Delaware S.A.F.E. Mortgage Licensing Act of 2009, Prohibited Acts & Practices (5 Del.C. § 2418)

About the Legislation:

This statute lists unlawful acts that any person subject to this Act may not engage in. Broadly, it prohibits a person from engaging in fraudulent and misleading behavior, engaging in unfair or deceptive practices, conducing business without valid licenses (or assisting, aiding, or abetting in this regard), failing to make mandated disclosures, making false statements or omitting material facts in certain contexts, making a payment, threat, or promise to influence the independent judgment of a person in connection with a residential mortgage loan, collecting or charging (or attempting to do so) prohibited fees, causing a borrower to obtain property insurance coverage in an amount that exceeds the replacement cost, and failing to truthfully account for monies of a party to a residential mortgage loan transaction.

Private Right of Action: No.
Damages/Enforcement: The State Bank Commissioner may order a person to cease and desist from the violation, from conducting business subject to this chapter, or from engaging in harmful activities; impose a civil money penalty; order restitution; remove or ban the person from employment by any financial institution; and order other affirmative action they deem necessary.

Read the Legislation

State Association Contact

Josephine Bahn, Member

Aaron Krauss, Member