§ 474 — Servicing of loans by banking institutions and loan servicing companies

§ 474. Servicing of loans by banking institutions and loan servicing\ncompanies. 1. The agency is authorized to make provision in the note and\nloan agreement or by separate agreement for the performance by one or\nmore banking institutions of such services as are generally performed by\nany such bank itself owning and holding such a loan and as may be\napproved by the superintendent of financial services for which services\na bank may make and collect such service charges as the superintendent\nshall prescribe or approve.\n 2. The agency is authorized to make provision in the note and loan\nagreement or by separate agreement for the servicing of such loans by a\nloan servicing company or other qualified entity, as determined by the\nagency, and such services may include, but not be limited to, the\ncollection of the debt services on such loans and the establishment,\nadministration, and distribution of an escrow account for the payment of\nthe owner's real estate taxes, sewer and water rents and fire insurance.\n