§ 5-21-103 — Definitions

Colorado § 5-21-103

• Jurisdiction: Colorado
• Title 05: Consumer
• Art.: Colorado Nonbank Mortgage Servicers Act

Text

As used in this article 21, unless the context otherwise
requires:

(1) Administrator means the administrator of the Uniform Consumer Credit
Code, articles 1 to 9 of this title 5, designated pursuant to section 5-6-103.

(2) Borrower means an individual obligated to repay a residential mortgage
loan.

(3) Loans held for sale means loans originated and held for sale for up to
three hundred sixty-four days after each loan's origination.

(4) Mortgage servicer means a person, wherever located, that is
responsible for servicing a Colorado residential mortgage loan. A mortgage servicer
includes a person that makes payments to a borrower under a reverse mortgage as
defined in section 11-38-102 (4). A mortgage servicer does not include:

(a) A supervised financial organization as defined in section 5-1-301 (45);

(b) A mortgage loan originator regulated by the division of real estate or as
defined in section 12-10-702 (14)(a) or a mortgage company regulated by the
division of real estate or as defined in section 12-10-702 (12); except that a
mortgage loan originator or mortgage company that also services a residential
mortgage loan is a mortgage servicer;

(c) A federal agency or department;

(d) A collection agency as defined in section 5-16-103 (3) that is licensed
pursuant to section 5-16-120 or is exempt from licensure under section 5-16-103
(3)(e) and whose mortgage debt collection business involves collection of
residential mortgage loans obtained by the collection agency after default; except
that a collection agency that also services residential mortgage loans assigned to
the collection agency before default is a mortgage servicer;

(e) An agency, instrumentality, or political subdivision of this state;

(f) A supervised lender as defined in section 5-1-301 (46); except that a
supervised lender, other than a supervised financial organization as defined in
section 5-1-301 (45), that also services residential mortgage loans is a mortgage
servicer;

(g) A small servicer that services fewer than five thousand residential
mortgage loans in any calendar year, exclusive of loans held for sale, as determined
by the administrator, who shall apply the criteria in 12 CFR 1026.41 (e)(4)(iii) or any
successor regulation;

(h) A person that the administrator designates by rule or order as exempt.
These exemptions are limited to nonprofit organizations, government agencies, or
other entities whose primary business is not to service mortgages and that seek to
promote affordable housing or financing.

(i) An originator or servicer that utilizes a subservicer to carry out the
administrative functions of servicing a mortgage unless the subservicer is acting at
the direction of the originator or servicer; or

(j) A person that services loans held for sale.

(5) Notifier means a person required to notify the administrator of the
person's activities as a mortgage servicer pursuant to this article 21.

(6) Record means information that is inscribed on a tangible medium or
that is stored in an electronic or other medium and is retrievable in perceivable
form.

(7) Residential mortgage loan means a loan that is primarily for personal,
family, or household use and that is secured by a mortgage, deed of trust, or other
equivalent, consensual security interest on a dwelling or residential real property
upon which is constructed or intended to be constructed a dwelling as defined by
section 5-1-301 (18).

(8) Servicing means receiving any scheduled periodic payments from a
borrower pursuant to the terms of a residential mortgage loan, including amounts
for escrow accounts, and making the payments to the owner of the loan or other
third parties of principal and interest and such other payments with respect to the
amounts received from the borrower as may be required pursuant to the terms of
the residential mortgage servicing loan documents or servicing contract. In the
case of a reverse mortgage, servicing includes making payments to the borrower.

Legislative History

Source: L. 2021: Entire article added, (HB 21-1282), ch. 482, p. 3436, � 1, effective January 1, 2022.