Utah Admin. Code 162-2c-302

Current through Bulletin No. 2024-21, November 1, 2024

Section R162-2c-302 - Requirements for the Security, Retention, and Disposal of Records and Customer Information

(1)

(a) An entity licensed under the Utah Residential Mortgage Practices Act shall maintain and safeguard for the period set forth in Section 61-2c-302 the following records and customer information:

(i) application forms, which include:

(A) the initial 1003 form, signed and dated by the loan originator; and

(B) the final 1003 form, signed and dated by the loan originator;

(ii) disclosure forms;

(iii) truth-in-lending forms;

(iv) credit reports and the explanations therefor;

(v) conversation logs;

(vi) verifications of employment, paycheck stubs, and tax returns;

(vii) proof of legal residency, if applicable;

(viii) appraisals, appraisal addenda, and records of communications between the appraiser and the registrant, licensee, and lender;

(ix) underwriter denials;

(x) notices of adverse action;

(xi) loan approval;

(xii) name and contact information for the borrower in the transaction;

(xiii) pre-qualification and pre-approval letters;

(xiv) other records required by underwriters involved with the transaction or provided to a lender; and

(xv) customer information acquired in the application or lending process.

(b) Records may be maintained electronically if the storage system complies with Title 46 Chapter 04, Utah Uniform Electronic Transactions Act.

(c) A licensed entity shall make each record available to the division pursuant to Subsection 61-2c-302(3).

(d) An individual who terminates sponsorship with an entity shall turn over to the entity any records and customer information in the individual's possession when the sponsorship is terminated.

(2) A person who disposes of records and customer information at the end of the retention period shall destroy the records and customer information, including any personal information by shredding, erasing, or otherwise making the information indecipherable.

(3)

(a) If a licensed entity is actively engaged in the business of residential mortgage loans, the PLM is responsible for proper retention, maintenance, safeguarding, and disposal of records and customer information.

(b) If a licensed entity stops doing business in Utah, the control persons as of its last day of operation are responsible for proper retention, maintenance, safeguarding, and disposal of records and customer information.

Utah Admin. Code R162-2c-302

Amended by Utah State Bulletin Number 2015-19, effective 9/4/2015

Amended by Utah State Bulletin Number 2023-16, effective 8/8/2023