reglab/statecodes huggingface dataset:
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › COMPANY LICENSING › Section 208-620-420 - May I transact my company business in a name other than the name on my company license?

Current through Register Vol. 24-14, July 15, 2024
(1) You
						may only transact business using the name on the license or as further
						described in this section.
(2) You
						may apply to the department to add a trade or doing business as (DBA) name to
						your main office license but you may not use the DBA alone to transact
						business. DBA names will only be attached to the main office license. Branch
						offices cannot have DBAs attached to the branch office license. The director
						may deny an application for a proposed DBA name if the proposed DBA name is
						similar to a currently existing licensee name.
(3) If you transact business using a DBA you
						must use either the main office license number or main office name as entered
						in the NMLS with the DBA. See also WAC
						208-620-620,
						208-620-621 and
						208-620-622.
(4) Reserved.
Statutory Authority:
								RCW
								   43.320.040,
								31.04.165 and   2010 c  35.
								10-20-122, §
											208-620-420, filed 10/5/10,
								effective 11/5/10. Statutory Authority:
								RCW
								   31.04.165,
								31.04.015,
								31.04.045,
								31.04.075,
								31.04.085,
								31.04.093,
								31.04.102,
								31.04.115,
								31.04.145,
								31.04.155, and
								31.04.175. 06-04-053, §
											208-620-420, filed 1/27/06,
								effective 2/27/06.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › COMPANY LICENSING › Section 208-620-425 - May I transfer or assign my license?

Current through Register Vol. 24-14, July 15, 2024
No. A license is given to a specific entity with specific
							individuals at a specific location. If twenty percent or more of the business
							is transferred or sold to another person, the licensee and the proposed new
							licensee(s) must apply to the department for a license. See also WAC
							208-620-490.
Statutory Authority:
								RCW
								   43.320.040. 08-15-125, §
											208-620-425, filed 7/22/08,
								effective 8/22/08. Statutory Authority:
								RCW
								   31.04.165,
								31.04.015,
								31.04.045,
								31.04.075,
								31.04.085,
								31.04.093,
								31.04.102,
								31.04.115,
								31.04.145,
								31.04.155, and
								31.04.175. 06-04-053, §
											208-620-425, filed 1/27/06,
								effective 2/27/06.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › LICENSEE REPORT REQUIREMENTS › Section 208-620-430 - What are my annual filing requirements as a consumer loan licensee?

Current through Register Vol. 24-14, July 15, 2024
Each year you are required to file two annual reports on
							forms provided by the department. You must also pay a fee (assessment) based on
							your activities during the reporting year. The reports and the assessment fee
							must be provided to the department on March 1st of each year or within thirty
							days of ceasing Washington operations (the due date).
(1)
Annual reports and assessment fee
						on activity.
You must provide the annual reports (annual assessment
						report and consolidated annual report) and the assessment fee by the due
						date.
(2)
Late
						penalties.
If you fail to submit the required annual reports and
						assessment fee by the due date you are subject to a penalty of fifty dollars
						for each item for each day of delay. For example, if the department receives
						the two annual reports and assessment fee on March 4th, you would have to pay
						an additional four hundred fifty dollars as a late penalty. If the items are
						filed with the department more than thirty days after ceasing Washington
						operations, the late penalty will accrue at the same rate. The maximum late
						penalty that will be assessed is five thousand dollars per reporting year. More
						penalties may be assessed if the department must make a bond claim to collect
						the amounts due. See subsection (3) of this section.
(3)
Failure to file.
(a) If you fail to pay the annual assessment
						fee or file the annual reports by the due date the director may file a claim
						against your surety bond for failing to comply with the Consumer Loan Act. The
						department may make a claim for the late penalties under subsection (2) of this
						section and the greater of:
(i) The
						assessment fee paid the previous year;
(ii) The average annual assessment fee you
						paid in the previous two years; or
(iii) Fifteen hundred dollars.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › LICENSEE REPORT REQUIREMENTS › Section 208-620-431 - What are my quarterly call report filing requirements ?

Current through Register Vol. 24-14, July 15, 2024
You are required to file accurate and complete call reports
							on the dates and in a form prescribed by the NMLS (see
							RCW
							   31.04.277).
Statutory Authority:
								RCW
								   43.320.040,
								31.04.165 and   2010 c  35.
								10-20-122, §
											208-620-431, filed 10/5/10,
								effective 11/5/10. Statutory Authority:
								RCW
								   43.320.040,
								31.04.165,   2009 c  120, and   2009 c
								 149. 09-24-090, §
											208-620-431, filed 12/1/09,
								effective 1/1/10.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › LICENSEE REPORT REQUIREMENTS › Section 208-620-440 - How do I calculate the annual assessment for my nonmortgage activity in Washington?

