The latest edition of the Consumer Finance State Roundup features recently enacted measures of potential interest from Colorado and South Carolina:
- Colorado: Effective May 17, House Bill 24-1011 (2024 Colo. Sess. Laws 189) adds new Section 38-40-106 to the Colorado Revised Statutes addressing requirements for mortgage servicers with respect to the disbursement of insurance proceeds in connection with mortgaged residential property.
First, the new section sets forth certain actions that mortgage servicers must take regarding disbursement of insurance proceeds to borrowers. Upon a borrower’s request, a mortgage servicer must promptly disclose to the borrower specific conditions under which it will disburse insurance proceeds to the borrower in the event a residential property subject to a mortgage is damaged or destroyed and an insurance company pays insurance proceeds to…
