A person that services a residential mortgage loan shall:
Assess any fee that the person may assess against a borrower within 45 days after the borrower incurs the fee.
Explain to a borrower in clear language and conspicuous text the reason for any fee the person assesses against the borrower in a written statement that the person mails to the borrower at the borrower’s last-known address not more than 30 days after the person assesses the fee.
Accept and credit, or treat as credited, to the borrower’s account all amounts the person receives at the address to which the borrower has been instructed to send payments on the borrower’s residential mortgage loan. The person must credit the payment, or treat the payment as credited, within one business day after receiving the payment if the borrower has provided sufficient information to credit the account. If the person uses the scheduled method of accounting and the person receives a regularly scheduled payment before the scheduled due date, the person shall credit the payment to the borrower’s account not later than the scheduled due date.
Mail a written notice to a borrower at the borrower’s last-known address within 10 days after receiving a payment if the person did not credit the payment, or treat the payment as credited, to the borrower’s account. In the notice, the licensee shall clearly explain the reason why the licensee did not credit the payment and identify any action the borrower must take to properly credit the payment or otherwise make current the borrower’s account.
Collect funds into an escrow account and make from the escrow account any payments that are due for property taxes, insurance and all other charges related to the real property that secures a residential mortgage loan, if the residential mortgage loan agreement requires the licensee to establish an escrow account and make payments from the escrow account. The person shall perform the person’s duties under this paragraph in a manner that ensures that the borrower is not subject to late fees, penalties or other negative consequences of a failure to make required payments on time. A person complies with the requirements of this section if the person complies with the Real Estate Settlement Procedures Act, 12 U.S.C. 2609.
Make reasonable efforts to respond to a borrower’s request concerning the borrower’s residential mortgage loan account and to any dispute the borrower has with the person or that is related to the borrower’s residential mortgage loan account.
Correct promptly any errors the person makes and refund promptly any fees the person assesses against the borrower in error.
Provide to a borrower each year a written statement that specifies:
Whether the account is current and, if the account is not current, the reasons why the account is not current, including the date on which any default occurred;
The current balance due on the borrower’s residential mortgage loan, including the amount of the principal due, the amount of funds the person holds in a suspense account, the balance in any escrow account the person maintains for the borrower and the amount of any deficiency in the escrow account of which the person is aware;
The name, address and other contact information for the individual or business entity that owns or holds the borrower’s residential mortgage loan, or an assignee of the individual or business entity; and
The name, address, telephone number and any other contact information for a representative of the person from which the borrower can request information or to which the borrower can direct complaints or disputes. The person’s representative must have sufficient information and authority to respond to the borrower’s requests, answer the borrower’s questions and resolve the borrower’s disputes with the person.
Include in each statement or notice the person mails or sends to the borrower under this subsection text that the Director of the Department of Consumer and Business Services prescribes by rule. The text must include contact information for the Department of Consumer and Business Services and must state clearly that, and how, the borrower may submit a complaint to the department concerning any conduct of the person that is unlawful.
A person that services a residential mortgage loan may not, directly or indirectly:
Employ any device, scheme or artifice to defraud another person;
Knowingly make an untrue statement of a material fact or omit a material fact that is necessary to make the person’s statement true in light of the circumstances in which the person makes the statement;
Engage in an act, practice or course of business that operates or that the person intends to operate as a fraud or deceit upon another person; or
Make or file with the department, or cause to be made or filed with the department, a statement, report or document that the person knows is false in any material respect or manner. [2017 c.636 §9]