Current through Register Vol. 24-14, July 15, 2024
(1)
Calculation of the annual assessment for loans made, brokered or
						purchased.
The annual assessment is based on the "adjusted total loan
						value" as defined in subsection (2) of this section. The amount of the annual
						assessment is determined by multiplying the adjusted total loan value of the
						loans in the year being assessed by .000180271.
(2)
All loans counted in assessment
						calculation.
The "adjusted total loan value" is the sum of:
(a) The principal loan balance on Washington
						loans in your loan portfolio on December 31 of the prior year; plus
(b) The total principal loan amount of all
						Washington loans you made during the assessment year.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › LICENSEE REPORT REQUIREMENTS › Section 208-620-441 - How do I calculate the annual assessment for my residential mortgage activity in Washington?

Current through Register Vol. 24-14, July 15, 2024
(1)
(a)
Calculation of the annual
						assessment for loans made, brokered or purchased.
The annual assessment
						is based on the "adjusted total loan value" as defined in subsection (2) of
						this section. The amount of the annual assessment is determined by multiplying
						the adjusted total loan value of the loans in the year being assessed by
						.000180271.
(b)
Calculation
						of the annual assessment for residential mortgage loans serviced.
Master
						servicers must report their MSR volume but will not be assessed for residential
						mortgage loan servicing conducted by a subservicer licensed under this chapter
						pursuant to a servicing agreement. Each licensee will pay an amount based on
						the total annual volume of Washington residential mortgage loans serviced
						during the reporting year minus the adjusted total loan value of the loans in
						the year being assessed, multiplied by .00000746624. The minimum amount
						assessed will be five hundred dollars and the maximum amount assessed to any
						licensee will not exceed one hundred thousand dollars.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › LICENSEE REPORT REQUIREMENTS › Section 208-620-442 - How do I calculate the annual assessment for my student education loan servicing activity in Washington?

Current through Register Vol. 24-14, July 15, 2024
Pursuant to RCW     31.04.400, your annual assessment is an
				  amount sufficient to cover the costs of the department's administration of the
				  program, and to fund the student achievement council's student loan advocate.
				  For purposes of this section, "portfolio" means all student education loan
				  servicing accounts, including those held for investment.
(1)
Calculation of the annual
				assessment for student education loans serviced.
The amount of the
				annual assessment is determined by multiplying the adjusted total loan volume
				of the loans in the year being assessed by. 0000384616.
(2)
All loans counted in assessment
				calculation.
The "adjusted total loan volume" is the sum of:
(a) The principal loan balance of Washington
				student education loans in your portfolio on December 31st of the prior year;
				plus
(b) The total principal loan
				balance of Washington student education loans added to your portfolio during
				the assessment year.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › LICENSEE REPORT REQUIREMENTS › Section 208-620-460 - Must I file my annual reports even if I go out of business during the year?

Current through Register Vol. 24-14, July 15, 2024
(1) If you cease
						operation during the year, you must file the annual reports and pay the annual
						assessment required in WAC
						208-620-430 within thirty days of
						closure.
(2) Failure to file within
						thirty days of closure will trigger the bond claim process as described in WAC
						208-620-430(3),
						or other action. See also WAC
						208-620-499.
Statutory Authority:
								RCW
								   43.320.040,
								31.04.165 and   2010 c  35.
								10-20-122, §
											208-620-460, filed 10/5/10,
								effective 11/5/10. Statutory Authority:
								RCW
								   43.320.040. 08-15-125, §
											208-620-460, filed 7/22/08,
								effective 8/22/08. Statutory Authority:
								RCW
								   31.04.165,
								31.04.015,
								31.04.045,
								31.04.075,
								31.04.085,
								31.04.093,
								31.04.102,
								31.04.115,
								31.04.145,
								31.04.155, and
								31.04.175. 06-04-053, §
											208-620-460, filed 1/27/06,
								effective 2/27/06.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › LICENSEE REPORT REQUIREMENTS › Section 208-620-480 - What are my reporting responsibilities if my company files for bankruptcy?

Current through Register Vol. 24-14, July 15, 2024
(1)
Chapter 7 bankruptcy.
A licensee that files for chapter 7
						bankruptcy must notify the director within ten days, surrender its license(s)
						and deliver the consolidated annual report and worksheet for the period in
						business that year within sixty days of filing bankruptcy.
(2)
Chapter 11 bankruptcy.
A
						licensee that files for chapter 11 bankruptcy must notify the director within
						ten days.
Statutory Authority:
								RCW
								31.04.165,
								31.04.015,
								31.04.045,
								31.04.075,
								31.04.085,
								31.04.093,
								31.04.102,
								31.04.115,
								31.04.145,
								31.04.155, and
								31.04.175. 06-04-053, §
											208-620-480, filed 1/27/06,
								effective 2/27/06.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › LICENSEE REPORT REQUIREMENTS › Section 208-620-490 - What are my reporting responsibilities when something of significance happens to my business?

