reglab/statecodes huggingface dataset:
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.10 - Notice of Significant Events and Proposed Change in Ownership or Personnel

Current through Register 1525, July 5, 2024
(1) A debt collector,
			 licensed student loan servicer or registered third party loan servicer if
			 applicable, shall notify the Commissioner immediately, and in writing within
			 one business day, of the occurrence of any of the following significant
			 developments. The provisions of 209 CMR 18.10 shall not apply to automatic
			 federal student loan servicers.
(a) Filing for
			 bankruptcy or reorganization of the Licensee or registered third party loan
			 servicer, any partner, member, officer, director, or equivalent, or principal
			 employee.
(b) The filing of a
			 criminal indictment any way related to the activities of the debt collector,
			 licensed student loan servicer, or registered third party loan servicer, any
			 partner, member, officer, director, or equivalent, or principal employee
			 including, but not limited to, the handling and/or reporting of moneys received
			 and/or instruments sold.
(c)
			 Notification of the institution of license denial, cease and desist,
			 suspension, or revocation procedures, or other formal or informal regulatory
			 action, in any state against the debt collector, licensed student loan
			 servicer, or registered third party loan servicer, and the reasons
			 thereof.
(d) Receiving notification
			 of the initiation of any action by the Attorney General of the Commonwealth or
			 of any other state, pursuant to M.G.L. c. 93A, or any other comparable consumer
			 protection statute, and the reasons thereof.
(e) Receiving notification of the initiation
			 of a class action lawsuit on behalf of consumers against the debt collector,
			 student loan servicer licensee, or registered third party loan servicer that is
			 substantially related to the operation of the licensed business.
(f) Any partner, member, officer, director,
			 or equivalent, or principal employee being convicted of a misdemeanor that is
			 in any way related to debt collector, student loan servicing, or loan servicing
			 activities; or of any felony whatsoever.
(g) Any change to net worth resulting from
			 market valuation or future loss liability or any other change which causes the
			 net worth of the debt collector or student loan servicer licensee to fall below
			 the requirements of
			 209
			 CMR 18.03(2)(a).
(h) Closing or shortage of any trust account
			 where funds of clients paid to a debt collector are deposited.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.11 - Annual Reports

Current through Register 1525, July 5, 2024
Annually, on a date determined by the Commissioner, each
				licensee or registered third party loan servicer shall file an annual report
				with the Commissioner in such form as the Commissioner shall prescribe for the
				preceding year. The annual report shall be in writing, subscribed by the
				licensee or registered third party loan servicer under the pains and penalties
				of perjury.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.12 - Books and Records

Current through Register 1525, July 5, 2024
(1) Each Licensee or
			 registered third party loan servicer shall keep and use its books, records and
			 accounts in a manner which will allow the Commissioner to determine whether the
			 Licensee or registered third party loan servicer is complying with the
			 provisions of M.G.L. c. 93 or c. 93 L, and applicable state and federal laws
			 and regulations. Each licensee shall comply with the provisions of
			 209 CMR
			 48.00:
Licensee Record Keeping
. The
			 following records shall be maintained:
(a)
Debt Collector
. Each debt collector shall retain for a
			 minimum of two years after final remittance is made on any account placed with
			 the debt collector for collection or after any account has been returned to the
			 creditor whether or not payments have been made. Books and records shall
			 conform to generally accepted accounting principles. A debt collector shall
			 comply with the provisions of M.G.L. c. 200A:
Abandoned
			 Property
.
(b)
Student Loan Servicer and Automatic Federal Student Loan
			 Servicer
. Each student loan servicer or automatic federal student
			 loan servicer shall maintain adequate records of each student loan transaction
			 for not less than two years following the final payment on the student loan or
			 the assignment of the student loan, whichever occurs first, or except as
			 otherwise required by federal law or a contract with the United States
			 Secretary of Education under
			 20
			 U.S.C. 1087f.
(c)
Third Party Loan
			 Servicer
. Each registered third party loan servicer shall retain
			 for a minimum of two years after the conclusion of its fiscal year the records,
			 books, accounts, and documents pertaining to the registered third party loan
			 servicer's business.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.13 - Commingling - Debt Collection

Current through Register 1525, July 5, 2024
No debt collector shall commingle money collected for a
				creditor with the debt collector's own funds or use any part of a creditor's
				money in the conduct of the debt collector's business.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.14 - Preserving Identity of Funds of Clients - Debt Collection

