A00997 Summary:

BILL NO    A00997 

SAME AS    SAME AS S04017

SPONSOR    Miller

COSPNSR    

MLTSPNSR   

Add S35, Bank L

Requires the development of a mortgage bill of rights pamphlet on residential
mortgages and provides such pamphlet shall be posted and printed in the 8 most
popularly spoken languages in the state.
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A00997 Actions:

BILL NO    A00997 

01/08/2015 referred to banks
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A00997 Votes:

There are no votes for this bill in this legislative session.
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A00997 Memo:

BILL NUMBER:A997

TITLE OF BILL:  An act to amend the banking law, in relation to the
mortgage bill of rights pamphlet on residential mortgages

PURPOSE OR GENERAL IDEA OF BILL:  Requires information to consumers of
the mortgage bill of rights that are provided by mortgage lenders and
bankers to be published in the eight most spoken languages in New York
State.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1. Adding a new section 35 to the banking law. The
superintendent of banks shall develop a pamphlet known as "the
mortgage applicant's bill of rights" and post such pamphlet on the
banking website. Such pamphlet shall be posted and printed in the
eight languages which are most spoken in New York State.

JUSTIFICATION:  This legislation ensures the public's awareness of the
"mortgage bill of rights" by making information accessible in their
native tongue The increase of diversity among constituents makes it
vital for information to be translated in multiple languages, Having
this information only in English can only benefit those fluent in the
English language and not the public as a whole.

PRIOR LEGISLATIVE HISTORY:  S. 1699 of 2011 01/11/11 REFERRED TO BANKS
01/04/12 REFERRED TO BANKS

FISCAL IMPLICATIONS: To be determined.

EFFECTIVE DATE:  This act shall take effect on the one hundred
eightieth day after it shall have become a law; provided that,
effective immediately, any and all actions necessary to implement the
provisions of this act on its effective date are authorized and
directed to be completed on or before such date.
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A00997 Text:

                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________

                                          997

                              2015-2016 Regular Sessions

                                 I N  A S S E M B L Y

                                    January 8, 2015
                                      ___________

       Introduced by M. of A. MILLER -- read once and referred to the Committee
         on Banks

       AN  ACT  to  amend  the banking law, in relation to the mortgage bill of
         rights pamphlet on residential mortgages

         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:

    1    Section  1.  The  banking law is amended by adding a new section 35 to
    2  read as follows:
    3    S 35. INFORMATION PAMPHLET FOR RESIDENTIAL MORTGAGE  APPLICANTS.    1.
    4  THE  SUPERINTENDENT  SHALL  DEVELOP  A  PAMPHLET  KNOWN AS "THE MORTGAGE
    5  APPLICANT'S BILL OF RIGHTS" AND POST SUCH PAMPHLET ON  THE  DEPARTMENT'S
    6  WEB  SITE.  SUCH  PAMPHLET  SHALL  BE  POSTED  AND  PRINTED IN THE EIGHT
    7  LANGUAGES WHICH ARE MOST SPOKEN IN THIS STATE. COPIES OF  SUCH  PAMPHLET
    8  SHALL  BE  PROVIDED  TO  ALL  LICENSED LENDERS AND BANKING ORGANIZATIONS
    9  OFFERING RESIDENTIAL MORTGAGE SERVICES. A COPY OF SUCH PAMPHLET SHALL BE
   10  PROVIDED BY LICENSED LENDERS AND BANKING ORGANIZATIONS  TO  EACH  PERSON
   11  BEFORE  SUCH  PERSON  ENTERS INTO AN APPLICATION FOR A LOAN SECURED BY A
   12  MORTGAGE  UPON RESIDENTIAL REAL ESTATE. THE PAMPHLET  PROVIDED  TO  EACH
   13  SUCH  PERSON  SHALL BE PRINTED IN A LANGUAGE WHICH THE PERSON IS CAPABLE
   14  OF READING AND UNDERSTANDING.  FURTHERMORE,  SUCH  LICENSED  LENDER  AND
   15  BANKING  ORGANIZATION  SHALL NOT ACCEPT AN APPLICATION FOR A RESIDENTIAL
   16  MORTGAGE UNTIL THE PERSON OR PERSONS APPLYING FOR A MORTGAGE  HAVE  BEEN
   17  PROVIDED  A  COPY OF THE BOOKLET AND ACKNOWLEDGED RECEIPT OF IT IN WRIT-
   18  ING. EVERY LICENSED LENDER AND BANKING ORGANIZATION SHALL MAINTAIN  SUCH
   19  ACKNOWLEDGEMENT ALONG WITH THE APPLICANT'S MORTGAGE LOAN DOCUMENTS.
   20    2. THE PAMPHLET AND WEB SITE NOTICE DEVELOPED PURSUANT TO THIS SECTION
   21  SHALL  INCLUDE  THE FOLLOWING, ALONG WITH OTHER INFORMATION ADDED AT THE
   22  DISCRETION OF THE SUPERINTENDENT NOT  OTHERWISE  INCONSISTENT  WITH  THE
   23  INFORMATION SET FORTH IN THE PAMPHLET:
   24    "BILL OF RIGHTS FOR RESIDENTIAL MORTGAGE APPLICANTS
   25    AS AN APPLICANT FOR A RESIDENTIAL MORTGAGE YOU HAVE THE RIGHT TO:

        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD02807-01-5
       A. 997                              2

