All Banks and Financial Institutions Legislation - Kentucky

Create new sections of Subtitle 2 of KRS Chapter 286 to provide that, with regard to residential mortgage loans in a principal loan amount of under $200,000 and a loss ratio of greater than 80 percent, it shall be unlawful not to verify and document the borrower's income and financial resources and not to verify the borrower's reasonable ability to repay; require an escrow account for taxes and insurance on these loans; specify the method to determine reasonable ability to repay for loans with a variable interest rate; establish criteria which, if met, the borrower shall be presumed to have a reasonable ability to repay; declare it is unlawful to make a residential mortgage loan product that has a higher interest rate, higher points and fees, or other unfavorable terms if the borrower's credit score indicates the borrower may qualify for a residential mortgage loan product that has a lower interest rate, lower points and fees, or more favorable terms, unless there is a corresponding tangible [...]

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Create a new section of KRS Chapter 198A to permit the Kentucky Homeownership Protection Center to be established by or through the Kentucky Housing Corporation; declare the purpose of the center to be providing a centralized location for information on public services to assist a homeowner who is in default or in danger of default on a home loan; create a new section of Subtitle 2 of KRS Chapter 286 to require the mortgagee to provide to the homeowner at the time of closing any brochure, pamphlet, or brief document prepared or approved by the Kentucky Housing Corporation that describes services provided by the center; create a new section of Subtitle 2 of KRS Chapter 286 to declare it is unlawful for a person in the course of a mortgage transaction to improperly influence the development, report, result, or review of a real estate appraisal in connection with a mortgage loan; amend KRS 286.8-010 to define terms; amend KRS 286.8-020 to clarify who is subject to the subtitle; establish procedure [...]

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Create new section of KRS Chapter 386 to define terms relating to establishing an investment services trust; establish requirements for a qualified affidavit to establish an investment services trust; establish protection of the trust corpus from creditors' claims or an action to enforce a judgment entered by a court or other body having adjudicative authority; provide that any authority over the trust corpus retained by the transferor shall be void; provide the terms for avoidance of a qualified disposition and provide that if a qualified trustee acted in good faith he shall have a paramount lien against the property, and provide that if a beneficiary has not acted in bad faith, avoidance of the qualified disposition shall be subject to the right of the beneficiary; provide that a spendthrift provision is deemed to be a restriction on transfer of the transferor's beneficial interest; authorize a transferor to appoint one or more advisors regarding authority over the trust and for the trust [...]

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Create new sections of Subtitle 9 of KRS Chapter 286 to require the Executive Director of the Office of Financial Institutions to develop a database of deferred deposit transactions and to promulgate regulations specifying the information required of licensees; to require the office to file an annual report regarding deferred deposit transaction licensees' activities with the Legislative Research Commission; amend KRS 286.9-100 to reduce the service fee for a transaction charged by a licensee from $15 to $12 for a period of 30 days, rather than 14 days; provide that a licensee shall access the database, required by this Act, to ascertain if a customer has outstanding deferred deposit transactions with other licensees that would result in a debt in excess of $500; prohibit refinancing of a deferred deposit transaction and prohibit pay off of a deferred deposit transaction and immediate entry into a new transaction within 72 hours; and provide that failure of any deferred deposit transaction [...]

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Create a new section of KRS Chapter 65 to require a city, county, urban-county, consolidated local government, charter county, taxing district, or special district to notify the state local debt officer in writing before entering into any financing obligation, lease, bond issuance, or any long term debt obligation when the lease price exceeds two hundred thousand dollars ($200,000); authorize the state local debt officer to promulgate administrative regulations to develop the forms of notification; specify information to be reported on form; specify that no approval by the state local debt officer shall be required; clarify that any financing obligation entered into prior to the passage of this section shall be considered in compliance, if notification is provided to the state local debt officer no later than one (1) year after the effective date of this Act; amend KRS 65.944 to delete language requiring notification in writing to the state local debt officer when a lease price exceeds [...]

