Bill > SB767

This bill modifies Pennsylvania's mortgage loan industry regulations by adding a clear definition of "discount points" and expanding the powers of mortgage lenders. Specifically, the bill defines discount points as fees knowingly paid by a consumer that result in a legitimate reduction of the interest rate or time-price differential of a mortgage loan. The bill also amends existing law to explicitly allow mortgage lenders to charge and collect discount points alongside other fees like interest and origination charges. To implement these changes, the bill repeals previous definitions and sections of the Loan Interest and Protection Law that might conflict with the new provisions. The bill includes a standard implementation timeline, taking effect 60 days after passage. This modification aims to provide more clarity and transparency in how mortgage lenders can structure loan fees, potentially giving consumers a better understanding of how additional upfront payments can lower their long-term borrowing costs.

Business and Industry

https://www.legis.state.pa.us/cfdocs/billinfo/bill_history.cfm?syear=2025&sind=0&body=S&type=B&bn=767