§ 12-116. Refinanced loans
West's Annotated Code of MarylandCommercial Law
MD Code, Commercial Law, § 12-116
§ 12-116. Refinanced loans
Any loan made before July 1, 1982, which is refinanced at a higher rate pursuant to § 12-103(a) and (c) of this subtitle or § 12-306 or § 12-404 of this title must comply with the following requirements:
If you do agree to consolidate your existing loan, you will be paying an annual percentage rate of . . . . .% on the existing net balance of $. . . ., instead of the rate of ......% which you are now paying.
Schedule of Monthly Payments
Separate loan agreements | Consolidated loan agreement |
$....per month for | $....per month for |
the next ....months | the next ....months |
then | |
$.... per month for | |
....months after that |
Separate loan agreements | Consolidated loan agreement |
$....total of payments | $....total of payments |
for your existing loan | for your consolidated |
....for your new loan | loan |
total of payments |
(2) The lender must allow the borrower the choice of repaying his existing loan balance at the originally agreed upon rate and obtaining any additional extension of credit as a separate loan, notwithstanding any law which limits the lender's ability to make more than 1 loan to the same borrower;
(6) Nothing in this subsection shall prohibit the receipt of the loan proceeds by the borrower at the time the consolidated loan agreement is made. The borrower must return any loan proceeds received pursuant to the consolidated loan agreement if he elects to cancel the consolidated loan agreement pursuant to subsection (5) of this section. The borrower may retain the loan proceeds if he elects the separate loan option pursuant to subsection (2) of this section.
Credits
Added by Acts 1982, c. 753, § 1, eff. July 1, 1982. Amended by Acts 1994, c. 549, § 1, eff. Oct. 1, 1994; Acts 1995, c. 3, § 1, eff. March 7, 1995; Acts 2013, c. 43, § 5.
MD Code, Commercial Law, § 12-116, MD COML § 12-116
Current through legislation effective through April 9, 2023, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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