Bills › 89th General Assembly

SF 567Vetoed by Governor · June 16, 2021

Relating to loans originated by mortgage bankers

Sponsored by the Senate Commerce Committee

Topics:Business & economyInsurance

Same legislation: SSB 1235

Where it is now

  1. Done: IntroducedMarch 1, 2021
  2. Done: SubcommitteeMarch 1, 2021
  3. Done: Senate committeeMarch 4, 2021
  4. Done: Passes the SenateMarch 22, 202148–0
  5. Done: House committeeMarch 31, 2021
  6. Done: Passes the HouseApril 27, 2021
  7. Done: To the GovernorJune 3, 2021
  8. Stopped: VetoedJune 16, 2021

Vetoed What’s a funnel?

What’s in it

AI summary Mortgage bankers and financial institutions would no longer have to follow certain rules regarding extra fees if their loan charges stay below a specific limit. This change means these lenders would not be restricted by certain laws that limit additional fees or how they offer lower interest rates in exchange for a fee.1

Read the official explanation

This bill relates to loans originated by mortgage bankers. The bill provides that if a lender that is a financial institution or a mortgage banker licensed or registered pursuant to Code chapter 535B makes a loan in which the points and fees the borrower is charged in connection with the loan do not exceed the amounts specified in C.F.R. §1026.43(e)(3), the loan shall not be subject to the provisions of Code section 535.8, subsection 4, paragraphs “a”, “b”, and “d” (providing for additional fees and the right to recover unlawful fees), or subsection (authorizing the lender to offer to make a loan on all of the same terms except at a lower interest rate in exchange for the payment of an interest reduction fee).

Full bill text · What changed before it passed2

House subcommittee

Named March 23, 2021. On March 29, 2021 it recommended passage. Vote Total: 3-0.

Three legislators hear a bill first and recommend what the committee should do; it’s the best time to weigh in. How to take part

Iowa Code it changes

Amends§535.8

How the Code works3

Lobbying

4 for · 2 against · 8 undecided · Who →

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89th General Assembly