Montana Code 32-5-304. Receipts — return of note
32-5-304. Receipts — return of note. Every licensee shall:
Terms Used In Montana Code 32-5-304
- Deed: The legal instrument used to transfer title in real property from one person to another.
- Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Person: includes a corporation or other entity as well as a natural person. See Montana Code 1-1-201
(1)give to the borrower a plain, dated, and complete receipt for every payment made in cash on account of any loan at the time the payment is made;
(2)endorse indelibly on a loan ledger or card or maintain a record by reliable electronic means of the amount and date of each payment made by the borrower; and
(3)upon repayment of the loan in full, mark indelibly every obligation and security signed by the borrower with the word “paid” or “canceled” or otherwise memorialize satisfaction of the obligation and release any mortgage, restore any pledge, and cancel and return to the borrower any note and any assignment given to the licensee within 10 days after the repayment. Reconveyance of a deed of trust must be in accordance with 71-1-307 through 71-1-309. The canceled note and canceled assignment or other instrument clearly identifying the note or assignment and stating that it has been paid in full must be mailed to the borrower at the borrower’s last-known address unless returned to the borrower in person.
(4)maintain records in accordance with 32-5-307.