Ch. 404

1993 LAWS OF MARYLAND

(II) IS OFFERED OR EXTENDED TO THE BORROWER.

(5)      (I) "LENDER" MEANS A CREDIT GRANTOR SUBJECT TO THE
LICENSING REQUIREMENTS OF TITLE 11,. SUBTITLE 5 OF THE FINANCIAL
INSTITUTIONS ARTICLE.                                                                                                               

(II) "LENDER" DOES NOT INCLUDE A CREDIT GRANTOR EXEMPT
FROM LICENSING UNDER § 11-502 OF THE FINANCIAL INSTITUTIONS ARTICLE.

(6)       (I) "LOAN APPLICATION" MEANS ANY ORAL OR WRITTEN
REQUEST FOR AN EXTENSION OF CREDIT THAT IS MADE IN ACCORDANCE WITH
PROCEDURES ESTABLISHED BY A LENDER FOR THE PURPOSE OF INDUCING THE
LENDER TO SEEK TO PROCURE OR MAKE A MORTGAGE LOAN.

(II) "LOAN APPLICATION" DOES NOT INCLUDE THE USE OF AN
ACCOUNT OR LINE OF CREDIT TO OBTAIN A LOAN WITHIN A PREVIOUSLY
ESTABLISHED CREDIT LIMIT.

(B)      (1) A LENDER WHO OFFERS TO MAKE OR PROCURE A LOAN SECURED
BY A FIRST MORTGAGE OR FIRST DEED OF TRUST ON RESIDENTIAL REAL
PROPERTY TO BE OCCUPIED BY THE BORROWER SHALL PROVIDE THE BORROWER
WITH A FINANCING AGREEMENT EXECUTED BY THE LENDER WITHIN 10 BUSINESS
DAYS AFTER THE DATE THE LOAN APPLICATION IS COMPLETED.

(2)      THE FINANCING AGREEMENT SHALL PROVIDE:

(I)       THE TERM AND PRINCIPAL AMOUNT OF THE LOAN;

(II)     AN EXPLANATION OF THE TYPE OF MORTGAGE-LOAN BEING
OFFERED;

(III)    THE RATE OF INTEREST THAT WILL APPLY TO THE LOAN AND,
IF THE RATE IS SUBJECT TO CHANGE OR IS A VARIABLE RATE OR IS SUBJECT TO
FINAL DETERMINATION AT A FUTURE DATE BASED ON SOME OBJECTIVE
STANDARD, A SPECIFIC STATEMENT OF THOSE FACTS;                         

(IV) THE POINTS, IF ANY, TO BE PAID BY THE BORROWER OR THE
SELLER, OR BOTH; AND

(V) THE TERM DURING WHICH THE FINANCING AGREEMENT
REMAINS IN EFFECT.                                                                                                             

(3)      IF ALL THE PROVISIONS OF THE FINANCING AGREEMENT. ARE NOT
SUBJECT TO FUTURE DETERMINATION, CHANGE, OR ALTERATION DURING ITS
TERM, THE FINANCING AGREEMENT SHALL CONSTITUTE THE FINAL BINDING
AGREEMENT BETWEEN THE PARTIES AS TO THE ITEMS COVERED BY THE
FINANCING AGREEMENT.

(C)      (1) IF ANY OF THE PROVISIONS OF THE. FINANCING AGREEMENT ARE
SUBJECT TO CHANGE OR DETERMINATION AFTER ITS EXECUTION, THE LENDER
SHALL PROVIDE THE BORROWER WITH A COMMITMENT, EXECUTED BY THE
LENDER, AT LEAST 72 HOURS BEFORE THE TIME OF SETTLEMENT AGREED TO BY
THE PARTIES, PROVIDING:

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