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Amend KRS 304.15-020 to define "advertisement," "financing transaction," "life expectancy," "premium finance loan," "purchaser," "settled policy," and "stranger-originated life insurance"; amend KRS 304.15-700 to prohibit an insurer that is the subject of a life settlement contract from being responsible for any act or omission of a broker, purchaser, or provider unless the insurer receives compensation for the placement of the life settlement contract from the broker, purchaser, or provider; prohibit an insurer from requiring the owner, insured, provider, or broker to sign any form, disclosure, consent, waiver, or acknowledgment that has not been expressly approved by the executive director of the Office of Insurance; create a new section of KRS 304.15-700 to 304.15-725 to regulate advertisements pertaining to life settlements; amend KRS 304.15-710 to add disclosures a provider must provide to an owner; require the broker to make certain disclosures to the provider and owner; create a [...]

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Amend KRS 286.2-670 and 286.2-680 to change "lending institution" to "financial institution"; create a new section of Subtitle 2 of KRS Chapter 286 to restrict the use of the terms "bank," "banker", "banking", or similar words in a designation or name or as any part of a designation or name under which business is or may be conducted in this state; restrict a person or entity representing itself as a fiduciary or trust company or using the word "trust" or similar words in a designation or a name or as any part of a designation or name under which business is or may be conducted in this state; amend KRS 286.3-100 to permit a bank to hold and acquire real estate conveyed in satisfaction of debts, or that it may purchase under a judgment in its favor, for such period of time as is deemed reasonable by the bank under the circumstances of the real estate market rather than for a period not longer than 10 years; permit a write down of such real estate acquisition at no less than 5%, rather than [...]

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Create a new section of KRS Chapter 198A to establish the Kentucky Homeownership Protection Center; specify the purpose of the center is, among other things, to provide a centralized location for information on, and referral to, public services available to assist a homeowner who is in default on his or her loan; require the center to provide a toll-free telephone number through which a homeowner in financial distress can receive information on the center and its services, a list of counseling agencies, a list of available community resources, staff who can provide a brief assessment of the situation of the homeowner, and applications for public assistance or benefits programs; create new sections of Subtitle 2 of KRS Chapter 286 to require a mortgagee, at the time of closing, to provide to the homeowner a plain language statement which includes a counseling statement, a listing of at least five housing counseling agencies, a list of toll-free telephone numbers for certain programs, contact [...]

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Create a new section of Subtitle 1 of KRS Chapter 286 to authorize the Office of Financial Institutions to provide free mortgage foreclosure counseling and education to homeowners who have defaulted or are in danger of defaulting on the mortgages on their homes; require the office to work with the Kentucky Housing Corporation if it determines to establish such a program; provide that the program may include a toll-free telephone number homeowners may call to receive mortgage foreclosure counseling and education; permit the office to establish standards for certification of counselors; permit the office to establish in the State Treasury a fund known as the "Mortgage Foreclosure Counseling and Education Trust Fund"; permit the fund to receive from the county clerk a surcharge for recording and indexing of real estate mortgages; amend KRS 64.012 to establish a surcharge of $1.50 to be added to the fee for recording and indexing real estate mortgages, which shall be payable to the mortgage [...]

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Amend KRS 344.010 to include definitions for "sexual orientation" and "gender identity"; amend KRS 344.020, relating to the purpose of the Kentucky's civil rights chapter, to include a prohibition on discrimination because of sexual orientation and gender identity; amend KRS 344.040, 344.050, 344.060, 344.070, and 344.080, relating to prohibited discrimination in various labor and employment practices, to include sexual orientation and gender identity; amend KRS 344.025, 344.100, 344.110, and KRS 18A.095, relating to the same, to conform; amend KRS 344.120 and 342.140, relating to prohibited discrimination in places of public accommodation and advertisements therefor, to include sexual orientation and gender identity; amend KRS 344.170, 344.180, 344.190, 344.300, and 344.310, relating to the state and local human rights commissions, to include prohibition of discrimination on the basis of sexual orientation and gender identity in the scope of their powers and duties; amend KRS 344.360, [...]

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Create a new section of KRS Chapter 367 to declare that it is unlawful for any credit card issuer to mail or otherwise deliver a credit card application if the person has previously notified the issuer by certified or registered mail that he or she does not wish to receive credit card applications from that issuer; provide that this section does not apply to a credit card application or solicitation when mailed or otherwise delivered in response to a request for a credit card; provide that if such application is mailed to such a person and a third party, by theft or other means, obtains the mailed document and with intent to deceive, defraud, or injure another falsely completes the application or solicitation document and is issued a credit card in the name of another person, the issuer shall be liable to the person whose name appears on the card for any damages and expenses which the person incurs due to use of such card; prohibit an issuer who received notification not to send applications [...]

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