Ch. 6

LAWS OF MARYLAND

2.  A lender refinancing an existing loan
if the lender is a banking institution, a national banking
association, a federal savings bank, a federal or State savings
and loan association, a federal or State credit union, or a
credit grantor refinancing the loan pursuant to [Subtitles 9 or
10] SUBTITLE 9 OR SUBTITLE 10 of this title; or

3.  A loan that is subject to the
provisions of § 501(a)(1) of the Depository Institutions
Deregulation and Monetary Control Act of 1980, Public Law 96-221,
94 Stat. 161.

DRAFTER'S NOTE:

Error: Stylistic error in § 12-103(b)(3)(ii)2. of the
Commercial Law Article.

Occurred: Ch. 285, Acts of 1986.

12-106.

(b) (1) Before the execution of a loan contract under this
title, the lender shall furnish to the borrower a written
statement which sets forth:

(i) The total principal amount of the loan and

the total amount of finance charge as defined in the [federal]

FEDERAL Truth-in-Lending Act to be paid, stated in dollars,

except that on loans payable on demand, the total amount of

finance charge to be paid shall be stated on a per diem basis;

(ii) The annual effective rate of simple
interest charged, stated in percentage calculated to the nearest
0.2 percent; and

(iii) The itemized amount of payments in
addition to interest payable to the lender in connection with the
loan at the time the loan is made, stated in dollars.

(3)  Paragraphs (l)(i), (ii), and (iii) of this
subsection do not apply to any loan subject to the disclosure
provisions of the [federal] FEDERAL Truth-in-Lending Act, if
[The] THE lender complies with the applicable disclosure
provisions of the federal act and its regulations.

(4)  A statement that complies with the applicable
disclosure provisions of the [federal] FEDERAL Truth-in-Lending
Act is sufficient to meet the requirements of this title.

DRAFTER'S NOTE:

Error: Capitalization errors in § 12-106(b)(1)(i),

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