Current through Register Vol. 24-14, July 15, 2024
(1)
Prior
				notification required.
You must amend your NMLS record at least ten days
				prior to a change of your:
(a) Principal place
				of business or any of branch offices;
(b) Name or legal status (e.g., from sole
				proprietor to corporation, etc.);
(c) Legal or trade name;
(d) Ownership control of ten percent or more;
				or
(e) Addition of a control
				person.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › LICENSEE REPORT REQUIREMENTS › Section 208-620-499 - What are my reporting requirements if I want to close my company or surrender my license?

Current through Register Vol. 24-14, July 15, 2024
If you cease doing business in Washington you must do the
							following:
(1) Submit a surrender
						request through the NMLS within ten days of closing the company or surrendering
						the license; and
(2) File the final
						closure form, annual reports, worksheet, and submit any fees owed as required
						in WAC
						208-620-430.
						Failure to file these reports within thirty days of closure will trigger the
						bond claim process as described in WAC
						208-620-430(3),
						or other action.
(3) If your
						license has expired or you are otherwise locked out of the NMLS database, you
						must provide the documents described in subsection (2) of this section directly
						to the department.
(4) If you are a
						residential mortgage loan servicer, you must provide the department with a
						description of the disposition of your servicing volume, including the name of
						the purchaser and the specific notice to consumers about the sale of their
						servicing.
Any Washington loans in your portfolio and activity under the
							act remain subject to the director's authority including investigation and
							examination, and the fees associated with those activities.
Statutory Authority:
								RCW
								   43.320.040,
								31.04.165 and   2010 c  35.
								10-20-122, §
											208-620-499, filed 10/5/10,
								effective 11/5/10. Statutory Authority:
								RCW
								   43.320.040,
								31.04.165,   2009 c  120, and   2009 c
								 149. 09-24-090, §
											208-620-499, filed 12/1/09,
								effective 1/1/10.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › LICENSEE REPORT REQUIREMENTS › Section 208-620-500 - What are my reporting requirements if I want to close one or more of my branch offices?

Current through Register Vol. 24-14, July 15, 2024
If you close a branch office, you must submit a surrender
							request through the NMLS at least ten days prior to the branch
							closing.
Statutory Authority:
								RCW
								   43.320.040,
								31.04.165,   2009 c  120, and   2009 c
								 149. 09-24-090, §
											208-620-500, filed 12/1/09,
								effective 1/1/10. Statutory Authority:
								RCW
								   43.320.040. 08-15-125, §
											208-620-500, filed 7/22/08,
								effective 8/22/08. Statutory Authority:
								RCW
								   31.04.165,
								31.04.015,
								31.04.045,
								31.04.075,
								31.04.085,
								31.04.093,
								31.04.102,
								31.04.115,
								31.04.145,
								31.04.155, and
								31.04.175. 06-04-053, §
											208-620-500, filed 1/27/06,
								effective 2/27/06.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › DISCLOSURE AND OTHER OBLIGATIONS › Section 208-620-505 - In addition to the Consumer Loan Act, what other laws do I have to comply with?

Current through Register Vol. 24-14, July 15, 2024
You must ensure you are in compliance with all federal and
							state laws, regulations and programs that apply to lending or brokering loans,
							servicing residential mortgage loans, including applicable reverse mortgage, or
							servicing student education loans including, but not limited to, the Truth in
							Lending Act, the Equal Credit Opportunity Act, the Home Mortgage Disclosure
							Act, the Bank Secrecy Act, the Real Estate Settlement Procedures Act, the
							Gramm-Leach-Bliley Act, the Fair Debt Collection Practices Act, the Fair Credit
							Reporting Act, the Federal Trade Commission Act, the Telemarketing and Consumer
							Fraud and Abuse Act, the Washington State Fair Housing Act, the S.A.F.E. Act,
							the Federal Trade Commission Telemarketing Sales Rule, and the Mortgage Acts
							and Practices - Advertising statute, Regulation N, 12 C.F.R. Part
							1014.
Statutory Authority:
								RCW
								   43.320.040 and
								31.04.165. 12-18-047, §
											208-620-505, filed 8/29/12,
								effective 11/1/12. Statutory Authority:
								RCW
								   43.320.040,
								31.04.165,
								2009 c
								120, and
								2009 c
								149. 09-24-090, §
											208-620-505, filed 12/1/09,
								effective 1/1/10. Statutory Authority:
								RCW
								   31.04.165,
								31.04.015,
								31.04.045,
								31.04.075,
								31.04.085,
								31.04.093,
								31.04.102,
								31.04.115,
								31.04.145,
								31.04.155, and
								31.04.175. 06-04-053, §
											208-620-505, filed 1/27/06,
								effective 2/27/06.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › DISCLOSURE AND OTHER OBLIGATIONS › Section 208-620-506 - Must my underwriting analysis of a borrower's residential mortgage loan application include a determination of the borrower's ability to repay the loan?