Current through Register 1525, July 5, 2024
(1) All funds of clients paid to a debt
			 collector shall be deposited in one or more trust accounts maintained at a
			 federally insured bank.
(2) The
			 gross amount of monies collected from consumers by the debt collector shall be
			 deposited into the trust account(s).
(3) In remitting to clients, a debt collector
			 may offset funds in the trust account(s) against commissions to which it is
			 entitled for payments made by consumers directly to clients. All offsets shall
			 be accounted for through written documentation evidencing the amount of
			 offset.
(4) A debt collector shall
			 maintain complete and accurate trust account records. A debt collector shall
			 produce, upon request, all documents pertaining to trust account activity,
			 including, but not limited to: bank settlements, check stubs, canceled, voided
			 or unused checks, deposit tickets, and reconciliations or other comparable
			 account records.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.15 - Acquisition of Location Information - Debt Collection

Current through Register 1525, July 5, 2024
Any debt collector communicating with any person other than the
				consumer for the purpose of acquiring location information about the consumer
				shall:
(1) identify himself or herself,
			 state that he is confirming or correcting location information concerning the
			 consumer, and, only if expressly requested, identify his employer;
(2) not state that such consumer owes any
			 debt;
(3) not communicate with any
			 such person more than once unless requested to do so by such person or unless
			 the debt collector reasonably believes that the earlier response of such person
			 is erroneous or incomplete and that such person now has correct or complete
			 location information;
(4) not
			 communicate by postcard;
(5) not
			 use any language or symbol on any envelope or in the contents of any
			 communication effected by the mails or telegram that indicates that the debt
			 collector is in the debt collection business or that the communication relates
			 to the collection of a debt;
(6)
			 not cause expense to any such person in the form of long distance telephone
			 calls, text messaging, download fees, data usage fees, or other similar
			 charges; and
(7) after the debt
			 collector knows the consumer is represented by an attorney with regard to the
			 subject debt and has knowledge of, or can readily ascertain, such attorney's
			 name and address, not communicate with any person other than that attorney,
			 unless the attorney fails to respond within a reasonable period of time to
			 communication from the debt collector.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.17 - Harassment or Abuse - Debt Collection

Current through Register 1525, July 5, 2024
A debt collector may not engage in any conduct the natural
				consequence of which is to harass, oppress, or abuse any person in connection
				with the collection of a debt. Without limiting the general application of the
				foregoing, the following conduct is a violation of 209 CMR 18.17:
(1) The use or threat of use of violence or
			 other criminal means to harm the physical person, reputation, or property of
			 any person.
(2) The use of obscene
			 or profane language or language the natural consequence of which is to abuse
			 the hearer or reader.
(3) The
			 advertisement for sale of any debt to coerce payment of the debt.
(4) Causing a telephone to ring or engaging
			 any person in telephone conversation repeatedly or continuously with intent to
			 annoy, abuse, or harass any person at the called number.
(5) Except as provided in
			 209 CMR
			 18.15, the placement of telephone calls
			 without meaningful disclosure of the caller's identity.
(6) Visiting the household of a consumer at
			 times other than the normal waking hours of such consumer, or if normal waking
			 hours are not known, at any time other than between 8:00 A.M. and 9:00 P.M.;
			 provided however, that in no event shall such visits, initiated by the debt
			 collector, exceed one in any 30-day period for each debt, excluding visits
			 where no person is contacted in the household, unless a consumer consents in
			 writing to more frequent visits; provided further, that at all times the
			 creditor must remain outside the household, unless expressly invited inside by
			 such consumer; and provided further, that visits to the household of a consumer
			 which are solely for the purpose of repossessing any collateral or property of
			 the creditor (including, but not limited to, credit cards, drafts, notes or the
			 like), are not limited under 209 CMR 18.17(6).
(7) Visiting the place of employment of a
			 consumer, unless requested by the consumer excluding visits which are solely
			 for the purpose of repossessing any collateral or property of the creditor, or
			 confrontations with a consumer regarding the collection of a debt initiated by
			 a debt collector in a public place excluding courthouses, the debt collector's
			 place of business, other places agreed to by a consumer, offices of any
			 attorney for the consumer, or places where the conversation between persons
			 representing the debt collector and a consumer cannot be reasonably overheard
			 by any other person not authorized by the consumer;
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.18 - False or Misleading Representations - Debt Collection

Current through Register 1525, July 5, 2024
A debt collector may not use any false, deceptive, or
				misleading representation or means in connection with the collection of any
				debt. Without limiting the general application of the foregoing, the following
				conduct is a violation of 209 CMR 18.18:
(1) The false representation or implication
			 that the debt collector is vouched for, bonded by, or affiliated with the
			 United States or any State, including the use of any badge, uniform, or
			 facsimile thereof.
(2) The false
			 representation of:
(a) the character, amount,
			 or legal status of any debt; or
(b)
			 any services rendered or compensation which may be lawfully received by any
			 debt collector for the collection of a debt.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.19 - Unfair Practices - Debt Collection

