South Carolina General Assembly
112th Session, 1997-1998

Bill 3265


Indicates Matter Stricken
Indicates New Matter


                    Current Status

Bill Number:                       3265
Type of Legislation:               General Bill GB
Introducing Body:                  House
Introduced Date:                   19970121
Primary Sponsor:                   Scott 
All Sponsors:                      Scott 
Drafted Document Number:           bbm\10978jm.97
Residing Body:                     House
Current Committee:                 Labor, Commerce and Industry
                                   Committee 26 HLCI
Subject:                           Mortgage loans, borrower may
                                   select company of choice; Banks and
                                   Savings and Loan Associations



History


Body    Date      Action Description                       Com     Leg Involved
______  ________  _______________________________________  _______ ____________
House   19970121  Introduced, read first time,             26 HLCI
                  referred to Committee

View additional legislative information at the LPITS web site.


(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

A BILL

TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 37-10-108 SO AS TO PROVIDE THAT, WITH RESPECT TO MORTGAGE LOANS, A BORROWER MAY SELECT THE MORTGAGE COMPANY OF HIS CHOICE WITHOUT RESTRICTION, AND IMPOSE A CIVIL PENALTY ON A SELLER OF REAL PROPERTY WHO PRESSURES OR ATTEMPTS TO PRESSURE THE PURCHASER-BORROWER TO SEEK THE MORTGAGE LOAN FOR THE PROPERTY FROM THE MORTGAGE COMPANY PREFERRED BY THE SELLER.

Be it enacted by the General Assembly of the State of South Carolina:

SECTION 1. The 1976 Code is amended by adding:

"Section 37-10-108. Notwithstanding any other provision of law:

(1) the borrower, with respect to a mortgage loan, may select the mortgage company of his choice without any restriction; and

(2) any seller of real property who pressures or attempts to pressure, either directly or indirectly, any purchaser-borrower to seek the mortgage loan for the property being purchased from a mortgage company preferred by the seller including, but not limited to, the use of the tactic of indicating to the purchaser-borrower that the seller will not pay any or all of the purchaser-borrower's closing costs associated with the mortgage loan unless that mortgage company is used, is subject to a civil penalty of not less than five thousand dollars but not exceeding ten thousand dollars for such act of pressure or attempt to pressure."

SECTION 2. This act takes effect upon approval by the Governor.

-----XX-----