Indiana § 23-2.5-10-1 Violations in connection with loan broker agreement

Indiana Statutes

§ 23-2.5-10-1 — Violations in connection with loan broker agreement

Indiana § 23-2.5-10-1

Title 23BUSINESS AND OTHER ASSOCIATIONS

Art. 2.5LOAN BROKERS

Ch. 10Prohibited Acts

This text of Indiana § 23-2.5-10-1 (Violations in connection with loan broker agreement) is published on Counsel Stack Legal Research, covering Indiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ind. Code § 23-2.5-10-1 (2026).

Text

(a)A person shall not, in connection with a contract for the services of a loan broker, do any of the following:

(1)Employ a device, a scheme, or an artifice to defraud.

(2)Make any untrue statements of a material fact or omit to state a material fact necessary in order to make the statements made, in the light of circumstances under which they are made, not misleading.

(3)Engage in an act, a practice, or a course of business that operates or would operate as a fraud or deceit on a person.

(4)Collect or solicit consideration, except a bona fide third party fee, in connection with a residential mortgage loan before the loan is closed.

(5)Receive funds that the person knows were generated as a result of a fraudulent act.

(6)File or cause to be filed with a county recorder a document t

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(a) A person shall not, in connection with a
contract for the services of a loan broker, do any of the following:
(1) Employ a device, a scheme, or an artifice to defraud.
(2) Make any untrue statements of a material fact or omit to state
a material fact necessary in order to make the statements made, in
the light of circumstances under which they are made, not
misleading.
(3) Engage in an act, a practice, or a course of business that
operates or would operate as a fraud or deceit on a person.
(4) Collect or solicit consideration, except a bona fide third party
fee, in connection with a residential mortgage loan before the loan
is closed.
(5) Receive funds that the person knows were generated as a
result of a fraudulent act.
(6) File or cause to be filed with a county recorder a document
that the person knows:
(A) contains:
(i) a misstatement; or
(ii) an untrue statement;
of material fact; or
(B) omits a statement of a material fact that is necessary to
make the statements that are made, in the light of circumstances
under which they are made, not misleading.
(7) Knowingly release or disclose the unencrypted, unredacted
personal information of a borrower or prospective borrower,
unless the personal information is used in an activity authorized
by the borrower or prospective borrower under any of the
following circumstances:
(A) The personal information is:
(i) included on an application form or another form; or
(ii) transmitted as part of an application or enrollment
process.
(B) The personal information is used to obtain a consumer
report (as defined in IC 24-5-24-2) for an applicant for credit.
(C) The personal information is used to:
(i) establish, amend, or terminate an account, a contract, or a
policy; or
(ii) confirm the accuracy of the personal information.
However, personal information allowed to be disclosed under
this clause may not be printed in whole or in part on a postcard
or other mailer that does not require an envelope, or in a
manner that makes the personal information visible on an
envelope or a mailer without the envelope or mailer being
opened.
(8) Engage in reckless or negligent activity allowing the release
or disclosure of the unencrypted, unredacted personal information
of a borrower or prospective borrower, including an action
prohibited by IC 23-2.5-8-9.
(9) Knowingly bribe, coerce, or intimidate another person to
corrupt or improperly influence the independent judgment of a
real estate appraiser with respect to the value of real estate offered
as security for a residential mortgage loan, as prohibited by IC 23-2.5-8-2.
(10) Violate any of the following:
(A) The federal Truth in Lending Act (15 U.S.C. 1601 et seq.).
(B) The federal Real Estate Settlement Procedures Act (12
U.S.C. 2601 et seq.).
(C) The federal Equal Credit Opportunity Act (15 U.S.C. 1691
et seq.).
(D) Another federal law or regulation concerning residential
mortgage lending.
(11) Omit a material fact or fail to promptly correct a
misstatement of material fact in an application made to the
commissioner under this article.
(b) A person who commits an act described in subsection (a) is
subject to disciplinary proceedings under IC 23-2.5-11.