Current through Register 1525, July 5, 2024
A debt collector may not use unfair or unconscionable means to
				collect or attempt to collect any debt. Without limiting the general
				application of the foregoing, the following conduct is a violation of 209 CMR
				18.19:
(1) The collection of any
			 amount (including any interest, fee, charge, or expense incidental to the
			 principal obligation) unless such amount is expressly authorized by the
			 agreement creating the debt or permitted by law.
(2) A debt collector shall not publish or
			 cause to be published for general circulation the name of a consumer or any
			 lists of consumers or threaten to do so.
(3) The request or demand from a consumer of
			 a postdated check, draft, order for withdrawal or other similar instrument in
			 payment for the debt or any portion thereof, or a debt collector to negotiate
			 such instrument before the due date, of the instrument.
(4) Depositing or threatening to deposit any
			 postdated check or other postdated payment instrument prior to the date on such
			 check or instrument.
(5) Causing
			 charges to be made to any person for communications by concealment of the true
			 purpose of the communication. Such charges include, but are not limited to,
			 collect telephone calls, text messaging, and telegram fees. However, 209 CMR
			 18.19(5) shall not prohibit a debt collector from communicating with a consumer
			 by way of a consumer's cellular telephone.
(6) Taking or threatening to take any
			 nonjudicial action to effect dispossession or disablement of property if:
(a) there is no present right to possession
			 of the property claimed as collateral through an enforceable security
			 interest;
(b) there is no present
			 intention to take possession of the property;
(c) the property is exempt by law from such
			 dispossession or disablement; or
(d) the debt collector knows or has reason to
			 know that demands for payment and/or legal notices were not directed to the
			 consumer's last known address.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.20 - Validation of Debts - Debt Collection

Current through Register 1525, July 5, 2024
(1) Within
			 five days after the initial communication with a consumer in connection with
			 the collection of any debt, a debt collector shall, unless the following
			 information is contained in the initial communication or the consumer has paid
			 the debt, send the consumer a written notice containing:
(a) the amount of the debt;
(b) the name of the creditor to whom the debt
			 is owed;
(c) a statement that
			 unless the consumer, within 30 days after receipt of the notice, disputes that
			 validity of the debt, or any portion thereof, the debt will be assumed to be
			 valid by the debt collector;
(d) a
			 statement that if the consumer notifies the debt collector in writing within
			 the 30-day period that the debt, or any portion thereof, is disputed, the debt
			 collector will obtain verification of the debt or a copy of a judgment against
			 the consumer and a copy of such verification or judgment will be mailed to the
			 consumer by the debt collector; and
(e) a statement that, upon the consumer's
			 written request within the 30-day period, the debt collector will provide the
			 consumer with the name and address of the original creditor, if different from
			 the current creditor.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.21 - Multiple Debts - Debt Collection

Current through Register 1525, July 5, 2024
If any consumer owes multiple debts and makes any single
				payment to any debt collector with respect to such debts, such debt collector
				may not apply such payment to any debt which is disputed by the consumer and,
				where applicable, shall apply such payment in accordance with the consumer's
				directions.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.22 - Furnishing Certain Deceptive Forms - Debt Collection

Current through Register 1525, July 5, 2024
It is unlawful to design, compile, and furnish any form knowing
				that such form would be used to create the false belief in a consumer that a
				person other than the creditor of such consumer is participating in the
				collection of or in an attempt to collect a debt such consumer allegedly owes
				such creditor, when in fact such person is not so
				participating.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.23 - Unfair Servicing Practices - General

