3054

LAWS OF MARYLAND

Ch. 593

(E)  LOAN PAYMENTS SHALL BE REEVALUATED EVERY 6 MONTHS AND
CONTINUED, ADJUSTED, OR TERMINATED AS APPROPRIATE, BASED ON THE
MORTGAGOR'S FINANCIAL CIRCUMSTANCES AT THAT TIME.

(F)  LOAN PAYMENTS LOANS MADE UNDER THE PROGRAM SHALL BE
SECURED BY A LIEN ON THE PROPERTY.

(G) THE DEPARTMENT SHALL CONSIDER THE AMOUNT OF EQUITY IN
THE PROPERTY SUBJECT TO THE QUALIFIED MORTGAGE.

13-407.

(A) THE DEPARTMENT SHALL CHARGE INTEREST ON THE LOAN IN AN
AMOUNT TO BE ESTABLISHED BY THE DEPARTMENT.

(A)  THE DEPARTMENT SHALL SET AN INTEREST RATE FOR EACH
LOAN. IN SETTING THE INTEREST RATE, THE DEPARTMENT SHALL
CONSIDER:

(1)  INTEREST THAT THIS STATE PAYS ON BONDS THAT ARE
USED TO FUND THE PROGRAM;

(2) ADMINISTRATIVE EXPENSES OF THE PROGRAM; AND

(3) POSSIBLE LOSSES.

(B)  UPON TERMINATION OF MORTGAGE ASSISTANCE, THE DEPARTMENT
SHALL ENTER INTO AN AGREEMENT WITH THE MORTGAGOR FOR REPAYMENT OF
ALL MORTGAGE LOAN PAYMENTS THE LOAN PLUS INTEREST.

13-408.

AN APPLICANT QUALIFIES FOR A LOAN UNDER THE PROGRAM IF THE
APPLICANT:

(1)  IS UNEMPLOYED AND IS CURRENTLY RECEIVING, HAS
RECEIVED WITHIN THE LAST 6 MONTHS, OR HAS EXHAUSTED AVAILABLE
STATE AND FEDERAL UNEMPLOYMENT INSURANCE BENEFITS;

(2)  IS THE OWNER AND OCCUPIER OF PROPERTY OF 1 OR 2
UNITS ON WHICH THERE IS A QUALIFIED MORTGAGE;

(3) HAD A GOOD CREDIT HISTORY BEFORE BECOMING

UNEMPLOYED;

(3) HAD SHOWN REASONABLE STANDARDS OF CREDIT
WORTHINESS BEFORE BECOMING UNEMPLOYED;

(4)  IS DELINQUENT IN PAYING A QUALIFIED MORTGAGE;

(5)  IS NOT RECEIVING HAS EXHAUSTED BENEFITS UNDER OR
IS NOT ELIGIBLE FOR MORTGAGE ASSISTANCE UNDER ANY FEDERAL
GOVERNMENT PROGRAM;