Current through Register Vol. 24-14, July 15, 2024
Yes. To ensure that underwriting standards are consistent
							with prudent lending practices, the underwriting standards should include, at a
							minimum, an analysis of the borrower's ability to repay the obligation. The
							analysis of a borrower's repayment capacity must include the debt to income
							ratio; the assets, net worth, or equity; and any prepayment penalty clauses. If
							the residential mortgage loan is underwritten to the guidelines of Fannie Mae,
							Freddie Mac, FHA, VA, or USDA and you have met the underwriting standards of an
							ability to repay analysis for those loans types, you are in compliance with
							this section.
Statutory Authority:
								RCW
								43.320.040,
								31.04.165,   2009 c  120, and   2009 c
								 149. 09-24-090, §
											208-620-506, filed 12/1/09,
								effective 1/1/10.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › DISCLOSURE AND OTHER OBLIGATIONS › Section 208-620-507 - What elements of an ability to repay analysis must be part of my underwriting policy of a conventional residential mortgage loan?

Current through Register Vol. 24-14, July 15, 2024
(1) Your underwriting policy must include:
A procedure for evaluating and documenting a borrower's
							ability to repay.
Standards used to evaluate the borrower's ability to repay by
							final maturity at the fully indexed rate.
A policy that provides the assumption of a fully amortizing
							repayment schedule in determining the borrower's ability to repay.
An evaluation of any negative amortization on a borrower's
							ability to repay.
Standards for verifying the borrower's income, current
							employment and reasonably expected future income.
Standards for verifying the borrower's assets, net worth or
							equity in the subject property.
Standards for an acceptable range for the borrower's debt to
							income ratio based on the loan type (conventional, reduced documentation,
							stated income).
Demonstration that the debt to income ratio includes all of
							the borrower's contractual obligations, or that an allowance has been made
							within the ratio to take into account ancillary borrower contractual
							obligations (utility, cell phone contracts, etc.).
Standards for counseling borrowers on the impact of their
							decision to accept a mortgage with an adjustable rate, balloon payment, or
							other alternative product or feature.
Standards on the substitution of a credit score in place of
							income, assets, or net worth.
Standards for due diligence of third-party originators
							including prerelationship review, verifications of borrower information,
							responsibility for initial RESPA compliance, responsibility for adverse action
							notice compliance, and postclosing reviews.
Procedures for notifying borrowers about prepayment
							penalties.
(2) You must
						demonstrate consistent and uniform application of the elements in subsection
						(1) of this section in your in-house compliance and audit
						departments.
Statutory Authority:
								RCW
								43.320.040,
								31.04.165,   2009 c  120, and   2009 c
								 149. 09-24-090, §
											208-620-507, filed 12/1/09,
								effective 1/1/10.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › DISCLOSURE AND OTHER OBLIGATIONS › Section 208-620-511 - What is the disclosure required under RCW 19144020 for residential mortgage loans?

Current through Register Vol. 24-14, July 15, 2024
(1) You must
						provide the borrower with a clear, brief one page summary to help borrowers
						understand their loan terms. The disclosure summary must be provided on one
						page separate from any other documents and must use clear, simple, plain
						language terms that are reasonably understandable to the average
						person.
(2) You must provide the
						initial disclosure summary to the borrower within three business days following
						your receipt of a complete loan application.
(3) You must redisclose material loan terms
						within three days of a significant change, or at least three days before
						closing, whichever is earlier.
(4)
						You may provide the disclosure summary in electronic form, in a manner
						consistent with the procedure for delivery of electronic disclosure under
						Regulation Z of the Truth in Lending Act, 12 C.F.R. Part 1026, currently in
						effect, which implements the E-Sign Act of 2000,  15 U.S.C. Sec. 7001  et
						seq.
(5) The department has
						developed model forms that comply with this provision. See the department's web
						site. See also
						RCW
						   19.144.020 and WAC
						208-600-200.
(6) Disclosure in compliance with the Real
						Estate Settlement Procedures Act, Regulation X,  12 C.F.R. Part 1024  and Truth
						in Lending Act, Regulation Z,   12 C.F.R. Part 1026   is considered compliance with
						the disclosure requirements of this section.
Statutory Authority:
								RCW
								   43.320.040 and
								31.04.165. 12-18-047, §
											208-620-511, filed 8/29/12,
								effective 11/1/12. Statutory Authority:
								RCW
								   43.320.040,
								31.04.165,
								2009 c
								120, and
								2009 c
								149. 09-24-090, §
											208-620-511, filed 12/1/09,
								effective 1/1/10. Statutory Authority:
								RCW
								   43.320.040,
								19.144.070, 2008 c 78. 09-01-159,
								§
											208-620-511, filed 12/23/08,
								effective 1/23/09.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › DISCLOSURE AND OTHER OBLIGATIONS › Section 208-620-513 - In a residential mortgage loan transaction, what are my disclosure obligations to the company that brokered the loan to me?

