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Revised Code of Washington (RCW) (Last Updated: August 9, 2016) |
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Title 31. MISCELLANEOUS LOAN AGENCIES |
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Chapter 31.04. Consumer loan act. |
Section 31.04.027. Violations of chapter.
Latest version.
- It is a violation of this chapter for a licensee, its officers, directors, employees, or independent contractors, or any other person subject to this chapter to:(1) Directly or indirectly employ any scheme, device, or artifice to defraud or mislead any borrower, to defraud or mislead any lender, or to defraud or mislead any person;(2) Directly or indirectly engage in any unfair or deceptive practice toward any person;(3) Directly or indirectly obtain property by fraud or misrepresentation;(4) Solicit or enter into a contract with a borrower that provides in substance that the consumer loan company may earn a fee or commission through the consumer loan company's best efforts to obtain a loan even though no loan is actually obtained for the borrower;(5) Solicit, advertise, or enter into a contract for specific interest rates, points, or other financing terms unless the terms are actually available at the time of soliciting, advertising, or contracting;(6) Fail to make disclosures to loan applicants as required by RCW 31.04.102 and any other applicable state or federal law;(7) Make, in any manner, any false or deceptive statement or representation with regard to the rates, points, or other financing terms or conditions for a residential mortgage loan or engage in bait and switch advertising;(8) Negligently make any false statement or knowingly and willfully make any omission of material fact in connection with any reports filed with the department by a licensee or in connection with any investigation conducted by the department;(9) Make any payment, directly or indirectly, to any appraiser of a property, for the purposes of influencing the independent judgment of the appraiser with respect to the value of the property;(10) Accept from any borrower at or near the time a loan is made and in advance of any default an execution of, or induce any borrower to execute, any instrument of conveyance, not including a mortgage or deed of trust, to the lender of any ownership interest in the borrower's primary dwelling that is the security for the borrower's loan;(11) Obtain at the time of closing a release of future damages for usury or other damages or penalties provided by law or a waiver of the provisions of this chapter;(12) Advertise any rate of interest without conspicuously disclosing the annual percentage rate implied by that rate of interest;(13) Violate any applicable state or federal law relating to the activities governed by this chapter; or(14) Make or originate loans from any unlicensed location.