THE SENATE |
S.B. NO. |
1178 |
TWENTY-SIXTH LEGISLATURE, 2011 |
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STATE OF HAWAII |
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A BILL FOR AN ACT
relating to mortgage lenders.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
SECTION 1. Section 454M-3, Hawaii Revised Statutes, is amended to read as follows:
"[[]§454M-3[]] Exemptions.
This chapter shall not apply to the following:
(1) Any persons chartered or authorized under the
laws of any state or federal law to engage in the activity of an insured
depository institution as defined in Title 12 United States Code [section]
Section 1813(c)(2), including banks or savings associations, and
operating subsidiaries of an insured depository institution; provided that
all persons subject to this paragraph shall:
(A) Register with the commissioner, if the person is not already licensed pursuant to chapter 412;
(B) Be subject to the regulatory jurisdiction of the commissioner and all provisions of article II of chapter 412; and
(C) Maintain a physical presence within the State that includes a permanent office that is open and accessible during normal business hours and is staffed by at least one full-time employee with the authority to enter into mortgage transactions including loan modifications on behalf of the person subject to this paragraph or who has access at all times during normal business hours to a person with that authority;
(2) Trust companies, credit unions, insurance companies, and financial service loan companies licensed by the State;
(3) The Federal Deposit Insurance Corporation, in connection with assets acquired, assigned, sold, or transferred pursuant to section 13(c) of the Federal Deposit Insurance Act or as receiver or conservator of an insured depository institution;
(4) The Federal National Mortgage Association; the
Federal Home Loan Mortgage Corporation; the Federal Deposit Insurance
Corporation; the United States Department of Housing and Urban Development, and
the Government National Mortgage Association and the Federal Housing
Administration, and cases in which a mortgage insured under the National
Housing Act, 12 United States Code [section] Section 1701 et seq.,
is assigned to the United States Department of Housing and Urban Development;
the National Credit Union Administration; the Farmers Home Administration or
its successor agency under Public Law 103-354; and the Department of Veterans
Affairs, in any case in which the assignment, sale, or transfer of the
servicing of the mortgage loan is preceded by termination of the contract for
servicing the loan for cause, commencement of proceedings for bankruptcy of the
servicer, or commencement of proceedings by the Federal Deposit Insurance
Corporation for conservatorship or receivership of the servicer or an entity by
which the servicer is owned or controlled; and
(5) Any person making or acquiring contemporaneously no more than five residential mortgage loans with that person's own funds for that person's own investment."
SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
SECTION 3. This Act shall take effect on July 1, 2011.
INTRODUCED BY: |
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Report Title:
Mortgage Servicers; Commissioner of Financial Institutions
Description:
Requires financial institutions otherwise exempt from regulation as mortgage servicers or licensing by the commissioner of financial institutions to register with the commissioner of financial institutions and be subject to the commissioner's regulatory authority.
The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.