HB 1523 S.A.F.E. Mortgage Licensing Act
HB 1523, with the strong support of the NC Commissioner of Banks, rewrote the current NC Mortgage Lending Act (MLA) to conform to standards required under new Federal legislation. Though the bulk of the Act stays the same, some new protections were added, including:
- Increases the bond required for mortgage brokers from $50,000 for all brokers to a sliding scale of $75,000 to $250,000, depending on the broker's lending activity, and
- Explicitly states that the broker owes a duty of loyalty to the borrower and cannot make loans that are in the broker's best interest rather than the borrower's best interest.
Effective Date: Mostly July 31, 2009.
Published: July 31, 2009