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December 21, 2024 Clouds | 24°F
The 193rd General Court of the Commonwealth of Massachusetts

Section 24C: Registration of third-party loan servicer; fees; multi-state licensing system

Section 24C. (a) The registration of a third party loan servicer shall be in writing, shall contain information as the commissioner may determine and shall be accompanied by an investigation fee to be determined annually by the commissioner of administration under section 3B of chapter 7.

(b) The registration shall be for a period of 1 year as of a date determined by the commissioner. Each registration shall plainly state the name of the registrant and the city or town with the name of the street and number, if any, of the place where the business is to be carried on; but, the business shall at all times be conducted in the name of the registrant as it appears on the registration. The fee for the registration shall be determined annually by the commissioner of administration under section 3B of chapter 7. The registration shall not be transferable nor assignable. A change of location of an office of a registrant requires notification in writing to the commissioner.

(c) A registration accepted by the commissioner under this section does not approve the use of, or indemnify the registrant against claims for, the improper use of the business name stated in the registration. The registration shall also include a description of the activities of the applicant, in such detail and for such periods, as the commissioner may require, as well as further information as the commissioner may require.

(d) The commissioner may participate in a multi-state licensing system for the sharing of regulatory information and for the licensing and application, by electronic or other means, of entities engaged in the business of third party loan servicing. The commissioner may establish requirements for participation by a registrant to be a third party loan servicer in a multi-state licensing system which may vary from the provisions of this section. The commissioner may require a background investigation of each registrant for a third party loan servicer license by means of fingerprint and state and national criminal history record checks by the department of criminal justice information services pursuant to section 172 of chapter 6 and the Federal Bureau of Investigation. If the registrant is a partnership, association, corporation or other form of business organization, the commissioner may require a background investigation for each member, director and principal officer of the registrant and any individual acting as a manager of an office location. The registrant shall pay directly to the multi-state licensing system any additional fees relating to participation in the multi-state licensing system.