Browse Arkansas Code titles and sections
12 U.S.C. § 4907 — Civil liability
Federal law — U.S. Code and appendices · legal_authorities
**(a) In general** Any servicer, mortgagee, or mortgage insurer that violates a provision of this chapter shall be liable to each mortgagor to whom the violation relates for—
(1) in the case of an action by an individual, or a class action in which the liable party is not subject to [section 4909 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title12-section4909&num=0&edition=prelim), any actual damages sustained by the mortgagor as a result of the violation, including interest (at a rate determined by the court) on the amount of actual damages, accruing from the date on which the violation commences;
(2) in the case of—
(A) an action by an individual, such statutory damages as the court may allow, not to exceed $2,000; and
(B) in the case of a class action—
(i) in which the liable party is subject to [section 4909 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title12-section4909&num=0&edition=prelim), such amount as the court may allow, except that the total recovery under this subparagraph in any class action or series of class actions arising out of the same violation by the same liable party shall not exceed the lesser of $500,000 or 1 percent of the net worth of the liable party, as determined by the court; and
(ii) in which the liable party is not subject to [section 4909 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title12-section4909&num=0&edition=prelim), such amount as the court may allow, not to exceed $1,000 as to each member of the class, except that the total recovery under this subparagraph in any class action or series of class actions arising out of the same violation by the same liable party shall not exceed the lesser of $500,000 or 1 percent of
Source: Supplied U.S. Code snapshot — release unconfirmed · 12 U.S.C. § 4907
Stored review status: release_metadata_unconfirmed. A text match is a research starting point; applicability is not established.
Original supplied file — preserved unchanged
Download original Markdown file
File SHA-256: e79cdde02bc8cf8ac4140b8e6a099405c0deca396fa44b47cd7cf94bc4985694. The original may include catalog metadata, neighboring provisions, or embedded records outside this collection's scope. Search shows only the selected federal record. Historical editions and unverified snapshots are not a statement of current law.
Authority boundary: historical or unconfirmed source not current law verified.
Open the recorded source website ↗
Record provenance
Stable record: federal_law:legal_authorities:record_usc_79bea8d6a604391292afd75f
Source file: Laws/federal/codes/united-states-code/title-12/section-4907-civil-liability--8fde5bb33f.md
Pages: Not recorded – Not recorded
Passage SHA-256: bdb8d7faf20c9a8e33d30ab5b816c699f6c5b38262a80fb2f18e9819022de926
Source location: Title 12, Chapter 49, § 4907; chapter-049-homeowners-protection.md
Stored source content
**(a) In general** Any servicer, mortgagee, or mortgage insurer that violates a provision of this chapter shall be liable to each mortgagor to whom the violation relates for—
(1) in the case of an action by an individual, or a class action in which the liable party is not subject to [section 4909 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title12-section4909&num=0&edition=prelim), any actual damages sustained by the mortgagor as a result of the violation, including interest (at a rate determined by the court) on the amount of actual damages, accruing from the date on which the violation commences;
(2) in the case of—
(A) an action by an individual, such statutory damages as the court may allow, not to exceed $2,000; and
(B) in the case of a class action—
(i) in which the liable party is subject to [section 4909 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title12-section4909&num=0&edition=prelim), such amount as the court may allow, except that the total recovery under this subparagraph in any class action or series of class actions arising out of the same violation by the same liable party shall not exceed the lesser of $500,000 or 1 percent of the net worth of the liable party, as determined by the court; and
(ii) in which the liable party is not subject to [section 4909 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title12-section4909&num=0&edition=prelim), such amount as the court may allow, not to exceed $1,000 as to each member of the class, except that the total recovery under this subparagraph in any class action or series of class actions arising out of the same violation by the same liable party shall not exceed the lesser of $500,000 or 1 percent of the gross revenues of the liable party, as determined by the court;
(3) costs of the action; and
(4) reasonable attorney fees, as determined by the court.
**(b) Timing of actions** No action may be brought by a mortgagor under subsection (a) later than 2 years after the date of the discovery of the violation that is the subject of the action.
**(c) Limitations on liability**
(1) **In general** — With respect to a residential mortgage transaction, the failure of a servicer to comply with the requirements of this chapter due to the failure of a mortgage insurer or a mortgagee to comply with the requirements of this chapter, shall not be construed to be a violation of this chapter by the servicer.
(2) **Rule of construction** — Nothing in paragraph (1) shall be construed to impose any additional requirement or liability on a mortgage insurer, a mortgagee, or a holder of a residential mortgage.
Cross-references
Connections may be documented source relationships, shared citations or nearby passages. Each explains its basis; a connection alone does not establish applicability to your situation.
