Sec. 5.
A mortgage loan with a term of less than 5 years shall not have a payment schedule with regular periodic payments that when aggregated do not fully amortize the outstanding principal balance. This section does not apply to loans with maturities of less than 1 year, if the purpose of the loan is a "bridge" loan connected with the acquisition or construction of a dwelling intended to become the borrower's principal dwelling.
History: 2002, Act 660, Imd. Eff. Dec. 23, 2002
Structure Michigan Compiled Laws
Chapter 445 - Trade and Commerce
Act 660 of 2002 - Consumer Mortgage Protection Act (445.1631 - 445.1645)
Section 445.1631 - Short Title.
Section 445.1632 - Definitions.
Section 445.1633 - Compliance With State and Federal Laws.
Section 445.1634 - Person Making Mortgage Loan; Prohibited Conduct.
Section 445.1635 - Mortgage Loan With Term Less Than 5 Years; Payment Schedule.
Section 445.1636 - Federal Special Information Booklet; Document to Be Prepared by Department.
Section 445.1637 - Repealed. 2016, Act 44, Eff. June 13, 2016.
Section 445.1638 - Examinations and Investigations by Commissioner.
Section 445.1639 - Violation of Act.
Section 445.1640 - Action by Attorney General or Prosecuting Attorney.
Section 445.1641 - Unintentional and Bona Fide Error.
Section 445.1642 - Enforcement Not Limited.
Section 445.1643 - Model Programs for Financial Education.
Section 445.1644 - Municipal Actions; Statutory Conflict; Preemption; Severability.