Current through Register Vol. 24-14, July 15, 2024
You must provide copies of any disclosures you provided to
							the borrower, following the initial disclosures, within ten business days of
							providing the disclosures to the borrower.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › POWERS AND RESTRICTIONS › Section 208-620-515 - What authority do I have after my license has been issued?

Current through Register Vol. 24-14, July 15, 2024
Once your license has been issued you may:
(1) Lend money with a note rate that does not
						exceed twenty-five percent per annum as determined by the simple interest
						method of calculating interest owed. This applies only to nonmortgage loans,
						junior lien mortgage loans, and to lenders that are not "creditors" under the
						Depository Institutions Deregulatory and Monetary Control Act when making first
						lien mortgage loans. The requirement for the simple interest method of
						calculating interest does not apply to reverse mortgages.
(2) Make open-end loans as authorized in RCW
						31.04.-115 provided that:
(a) The annual fee
						allowed in
						RCW
						   31.04.115(3) may not exceed
						fifty dollars; and
(b) The annual
						fee must be charged in advance as a lump sum. It must not be charged monthly
						and must not be financed.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RECORDKEEPING › Section 208-620-530 - Can I maintain my records electronically?

Current through Register Vol. 24-14, July 15, 2024
Yes.
(1) You may
						maintain records electronically if you also maintain the electronic display
						equipment and make it available upon request to the director or his or her
						representatives for purposes of examination or investigation.
(2) The hardware or software needed to
						display the record must also be maintained during the required retention period
						under WAC
						208-620-520(1).
(3) You must provide records in hard copy
						upon request of the director.
(4)
						If you use a cloud service for records maintenance, the servers underlying that
						service must be located in the United States or its territories.
Statutory Authority:
								RCW
								   43.320.040,
								31.04.165 and   2010 c  35.
								10-20-122, §
											208-620-530, filed 10/5/10,
								effective 11/5/10. Statutory Authority:
								RCW
								   31.04.165,
								31.04.015,
								31.04.045,
								31.04.075,
								31.04.085,
								31.04.093,
								31.04.102,
								31.04.115,
								31.04.145,
								31.04.155, and
								31.04.175. 06-04-053, §
											208-620-530, filed 1/27/06,
								effective 2/27/06.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RECORDKEEPING › Section 208-620-531 - Must I have a business resumption plan?

Current through Register Vol. 24-14, July 15, 2024
Yes. You must have written policies and procedures in place
							that detail your response to any event that results in damage to or destruction
							of your records. You must maintain the policies and procedures as part of your
							books and records.
Statutory Authority:
								RCW
								   43.320.040,
								31.04.165 and   2010 c  35.
								10-20-122, §
											208-620-531, filed 10/5/10,
								effective 11/5/10.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RECORDKEEPING › Section 208-620-532 - Records disposal

Current through Register Vol. 24-14, July 15, 2024
Licensees must have written policies and procedures for the
							destruction of records, including electronic records, when the retention period
							ends. The destruction of records must be accomplished so that the information
							cannot be reconstructed or read. The destruction of consumer credit report
							information must also comply with the federal disposal rule at 16 C.F.R. Part
							682.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RECORDKEEPING › Section 208-620-540 - Do I need to account separately for payments from borrowers for third-party service providers?

Current through Register Vol. 24-14, July 15, 2024
Yes. You must separately account for all deposits and
							disbursements made by or for borrowers for third party service providers. You
							must not use those funds for your benefit or for the benefit of any person not
							entitled to such benefit.
Statutory Authority:
								RCW
								   31.04.165,
								31.04.015,
								31.04.045,
								31.04.075,
								31.04.085,
								31.04.093,
								31.04.102,
								31.04.115,
								31.04.145,
								31.04.155, and
								31.04.175. 06-04-053, §
											208-620-540, filed 1/27/06,
								effective 2/27/06.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RECORDKEEPING › Section 208-620-545 - Must I provide a written agreement when I provide third-party residential mortgage loan modification services?

