Pennsylvania Code › Title 10 - BANKING AND SECURITIES › Part IV - Bureau of Consumer Credit Agencies › Chapter 49 - REVERSE MORTGAGES-STATEMENT OF POLICY › Section 49.1 - Definitions

Current through Register Vol. 54, No. 28, July 13, 2024
Applicant
-A person who submits an
				  application for a reverse mortgage loan.
CDCA
-The Consumer Discount Company Act
				  (7 P.
				  S. §§
										6201-6219).
Disbursements
-Disbursements made by a
				  licensee or assignee at or after the closing of a mortgage loan, including
				  advances made on a reverse mortgage line of credit, regularly scheduled
				  payments under a reverse mortgage loan and advances used to pay property
				  charges.
FHA
-The Federal Housing
				  Administration.
HUD
-The United States Department of Housing
				  and Urban Development.
Hazard insurance
-Insurance that covers
				  property damage caused by fire, wind, storms and other similar risks.
Insured reverse mortgage loan
-A reverse
				  mortgage loan insured by the Federal government or agency or instrumentality
				  thereof.
Licensee
-A licensee under the MLA or CDCA or
				  partially-exempt entity under the MLA.
MLA
-The Mortgage Licensing Act (7 Pa.C.S.
				  Chapter 61).
Maturity of a reverse mortgage loan
-The date
				  on which full repayment of the reverse mortgage loan is due.
Mortgage loan
-A mortgage loan as defined in
				  section 6102 of the MLA (relating to definitions) or a loan involving a
				  mortgage made by a licensee under the CDCA, or both, as the context may
				  require.
Mortgage originator
-A mortgage originator as
				  defined in section 6102 of the MLA.
Net worth
-Assets less liabilities and assets
				  unacceptable to HUD for purposes of complying with
				  24 CFR
				  202.5(n) or
				  202.8(b)(1)
				  (relating to general approval standards; and loan correspondent lenders and
				  mortgagees), as applicable.
Person
-A person as defined in section 6102
				  of the MLA and section 2 of the CDCA (7 P. S. §
										6202), as applicable.
Property charge set aside account
-Funds set
				  aside by the borrower to pay for property charges.
Property charges
-Property taxes, hazard
				  insurance and other charges required by the lender to be paid by the
				  borrower.
Property taxes
-The taxes assessed, or a
				  reasonable estimate of the taxes to be assessed, on the property being
				  mortgaged based upon the assessed value of the property and any improvements
				  thereon.
Proprietary reverse mortgage lender
-A
				  licensee which makes proprietary reverse mortgage loans.
Proprietary reverse mortgage loan
-A reverse
				  mortgage loan that is not an insured reverse mortgage loan or single-purpose
				  reverse mortgage loan.
Reverse mortgage loan
-A mortgage loan that
				  is a reverse mortgage transaction as defined in
				  12 CFR
				  226.33(a) (relating to
				  requirements for reverse mortgages).
Service
or
servicing
-Remitting payments to borrowers, or collecting or
				  remitting payments for another of principal, interest, taxes, insurance and any
				  other payments pursuant to a mortgage loan.
Single-purpose reverse mortgage loans
-Reverse mortgage loans which are made by state or local governments or
				  nonprofit organizations where the loan proceeds are to be used for a specified
				  purpose.
Tenure reverse mortgage loan
-A reverse
				  mortgage loan where advances are made to the borrower for a period of time
				  until the maturity of the reverse mortgage loan.
Term reverse mortgage loan
-A reverse
				  mortgage loan where advances are made to the borrower for a specified period of
				  time.