 1637 to 1649, and
1661
to 1667f, real estate settlement
procedures act of 1974,
Public Law 93-533, 88 Stat. 1724, equal credit opportunity act,
title
VII of the consumer credit protection act, Public Law 90-321,
15
U.S.C. USC 1691 to 1691f, fair housing act, title VIII of the
civil rights act of 1968, Public Law 90-284, 82 Stat. 81, fair
credit
report reporting act, title VI of the consumer credit
protection
act, Public Law 90-321, 15 U.S.C.
USC 1681 to 1681v,
1681x, the homeowners protection act of 1998, Public Law 105-216,
112
Stat. 897, the fair debt collection practices act, title VIII
of
the consumer credit protection act, Public Law 90-321, 15 U.S.C.
USC 1601nt and 1692 to 1692o, consumer financial services act, 1988
PA 161, MCL 487.2051 to 487.2072, mortgage brokers, lenders, and
servicers licensing act, 1987 PA 173, MCL 445.1651 to 445.1684, the
secondary mortgage loan act, 1981 PA 125, MCL 493.51 to 493.81,
1977 PA 135, MCL 445.1601 to 445.1614, and home improvement finance
act,
1965 PA 332, MCL 445.1101 to 445.1422.445.1431.