Federal law — U.S. Code and appendices · legal_authorities
**(a) In general** Subject to subtitle B of the Consumer Financial Protection Act of 2010 [[12 U.S.C. 5511](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title12-section5511&num=0&edition=prelim) et seq.], compliance with the requirements imposed under this chapter shall be enforced under—
(1) section 8 of the Federal Deposit Insurance Act [[12 U.S.C. 1818](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title12-section1818&num=0&edition=prelim)], by the appropriate Federal banking agency (as defined in section 3(q) of that Act [[12 U.S.C. 1813(q)](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title12-section1813/q&num=0&edition=prelim)]), with respect to—
(A) insured depository institutions (as defined in section 3(c)(2) of that Act [[12 U.S.C. 1813(c)(2)](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title12-section1813/c/2&num=0&edition=prelim)]);
(B) depository institutions described in clause (i), (ii), or (iii) of section 19(b)(1)(A) of the Federal Reserve Act [[12 U.S.C. 461(b)(1)(A)](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title12-section461/b/1/A&num=0&edition=prelim)] which are not insured depository institutions (as defined in section 3(c)(2) of the Federal Deposit Insurance Act [[12 U.S.C. 1813(c)(2)](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title12-section1813/c/2&num=0&edition=prelim)]); and
(C) depository institutions described in clause (v) or (vi) of section 19(b)(1)(A) of the Federal Reserve Act [[12 U.S.C. 461(b)(1)(A)](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title12-section461/b/1/A&num=0&edition=prelim)] which are not insured depository institutions (as defined in section 3(c)(2) of the Federal Deposit Insurance Act [[12
Source: Supplied U.S. Code snapshot — release unconfirmed · 12 U.S.C. § 4909
Stored review status: release_metadata_unconfirmed. Explicit cross-reference supplied in source Markdown; currentness and applicability require review.
Federal law — U.S. Code and appendices · legal_authorities
In this chapter, the following definitions shall apply:
(1) **Adjustable rate mortgage** — The term “adjustable rate mortgage” means a residential mortgage that has an interest rate that is subject to change. A residential mortgage that: (A) does not fully amortize over the term of the obligation; and (B) contains a conditional right to refinance or modify the unamortized principal at the maturity date of the term, shall be considered to be an adjustable rate mortgage for purposes of this chapter.
(2) **Cancellation date** — The term “cancellation date” means—
(A) with respect to a fixed rate mortgage, at the option of the mortgagor, the date on which the principal balance of the mortgage—
(i) based solely on the initial amortization schedule for that mortgage, and irrespective of the outstanding balance for that mortgage on that date, is first scheduled to reach 80 percent of the original value of the property securing the loan; or
(ii) based solely on actual payments, reaches 80 percent of the original value of the property securing the loan; and
(B) with respect to an adjustable rate mortgage, at the option of the mortgagor, the date on which the principal balance of the mortgage—
(i) based solely on the amortization schedule then in effect for that mortgage, and irrespective of the outstanding balance for that mortgage on that date, is first scheduled to reach 80 percent of the original value of the property securing the loan; or
(ii) based solely on actual payments, first reaches 80 percent of the original value of the property securing the loan.
(3) **Fixed rate mortgage** — The term “fixed rate mortgage” means a residential mortgage that has an interest rate that is not subject to change.
(4) **Good payment history** — The term “good
Source: Supplied U.S. Code snapshot — release unconfirmed · 12 U.S.C. § 4901
Stored review status: release_metadata_unconfirmed. Explicit cross-reference supplied in source Markdown; currentness and applicability require review.
Federal law — U.S. Code and appendices · legal_authorities
Page 1772
TITLE 12—BANKS AND BANKING
§ 4906
cordance with section 4902(a) of this title,
and could automatically terminate on the
termination date in accordance with section
4902(b) of this title;
(B) that lender paid mortgage insurance—
(i) usually results in a residential mort-
gage having a higher interest rate than it
would in the case of borrower paid mort-
gage insurance; and
(ii) terminates only when the residential
mortgage is refinanced (under the meaning
given such term in the regulations issued
by the Board of Governors of the Federal
Reserve System to carry out the Truth in
Lending Act (15 U.S.C. 1601 et seq.)), paid
off, or otherwise terminated; and
(C) that lender paid mortgage insurance
and borrower paid mortgage insurance both
have benefits and disadvantages, including a
generic analysis of the differing costs and
benefits of a residential mortgage in the
case lender paid mortgage insurance versus
borrower paid mortgage insurance over a 10-
year period, assuming prevailing interest
and property appreciation rates;
(D) that lender paid mortgage insurance
may be tax-deductible for purposes of Fed-
eral income taxes, if the mortgagor itemizes
expenses for that purpose; and
(2) not later than 30 days after the termi-
nation date that would apply in the case of
borrower
paid
mortgage
insurance,
the
servicer shall provide to the mortgagor a writ-
ten notice indicating that the mortgagor may
wish to review financing options that could
eliminate the requirement for private mort-
gage insurance in connection with the residen-
tial mortgage transaction.
(d) Standard forms
The servicer of a residential mortgage trans-
action may develop and use a standardized form
or forms for the provision of notices to the
mortgagor, as required
Source: Supplied 2024 U.S. Code historical extraction · 12 U.S.C. § 4907
Stored review status: historical_2024_not_currentness_verified. Same stored citation; legal effect and authority still require review.