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The Vermont Statutes Online



Title

08

:
Banking and Insurance






Chapter

085

:
LOAN SERVICERS











 

§

2901. License required

(a) No person

shall act as a third party loan servicer, directly or indirectly, for a loan to

a Vermont borrower without first obtaining a license under this chapter from

the Commissioner.

(b) No license

shall be required of:

(1) A depository

institution.

(2) A lender

licensed under chapter 73 of this title that retains the servicing rights on a

loan originally closed in the lender's name and subsequently sold in whole or

in part to a third party, provided that the provisions of sections 2916

(segregated accounts) and 2922 (prohibited acts and practices) of this chapter

shall apply to such lender.

(3) A debt

adjuster licensed in this State.

(4) An attorney

licensed in this State when collecting a debt on behalf of a client.

(5) Bona fide

nonprofit organizations, exempt from taxation under Section 501(c) of the

Internal Revenue Code, that are approved by the Department of Housing and Urban

Development as housing counseling agencies, that have a physical location in

Vermont, and that lend state or federal funds.

(c) This chapter

shall not apply to commercial loans. (Added 2009, No. 96 (Adj. Sess.), § 1,

eff. Jan. 1, 2011.)