Section 12-1201 - Definitions.
§ 12-1201. Definitions.
(a) In general.- In this subtitle the following words have the meanings indicated.
(b) Arranger of financing.- "Arranger of financing" means a person that:
(1) For a fee or other valuable consideration, whether received directly or indirectly, aids or assists a borrower in obtaining a reverse mortgage loan; and
(2) Is not named as the lender in the reverse mortgage loan agreement.
(c) Borrower.- "Borrower" means an individual who makes a loan application for or receives a reverse mortgage loan.
(d) Counseling agency.- "Counseling agency" means an entity approved by the U.S. Department of Housing and Urban Development to provide counseling regarding reverse mortgage loans.
(e) Dwelling.- "Dwelling" has the meaning stated in § 11-501 of the Financial Institutions Article.
(f) Lender.- "Lender" means a person who makes a reverse mortgage loan.
(g) Person.- "Person" includes an individual, corporation, business trust, estate, trust, partnership, association, two or more persons having a joint or common interest, or any other legal or commercial entity.
(h) Reverse mortgage loan.- "Reverse mortgage loan" means a nonrecourse loan that:
(1) Is secured by the borrower's principal dwelling;
(2) Provides the borrower with purchase money proceeds, a lump sum payment, periodic cash advances, a line of credit, or any combination of those payment plans based on the equity in or value of the borrower's principal dwelling; and
(3) Requires no payment of principal or interest until the full loan becomes due and payable.
[2010, chs. 622, 623.]