S.3726-B Summary

• Prohibits mortgage lenders from including provisions that increase interest rates after default on residential mortgages for one to six family homes and cooperative housing units, with exceptions for variable rate loans where rate changes are not triggered by default

• Authorizes superintendent to suspend mortgage banker and broker licenses without notice or hearing for good cause, including non-payment of assessments, failure to maintain required bonds, bankruptcy filings, or failure to file required reports

• Allows banking records to be preserved in electronic storage media meeting specified standards (non-rewritable format, automatic quality verification, readily downloadable, immediately readable) as alternative to original papers or photographic reproductions

• Modifies fingerprint requirements for banking applicants to allow superintendent flexibility in obtaining criminal history searches and permits waiver of fingerprint reports under specified circumstances when other incorporators meet fitness standards

• Changes banking board voting procedures by eliminating three-fifths vote requirement for certain actions and authorizes superintendent to make confidential informational presentations to banking board without public notice on matters protected by federal or state law