Michigan Laws > Chapter 493 > Act 75 of 2009 – Mortgage Loan Originator Licensing Act
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Terms Used In Michigan Laws > Chapter 493 > Act 75 of 2009 - Mortgage Loan Originator Licensing Act
- Commissioner: means the director. See Michigan Laws 493.133
- Contract: A legal written agreement that becomes binding when signed.
- Conviction: A judgement of guilt against a criminal defendant.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Credit report: A detailed report of an individual's credit history prepared by a credit bureau and used by a lender in determining a loan applicant's creditworthiness. Source: OCC
- Deed: The legal instrument used to transfer title in real property from one person to another.
- Department: means the department of insurance and financial services. See Michigan Laws 493.133
- Depository institution: means that term as defined in section 3 of the federal deposit insurance act, 12 USC 1813, or a credit union. See Michigan Laws 493.133
- Director: means the director of the department or his or her designee. See Michigan Laws 493.133
- Discovery: Lawyers' examination, before trial, of facts and documents in possession of the opponents to help the lawyers prepare for trial.
- Dwelling: means that term as defined in section 103 of the truth in lending act, 15 USC 1602. See Michigan Laws 493.133
- Embezzlement: In most states, embezzlement is defined as theft/larceny of assets (money or property) by a person in a position of trust or responsibility over those assets. Embezzlement typically occurs in the employment and corporate settings. Source: OCC
- Employee: means an individual who meets both of the following:
(i) Has an employment relationship acknowledged by that individual and the person that engages that individual to originate mortgage loans. See Michigan Laws 493.133Escrow: Money given to a third party to be held for payment until certain conditions are met. Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other. Exempt company: means a person that meets all of the following:
(i) Is not required to obtain a license or registration, or is exempt from licensing or registration, under the mortgage brokers, lenders, and servicers licensing act, 1987 PA 173, MCL 445. See Michigan Laws 493.133Fair Credit Reporting Act: A federal law, established in 1971 and revised in 1997, that gives consumers the right to see their credit records and correct any mistakes. Source: OCC Federal Reserve System: The central bank of the United States. The Fed, as it is commonly called, regulates the U.S. monetary and financial system. The Federal Reserve System is composed of a central governmental agency in Washington, D.C. (the Board of Governors) and twelve regional Federal Reserve Banks in major cities throughout the United States. Source: OCC Financial licensing acts: means that term as defined in section 2 of the consumer financial services act, 1988 PA 161, MCL 487. See Michigan Laws 493.133 Fixed Rate: Having a "fixed" rate means that the APR doesn't change based on fluctuations of some external rate (such as the "Prime Rate"). In other words, a fixed rate is a rate that is not a variable rate. A fixed APR can change over time, in several circumstances: Forgery: The fraudulent signing or alteration of another's name to an instrument such as a deed, mortgage, or check. The intent of the forgery is to deceive or defraud. Source: OCC Fraud: Intentional deception resulting in injury to another. Freedom of Information Act: A federal law that mandates that all the records created and kept by federal agencies in the executive branch of government must be open for public inspection and copying. The only exceptions are those records that fall into one of nine exempted categories listed in the statute. Source: OCC Immediate family member: means a spouse, child, sibling, parent, grandparent, or grandchild. See Michigan Laws 493.133 Individual: means a natural person. See Michigan Laws 493.133 Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases. Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC Licensed mortgage loan originator: means a mortgage loan originator who holds a valid license issued by the director under this act. See Michigan Laws 493.133 Loan processor or underwriter: means an individual who performs clerical or support duties as an employee at the direction of and subject to the supervision and instruction of a person licensed or designated as exempt from licensing under the mortgage brokers, lenders, and servicers licensing act, 1987 PA 173, MCL 445. See Michigan Laws 493.133 Mortgage: The written agreement pledging property to a creditor as collateral for a loan. Mortgage loan: A loan made by a lender to a borrower for the financing of real property. Source: OCC Mortgage loan originator: means an individual who originates residential mortgage loans and meets all of the following:
- You are late making a payment or commit some other default, triggering an increase to a penalty rate
- The bank changes the terms of your account and you do not reject the change.
- The rate expires (if the rate was fixed for only a certain period of time).
(i) Is not an individual engaged solely as a loan processor or underwriter except as otherwise provided in section 5(3). See Michigan Laws 493.133Mortgage servicer: means a person that directly or indirectly services or offers to service residential mortgage loans. See Michigan Laws 493.133 Mortgagor: The person who pledges property to a creditor as collateral for a loan and who receives the money. National Credit Union Administration: The federal regulatory agency that charters and supervises federal credit unions. (NCUA also administers the National Credit Union Share Insurance Fund, which insures the deposits of federal credit unions.) Source: OCC Nationwide mortgage licensing system and registry: means a mortgage licensing system developed and maintained by the conference of state bank supervisors and the American association of residential mortgage regulators for the licensing and registration of licensed mortgage loan originators. See Michigan Laws 493.133 Nontraditional mortgage product: means any mortgage product other than a 30-year fixed rate mortgage. See Michigan Laws 493.133 Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period. Office of financial and insurance regulation: means the department. See Michigan Laws 493.133 Originate: means to do any of the following for compensation or gain, or in the expectation of compensation or gain, in connection with a residential mortgage loan:
(i) Take a residential mortgage loan application. See Michigan Laws 493.133Oversight: Committee review of the activities of a Federal agency or program. Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses. Person: means an individual, corporation, limited liability company, partnership, association, or other legal entity. See Michigan Laws 493.133 Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land. Residential mortgage loan: means a loan primarily for personal, family, or household use that is secured by a mortgage, deed of trust, or other equivalent consensual security interest on a dwelling or residential real estate on which a person has constructed or intends to construct a dwelling. See Michigan Laws 493.133 Residential real estate: means any real property located in this state on which a person has constructed or intends to construct a dwelling. See Michigan Laws 493.133 Restitution: The court-ordered payment of money by the defendant to the victim for damages caused by the criminal action. SAFE act: means the secure and fair enforcement for mortgage licensing act of 2008, 12 USC 5101 to 5117. See Michigan Laws 493.133 Service: means the collection or remittance for a lender, noteowner, or noteholder or a person's own account of 4 or more installment payments of the principal of, interest of, or an amount placed in escrow under a residential mortgage loan, mortgage servicing agreement, or an agreement with a mortgagor. See Michigan Laws 493.133 Sponsor: means a person that meets all of the following:
(i) Has a unique identifier in the nationwide mortgage licensing system and registry. See Michigan Laws 493.133state: when applied to the different parts of the United States, shall be construed to extend to and include the District of Columbia and the several territories belonging to the United States; and the words "United States" shall be construed to include the district and territories. See Michigan Laws 8.3o Subpoena: A command to a witness to appear and give testimony. Testimony: Evidence presented orally by witnesses during trials or before grand juries. Truth in Lending Act: The Truth in Lending Act is a federal law that requires lenders to provide standardized information so that borrowers can compare loan terms. In general, lenders must provide information on Source: OCC Unique identifier: means a number or other identifier assigned by protocols established by the nationwide mortgage licensing system and registry. See Michigan Laws 493.133 United States: shall be construed to include the district and territories. See Michigan Laws 8.3o