Current through Register 1525, July 5, 2024
A third party loan servicer or student loan servicer may not
				use unfair or unconscionable means in servicing any loan. Without limiting the
				general application of the foregoing, the following conduct is a violation of
				209 CMR 18.23:
(1) Knowingly
			 misapplying or recklessly applying loan payments to the outstanding balance of
			 a loan.
(2) Knowingly misapplying
			 or recklessly applying payments to escrow accounts.
(3) Requiring the unnecessary forced
			 placement of insurance, when adequate insurance is currently in
			 place.
(4) Failing to provide loan
			 payoff information within five business days of a receipt of a written
			 request.
(5) Charging excessive or
			 unreasonable fees to provide loan payoff information.
(6) Knowingly or recklessly providing
			 inaccurate information to a credit bureau, thereby harming a consumer's
			 creditworthiness.
(7) Failing to
			 report both the favorable and unfavorable payment history of the consumer to a
			 nationally recognized consumer credit bureau at least annually if the servicer
			 regularly reports information to a credit bureau.
(8) Knowingly or recklessly facilitating the
			 illegal repossession of chattel collateral.
(9) Misrepresenting any material information
			 in connection with the servicing of the loan, including, but not limited to,
			 misrepresenting the amount, nature or terms of any fee or payment due or
			 claimed to be due on a loan, the terms and conditions of the servicing contract
			 or the borrower's obligations under the loan.
(10) Failing to maintain procedures to ensure
			 accuracy and timely updating of borrower's account information, including
			 posting of payments and imposition of fees.
(11) Requiring funds to be remitted by means
			 more costly to the consumer than a bank or certified check or attorney's check
			 from an attorney's account.
(12)
			 Refusing to communicate with an authorized representative of the borrower who
			 provides a written authorization signed by the borrower, provided that the
			 third party loan servicer may adopt procedures reasonably related to verifying
			 that the representative is in fact authorized to act on behalf of the
			 borrower.
(13) Failing to establish
			 and implement policies and procedures to ensure effective monitoring and
			 oversight of law firms, subservicers, foreclosure firms, foreclosure trustees
			 and other third party providers, agents or affiliates retained by or on behalf
			 of the third party loan servicer to ensure that such third parties are
			 complying with the pertinent state and federal laws and regulations governing
			 third party loan servicers including, but not limited to, the provisions of
			 209 CMR 18.00.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.24 - Mortgage Loan Servicing Practices

Current through Register 1525, July 5, 2024
(1) A third
			 party loan servicer may not use unfair or unconscionable means in servicing any
			 mortgage loan. Without limiting the general application of the foregoing, the
			 following conduct is a violation of 209 CMR 18.24:
(a) Failing to comply with the provisions of
			 M.G.L. c. 183, § 54D regarding providing loan payoff information to a
			 consumer.
(b) Collecting private
			 mortgage insurance beyond the date for which private mortgage insurance is no
			 longer required.
(c) Failing to
			 comply with the provisions of M.G.L. c. 244, §§ 35A, 35B or 35C
			 regarding the right to cure a mortgage loan default and other
			 requirements.
(d) Knowingly or
			 recklessly facilitating the illegal foreclosure of real property
			 collateral.
(e) Failing to comply
			 with the provisions of
			 12 CFR
			 1024.38(b)(2) or other
			 applicable provision of 12 CFR part 1024, regarding the evaluation of borrowers
			 for loss mitigation options.
(f)
			 Failing to comply with the provisions of
			 12 CFR
			 1024.41(b)(2) or other
			 applicable provision of 12 CFR part 1024, regarding providing borrowers with
			 written acknowledgment of receipt of loan modification and required follow
			 up.
(g) Failing to comply with the
			 provisions of
			 12 CFR
			 1024.41(g) or other
			 applicable provision of 12 CFR part 1024, regarding the process of concluding
			 the modification process prior to initiating a foreclosure.
(h) Failing to comply with the provisions of
			 12 CFR
			 1024.40 or other applicable provision of 12
			 CFR part 1024, regarding providing borrowers with contact information for a
			 designated individual.
(i) Nothing
			 in 209 CMR 18.21A shall be
			 construed to prevent a third party loan servicer from offering or accepting
			 alternative loss mitigation options, including other modification programs
			 offered by the third party loan servicer, a short sale, a
			 deed-in-
lieu
of foreclosure or forbearance, if the borrower
			 requests such an alternative, is not eligible for or does not qualify for a
			 loan modification under a government sponsored mortgage loan modification
			 program or proprietary modification program, or rejects the third party loan
			 servicer's loss mitigation proposal.
(j)209 CMR 18.24(2) contains requirements
			 that are in addition to those contained in M.G.L. c. 244, § 35B, and
			 209
			 CMR 56.00:
Foreclosure Prevention
			 Options
regarding "Certain Mortgage Loans" as that term is defined in
			 209 CMR 56.02:
Definitions
.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.25 - Student Loan Servicing Practices

