09 LC 21
0280
House
Bill 398
By:
Representative Smith of the
113th
A
BILL TO BE ENTITLED
AN ACT
AN ACT
To
amend Article 13 of Chapter 1 of Title 7 of the Official Code of Georgia
Annotated, relating to licensing of mortgage lenders and mortgage brokers, so as
to provide a method by which mortgage lenders, brokers, and servicers make tax
payments if such lender, broker, or servicer maintains an escrow account for
that purpose; to repeal conflicting laws; and for other purposes.
BE
IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION
1.
Article
13 of Chapter 1 of Title 7 of the Official Code of Georgia Annotated, relating
to licensing of mortgage lenders and mortgage brokers, is amended by revising
Code Section 7-1-1015, relating to rules relative to escrow accounts, as
follows:
"7-1-1015.
(a)
Any mortgage lender, broker, or servicer which maintains an escrow account for
the payment of ad valorem taxes relative to the secured real property shall not
make payment directly to the taxing unit but rather shall issue a check payable
jointly to the borrower and the taxing unit and shall deliver such check to the
borrower. The borrower shall, within seven days after receipt of such check,
endorse the check and deliver it to the taxing unit; provided, however, that
placing the check in the United States mail, postage paid and properly addressed
to the taxing unit, within such time period shall constitute timely
delivery.
(b)
The department may promulgate rules with respect to the placement in escrow
accounts by any person required to be licensed or registered by this article of
any money, fund, deposit, check, or draft entrusted to it by any persons dealing
with it as a residential mortgage broker, lender, or
servicer."
SECTION
2.
All
laws and parts of laws in conflict with this Act are repealed.