    1    1.  COMPARE  THE  CHARGES OF DIFFERENT MORTGAGE BROKERS AND LENDERS TO
    2  OBTAIN THE BEST LOAN POSSIBLE.
    3    2.  ASK  YOUR  MORTGAGE  BROKER TO EXPLAIN HIS OR HER RESPONSIBILITIES
    4  WITHIN THE MORTGAGE LENDING PROCESS.
    5    3. KNOW HOW MUCH THE MORTGAGE BROKER IS COMPENSATED  BY  YOU  AND  THE
    6  LENDER FOR YOUR LOAN.
    7    4. A CLEAR AND TRUTHFUL EXPLANATION OF THE TERMS AND CONDITIONS OF THE
    8  LOAN.
    9    5.  KNOW IF THE LOAN BEING OFFERED IS A FIXED OR ADJUSTABLE RATE MORT-
   10  GAGE LOAN, KNOW THE EXACT AMOUNT OF YOUR MONTHLY LOAN PAYMENTS,  INCLUD-
   11  ING ANY PROJECTED ESCROW PAYMENTS, KNOW THE FINAL ANNUAL PERCENTAGE RATE
   12  (APR) AND THE AMOUNT OF REGULAR PAYMENTS AT THE LOAN'S CLOSING.
   13    6.  ASK  FOR  A GOOD FAITH ESTIMATE OF ALL LOAN AND SETTLEMENT CHARGES
   14  BEFORE YOU AGREE TO THE LOAN AND PAY ANY FEES, SUCH AS LOAN  APPLICATION
   15  FEES,  TITLE SEARCH AND INSURANCE FEES, LENDER'S ATTORNEY FEES, PROPERTY
   16  APPRAISAL CHARGES, INSPECTIONS, RECORDING FEES,  TRANSFER  TAXES,  POINT
   17  AND ORIGINATION FEES, AND ESCROW ACCOUNT BALANCES.
   18    7. OBTAIN CREDIT COUNSELING BEFORE CLOSING A LOAN.
   19    8. DECIDE WHETHER OR NOT TO FINANCE ANY PORTION OF THE POINTS OR FEES.
   20    9. REFUSE TO PURCHASE CREDIT INSURANCE FOR ANY MORTGAGE LOAN.
   21    10.  HAVE  YOUR  PROPERTY APPRAISED BY AN INDEPENDENT LICENSED PROFES-
   22  SIONAL AND TO RECEIVE A COPY OF THE APPRAISAL.
   23    11. NOT BE SUBJECT TO DECEPTIVE MARKETING PRACTICES.
   24    12. ASK FOR THE HUD SETTLEMENT COSTS BOOKLET, "BUYING YOUR HOME".
   25    13. RECEIVE THE FOLLOWING  DOCUMENTS,  AND  EVERY  DOCUMENT  OTHERWISE
   26  REQUIRED  TO BE GIVEN TO YOU AT CLOSING UNDER FEDERAL AND NEW YORK STATE
   27  LAW:
   28    A. GOOD FAITH ESTIMATE
   29    B. TRUTH IN LENDING
   30    C. HUD-1 STATEMENT.
   31    14. KNOW WHAT FEES ARE NOT REFUNDABLE IF YOU DECIDE TO CANCEL THE LOAN
   32  AGREEMENT.
   33    15. RECEIVE IN WRITING  THE  REASON  FOR  THE  DENIAL  OR  CONDITIONAL
   34  APPROVAL OF YOUR LOAN APPLICATION.
   35    16.  IF  REFINANCING,  YOU  MAY CANCEL A LOAN WITHIN THREE DAYS OF THE
   36  CLOSING  BY  PROVIDING  WRITTEN  NOTIFICATION  OF  CANCELLATION  TO  THE
   37  LICENSED LENDER OR BANKING INSTITUTION.
   38    17. RECEIVE THE HUD-1 DOCUMENT ONE DAY BEFORE THE CLOSING TAKES PLACE.
   39    18. HAVE ANY LENDING DISPUTES RESOLVED IN A FAIR AND EQUITABLE MANNER.
   40    19.  A  CREDIT  DECISION  THAT  IS  NOT  BASED  UPON YOUR RACE, COLOR,
   41  NATIONAL ORIGIN, RELIGION, SEX, FAMILY STATUS, SEXUAL ORIENTATION, DISA-
   42  BILITY OR WHETHER ANY INCOME IS FROM PUBLIC ASSISTANCE.
   43    20. FILE A COMPLAINT WITH THE DEPARTMENT IF YOU BELIEVE THAT  A  MORT-
   44  GAGE  BROKER OR ANY OTHER ENTITY LICENSED BY THE DEPARTMENT HAS VIOLATED
   45  ANY RULES, REGULATIONS OR LAWS WHICH GOVERN HIS OR HER CONDUCT IN  WORK-
   46  ING WITH YOU TO GET OR PROCESS A MORTGAGE LOAN.
   47    21.  FILE  A  COMPLAINT WITH THE NEW YORK STATE DEPARTMENT OF STATE IF
   48  YOU BELIEVE THAT A REAL ESTATE BROKER  HAS  VIOLATED  ANY  RULES,  REGU-
   49  LATIONS  OR  LAWS WHICH GOVERN HIS OR HER CONDUCT IN WORKING WITH YOU TO
   50  PURCHASE A HOME."
   51    S 2. This act shall take effect on the one hundred eightieth day after
   52  it shall have become a law; provided that,  effective  immediately,  any
   53  and all actions necessary to implement the provisions of this act on its
   54  effective  date are authorized and directed to be completed on or before
   55  such date.
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