Current through Register 1525, July 5, 2024
(1) A student
			 loan servicer may not use unfair, deceptive, or unconscionable means in
			 servicing any student loan. Without limiting the general application of the
			 foregoing, the following conduct is a violation of 209 CMR 18.25:
(a) directly or indirectly employing any
			 scheme, device, or artifice to defraud or mislead student loan
			 borrowers;
(b) engaging in any
			 unfair, deceptive, or unconscionable practice toward any person or
			 misrepresenting or omitting any material information in connection with the
			 servicing of a student loan including, but not limited to, misrepresenting the
			 amount, nature or terms of any fee or payment due or claimed to be due on a
			 student loan, the terms and conditions of the loan agreement or the student
			 loan borrower's obligations under the student loan;
(c) obtaining property by fraud or
			 misrepresentation;
(d) knowingly or
			 recklessly misapplying loan payments to the outstanding balance of a
			 loan;
(e) making any false
			 statement or knowingly and willfully make any omission of a material fact in
			 connection with any information or reports filed with a governmental agency or
			 in connection with any investigation conducted by the Commissioner or another
			 governmental agency;
(f) allocating
			 partial payments in a way that maximizes late fees;
(g) assessing or collecting any late fees on
			 a payment, which payment is otherwise a full payment for the applicable period
			 and is paid on its due date or within an applicable grace period, when the only
			 delinquency is attributable to late fee(s) assessed on earlier
			 installment(s);
(h) misrepresenting
			 required minimum payments on any billing or account statements provided to the
			 student loan borrower;
(i) charging
			 late fees for payments made during a grace period;
(j) misrepresenting the availability of
			 repayment options to a student loan borrower, or failing to disclose all
			 available repayment options to a student loan borrower who has inquired about
			 alternative repayment options;
(k)
			 steering student loan borrowers into forbearance without disclosing all other
			 available repayment options;
(l)
			 collecting any amount (including any interest, fee, charge, or expense
			 incidental to the principal obligation), unless such amount is expressly
			 authorized by the agreement creating the student loan or permitted by
			 law;
(m) failing to provide
			 information to student loan borrowers to notify or confirm changes in account
			 status, in accordance with the promissory note for the student loan or other
			 applicable student loan documents;
(n) knowingly or willfully failing to respond
			 to student loan borrower complaints in a timely manner.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.26 - Confidentiality

Current through Register 1525, July 5, 2024
(1) All records of investigations and reports
			 of examinations, including workpapers, information derived from the reports and
			 responses to the reports, and any copies thereof in the possession of a
			 licensee, or registered third party loan servicer under the supervision of the
			 Commissioner, shall be confidential and privileged communications;
(2) Records of investigation and reports of
			 examinations include records of investigation and reports of examinations
			 conducted by the Commissioner as well as those conducted by a financial
			 regulatory agency of the federal government, another state, or a foreign
			 government that are considered confidential by the agency or foreign government
			 and are in the possession of the Commissioner;
(3) Copies of the reports of examination
			 furnished to a licensee or registrant are for the licensee or registrant's use
			 only and shall not be exhibited to any other person, organization, or agency
			 without prior written approval by the Commissioner;
(4) The Commissioner may furnish information,
			 reports and statements relating to the licensees or registrants under the
			 Commissioner's supervision to regulatory agencies of the federal government,
			 other states, and foreign countries and to law enforcement agencies as
			 considered appropriate;
(5) The
			 confidentiality provisions of this section are not applicable to the records
			 provided by the Division of Banks to the student loan ombudsman, for the
			 purposes of the student loan ombudsman annual report filed pursuant M.G. L. c.
			 12, § 35(c).
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.27 - Relation to Other Laws

Current through Register 1525, July 5, 2024
(1) A violation of the
			 provisions of
			 209 CMR 18.00 shall be
			 considered an unfair or deceptive act or practice under M.G.L. c. 93A, § 2
			 and subject to the penalties contained in M.G.L. c. 93A.
(2)
								209 CMR 18.00 does not exempt
			 any person from complying with existing laws or canons of ethics with respect
			 to debt collection practices. To the extent that any provision of
			 209 CMR 18.00 is specifically
			 inconsistent with the
Canons of Ethics and Disciplinary Rules
			 Regulating the Practice of Law in Massachusetts
, and then only to the
			 extent of the inconsistency,
			 209 CMR 18.00 is not
			 applicable.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 18.00 - Conduct of the business of debt collectors, student loan servicers, and third party loan servicers › Section 18.28 - Relationship to Federal Law

Current through Register 1525, July 5, 2024
In the event any inconsistency exists between the provisions of
				209 CMR 18.00 and the
				provisions of federal statutes or regulations relating to the collection of
				debts, the servicing of students loans, or third party loan servicing, such
				federal law shall control, but only to the extent that such federal law
				provides greater consumer protections than those provided in
				209 CMR
				18.00.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 20.00 - Small Loans, Sales Finance Companies And Insurance Premium Finance Companies › Section 20.01 - Purpose and Scope

Current through Register 1525, July 5, 2024
The purpose of
				209 CMR 20.00 is to establish
				procedures and requirements for the licensing and supervision of licensees
				under the provisions of M.G.L. c. 140, § 96; c. 255B, c. 255C, or c.
				255D.
Nothing contained in
				209 CMR 20.00 shall limit the
				ability of the commissioner to consider other information in determining
				whether or not to approve an application, or to require information in addition
				to that required by the application form provided to the
				applicant.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 20.00 - Small Loans, Sales Finance Companies And Insurance Premium Finance Companies › Section 20.02 - Definitions

