Skip to content
BOL Conferences Top Gun 23
Learn More - Click Here!

Thread Options
#2247506 - 01/12/21 03:36 PM Payoff Statement Fee
Newbie06 Offline
Platinum Poster
Joined: Mar 2006
Posts: 663
Does Indiana State law allow financial institutions to charge a customer a payoff statement fee? Does this have to be incorporated into our loan terms? I am thinking if so this would be considered a finance charge?

Return to Top
#2247635 - 01/13/21 08:28 PM Re: Payoff Statement Fee Newbie06
Comply 101 Offline
Platinum Poster
Comply 101
Joined: Jul 2001
Posts: 708
IC 24-9-3-6 Fee prohibited for payoff statement or written release;
prepayment penalty prohibited for adjustable rate home loans;
short sale; acknowledgment of offer; acceptance or rejection;
liability for failure to respond
Sec. 6. (a) A creditor may not charge a fee for informing or transmitting to a person the
balance due to pay off a home loan or to provide a written release upon prepayment. A
creditor must provide, in writing, a payoff balance not later than seven (7) business days
(excluding legal public holidays, Saturdays, and Sundays) after the request is received by the
creditor. A payoff statement provided by a creditor under this subsection must show the date
the statement was prepared and itemize the unpaid principal balance and each fee, charge,
or other sum included within the payoff amount. For purposes of this subsection, "fee" does
not include actual charges incurred by a creditor for express or priority delivery of home loan
documents to the borrower if such delivery is requested by the borrower.
_________________________
CRCM CAMs

Return to Top
#2247661 - 01/14/21 03:00 PM Re: Payoff Statement Fee Comply 101
Newbie06 Offline
Platinum Poster
Joined: Mar 2006
Posts: 663
Ok, well that pretty much sums up the idea that we can't charge a payoff fee. Thank you for providing the Indiana Code reference...I don't have luck researching the Indiana Code.

Return to Top
#2248197 - 01/26/21 09:10 PM Re: Payoff Statement Fee Newbie06
Comply 101 Offline
Platinum Poster
Comply 101
Joined: Jul 2001
Posts: 708
I worked at an Indiana bank 13 years ago and was cited for this, so familiar. smile
_________________________
CRCM CAMs

Return to Top