Arkansas’ regulations for enforcing the provisions of the Arkansas Fair Mortgage Lending Act (Ark. Code Ann. §§ 23-39-501 through 23-39-518) were recently amended and re-enacted in 2103 Ar. Reg. Text 6635. Among the changes are ones to Ark. Admin. Code § 214.00.2-5010-1(c), which requires certain items of information to be disclosed in a notice of transfer of servicing.
This administrative rule still requires the same items of information to be disclosed as before (e.g. the exact amount of the monthly payment, the name and contact information of the entity to whom payments are to be made, etc.). However, new to these regulations are the following requirements:
1. A disclosure of any notice required under federal law or regulation; and
2. A notice in the form and content acceptable to the Arkansas Securities Department that the current mortgage servicer is licensed in Arkansas and that complaints about such servicer may be submitted to such Department.
We provide Cx17905 for this requirement, as well as for the requirements found in 12 CFR § 1024.21(d). Due to these changes to Arkansas’ rules, we will be adding to the Arkansas-version of Cx17905 a new paragraph, which will appear before the last paragraph, which will state the following:
“Please note that [Field Index 15360] is licensed in Arkansas and that complaints about [Field Index 15360] may be submitted to the Arkansas Securities Department via the Department’s website (http://www.securities.arkansas.gov/) or toll-free (800-981-4429).”
Clients who are exempt from the provisions of the Fair Mortgage Lending Act (e.g. state or federally chartered banks, savings banks, credit unions, etc.) and believe this requirement does not apply to them should contact their Account Manager or Client Support to have this paragraph configured not to print for them.
These changes will take effect on February 9, 2014. If you have any questions or concerns about these changes, please contact Client Support at 1.800.497.3584.
January 28, 2014