Current through Register Vol. 24-14, July 15, 2024
Yes. You must provide a written agreement as prescribed by
							the director when providing residential mortgage modification services. You
							must provide a copy of the signed agreement to the consumer and you must keep a
							copy as part of your books and records.
Statutory Authority:
								RCW
								   43.320.040 and
								31.04.165. 12-18-047, §
											208-620-545, filed 8/29/12,
								effective 11/1/12. Statutory Authority:
								RCW
								   43.320.040,
								31.04.165 and   2010 c  35.
								10-20-122, §
											208-620-545, filed 10/5/10,
								effective 11/5/10.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RESTRICTIONS, PROHIBITIONS AND GROUNDS FOR REVOCATION › Section 208-620-551 - Residential mortgage loan servicers-What business practices are prohibited?

Current through Register Vol. 24-14, July 15, 2024
(1) In addition to
						being subject to
						RCW
						   31.04.027, you are prohibited from requiring
						or encouraging a borrower to:
(a) Waive his
						or her legal defenses, counterclaims, and other legal rights against the
						servicer for future acts;
(b) Waive
						his or her right to contest a future foreclosure;
(c) Waive his or her right to receive notice
						before the owner or servicer of the loan initiates foreclosure
						proceedings;
(d) Agree to pay
						charges not enumerated in any agreement between the borrower and the lender,
						servicer, or owner of the loan; or
(e) Cease communication with the lender or
						investor.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RESTRICTIONS, PROHIBITIONS AND GROUNDS FOR REVOCATION › Section 208-620-552 - Third-party residential loan modification service providers - What business practices are prohibited?

Current through Register Vol. 24-14, July 15, 2024
In addition to
							RCW
							   31.04.027, you are prohibited from:
(1) Collecting an advance fee.
(2) Charging total fees in excess of usual
						and customary charges, or total fees that are not reasonable in light of the
						service provided when providing residential mortgage loan modification
						services.
(3) Failing to provide a
						written agreement as prescribed by the director when providing residential
						mortgage modification services. See also WAC
						208-620-545.
(4) As a condition to providing loan
						modification services requiring or encouraging a borrower to:
(a) Waive his or her legal defenses,
						counterclaims, and other legal rights against the servicer for future
						acts;
(b) Waive his or her right to
						contest a future foreclosure;
(c)
						Waive his or her right to receive notice before the owner or servicer of the
						loan initiates foreclosure proceedings;
(d) Agree to pay charges not enumerated in
						any agreement between the borrower and the lender, servicer, or owner of the
						loan; or
(e) Cease communication
						with the lender, investor, or loan servicer or stop or delay making regularly
						scheduled payments on an existing mortgage unless a mortgage loan modification
						is completely negotiated and executed with the lender or investor and the
						modification agreement itself provides for a cessation or delay in making
						regularly scheduled payments; or
(f) Enter into any contract or agreement to
						purchase a borrower's property.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RESTRICTIONS, PROHIBITIONS AND GROUNDS FOR REVOCATION › Section 208-620-553 - Conducting residential mortgage loan servicing activities in the United States or outside the United States

Current through Register Vol. 24-14, July 15, 2024
(1) You are prohibited from conducting the
						following activities from any location outside the United States or its
						territories:
(a) Receiving payments and
						maintaining the payment records;
(b) Collection activities;
(c) Any communications with consumers;
						or
(d) Receipt of data from or
						disbursement of data to borrowers.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RESTRICTIONS, PROHIBITIONS AND GROUNDS FOR REVOCATION › Section 208-620-554 - Conducting student education loan servicing activities in the United States or outside the United States

Current through Register Vol. 24-14, July 15, 2024
(1) You are
				prohibited from conducting the following activities from any location outside
				the United States or its territories:
(a)
				Receiving payments and maintaining the payment records;
(b) Collection activities;
(c) Any communications with consumers;
				or
(d) Receipt of data from or
				disbursement of data to borrowers.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RESTRICTIONS, PROHIBITIONS AND GROUNDS FOR REVOCATION › Section 208-620-555 - Allowable loan fees and timing of collection

