The Maryland Commissioner of Financial Regulation (Commissioner) adopted rules amending the Mortgage Lender Law. The adopted rules amended borrower repayment ability and recordkeeping requirements, repealed the monthly servicing report requirement, and revised the definition of “high-priced mortgage loan” to mirror the federal Truth-in-lending Act definition.
The adopted rules also require lenders, brokers and servicers to:
- Disclose their NMLS unique identifier in every advertisement; and
- Notify the Commissioner in the event of a security breach.
In addition, the adopted rules implement new information security program requirements mandating lenders, brokers and servicers to:
- Maintain an information security program;
- Have an established governance process to control and monitor information security;
- Conduct an information technology security risk assessment every 3 years;
- Periodically test and monitor their information technology security controls; and
- Oversee third party service providers with respect to information security.
Furthermore, the rule adoption amended licensing requirements with respect to bonds, continuing education, examination fees, disclosures, notifications and license posting. The adopted rules went into effect October 4, 2019.
See Maryland Secretary of State website for the full text of the Regulations:
