32-9-206. Financial condition of servicers.
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/mt/title-32/chapter-9/part-2/32-9-206·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
32-9-206 . Financial condition of servicers.
(1)A covered institution shall maintain capital and liquidity in compliance with this section.
(2)For the purposes of complying with the capital and liquidity requirements of this section, all financial data must be determined in accordance with generally accepted accounting principles.
(3)A covered institution that meets the federal housing finance agency eligibility requirements for enterprise single-family seller/servicers for capital, net worth ratio, and liquidity, regardless of whether the servicer is approved for GSE servicing, meets the requirements of subsections
(1)and (2).
(4)Covered institutions shall maintain written policies and procedures implementing the capital and servicing liquidity requirements as set by the department by rule.
(5)Covered institutions shall maintain sufficient allowable assets for liquidity, in addition to the amounts required for servicing liquidity, to cover normal business operations.
(6)Covered institutions shall have in place sound cash management and business operating plans as set by the department by rule.
(7)Covered institutions shall develop, establish, and implement plans, policies, and procedures for maintaining operating liquidity sufficient for the ongoing needs of the institution. The department shall set further requirements for operating liquidity by rule.