426

LAWS OF MARYLAND

[Ch. 49

REQUIRED ITEMIZED RECEIPT WITHIN A REASONABLE TIME AFTER
THE PAYMENT.

(3) THE LENDER IS NOT REQUIRED TO ISSUE A
RECEIPT IF, BEFORE THE DUE DATE OF EACH PAYMENT, HE
REGULARLY DELIVERS TO THE BORROWER A BILLING STATEMENT
WHICH SPECIFIES:

(i) THE PREVIOUS UNPAID PRINCIPAL BALANCE OF
THE LOAN;

(ii) THE AMOUNT AND DATE OF EACH PAYMENT MADE
DURING THE BILLING PERIOD;

(iii) THE AMOUNT OF EACH OF THESE PAYMENTS
APPLIED TO INTEREST;

(iv) THE AMOUNT OF EACH OF THESE PAYMENTS
APPLIED TO PRINCIPAL;

(v) THE CURRENT UNPAID PRINCIPAL BALANCE; AND

(vi) THE AMOUNT AND DUE DATE OF THE NEXT
MATURING INSTALLMENT.

(C)   PREPAYMENT.

A LENDER SHALL PERMIT A BORROWER TO PREPAY A LOAN IN
FULL OR IN PART AT ANY TIME, WITHOUT PENALTY.

(D)   MARKING PAPERS "PAID" OR "CANCELLED"; RETURN OF
SECURITY.

AFTER FULL REPAYMENT OF A LOAN, THE LENDER SHALL:

(1) INDELIBLY MARK WITH THE WORD "PAID" OR
"CANCELLED" AND RETURN EACH NOTE, CONTRACT, OR OTHER
EVIDENCE OF OBLIGATION OF THE BORROWER IN THE POSSESSION
OF THE LENDER;

(2)   RELEASE ANY MORTGAGE, SECURITY AGREEMENT,
OR OTHER FORM OF SECURITY INSTRUMENT WHICH NO LONGER
SECURES ANY INDEBTEDNESS TO THE LENDER; AND

(3)   RESTORE ANY PLEDGE OR CERTIFICATE OF
TITLE.

REVISOR'S NOTE: This section presently appears as
Art. 11, §197, except for present §197(4)
which is now contained in §12—312.

References to "a loan or advance" are deleted
as unnecessary in light of the definition of
"loan" in §12-301.