§ 12-924
272 words·~1 min read·
/md/commercial-law/12-924A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
§12–924.
(1)Except as provided in paragraph
(2)of this subsection, this section applies only to a plan between a credit grantor and a consumer borrower under which a credit grantor has taken any property as security for credit extended under the plan.
(2)This section does not apply to a loan to which § 3-105.1 of the Real Property Article applies.
(b)A credit grantor shall release any recorded mortgage, deed of trust, security agreement, or other lien securing the extension of credit within a reasonable time after:
(1)The outstanding unpaid indebtedness under a plan has been paid in full;
(2)There are no further obligations of the credit grantor or the consumer borrower under the plan; and
(3)The account under the plan is closed.
(c)The release shall be:
(1)In writing; and
(2)Prepared at the expense of the credit grantor.
(1)If the credit grantor does not record the release, the credit grantor shall furnish the consumer borrower with the release in a recordable form.
(2)If the credit grantor records the release, the credit grantor shall furnish the consumer borrower with a copy of the release.
(1)If a fee is collected by a credit grantor for the recording of a release:
(i)The release shall be recorded by the credit grantor; and
(ii)Any portion of the fee not paid to a governmental entity for recording the release shall be refunded to the borrower.
(2)If a fee is not collected by a credit grantor for the recording of a release, the credit grantor is not obligated to record the release.