Chapter 58 — Chapter 58

license; provision for out-of-state licenses. A. A person shall not engage in the business of a sales finance company in this state without a license as provided in the Motor Vehicle Sales Finance Act; provided, however, that a state or national bank authorized to do business in …

denied; appeals. A. Renewal of a license originally granted under the Motor Vehicle Sales Finance Act may be denied or a license may be suspended or revoked by the director on any of the following grounds: (1) material misstatement in application for license; (2) willful failure …

A. The director has the power to make such investigations as he deems necessary and, to the extent necessary for this purpose, may examine any licensee or any other person and has the power to compel the production of all relevant books, records, accounts and documents. B. Any re…

The director shall have power to issue subpoenas to compel the attendance of witnesses and the production of documents, papers, books, records and other evidence before him in any matter over which he has jurisdiction, control or supervision pursuant to the provisions of the Moto…

A. A retail installment contract shall be in writing and shall be signed by both the buyer and the seller; it shall be completed as to all essential provisions prior to its signing by the buyer. B. The printed portion of the contract, other than instructions for completion, shall…

ANNOTATIONS Repeals. — Laws 1981, ch. 263, § 4, repealed 58-19-8 NMSA 1978, relating to the finance charge limitation, effective July 1, 1981. Compiler's notes. — Laws 1981, ch. 263, § 6, revived 58-19-8 NMSA 1978, effective July 1, 1983. Laws 1983, ch. 44, § 1, repealed Laws 198…

Notwithstanding the provisions of any retail installment contract to the contrary, any buyer may pay in full, at any time before maturity, the debt of any retail installment contract and in so paying such debt shall receive a refund credit thereon for such anticipation of payment…

History: 1953 Comp., § 48-22-74, enacted by Laws 1965, ch. 293, § 1; 1975, ch. 330, § 37; 1983, ch. 54, § 1; 1987, ch. 292, § 8; 1989, ch. 209, § 12; 1991, ch. 66, § 1; repealed by Laws 2016, ch. 88, § 1006.

Chapter 58, Article 21 NMSA 1978 may be cited as the "Mortgage Loan Company Act". History: Laws 1983, ch. 86, § 1; 1989, ch. 209, § 13; 2009, ch. 122, § 25.

penalties. A. In the conduct of any examination, investigation or hearing, the director may: (1) compel the attendance of any person or obtain any documents by subpoena; (2) administer oaths; and (3) examine any person under oath concerning the business of any person subject to t…

Every mortgage loan company and loan broker shall make and keep those accounts, correspondence, memoranda, papers, books, data and other records as the director by rule prescribes. All records so required shall be preserved for six years. History: Laws 1983, ch. 86, § 11; 2001, c…

All the records required to be maintained by the Mortgage Loan Company Act are subject to examinations or investigations by representatives of the director within or without New Mexico as the director deems necessary or appropriate in the public interest or for the protection of …

Applications for licensing or a license renewal and all papers, documents, reports and other written instruments filed with the director under the Mortgage Loan Company Act are public documents and open to public inspection except for files of ongoing examinations and investigati…

A. When the director contemplates taking any action specified in Section 58-21-8 NMSA 1978 and Paragraphs (1) through (7) of Subsection A of Section 58-21-28 NMSA 1978, the director shall serve upon the licensee a written notice containing a statement: (1) that the director has s…

A. The director may make any public or private investigation, within or outside of this state, as the director finds necessary to determine whether a person has violated or is about to violate the Mortgage Loan Company Act or any rule or order of the director under that act or to…

A. Any person aggrieved by a final order of the director may appeal to the district court pursuant to the provisions of Section 39-3-1.1 NMSA 1978. B. The commencement of the proceedings under Subsection A of this section does not, unless specifically ordered by the court, operat…

Any licensee under the Mortgage Loan Company Act who also performs any acts that are within the scope of activities regulated by any statutes of the state relating to escrow agents shall also comply with all provisions of those statutes, and the issuance of a license under the Mo…

In connection with any loan originated, brokered, negotiated or made by a licensee pursuant to the Mortgage Loan Company Act, a mortgage loan company shall not collect, charge or receive broker fees in excess of six percent of the principal amount of the loan. A licensee may char…

In connection with any loan originated, brokered, negotiated or made by a licensee pursuant to the Mortgage Loan Company Act, a licensee shall comply with: A. applicable federal or state laws; B. the provisions of the Home Loan Protection Act; and C. the provisions of the New Mex…

As used in the Mortgage Loan Company Act: A. "affiliate" means a person who, directly or indirectly, through one or more intermediaries, controls or is controlled by or is under common control with another person; B. "branch office" means any location, including a divisional offi…

It is unlawful for any person to make or cause to be made in any document filed with the director in any proceedings under the Mortgage Loan Company Act any statement that is at the time and in the light of the circumstances under which it is made false or misleading in any respe…

It is unlawful for any mortgage loan company in connection with the origination, brokering, negotiating or making of any mortgage loan, directly or indirectly, to: A. employ any device, scheme or artifice to defraud; or B. engage in any act, practice or course of business that op…

A person who violates Section 58-21-18, 58-21-19, 58-21-20 or 58-21-21 NMSA 1978, knowing the statement to be false or misleading in any respect, is guilty of a fourth degree felony and upon conviction shall be sentenced as provided for in Section 31-18-15 NMSA 1978. Civil and cr…

A document is filed when it is received by the director. The director may permit the destruction of any document filed under the Mortgage Loan Company Act with the division or the director after six years from the date of filing documents. History: Laws 1983, ch. 86, § 23; 2001, …

History: Laws 2005, ch. 191, § 2; repealed by Laws 2007, ch. 224, § 3.