Current through Register 1525, July 5, 2024
As used in
				209 CMR 20.00 the following
				words shall, unless the context otherwise requires, have the following
				meanings:
Applicant
, any person or entity who is
				required to be licensed under the provisions of M.G.L. c. 140, § 96; c.
				255B; c. 255C or c. 255D.
Commissioner
, the commissioner of
				banks.
Licensee
, any person who is licensed
				to make small loans under M.G.L. c. 140, §§ 96 to 113, inclusive; any
				person who is licensed as a sales finance company as defined in M.G.L. c. 255B,
				a premium finance company as defined in M.G.L. c. 255C, or a sales finance
				company as defined in M.G.L. c. 255D.
Net Worth
, the applicant's or
				licensee's total assets less total liabilities, omitting the following assets:
(a) that portion of an applicant's assets pledged to secure
				obligations of any person or entity other than that of the applicant;
(b) any asset due from officers or stockholders of the
				applicant or persons in which the applicant's officers or stockholders have an
				interest;
(c) an amount in excess of the lower of the cost or fair market
				value of mortgage loans in foreclosure, or real property acquired through
				foreclosure;
(d) an investment shown on the balance sheet in joint ventures,
				subsidiaries, or affiliates, which is greater than the fair market value of the
				assets;
(e) goodwill or value placed on insurance renewals or other
				similar intangible value;
(f) organization costs;
(g) any other intangible asset, as may be determined by the
				commissioner.
Person
, a natural person or an
				organization including a corporation, partnership, association, cooperative or
				trust.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 20.00 - Small Loans, Sales Finance Companies And Insurance Premium Finance Companies › Section 20.03 - Application Procedure

Current through Register 1525, July 5, 2024
(1)
Application
. Each applicant for a license to engage in
			 the business of making small loans pursuant to M.G.L. c. 140, § 96; a
			 license as a sales finance company pursuant to M.G.L. c. 255B, a premium
			 finance agency pursuant to M.G.L. c. 255C, or a sales finance company pursuant
			 to M.G.L. c. 255D shall submit a written application on a form prescribed by
			 the commissioner, signed under the pains and penalties of perjury, containing
			 such information as the commissioner may from time to time require.
(2)
Requirements
. An
			 Applicant shall be required to submit detailed information supporting the
			 following general requirements:
(a)
Financial Responsibility
. An Applicant shall
			 demonstrate and provide the commissioner with evidence of its financial
			 responsibility and submit a sworn statement which states that the Applicant
			 meets the following requirements:
1. An
			 Applicant for a license under M.G.L. c. 140, § 96 shall demonstrate that,
			 after all organization and other initial expenses have been paid, it has a net
			 worth of not less than $75,000, and shall provide the commissioner with
			 evidence of its financial responsibility.
2. An Applicant for a license under M.G.L. c.
			 255B shall demonstrate that, after all organization and other initial expenses
			 have been paid, it has a net worth equal to at least $20,000. The minimum net
			 worth requirement may be waived by the commissioner when a license is being
			 renewed. If the commissioner approves an Applicant under M.G.L. c. 255B, he
			 may, in his discretion, require the Licensee to furnish a bond in a sum not to
			 exceed $10,000 executed by the Licensee and by a surety company approved by the
			 commissioner conditioned upon the faithful performance by the Licensee of the
			 duties and obligations pertaining to the business so licensed.
3. An Applicant for a license under M.G.L. c.
			 255C or c. 255D shall demonstrate and provide the commissioner with evidence of
			 its financial responsibility.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 20.00 - Small Loans, Sales Finance Companies And Insurance Premium Finance Companies › Section 20.04 - Licensing Standards

Current through Register 1525, July 5, 2024
(1) The commissioner
			 will issue an applicant a license to engage in the business of making small
			 loans, or the business of a sales finance company or a premium finance agency
			 if the commissioner, upon review of the application and all other relevant
			 information, determines that the Applicant has met all of the requirements of
			 M.G.L. c. 140, § 96, c. 255B, c. 255C, or c. 255D.
(2) The commissioner may deny such an
			 application if the Applicant has:
(a) violated
			 any provisions of M.G.L. c. 140, § 96, c. 255B, or c. 255C, or c. 255D or
			 209 CMR 20.00;
(b) violated or engaged in a pattern of
			 violations of any state or federal law applicable to the conduct of the
			 business of a sales finance company or a premium finance agency, including but
			 not limited to M.G.L. c. 93A, c. 140D, and any rule, regulation or
			 administrative order or directive promulgated thereunder;
(c) conducted, or will conduct, its business
			 in any unsafe and unsound manner; or
(d) engaged in conduct which has resulted in
			 the suspension or revocation of its license to engage in any business by the
			 licensing authority of any other state.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 20.00 - Small Loans, Sales Finance Companies And Insurance Premium Finance Companies › Section 20.05 - Books and Records

