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§ 12-402.1. Applicable provisions governing loans

MD Comm L Code § 12-402.1 (2019) (N/A)
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(a)    (1)    On or after January 1, 2019, a lender may, at the lender’s option, elect to make a loan to any borrower either under this subtitle or as otherwise authorized by applicable law.

(2)    In order to make a loan under this subtitle, a lender shall make a written election in the agreement, note, or other evidence of the loan specifying that this subtitle will govern the loan.

(b)    (1)    If a lender elects to make a loan under this subtitle in accordance with this section, Subtitles 1, 3, 9, and 10 of this title do not apply to the loan.

(2)    If a lender who makes or contracts to make a loan does not make a written election under this subtitle or Subtitle 1, Subtitle 3, Subtitle 9, or Subtitle 10 of this title:

(i)    Subtitle 1 of this title will apply to the loan if the loan is:

1.    For an amount over $25,000; or

2.    A.    For an amount of $25,000 or less; and

B.    Not subject to Subtitle 3 of this title; or

(ii)    Subtitle 3 of this title will apply to the loan if the loan is:

1.    For an amount of $25,000 or less; and

2.    Subject to Subtitle 3 of this title.

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