Ohio Administrative Code › Title 1301:8 - Division of Financial Institutions: Consumer Finance › Chapter 1301:8-3 - Second Mortgage Loan Act › Section 1301:8-3-03 - Definitions

Current through all regulations passed and filed through July 1, 2024
(A) "Assets," as
			 used in division (B)(2) of section
			 1321.53 of the Revised Code,
			 shall mean properties of value that are owned by the applicant or registrant.
			 Therefore, assets include cash on hand and in depository institutions, readily
			 marketable securities, accounts receivable (less allowances for uncollectible
			 accounts) and real estate (less liens and depreciation). However, the term
			 "assets" as used in this section shall not include: office premises, leasehold
			 improvements, office furniture, fixtures, and equipment, or intangible
			 assets.
(B) "Net worth," as used in
			 division (B)(1) of section
			 1321.53 of the Revised Code
			 shall mean the amount by which the business assets exceed the business
			 liabilities.
(C) "Direct mail," as
			 used in this chapter, shall mean a loan arranged via an application through the
			 mail or internet where the loan proceeds are delivered through the mail or
			 electronic transmission to the benefit of a borrower. A loan is not made by
			 "direct mail" if it is facilitated by face to face, personal contact in this
			 state between the lender, lender's employee or agent, or lender's attorney and
			 the borrower or borrower's agent. For purposes of this rule, a bona fide third
			 party title agency, notary, insured depository, or attorney which is suggested
			 as part of a list of three or more recommended but not required closing
			 providers, shall not be considered an agent of the lender. Nothing in this rule
			 shall prohibit a registrant from creating a list of disapproved vendors, nor
			 shall persons selected by the borrower only to witness the borrower's signature
			 in compliance with a list be considered an agent of the lender.
(D) The phrase "refuse
			 to provide information" as used in division (C) of section
			 1321.59 of the Revised Code
			 shall mean the failure of a registrant to provide a borrower with information
			 regarding the amount required to pay the borrower's loan in full within five
			 business days after the receipt of a written request from a borrower or the
			 borrower's designee.
(E) The term
			 "prepayment penalty" as used in sections
			 1321.51 to
			 1321.60 of the Revised Code and
			 this chapter shall mean a charge incurred for early payment of a loan in full
			 prior to the loan's repayment due date.
(F) "Affiliation" or
			 "affiliated with" as used in sections
			 1321.51 to
			 1321.60 of the Revised Code and
			 this chapter shall mean directly or indirectly through one or more
			 intermediaries controlled by or under common control with another person or
			 enterprise. "Control" shall mean the authority to direct or cause the direction
			 of the management and policies through ownership, by contract, or
			 otherwise.
(G) "Final entry on a
			 loan," as used in this chapter, means, as to that lender, the latter of the
			 date the loan is:
(1) Paid in full,
(2) Deemed uncollectible,
(3) Assigned to another registrant or exempt
			 entity and all records are transferred to the new lender, or
(4) Discharged or otherwise settled by an
			 order terminating litigation governing the loan transaction.