Current through Register 1525, July 5, 2024
(1) Each Licensee shall
			 keep and use its books, records, and accounts in a manner which will allow the
			 Commissioner to determine whether the Licensee is complying with the provisions
			 of M.G.L. c. 140, § 96; c. 255B, or c. 255C, or c. 255D and applicable
			 state and federal laws and regulations. Each Licensee shall comply with the
			 provisions of
			 209 CMR
			 48.00.
(2)
			 A Licensee shall maintain a complete customer account history including but not
			 limited to terms and conditions of the loan, agreement, payment dates, pay off
			 date, refunds, refinancing date, collection or legal action taken.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 20.00 - Small Loans, Sales Finance Companies And Insurance Premium Finance Companies › Section 20.06 - Notice of Significant Events and Proposed Change in Ownership or Personnel

Current through Register 1525, July 5, 2024
(1) A Licensee shall be
			 required to notify the Division in writing within one business day of the
			 occurrence of any of the following significant developments:
(a) Licensee filing for bankruptcy or
			 reorganization.
(b) Notification of
			 the institution of license revocation procedures in any state against the
			 Licensee.
(c) The filing of a
			 criminal indictment any way related to the activities of a licensee, an
			 officer, director, or principal, including, but not limited to, the handling
			 and/or reporting of moneys received and/or instruments sold.
(d) A Licensee, officer, director, or
			 principal being convicted of a crime.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 20.00 - Small Loans, Sales Finance Companies And Insurance Premium Finance Companies › Section 20.07 - Office Locations

Current through Register 1525, July 5, 2024
(1) A Licensee who
			 wishes to carry on its business at any location in addition to the address on
			 its original license shall obtain the prior approval of the commissioner. Such
			 approval shall contain the address of any such place and such other information
			 as the commissioner may require. A license shall be valid for the transaction
			 of business at or from the address specified on the license.
(2) No change in the location of a licensed
			 business shall take place without the written approval of the
			 commissioner.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 26.00 - Small loans regulatory board › Section 26.01 - Rate Order

Current through Register 1525, July 5, 2024
We hereby promulgate the following order:
(1) All persons subject, in whole or in part,
			 to the provisions of M.G.L. c. 140, §§ 96 through 113, may charge,
			 contract for, and receive the following maximum interest charges for loans not
			 in excess of $6,000:
(a) 23% per annum of the
			 unpaid balances of the amount financed calculated according to the actuarial
			 method plus an administrative fee of $20 upon the granting of a loan. An
			 administrative fee is not permitted to be assessed to a borrower more than once
			 during any 12 month period.
(b)
			 Outstanding loans contracted at the previous rate may be refinanced at higher
			 rates permitted under this order only after the borrower is furnished with
			 written notice of their legal right to have two separate loans and disclosing
			 the additional finance charge incurred in consolidating the outstanding loan
			 with a new loan. Receipt of this notice must be acknowledged in writing by the
			 borrower.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 31.00 - Electronic fund transfers and establishment and operation of electronic branches › Subpart A - General Provisions › Section 31.01 - Purpose

Current through Register 1525, July 5, 2024
The purpose of
				  209 CMR 31.00 is the
				  protection of consumers engaging in electronic fund transfers and remittance
				  transfers, as well as to set forth the general registration and related
				  procedures for the establishment and operation of automated teller machines.
				  209 CMR 31.00 applies to
				  financial institutions, banks, and credit unions, as set forth in
				  209 CMR
				  31.03.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 31.00 - Electronic fund transfers and establishment and operation of electronic branches › Subpart A - General Provisions › Section 31.03 - Coverage

Current through Register 1525, July 5, 2024
(1)
									209 CMR 31.00 shall apply to
				financial institutions, as defined in
				209 CMR 31.02;
				provided, however, that a bank or credit union shall not be a financial
				institution for purposes of
				209 CMR
				31.04,
				31.05,
				31.07 through
				31.11, 31.13(2), 31.14 through 31.17, and 31.19 through 31.42 and shall comply
				with the corresponding provisions of 12 CFR 1005.
(2) Banks and credit unions are subject to
				the requirements of 12 CFR 1005, except as set forth in
				209 CMR 31.00.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 31.00 - Electronic fund transfers and establishment and operation of electronic branches › Subpart A - General Provisions › Section 31.04 - General Disclosure Requirements; Jointly Offered Services

Current through Register 1525, July 5, 2024
Compliance with
				  12 CFR
				  1005.4 constitutes compliance with 209 CMR
				  31.04.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 31.00 - Electronic fund transfers and establishment and operation of electronic branches › Subpart A - General Provisions › Section 31.05 - Issuance of Access Devices

