Montana Revises Mortgage Act
On March 19, 2019, Governor Bullock signed legislation revising certain licensing provisions in the Montana Mortgage Act.
The amendments include the following changes or additions, among others:
- Adding various capital requirements for mortgage servicers;
- Adding a minimum net worth requirement for mortgage lenders;
- Adding a definition and provisions related to service providers;
- Adding reasons for the denial of a license application or renewal related to the new capital and minimum net worth requirements;
- Allowing a designated manager to serve in that capacity at more than one location;
- Providing new surety bond requirements for mortgage servicers;
- Granting the state regulator the authority to adopt rules: (i) to define false, deceptive, or misleading advertising; and (ii) to establish requirements for licensee advertising using the Internet or any electronic format; and
- Deleting the specific requirement for mortgage servicers to provide a schedule of the ranges and categories of their costs and fees to borrowers in certain contexts.
The revisions take effect October 1, 2019.
