Chapter 167E

Section 1. As used in this chapter, the following words, shall unless the context otherwise requires, have the following meanings:— ''Bank'', a savings bank, co-operative bank, or trust company subject to the supervision of the commissioner of banks. ''Capital'', (1) the sum of t…

Section 2. Every bank, subject to limitations imposed by this chapter or other General Laws, shall have the following powers and whatever further incidental or complementary powers that may fairly be implied from those expressly conferred and such as are reasonably necessary to e…

Section 3. (a) A bank may make or acquire loans and mortgage loans. (b) For purposes of this chapter, the term ''mortgage loan'' shall mean a loan, line of credit, letter of credit or borrowing secured primarily by a lien on an interest in real estate. The following categories of…

Section 4. (a) Each bank shall adopt and maintain comprehensive written loan policies that establish appropriate limits and standards for extensions of credit under section 3 that are consistent with safe and sound banking practices and are appropriate to the size, nature and sco…

Section 5. (a) A bank shall inspect the real estate securing a loan in the event that a payment of interest or principal upon the loan or on account of real estate taxes upon the parcel mortgaged to secure the same shall be in default. Any such inspection shall be made in a manne…

Section 6. (a) The total obligations of 1 borrower to a bank under this chapter and chapter 167F shall not exceed the following limitations. (1) 20 per cent of the total of the bank's capital; (2) 25 per cent of the total of the bank's capital, if the amount of the obligations in…

Section 7. (a) A bank may make or acquire a reverse mortgage loan, pursuant to a program for reverse mortgage loans which has been submitted to and approved by the commissioner, to the owner of real estate improved with a dwelling designed to be occupied by not more than 4 famili…

Section 7A. (a) As used in this section the following word shall, unless the context clearly requires otherwise, have the following meaning:— ''Mortgagor'', an applicant for a reverse mortgage who: (1) has a gross income of less than 50 percent of the area median income, as perio…

Section 8. (a) A bank may make or acquire mortgage loans evidenced by a note which provides for variation in the rate of interest over the term of the note; but a loan made to finance or refinance the purchase of and secured by a first lien on a dwelling house of 4 or fewer separ…