HEA 1181 Summary

• Updates federal law references in financial services regulations from December 31, 2014 to December 31, 2015 across multiple Indiana Code sections governing mortgages, consumer credit, and financial institutions.

• Modifies definitions and requirements for first lien mortgage transactions and consumer credit sales, including adjusting credit thresholds to reference "exempt threshold amounts" as adjusted under federal Regulation Z rather than fixed dollar amounts.

• Increases maximum credit service charge rates for consumer related sales and loans from 21% to 25% per year, and deferral charges from 21% to 25% per year.

• Expands the definition and authority of the Nationwide Multistate Licensing System and Registry (NMLSR) to include licensing and registration of "other mortgage or financial services entities" beyond just creditors and mortgage loan originators.

• Makes technical amendments to bank merger and consolidation procedures, credit union merger provisions, and clarifies that deficiency judgment waivers in foreclosure do not provide protection against federal disclosure requirements under Regulation Z.