Florida passed a bill amending the timeframe for canceling a mortgage upon full satisfaction of the mortgage. Under the bill, a lender or servicer must cancel a closed-end mortgage within 45 days of full satisfaction of the mortgage (rather than within 60 days of full satisfaction of the mortgage). The bill also requires a lender or servicer to cancel an open-end mortgage within 45 days of receiving a written notice from the borrower requesting the closure of the open-end mortgage. The 45-day requirement does not apply to an open-end mortgage originated prior to July 1, 2016 that sets forth procedures for cancelling the mortgage in the loan agreement. The bill becomes effective July 1, 2016.
See Florida Legislature website for the full text of the Statutes:
