ASSEMBLY FINANCIAL INSTITUTIONS AND INSURANCE COMMITTEE

 

STATEMENT TO

 

[First Reprint]

ASSEMBLY, No. 4998

 

STATE OF NEW JERSEY

 

DATED:  March 6, 2019

 

      The Assembly Financial Institutions and Insurance Committee reports favorably Assembly Bill No. 4998(1R).

      This bill clarifies that the provisions of the “New Jersey Residential Mortgage Lending Act,” sections 1 through 39 of P.L.2009, c.53 (C.17:11C-51 through C.17:11C-89) also apply to residential mortgage lenders, residential mortgage brokers, mortgage loan originators, and other persons that are located out-of-State, provided they are otherwise required to be licensed pursuant to the provisions of the act.

      The “New Jersey Residential Mortgage Lending Act” protects New Jersey consumers and the stability of New Jersey’s economy by applying certain standards for the licensing and business practices of residential mortgage lenders, brokers, and loan originators and by providing the Department of Banking and Insurance broad administrative authority to oversee the operation of the mortgage lending industry in the State.

      Additionally, the bill requires lenders, when providing a notice of intention to commence a mortgage foreclosure, to include information in the notice advising the mortgagor that the lender is licensed in accordance with the “New Jersey Residential Mortgage Lending Act,” or exempt from licensure under that act in accordance with applicable law.