SF4168 (Legislative Session 94 (2025-2026))
Certain residential mortgage loan fees and penalties application modifications
Related bill: HF3437
AI Generated Summary
Purpose
- The bill aims to modify how certain residential mortgage loan fees and penalties are applied, by amending Minnesota Statutes 2024 section 58.137, subdivision 3.
Main Provisions
- Section being amended: Minnesota Statutes 2024 section 58.137, subdivision 3.
- New application language (Subd.3) clarifies who is covered: the section applies to residential mortgage originators located in Minnesota (in-state) and to those located outside Minnesota (out-of-state).
- Scope of the section’s restrictions: the limitations and prohibitions in this section apply only to loans made primarily for personal, family, or household purposes. In other words, the rules described in this section target consumer loans, not necessarily loans for business or commercial use.
Significant Changes to Existing Law
- Expands applicability to include residential mortgage originators outside the state, in addition to those inside the state.
- Narrows or specifies the scope of the section’s limitations and prohibitions to loans used for personal, family, or household purposes (consumer loans), rather than broader loan types.
- Overall, it modifies how the referenced fees and penalties are applied under the statute by clarifying who is subject to the rules and for which kinds of loans.
Notes on Terminology and Context
- Key terms in the bill text include: residential mortgage originators, in this state, outside this state, Subd.3 (Application), limitations, prohibitions, and loans made primarily for personal, family or household purposes.
- The bill concerns the application of fees and penalties related to residential mortgage loans.
Relevant Terms - residential mortgage originators - Minnesota Statutes 2024 section 58.137 subdivision 3 - Subd.3 - Application - in this state / outside this state - limitations - prohibitions - loans made primarily for personal, family or household purposes - fees and penalties - consumer loans - personal, family, or household purposes
Bill text versions
- Introduction PDF PDF file
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| March 05, 2026 | Senate | Action | Introduction and first reading | ||
| March 05, 2026 | Senate | Action | Referred to | Commerce and Consumer Protection |
Citations
[
{
"analysis": {
"added": [
"Adds language applying the section to residential mortgage originators located outside the state."
],
"removed": [],
"summary": "This bill amends Minnesota Statutes 2024 section 58.137 subdivision 3 to modify the application of certain residential mortgage loan fees and penalties, expanding applicability to both in-state and out-of-state residential mortgage originators and clarifying that the section’s limitations and prohibitions apply only to loans made primarily for personal, family, or household purposes.",
"modified": [
"Clarifies that the limitations and prohibitions in the section apply only to loans made primarily for personal, family, or household purposes."
]
},
"citation": "58.137",
"subdivision": "subdivision 3"
}
]Progress through the legislative process
In Committee