HARRY HUGHES, Governor

2205

CHAPTER 628

(Senate Bill 393)

AN ACT concerning

Housing - Real Property Closing Costs

FOR the purpose of placing certain requirements and certain
restrictions on lenders with regard to loans secured by real
property mortgages on deeds of trust; prohibiting a lender
from requiring the payment of interest in advance under
certain circumstances; prohibiting the imposition of a
collection fee or service charge on the maintenance of an
escrow account under certain circumstances; requiring notice
of certain lender-imposed fees; requiring documentation of
certain lender-imposed fees if the fees exceed a certain
amount; prohibiting imposition of a lender's inspection fee
under certain circumstances; providing civil and criminal
penalties for certain violations; defining certain terms;
and generally relating to charges and fees of mortgage
lenders.

BY repealing and reenacting, with amendments,

Article - Commercial Law

Section 12-103(b)(1)

Annotated Code of Maryland

(1983 Replacement Volume and 1985 Supplement)

BY repealing and reenacting, without amendments,

Article - Commercial Law

Section 12-109(a)(l) and (3)

Annotated Code of Maryland

(1983 Replacement Volume and 1985 Supplement)

BY adding to

Article - Commercial Law

Section 12-109.2, 12-119, 12-120, and 12-121, and 12-122

Annotated Code of Maryland

(1983 Replacement Volume and 1985 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article - Commercial Law

12-103.