WILLIAM DONALD SCHAEFER, Governor                           S.B. 329

(B)      WITHIN A REASONABLE TIME AFTER A LOAN TO A CONSUMER
BORROWER HAS BEEN REPAID IN FULL AND ALL OTHER OBLIGATIONS UNDER THE
AGREEMENT, NOTE, OR OTHER EVIDENCE OF THE LOAN HAVE BEEN FULFILLED, A
CREDIT GRANTOR SHALL:

(1)      (I) INDELIBLY MARK WITH THE WORD "PAID" OR "CANCELED"
AND RETURN TO THE CONSUMER BORROWER EACH AGREEMENT, NOTE, OR OTHER
EVIDENCE OF THE LOAN; OR

(II) FURNISH THE CONSUMER BORROWER WITH A WRITTEN
STATEMENT THAT IDENTIFIES THE LOAN TRANSACTION AND STATES THAT THE
LOAN HAS BEEN PAID IN FULL; AND

(2)      RELEASE ANY RECORDED MORTGAGE, DEED OF TRUST, SECURITY
AGREEMENT, OR OTHER LIEN SECURING THE LOAN.

(C)      THE RELEASE SHALL BE:

(1)      IN WRITING; AND

(2)      PREPARED AT THE EXPENSE OF THE CREDIT GRANTOR.

(D)     (1) IF THE CREDIT GRANTOR DOES NOT RECORD THE RELEASE, THE
CREDIT GRANTOR SHALL FURNISH THE CONSUMER BORROWER WITH THE RELEASE
IN A RECORDABLE FORM.

(2) IF THE CREDIT GRANTOR RECORDS THE RELEASE, THE CREDIT
GRANTOR SHALL FURNISH THE CONSUMER BORROWER WITH A COPY OF THE
RELEASE.

(E)      (1) IF A FEE IS COLLECTED BY A CREDIT GRANTOR FOR THE
RECORDING OF A RELEASE:

(I)       THE RELEASE SHALL BE RECORDED BY THE CREDIT
GRANTOR; AND

(II)     ANY PORTION OF THE FEE NOT PAID TO A GOVERNMENTAL
ENTITY FOR RECORDING THE RELEASE SHALL BE REFUNDED TO THE BORROWER.

(2) IF A FEE IS NOT COLLECTED BY A CREDIT GRANTOR FOR THE
RECORDING OF A RELEASE, THE CREDIT GRANTOR IS NOT OBLIGATED TO RECORD
THE RELEASE.

12-1025.

(A) A CREDIT GRANTOR WHO RECEIVES SCHEDULED MONTHLY PERIODIC
PAYMENTS ON MORE THAN FIVE LOANS SECURED BY ANY INTEREST IN
RESIDENTIAL REAL PROPERTY OR TANGIBLE PERSONAL PROPERTY SHALL FURNISH
TO THE CONSUMER BORROWER A WRITTEN STATEMENT INFORMING THE
CONSUMER BORROWER OF THE AMOUNT OF:

(1) IF THE INTEREST AND CHARGES ON THE LOAN WERE
PRECOMPUTED:

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