Current through Register Vol. 24-14, July 15, 2024
(1) This subsection applies to junior lien
				mortgages, and first lien mortgages originated by noncreditors, as defined in
				the Truth in Lending Act,  15 U.S.C. 1601  and Regulation Z,   12 C.F.R. 1026 .
(a) Origination fees. You may charge a
				nonrefundable, prepaid, loan origination fee not to exceed four percent of the
				first twenty thousand dollars and two percent thereafter of the principal
				amount of the loan advanced to or for the direct benefit of the borrower, which
				fee may be included in the principal balance of the loan.
(b) Brokering fees. When agreed to in writing
				by the borrower, a fee to a mortgage broker that is not owned by the licensee
				or under common ownership with the licensee and that performed services in
				connection with the origination of the loan. A licensee may not receive
				compensation as a mortgage broker in connection with any loan made by the
				licensee.
(c) Third-party fees. The
				only third-party fees you may collect from the borrower before a loan is closed
				is the actual cost of the credit report and appraisal. You may collect from the
				borrower reimbursement for fees you actually and properly incurred in
				connection with the appraisal of property by a qualified, independent,
				professional, third-party appraiser selected by the borrower and approved by
				the lender or in the absence of borrower selection, selected by the lender. You
				must provide a copy of the appraisal to the borrower even if you do not receive
				reimbursement for the cost of the appraisal.
(d) On adjustable rate residential mortgage
				loans you may include a prepayment penalty or fee as long as the penalty or fee
				expires at least sixty days prior to the initial reset period.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RESTRICTIONS, PROHIBITIONS AND GROUNDS FOR REVOCATION › Section 208-620-556 - What fees must I refund to the borrower if I provide services subject to the act but do not have a license?

Current through Register Vol. 24-14, July 15, 2024
(1) With residential mortgage loans you must
						refund any nonthird-party fees (not interest) that inured to your
						benefit.
(2) With nonresidential
						mortgage loans you must refund interest and nonthird-party fees that inured to
						your benefit.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RESTRICTIONS, PROHIBITIONS AND GROUNDS FOR REVOCATION › Section 208-620-560 - Restricted or conditional loan fees

Current through Register Vol. 24-14, July 15, 2024
This section applies to nonmortgage loans, junior lien
				  mortgages, and first lien mortgages originated by noncreditors, as defined in
				  the Truth in Lending Act,  15 U.S.C. 1601  and Regulation Z,   12 C.F.R. 1026.
(1)
Filing fees.
You must not charge or collect any funds from the borrower for the cost of
				filing, as defined in WAC 208-620-010, or for any other fees paid or to be paid
				to public officials, unless such charges are paid or are to be paid within one
				hundred eighty days by the licensee to public officials or other third parties
				for such filing. Any fee you collect for releasing or reconveying the security
				for the obligation must be paid to an unrelated third party unless you can
				demonstrate activities you conducted to facilitate the reconveyance.
(2)
Dishonored check fees.
You
				may charge or collect twenty-five dollars or the actual amount charged by the
				financial institution for a check, draft, ACH, or other transfer if returned
				unpaid or denied by the financial institution drawn upon. Only one fee may be
				collected with respect to a particular check, draft, ACH, or other transfer
				even if it has been returned or denied more than once.
(3)
Fees on existing loans.
If
				you make a new loan or increases a credit line within one hundred twenty days
				after originating a previous loan or credit line to the same borrower, the
				origination fee on the new loan or increased credit line must be limited as
				follows:
(a) You must only charge an
				origination fee on that part of the new loan not used to pay the amount due on
				the previous loan;
(b) You must
				only charge an origination fee on the difference between the amount of the
				existing credit line and the increased credit line;
(c) The limits in (a) and (b) of this
				subsection do not apply if you refund the origination fee on the existing loan
				or credit line;
(d) The limits in
				(a) and (b) of this subsection do not apply if you can demonstrate a net
				tangible benefit to the borrower for the new loan or credit line increase. For
				purposes of this subsection a net tangible benefit may be demonstrated by a
				lower monthly payment, or a decrease in the interest rate. Any net tangible
				benefit analysis must include the fees or charges for the new loan or credit
				line increase.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RESTRICTIONS, PROHIBITIONS AND GROUNDS FOR REVOCATION › Section 208-620-561 - What fees can I collect on VA loans?

Current through Register Vol. 24-14, July 15, 2024
Reserved.
Statutory Authority:
								RCW
								43.320.040,
								31.04.165,   2009 c  120, and   2009 c
								 149. 09-24-090, §
											208-620-561, filed 12/1/09,
								effective 1/1/10.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RESTRICTIONS, PROHIBITIONS AND GROUNDS FOR REVOCATION › Section 208-620-563 - Prohibited fees on certain loans

Current through Register Vol. 24-14, July 15, 2024
This section applies to nonmortgage loans, junior lien
				  mortgages, and first lien mortgages originated by noncreditors, as defined in
				  the Truth in Lending Act,  15 U.S.C. 1601  and Regulation Z,   12 C.F.R. 1026.
(1)
Underwriting
				fee.
You must not collect an underwriting fee.
(2)
Prepayment penalty or fee.
You must not collect a prepayment penalty unless on an adjustable rate mortgage
				as long as the prepayment penalty or fee expires at least sixty days prior to
				the initial reset period.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RESTRICTIONS, PROHIBITIONS AND GROUNDS FOR REVOCATION › Section 208-620-565 - What fees am I allowed to charge or receive when acting as a residential mortgage loan broker under the act?

