§ 5-28-29-21 — Refinancing

(a) In the case of a loan to refinance a loan
previously made to the borrower by the lender that was not enrolled
under the program, the lender may obtain coverage under the program
for an amount not exceeding the amount of additional financing.
(b) If an enrolled loan is refinanced and the total amount to be
covered under the program does not exceed the covered amount of the
loan as previously enrolled, the refinanced loan may continue as an
enrolled loan without payment of additional premium charges or
transfers by the corporation to the reserve fund.
(c) If an enrolled loan is refinanced in an amount exceeding the
amount of the loan as previously enrolled, the lender may obtain
coverage of the amount of the refinanced loan that exceeds the amount
covered when the loan was previously enrolled by refiling the loan for
enrollment under section 18 of this chapter.
(d) Fluctuations in the outstanding balance of a line of credit,
without increasing the enrolled amount under the program, are not a
refinancing of the loan.

Legislative History

As added by P.L.162-2007, SEC.24.