Current through Register 1525, July 5, 2024
Compliance with
				  12 CFR
				  1005.5 constitutes compliance with 209 CMR
				  31.05.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 31.00 - Electronic fund transfers and establishment and operation of electronic branches › Subpart A - General Provisions › Section 31.06 - Liability of Consumer for Unauthorized Transfers

Current through Register 1525, July 5, 2024
Compliance with
				  12 CFR
				  1005.6 constitutes compliance with 209 CMR
				  31.06, provided, however, that the maximum liability of a consumer shall be
				  limited to $50.00.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 31.00 - Electronic fund transfers and establishment and operation of electronic branches › Subpart A - General Provisions › Section 31.07 - Initial Disclosures

Current through Register 1525, July 5, 2024
Compliance with
				  12 CFR 1005.7
				  constitutes compliance with 209 CMR 31.07.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 31.00 - Electronic fund transfers and establishment and operation of electronic branches › Subpart A - General Provisions › Section 31.08 - Change in Terms Notice; Error Resolution Notice

Current through Register 1525, July 5, 2024
Compliance with
				  12 CFR
				  1005.8 constitutes compliance with 209 CMR
				  31.08.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 31.00 - Electronic fund transfers and establishment and operation of electronic branches › Subpart A - General Provisions › Section 31.09 - Receipts at Electronic Terminals

Current through Register 1525, July 5, 2024
Compliance with
				  12 CFR
				  1005.9 shall constitute compliance with 209
				  CMR 31.09, provided, however that the electronic funds transfer receipt shall
				  also include:
(1) A transfer
				identification number which provides a permanent audit trail; and
(2) A 24 hour toll free telephone number to
				call for inquiries or complaints.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 31.00 - Electronic fund transfers and establishment and operation of electronic branches › Subpart A - General Provisions › Section 31.10 - Preauthorized Transfers

Current through Register 1525, July 5, 2024
Compliance with
				  12 CFR
				  1005.10 shall constitute compliance with 209
				  CMR 31.10.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 31.00 - Electronic fund transfers and establishment and operation of electronic branches › Subpart A - General Provisions › Section 31.11 - Procedures for Resolving Errors

Current through Register 1525, July 5, 2024
Compliance with
				  12 CFR
				  1005.11 shall constitute compliance with 209
				  CMR 31.11.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 31.00 - Electronic fund transfers and establishment and operation of electronic branches › Subpart A - General Provisions › Section 31.12 - Relation to Other Laws

Current through Register 1525, July 5, 2024
(1) Provisions
				regarding relation to the federal Truth in Lending Act, as presented in
				12 CFR
				1005.12(a), and the
				Massachusetts Truth in Lending Act, as presented in
				209 CMR 32.00:
Truth
				in Lending
, are incorporated by reference as 209 CMR 31.12.
(2) Compliance with any applicable provisions
				of the Electronic Fund Transfer Act, regulation 12 CFR Part 1005 (Regulation
				E), and the corresponding Appendices and Official Interpretations, which do not
				conflict with M.G.L. c. 167B,
				209 CMR 31.00, or an advisory
				ruling of the Commissioner, shall be deemed to be compliance with M.G.L. c.
				167B and
				209 CMR
				31.00.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 31.00 - Electronic fund transfers and establishment and operation of electronic branches › Subpart A - General Provisions › Section 31.13 - Enforcement; Record Retention

Current through Register 1525, July 5, 2024
(1)
Enforcement
.
(a) The
				Division of Banks shall enforce both
				209 CMR 31.00 and the
				provisions of 12 CFR 1005, as applicable.
(b) Failure to comply with any provision of
				209 CMR 31.00 or 12 CFR 1005,
				as applicable, shall constitute grounds for the initiation of enforcement
				measures and the imposition of sanctions under M.G.L. c. 167B, §§ 20
				through 22.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 31.00 - Electronic fund transfers and establishment and operation of electronic branches › Subpart A - General Provisions › Section 31.14 - Electronic Fund Transfer Service Provider Not Holding a Consumer's Account

Current through Register 1525, July 5, 2024
Compliance with
				  12
				  CFR 1005.14 constitutes compliance with 209
				  CMR 31.14.
Code of Massachusetts Regulations › 209 CMR - DIVISION OF BANKS AND LOAN AGENCIES › Title 209 CMR 31.00 - Electronic fund transfers and establishment and operation of electronic branches › Subpart A - General Provisions › Section 31.15 - Electronic Fund Transfer of Government Benefits

Current through Register 1525, July 5, 2024
Compliance with
				  12 CFR
				  1005.15 constitutes compliance with 209 CMR
				  31.15.