Section 443.901

Title XXIX OWNERSHIP AND CONVEYANCE OF PROPERTY

Chapter 443

Effective - 28 Aug 1995   

  443.901.  Reverse mortgage act — definitions. — 1.  Sections 443.901 to 443.912 shall be known and be cited as the "Missouri Reverse Mortgage Act".

  2.  For the purposes of sections 443.901 to 443.912 the following terms mean:

  (1)  "Authorized lender" or "lender", a lender authorized to engage in business as a bank, savings institution or credit union under the laws of the United States or this state, residential mortgage licensee who is licensed pursuant to sections 443.800 to 443.893 or entity that is an exempt entity pursuant to sections 443.800 to 443.893;

  (2)  "Brokered", the act of helping to obtain for an investor or other entity, or from an investor or other entity, for a borrower, a residential mortgage loan, including a reverse mortgage loan;

  (3)  "Originated", advertised, solicited, processed, for which a loan application is taken, or which is closed, committed for, or funded;

  (4)  "Principal" as it relates to reverse mortgages, the total of the net amount paid to, receivable by, contracted for, or paid, or payable, for the account of the borrower, and to the extent payment is deferred, additional charges permitted by sections 443.901 to 443.912;

  (5)  "Reverse mortgage loan", a loan originated, made or brokered by an authorized lender which:

  (a)  Is secured by residential real estate property;

  (b)  Provides cash advances to the borrower based upon the equity in the borrower's owner-occupied principal residence;

  (c)  Requires no payment of principal or interest until the entire loan becomes due and payable; and

  (d)  Otherwise complies with the terms of sections 443.901 to 443.912.

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(L. 1995 H.B. 63, et al. § 1)