NC H692

Increases the points and fees threshold for predatory lending violations from 4% to 5% of total loan amount for loans of $20,000 or more.

Eliminates caps on up-front fees paid to the Federal Housing Administration, Veterans Administration, or U.S. Department of Agriculture for mortgage insurance or guarantees.

Redefines "rate spread home loan" to align with federal law under 15 U.S.C. § 1639c(c)(1)(B)(ii) rather than using state-specific rate spread thresholds.

Declares violations of federal rate spread home loan requirements as usurious under North Carolina law and makes federal prepayment penalty restrictions unenforceable under state law.

Effective October 1, 2013.