Current through Register Vol. 24-14, July 15, 2024
(1) A broker's fee not to exceed four percent
						of the first twenty thousand dollars and two percent thereafter of the
						principal amount of the loan advanced to or for the direct benefit of the
						borrower, which fee may be included in the principal balance of the
						loan.
(2) A processing fee when
						paid to an independent third-party processor.
Statutory Authority:
								RCW
								   43.320.040,
								31.04.165 and   2010 c  35.
								10-20-122, §
											208-620-565, filed 10/5/10,
								effective 11/5/10. Statutory Authority:
								RCW
								   43.320.040,
								31.04.165,   2009 c  120, and   2009 c
								 149. 09-24-090, §
											208-620-565, filed 12/1/09,
								effective 1/1/10. Statutory Authority:
								RCW
								   43.320.040,
								19.144.070, 2008 c 78. 09-01-159,
								§
											208-620-565, filed 12/23/08,
								effective 1/23/09.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RESTRICTIONS, PROHIBITIONS AND GROUNDS FOR REVOCATION › Section 208-620-566 - What fees am I not allowed to charge or receive when brokering residential mortgage loans under the act?

Current through Register Vol. 24-14, July 15, 2024
(1)
						Fees for discount points;
(2) An
						underwriting fee; or
(3) Applicable
						fees in WAC
						208-620-560(6).
Statutory Authority:
								RCW
								43.320.040,
								31.04.165,   2009 c  120, and   2009 c
								 149. 09-24-090, §
											208-620-566, filed 12/1/09,
								effective 1/1/10.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RESTRICTIONS, PROHIBITIONS AND GROUNDS FOR REVOCATION › Section 208-620-567 - What fees can I charge when servicing residential mortgage loans under the act?

Current through Register Vol. 24-14, July 15, 2024
(1) You may charge
						servicing fees authorized by the loan documents, by the act, or by the
						borrower. Examples include, but are not limited to, late fees as authorized by
						the loan documents, insufficient check fees as authorized by the loan documents
						or as allowed under WAC
						208-620-560(2),
						and wire transfer fees for wire transfers requested by the borrower.
(2) You may only charge a fee for a default
						related service that is usual and customary or reasonable in light of the
						service provided.
(3) You may not
						charge a consumer for fees you paid to third parties in excess of the fee you
						paid to the third party.
Statutory Authority:
								RCW
								   43.320.040,
								31.04.165 and   2010 c  35.
								10-20-122, §
											208-620-567, filed 10/5/10,
								effective 11/5/10.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RESTRICTIONS, PROHIBITIONS AND GROUNDS FOR REVOCATION › Section 208-620-568 - What fees am I not allowed to charge when providing third-party residential mortgage loan modification services under the act?

Current through Register Vol. 24-14, July 15, 2024
You must not charge total fees in excess of usual and
							customary charges, or total fees that are not reasonable in light of the
							service provided.
Statutory Authority:
								RCW
								43.320.040 and
								31.04.165. 12-18-047, §
											208-620-568, filed 8/29/12,
								effective 11/1/12. Statutory Authority:
								RCW
								   43.320.040,
								31.04.165 and   2010 c  35.
								10-20-122, §
											208-620-568, filed 10/5/10,
								effective 11/5/10.
Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-620 - Washington Consumer Loan Act › RESTRICTIONS, PROHIBITIONS AND GROUNDS FOR REVOCATION › Section 208-620-569 - What fees can I charge the student education loan borrower when servicing student education loans?

Current through Register Vol. 24-14, July 15, 2024
(1) You may charge
						servicing fees authorized by the loan documents, by the act, or by the
						borrower. Examples include, but are not limited to, late fees as authorized by
						the loan documents, insufficient fund fees as authorized by the loan documents
						or as allowed under WAC
						208-620-560(2),
						and wire transfer fees for wire transfers requested by the borrower.
(2) You may only charge a fee for a default
						related service that is usual and customary or reasonable in light of the
						service provided.
(3) You may not
						charge a consumer for fees you paid to third parties in excess of the fee you
						paid to the third party.
(4) Fees
						which are not timely charged to a borrower's account pursuant to
						RCW
						   31.04.405 must be waived, or if already
						collected, must be returned to the borrower within fifteen calendar
						days.