Sec. 36a-493. (Formerly Sec. 36-440h). Records to be maintained by licensee.
Sec. 36a-493. (Formerly Sec. 36-440h). Records to be maintained by licensee.
(a) Each mortgage lender, mortgage correspondent lender and mortgage broker licensee
shall maintain adequate records of each loan transaction at the office named in the
license, or, if requested by the commissioner, shall make such records available at such
office or send such records to the commissioner by registered or certified mail, return
receipt requested, or by any express delivery carrier that provides a dated delivery receipt, not later than five business days after requested by the commissioner to do so.
Upon request, the commissioner may grant a licensee additional time to make such
records available or send them to the commissioner. Such records shall provide the
following information: (1) A copy of any disclosures required under part III of chapter
669; (2) whether the licensee acted as a mortgage lender, a mortgage correspondent
lender, a mortgage broker, a mortgage lender and a mortgage broker, or a mortgage
correspondent lender and a mortgage broker; (3) if the licensee is acting as a mortgage
lender or mortgage correspondent lender, and retains the mortgage loan or receives
payments thereon, an adequate loan history for those loans retained or upon which
payments are received, itemizing the amount and date of each payment and the unpaid
balance at all times; (4) the purpose for which the loan was made; (5) the original or an
exact copy of the note, loan agreement or other evidence of indebtedness and mortgage
deed; (6) a statement signed by the borrower acknowledging the receipt of such statement
which discloses the full amount of any fee, commission or consideration paid to the
mortgage lender, mortgage correspondent lender and mortgage broker for all services
in connection with the origination and settlement of the mortgage loan; (7) the name
and address of the mortgage lender, mortgage correspondent lender and the mortgage
broker, if any, involved in the loan transaction; (8) a copy of the initial and a copy
of the final mortgage loan application taken from the borrower; and (9) a copy of all
information used in evaluating the application.
(b) For each loan that is made and serviced by a licensee, the licensee shall retain:
(1) The records of such loan transaction for not less than two years following the final
payment thereon, or the assignment of such loan, whichever occurs first, or such longer
period as may be required by any other provision of law, and (2) copies of the note,
HUD-1 settlement statement or other settlement statement, or such other records as are
sufficient to verify the mortgage lender's or mortgage correspondent lender's compliance with section 36a-498a for not less than five years from the date of the transaction.
(c) For each loan transaction in which a licensee acts as a mortgage lender, mortgage
correspondent lender or mortgage broker but does not service the loan, the licensee shall
retain: (1) The records of such loan transaction for not less than two years from the date
of the transaction or such longer period as may be required by any other provision of law,
and (2) copies of the note, HUD-1 settlement statement or other settlement statement, or
such other records as are sufficient to verify the mortgage lender's or mortgage correspondent lender's compliance with section 36a-498a for not less than five years from
the date of the transaction.
(d) Any person who furnishes to a licensee any records required to be maintained
under this section or any information necessary to complete such records may charge
a fee to the licensee in an amount not to exceed fifty dollars.
(P.A. 85-399, S. 9; P.A. 89-347, S. 16; P.A. 90-184, S. 8; P.A. 94-122, S. 236, 340; P.A. 02-111, S. 10; P.A. 07-156,
S. 11; P.A. 08-176, S. 31, 48, 49.)
History: P.A. 89-347 amended Subsec. (a) by inserting new Subdiv. (2) requiring the licensee to state whether it acted
as a mortgage lender, a mortgage broker or any combination thereof and renumbering the remaining subdivisions in Subsec.
(a) and adding Subsec. (a)(6) re the borrower's statement, made a technical change in Subsec. (c) and added Subsec. (d)
re record retention requirements for mortgage brokers; P.A. 90-184 added Subsec. (e) authorizing a fee to be charged for
records or information furnished to a licensee; P.A. 94-122 changed "commissioner or his representative" to "commissioner" and "any combination thereof" to "both" in Subsec. (a), deleted Subsec. (b) re examination of books and records
of licensees, and relettered former Subsecs. (c) through (e) as Subsecs. (b) through (d), effective January 1, 1995; Sec. 36-440h transferred to Sec. 36a-493 in 1995; P.A. 02-111 amended Subsec. (a) to change where records are maintained or
made available from "place of business" to "location" named in the license, to replace references to "mortgage broker"
with reference to "first mortgage broker", to add new Subdiv. (7) re name and address of broker and to make technical
changes, amended Subsec. (b) to increase record retention period for licensees who make or service loans from one to two
years following final payment or assignment, or such longer retention period as may be required by law, and amended
Subsec. (c) by deleting reference to licensee acting as a "mortgage broker" and substituting "mortgage lender or first
mortgage broker but does not service the loan" and by making technical changes; P.A. 07-156 amended Subsec. (a) to
insert "mortgage lender and first mortgage broker" re licensee, effective September 30, 2008; P.A. 08-176 changed effective
date of P.A. 07-156, S. 11, from September 30, 2008, to July 1, 2008, amended Subsec. (a) to add provisions re sending
records to commissioner and re granting of additional time, to add "mortgage correspondent lender", to add, in Subdiv.
(5), "loan agreement or other evidence of indebtedness", to add Subdivs. (8) and (9) re copy of loan application and
information used in evaluating application, and to make conforming changes, amended Subsecs. (b) and (c) to designate
existing provisions re records of loan transaction as Subdiv. (1) and add Subdiv. (2) re copies of note, HUD-1 settlement
statement or other settlement statement or other records, and further amended Subsec. (c) to add "mortgage correspondent
lender" and make a conforming change, effective July 1, 2008.