The Law Offices of Herman Thordsen

In Southern California:  6 Hutton Centre Drive, Ste. 1040, Santa Ana, CA 92707 (714) 662-4990    In Central and Northern California and Out-of-State:  Call Toll Free 888-667-8529

STATE SUBPRIME AND PREDATORY LENDING LAWS

IN EFFECT AS OF JUNE 12, 2008

 

State:

Statutory Citation

Flipping Banned

Negative Amortization Banned

Prepayment Penalties Banned

Financing Credit Insurance Banned

Consumer Credit Counseling Provision

High Debt to Income Ratio Provision
(Ability to repay loan)

Arkansas

Ark. Stat. Ann. §23-53-101 et seq.

X

X

 

X

3rd party required

Give due regard

California

Cal. Financial Code §4970 et seq. and §4973 et seq.

X

X

 

 

Disclosure

Presumption at 55%

Colorado

Colo. Rev. Stat. §5-3.5-101 et seq. and §38-40-105

X

X

 

 

Notification

Give due regard

Connecticut

Conn. Gen. Stat. §36a-746 et seq. and §36a-521

 

X

 

 

Notification

Presumption at 50%

D.C.

D.C. Code Ann. §26-1114. and §26-1151.01 et seq.

 

X

X

  

  

Give due regard

Florida

Fla. Stat. §494.0078 et seq.

X

X

 

 

Notification

Give due regard

Georgia

Ga. Code §7-6A-1 et seq.

X

X

 

X

3rd party required

Presumption at 50%

Illinois

Ill. Rev. Stat. ch. 815, 137/1 et seq. and ch. 765, 77/70

X

X

 

X

Notification

Presumption at 50%

Indiana

Ind. Code 4-6-12 and 24-9-1 et seq.

 

X

 

X

3rd party required

Give due regard

Kentucky

Ky. Rev. Stat. §294.010 et seq. and §360.100

X

X

 

X

Notification

Presumption at 50%

Louisiana

La. Rev. Stat. Ann. 6:1096(G) and 9:3572.6(C)

 

 

 

 

 

 

Maine

Me. Rev. Stat. Ann. tit. 9-A, §2-509, tit. 9-B, §429; tit. 9-A, §8-103, §8-206-A, tit. 9-A, §10-102 and tit. 33, §506, 2007 Chapter 273, 2008 Chapter 471

X

X

X

X

3rd party required

Give due regard

Maryland

Md. Commercial Law Code §12-127, 12-311, 12-409.1 and 12-1029

X

X

 

X

3rd party required

Presumption at 45%

Massachusetts

Mass. Gen. Laws Ann. ch.183C, 1 et seq.

 

X

X

 

3rd party required

Presumption at 50%

Michigan

Mich. Comp. Laws §445.1631 et seq.

 

X

 

X

Notification

 

Minnesota

2007 Chapter 18
Minn. Stat. §58.137

X

 

 

 

Notification

Requires vertification

Missouri

Mo. Rev. Stat. 375.937

 

 

 

 

 

 

Montana

Mont. Code Ann. §32-5-306

 

 

 

 

 

 

Nebraska

Neb. Rev. Stat. §45-702, 45-704 and 45-705

 

 

 

X

 

 

Nevada

Nev. Rev. Stat. §598D.010 et seq.

 

 

X

X

 

Give due regard

New Jersey

N.J. Rev. Stat. 46:10B-22 et seq.

 

X

 

X

3rd party required

 

New Mexico

N.M. Stat. Ann. §58-21A-1 et seq.

X

X

X

X

3rd party required

Give due regard

New York

N.Y. Banking Law 6-l

X

X

 

X

Notification

Give due regard

North Carolina

N.C. Gen. Stat. §24-1.1E, §24-1.1F, §24-10.2 and §53-243.01 et seq.

X

X

 

 

3rd party required

Presumption at 50%

Ohio

Ohio Rev. Code Ann. §1322.062, §1322.07, §1322.08, §1345.01 et seq. and §1349.25 et seq.

X

X

 

X

 

Give due regard/
Presumption at 50%

Oklahoma

Okla. Stat. tit. 14A, §3-204 and tit. 59, §2081 et seq.

X

 

 

 

 

Give due regard

Pennsylvania

Pa. Cons. Stat. 63, §456.101 et seq.

