Code of Maine Rules
02 - DEPARTMENT OF PROFESSIONAL AND FINANCIAL REGULATION
029 - BUREAU OF FINANCIAL INSTITUTIONS
Chapter 119 - ALTERNATIVE MORTGAGE TRANSACTIONS
Section 029-119-2 - PURPOSE
Current through 2024-13, March 27, 2024
The purpose of this Rule is to regulate alternative mortgage transactions "made or entered into in this State", as that term is defined in 9-A M.R.S.A. §1-201(1)(A),(B), by supervised lenders and by financial institutions so as to:
A. Assure, to the extent possible, an adequate and consistent supply of funds to consumers for home mortgages;
B. Allow these lenders to share, in part, the risk of rising interest rates with consumers so as to encourage mortgage lending;
C. Permit and encourage the development of fair and innovative mortgage lending instruments that are responsive to the needs of the times for the benefit of consumers and creditors;
D. Assure adequate consumer protections so as to prevent unreasonably high risk of default;
E. Create, to the extent possible, competitive equality among those creditors subject to regulation by the Office of Consumer Credit Regulation and financial institutions regulated by the Bureau of Banking and other governmental agencies; and
F. Provide consumers with educational information regarding alternative mortgage transactions in order to reduce the potential for misunderstanding and deception in the marketing of alternative mortgage instruments.
