CHAPTER 211

H.P. 883 - L.D. 1286

An Act To Require Additional Disclosure Regarding Private

Mortgage Insurance

Be it enacted by the People of the State of Maine as follows:

Sec. 1. 33 MRSA §506 is enacted to read:

§506. Disclosure regarding private mortgage insurance

With respect to a mortgage loan on residential real property for which the processor or underwriter of that loan also engages in the business of private mortgage insurance, a supervised lender, as defined in Title 9-A, section 1-301, subsection 39, or a credit services organization, as defined in Title 9-A, section 10-102, shall disclose to the loan applicant at the time of application the fact that the processor or underwriter is also in the business of private mortgage insurance.__Failure to provide the disclosure required by this section does not annul, alter or affect the validity or enforceability of the mortgage loan.