Cx3759 has been provided pursuant to 41 Pa. Stat. Ann. § 301(e)(10) (West 2011), which had required the following in connection with a variable rate loan:
“ (10) No residential mortgage lender may take a residential mortgage providing for a variable interest rate unless it has clearly and conspicuously disclosed to the mortgage debtor in the mortgage application:
(i) That the mortgage rate is subject to change in the future.
(ii) An explanation of the effect of changes in the index on the rate and term of the mortgage.
(iii) An explanation of the index.
(iv) A statement in 10 point bold type containing the following language:
If the mortgage lender offers to give you a mortgage with a variable interest rate, you are entitled by law to also be offered a mortgage with an interest rate which will not change. By law, this fixed interest rate mortgage must be offered to you at reasonably competitive terms and rate.”
This subsection has been repealed by 2012 Pa. Legis. Serv. Act 2012-172 (West) and the requirements of such have not been substantively added to another part of Pennsylvania’s laws. Therefore, we will no longer be printing or maintaining this document.
This change will take effect on April 22, 2013. If you have any questions or concerns about this change, please contact Client Support at 1.800.497.3584.
April 15, 2013