 

 

 

 

Notification

Presumption at 50%

Rhode Island

R.I. Gen. Laws §34-23-5
R.I. Gen. Laws §34-25.2-1 et seq.

X

X

 

X

3rd party required

Presumption at 50%

South Carolina

S.C. Code Ann. §37-23-10 et seq.

X

X

 

X

3rd party required

Presumption at 50%

Tennessee

Tenn. Code Ann. §45-20-101 et seq.

X

X

 

 

 

Presumption at 50%

Texas

Tex. Finance Code §343.001 et seq. and Tex. Gov. Code §2306.001 et seq.

 

X

X

 

 

Give due regard

Utah

Utah Code Ann. §61-2d-101 et seq.

 

X

 

X

Notification

 

Virginia

Va. Code §6.1-422.1 and §6.1-422

X

 

 

 

 

 

Washington

Wash. Rev. Code §31.04 et seq.

 

 

 

  

  

  

West Virginia

W. Va. Code §31-17-1 et seq.

 

 

X

 

 

 

Wisconsin

Wis. Stat. Ann. §428.202 et seq.

X

X

 

X

Notification

Give due regard

 

The Law Offices of Herman Thordsen provides a full spectrum of legal services to our clients.

The founding member of the firm, Herman Thordsen, is an acknowledged expert in the areas of mortgage fraud and  regulatory compliance.  He is counsel to numerous mortgage brokers and mortgage broker associations.  He is a contributing author to the Legal Corner section of Mortgage Matters magazine, and many other publications.

If you have any questions, you may contact us by telephone at (714) 662-4990.

This list is generally effective through the date that it was last revised.

e gladly provide this information as a free reference service to persons interested in mortgage compliance issues.

We have made every effort to provide as complete a listing of predatory lending laws and pending legislation as is possible.  However, this page should not be considered an exhaustive listing of all predatory lending laws pending or recently enacted in the United States of America.

If you are aware of current or pending legislation or laws that either just recently became or will soon be in effect, and they are not listed here, please notify us so we may add them to the list compiled here.

We are especially interested in laws and regulations being discussed at the state and local levels.  Many cities and counties are enacting their own ordinances under the mantle of "predatory lending practices" consumer protection measures, and many of them will add significantly to the regulatory burden of lenders and mortgage brokers.

In order to view many of the documents below, you will need to have at least version 5 of the Adobe® Acrobat® Reader.  If you do not have that program, you can get it for free from Adobe® by clicking the icon below.

 

Disclaimer

Please Note:  No legal advice or opinion of any kind is given herein by the Law Offices of Herman Thordsen.  The items discussed or otherwise presented in this site are for informational purposes only and no warranty of accuracy, completeness, suitability for a particular purpose, or any other warranty of any kind is intended or implied.  As with any publication, you should seek the counsel of a competent professional before taking action based  upon any of the information contained herein.

Other pages of Interest:

 

SOUTHERN CALIFORNIA
NORTHERN CALIFORNIA
South Coast Metro -- Griffin Towers at Hutton Centre
6 Hutton Centre Drive, Suite 1040
Santa Ana, CA 92707-8767
Phone: (714) 662-4990 ● (310) 277-4254

Law Offices of Herman Thordsen
556 North First Street, Suite 100
San Jose, CA 95112
Toll Free: (888) 667-8529
If you are in Central, Northern California or out of state please call toll free: (888) 667-8529

These bills and laws are compiled for informational purposes only by the Law Offices of Herman Thordsen for those interested in predatory lending laws. No legal advice is given or intended. Legal counsel should be consulted before acting on any of the information herein. 

THE INFORMATION HEREIN IS NOT LEGAL ADVICE.
AN ATTORNEY SHOULD BE CONSULTED
IF YOU DESIRE LEGAL ADVICE.

If you have comments or suggestions please contact our offices in Southern California call (714) 662-4990. Northern California and out of state call toll free (888) 667-8529.

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Last Updated 12/31/08

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If you have comments or suggestions, please contact our offices in Southern California call (714) 662-4990. Northern California and out of state call toll free (888) 667-8529.No information on this page, or on any other page within this site, is to be considered legal advice. No information should be used before obtaining competent legal counsel.  The Law Offices of Herman Thordsen does not, by linking to outside URLs, imply any endorsement of the publisher (s) of, or the source (s) of the content for, or the actual content of those pages, and expressly disclaims responsibility for any results of users' access to, or use of, such pages or the information they contain.