4                                             LAWS OF MARYLAND                                 Ch. 1

percent per annum on the unpaid principal balance of a loan
AND A STATE OR FEDERALLY CHARGED LENDER, INCLUDING A STATE
OR FEDERALLY CHARTERED CREDIT UNION OR A LICENSE MORTGAGE
BROKER, OR MORTGAGE BANKER REGISTERED UNDER ARTICLE 11,
SECTION 61A MAY CHARGE INTEREST AT ANY RATE if:

(i) There is a written agreement signed
by the borrower which sets forth the stated rate of interest
charged by the lender;

(ii) The loan is secured by a first
mortgage or first deed of trust on any interest in
residential real property;

(iii) There is no prepayment penalty in
connection with the loan;

(iv) The loan is made and the mortgage or
deed of trust is executed after May 31, 1974 THE EFFECTIVE
DATE OF THIS SECTION [and before June 2, 1980];

(v) The loan is not a renewal of a loan
which was made by the lender to the borrower before June 1,
1974 THE EFFECTIVE DATE OF THIS SECTION and which was
secured by a mortgage or deed of trust on the same property;
and

(vi) The lender did not issue before June
1, 1974 THE EFFECTIVE DATE OF THIS SECTION, a written
commitment agreeing to make the loan at a rate of interest
of -8- 10 percent or less.

(2)  For purposes of paragraph (l)(vi) of this
subsection:

(i) "Written commitment" includes any
written commitment, written offer to lend, or other written
statement issued by a lender which reasonably can be
construed to be an offer to make the loan; and

(ii) A written commitment issued before
[April 15, 1974] THE EFFECTIVE DATE OF THIS SECTION, to make
a loan at an unspecified rate of interest is a commitment to
make the loan at a rate of interest of [8] 10 percent or
less.

(3)  For the purpose of paragraph (l)(v) of this
subsection, a refinancing by which the borrower elects to
increase the balance due on an existing loan is not a
renewal of the loan.

12-108.

[(a)] Except for a loan [described in] ALLOWED UNDER
THE PROVISIONS OF § 12-103 [(d)--OR (e)] (D) of this
subtitle TO INCLUDE AN INTEREST RATE OF ANY AMOUNT, a lender
may not charge a borrower or any other person any point or
fraction of a point.