This Regulation specifies the form, content, and timing of disclosures required by Title 9 V.S.A. §104 (the "Disclosure") for every loan secured by a first lien on residential real estate in which the borrower is expected to be charged in excess of four points or an interest rate in excess of three percent over the rate established pursuant to Title 32 V.S.A. § 3108, or both, on the loan. The Disclosure must be printed on a single sheet of colored paper that is easily distinguished from all other documents.
This Regulation sets forth certain conditions and requirements pertaining to the licensing and regulation of mortgage brokers. It establishes requirements for: (1) licensing of corporations, partnerships, and other legal entities; (2) identifying individuals authorized to operate under a mortgage broker license; (3) informing the Department of the location, management, and control of licensed locations; (4) maintaining segregated accounts; (5) record retention; and (6) mortgage broker contracts (including a form of mortgage broker contract).
This Regulation classifies all records kept by banks and prescribes the period for which records of each class shall be retained. It also requires the protection of Electronic Data Processing files from theft, fire, vandalism, loss, damage, or unauthorized access.
This Regulation implements 8 VSA §1211 regarding prohibition on discrimination based on sex, marital status, race, color, religion, national origin, age or handicapping condition. It identifies requirements of Vermont law that supplement Federal Regulation B, Equal Credit Opportunity.
The following is an alert from the Vermont Department of Public Safety that we are rebroadcasting on the Banking Division website. We note that other credit union names besides those listed below may be used in the scam.
HSBC Finance Corporation announced on 3/2/09 that its HFC and Beneficial branch offices have discontinued all new loan originations in HFC and Beneficial branches. In upcoming weeks, the branches will close. HFC and Beneficial have said they will continue to service all of existing customer accounts with the utmost care and attentive service standards. Here is additional info from HSBC:
Q: If my local branch is closing, where will I go to make my payments?
This bulletin addresses risks associated with certain subprime mortgage products and lending practices and mirrors the guidance offered by the federal banking agencies. In particular, the Department is concerned about the growing use of adjustable rate mortgage (ARM) products that provide low initial payments based on a fixed introductory rate that expires after a short period, and then adjusts to a variable rate plus a margin for the remaining term of the loan. These products could result in payment shock to the borrower. The bulletin identifies many important standards for subprime lending. The bulletin includes credit risk characteristics of loans to subprime borrowers. The bulletin also identifies some typical elements of predatory lending.