Indiana § 24-9-2-10 "Points and fees"

Indiana Statutes

§ 24-9-2-10 — "Points and fees"

Indiana·Art. 9 HOME LOAN PRACTICES·Ch. 2 Definitions

(a)Except as provided in subsection (b), "points and fees" means the total of the following:

(1)Points and fees (as defined in 12 CFR 226.32(b)(1) on January 1, 2004).

(2)All compensation paid directly or indirectly to a mortgage broker, including a broker that originates a loan in the broker's own name. As used in subdivision (2), "compensation" does not include a payment included in subdivision (1).

(b)The term does not include the following:

(1)Bona fide discount points.

(2)An amount not to exceed one and one-half (1 1/2) points in indirect broker compensation, if the terms of the loan do not include:

(A)a prepayment penalty, in the case of a home loan described in IC 24-9-3-6(b); or

(B)a prepayment penalty that exceeds two percent (2%) of the home loan principal, in the case of

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(a) Except as provided in subsection (b),
"points and fees" means the total of the following:
(1) Points and fees (as defined in 12 CFR 226.32(b)(1) on January
1, 2004).
(2) All compensation paid directly or indirectly to a mortgage
broker, including a broker that originates a loan in the broker's
own name.
As used in subdivision (2), "compensation" does not include a payment
included in subdivision (1).
(b) The term does not include the following:
(1) Bona fide discount points.
(2) An amount not to exceed one and one-half (1 1/2) points in
indirect broker compensation, if the terms of the loan do not
include:
(A) a prepayment penalty, in the case of a home loan described
in IC 24-9-3-6(b); or
(B) a prepayment penalty that exceeds two percent (2%) of the
home loan principal, in the case of a home loan other than a
home loan described in IC 24-9-3-6(b).
(3) Reasonable fees paid to an affiliate of the creditor.
(4) Interest prepaid by the borrower for the month in which the
home loan is closed.