Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive
150x172_CUEffect.jpg
Contacts
LISA MCCUEVICE PRESIDENT OF COMMUNICATIONS
EDITOR-IN-CHIEF
MICHELLE WILLITSManaging Editor
RON JOOSSASSISTANT EDITOR
ALEX MCVEIGHSTAFF NEWSWRITER
TOM SAKASHSTAFF NEWSWRITER

News Now

CU System
Maryland closing-costs bill goes to governor
ANNAPOLIS, Md. (3/18/08)--A credit union-backed, closing-costs measure that reverses the Maryland Court of Appeals Bednar v. Provident decision passed the Maryland General Assembly last week and is on its way to the governor for signature. The reversal means that a financial institution can recapture closing costs from a borrower who repays a mortgage loan early, according to the Maryland and District of Columbia Credit Union Association (MDDCCUA) (FOCUS Newsletter March 17). In December, the Court of Appeals had ruled that a financial institution could not recapture closing costs because to recapture waived closing costs essentially created a prepayment penalty. However, no commissioner on financial regulation had ever guided state-chartered institutions this way, said MDDCCUA. Maryland would have been the only state required to comply with the decision. Senate Bill 347 and House Bill 852 allows state-chartered credit unions and banks to continue legally the practice of collecting the closing costs on both mortgage loans and lines of credit that are repaid early. MDDCCUA CEO Mike Beall and outside counsel Jim Brown testified in support of the legislation during legislative hearings last month.


RSS





print
News Now LiveWire
App puts #CUNAGAC in palms of attendees' hands #NewsNow http://t.co/piabPHIGb5
11 hours ago
App puts #cunagac in palms of #creditunion attendees' hands http://t.co/2XZC3LWw6Z
12 hours ago
Breaking at #NewsNow: @CUNA files amicus brief in Florida interchange case. http://t.co/gWSBjCtSD7
13 hours ago
What is the @NCUFoundation ? Watch this Foundation video: http://t.co/iC6XoInU7r
16 hours ago
Follow @cumagazine for even more #CUNAGAC live-action reports March 8-12 #creditunion #creditunions #UniteForGood
18 hours ago