A. Unless the net loan funds necessary to complete a purchase of real property have been previously delivered to the seller or to the closing agent, a lender shall deliver the required net loan funds within two business days of the time that the lender deems the closing agent has…

ANNOTATIONS Repeals. — Laws 2001, ch. 251, § 17 and Laws 2001, ch. 264, § 17 repeals 58-21-24 NMSA 1978, being Laws 1983, ch. 86, § 24, regarding the effect of the enactment of the Mortgage Loan Company and Loan Broker Act on existing mortgage loan companies or loan brokers, effe…

The Mortgage Loan Company Act is not intended to impair any remedies available to injured parties under other statutes or under common law. History: Laws 1983, ch. 86, § 25; 2009, ch. 122, § 47.

and licensing. The responsibilities and authority of the director under the Mortgage Loan Company Act are explicitly exempted from the authority of the superintendent of regulation and licensing as set forth in Subsection B of Section 9-16-6 NMSA 1978. History: Laws 1983, ch. 86,…

ANNOTATIONS Repeals. — Laws 2001, ch. 251, § 17 and Laws 2001, ch. 264, § 17 repeals 58-21-27 NMSA 1978, being Laws 1987, ch. 343, § 1, requiring service entities who serve New Mexico customers to have an office or agent in New Mexico, and requiring a ten-day response time to cus…

A. In order to ensure the effective supervision and enforcement of the Mortgage Loan Company Act, the director may: (1) deny, suspend, revoke or decline to renew a license for a violation of that act, rules issued pursuant to that act or order or directive entered pursuant to tha…

A. Upon a showing by the director that a person has or is about to violate the Mortgage Loan Company Act or any rule or order of the director under that act, the district court of the first judicial district for Santa Fe county or other appropriate district court in the state may…

A. It is unlawful for any person to transact business in the state of New Mexico, either directly or indirectly, as a mortgage loan company without first filing an application with the director, meeting requirements established by the director and obtaining a license under the Mo…

A. A person that violates Subsection A of Section 58-21-3 NMSA 1978 for the first offense is guilty of a misdemeanor and upon conviction shall be sentenced pursuant to the provisions of Section 31-19-1 NMSA 1978. B. In the case of a first conviction pursuant to Subsection A of th…

A mortgage loan company shall, in addition to other disclosures required pursuant to other statutes or common law: A. make all disclosures required by applicable federal and state laws; B. provide a revised "good faith estimate" and a copy of the borrower's lock-in agreement to t…

Each licensee shall submit to the nationwide multistate licensing system and registry reports of condition, which shall be in such form and shall contain such information as the nationwide multistate licensing system and registry may require. History: Laws 2009, ch. 122, § 53; 20…

Each application for a license or license renewal as a mortgage loan company shall be filed in writing with the director, shall meet requirements established by the director and shall contain the following: A. the applicant's name, the name of designated qualified managers, the N…

A. A license shall expire on December 31 each year. Each licensee shall submit a renewal application on or before November 1 each year. B. The director shall establish by rule fees that shall be sufficient to cover the costs of administering the Mortgage Loan Company Act. These f…

The following persons shall be exempt from all provisions of the Mortgage Loan Company Act: A. banks, trust companies, savings and loan associations, credit unions, insurance companies or real estate investment trusts as defined in 26 U.S.C.A. 856; B. an attorney licensed to prac…

A. Each mortgage loan company shall post and maintain with the director a corporate surety bond. B. The penal sum of the surety bond shall be in an initial amount of fifty thousand dollars ($50,000). Upon renewal of the license, the penal sum of the surety bond shall be in an amo…

The director may deny, suspend or revoke any license or impose other penalties when the applicant or licensee, or a principal, partner, director, officer, trustee, manager, employee or affiliate of the applicant or licensee: A. lacks a good business reputation; B. has violated a …

A. The director shall exercise general supervision and control over mortgage loan companies doing business in New Mexico. In addition to the other duties imposed on the director by law, the director shall: (1) make reasonable rules necessary for the implementation of the Mortgage…

Chapter 58, Article 21A NMSA 1978 may be cited as the "Home Loan Protection Act". History: Laws 2003, ch. 436, § 1; 2009, ch. 122, § 54.

Counties and municipalities, including home rule counties and municipalities, are prohibited from enacting and enforcing ordinances, resolutions or rules regulating financial or lending activities or imposing reporting requirements or any other obligations upon creditors regardin…

A. Notwithstanding any other provision of law, any person who purchases or is otherwise assigned a high-cost home loan shall be subject to all affirmative claims and any defenses with respect to the loan that the borrower could assert against the original creditor of the loan; pr…

A violation of the Home Loan Protection Act constitutes an unfair or deceptive trade practice pursuant to the Unfair Practices Act [Chapter 57, Article 12 NMSA 1978]. History: Laws 2003, ch. 436, § 12.

The financial institution division of the regulation and licensing department shall enforce the provisions of the Home Loan Protection Act and, after consulting with the attorney general and considering similar rules of the federal housing administration and the federal departmen…

The Home Loan Protection Act shall be liberally construed to carry out its purpose. History: Laws 2003, ch. 436, § 14.

The legislature finds that: A. abusive mortgage lending has become an increasing problem in New Mexico, exacerbating the loss of equity in homes and causing the number of foreclosures to increase in recent years; B. one of the most common forms of abusive lending is the making of…

As used in the Home Loan Protection Act: A. "adjustable rate home loan" means a home loan that has an initial interest rate that adjusts to a variable interest rate at the end of a specified initial period or subsequent periods of time during the remaining term of the home loan; …