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§ 12-109.2. Handling escrow accounts

West's Annotated Code of MarylandCommercial LawEffective: October 1, 2011

West's Annotated Code of Maryland
Commercial Law
Title 12. Credit Regulations
Subtitle 1. Interest and Usury (Refs & Annos)
Effective: October 1, 2011
MD Code, Commercial Law, § 12-109.2
§ 12-109.2. Handling escrow accounts
(a)(1) In this section the following terms have the meanings indicated.
(2) “Escrow account” has the meaning stated in § 12-109 of this subtitle.
(3) “Lender” includes a lender and assignee of a lender.
(4) “Mortgage” includes a mortgage and a deed of trust.
(b)(1) Funds in any escrow account shall be kept separate from and may not be commingled with the funds of the lender.
(2) A lender may place escrow funds received in connection with more than one mortgage into a single escrow account.
(3) In the event of the bankruptcy of the lender, any escrow funds placed in any escrow account under this section may not be considered to be part of the bankrupt estate of the lender.
(c) A lender may not impose a collection fee or service charge on the maintenance of an escrow account on a first mortgage.

Credits

Added by Acts 1986, c. 628, § 1, eff. July 1, 1986. Amended by Acts 1989, c. 723; Acts 2011, c. 611, § 1, eff. Oct. 1, 2011.
MD Code, Commercial Law, § 12-109.2, MD COML § 12-109.2
Current with all legislation from the 2023 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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