Florida Senate Bill 1632
(SB 1632) should alarm private lenders because it makes a major
substantive change to current law. The current bill aims to remove the
long-standing business purpose exception from mortgage lender
licensing. Specifically, SB 1632 revises the definition of the term
“mortgage loan.” The current definition is: “Residential loan that
primarily for personal, family, or household use which is secured
by a mortgage, deed of trust, or other equivalent consensual security
interest on a dwelling….” The new definition removes the
following language “primarily for personal, family, or household use.”
If this bill is signed into law, every lender who makes a
loan secured by a dwelling, regardless of the purpose of the loan
would need to obtain a mortgage lender license.
In case you missed it, you can read the original update here.
TAKE ACTION TODAY!
- Locate your Florida
searching for your county in the right column. Hint: By clicking
on your senator's name you will be directed to their page.
- Contact Senator
Taddeo’s office where you
are able to email or call her office.
each page, locate the blue 'email this senator' button on the left
side under their photo.
"Jobs and Economy" as the topic in the pop-up.
and paste the following into 'Your Comments or Questions.' Don't
forget to fill in the blanks with your information and hit send!
Dear Senator __________,
Thank you for your contributions and political
leadership in our community and the state of Florida. My name is
____________, and I transact business in Florida as ______________. It
has come to my attention that proposed legislation, Florida Senate Bill
1632, poses great risks to the people, businesses, and economy of
Florida. I strongly urge you to vote against Senate Bill 1632.
Specifically, this bill would devastate Florida’s
private lending industry. Senate Bill 1632 would eliminate the
long-standing “business-purpose” licensing exception, an exception many
private lenders transact business under. Around 40 states recognize
this useful exception. To change the norm in Florida would make the
state unduly restrictive and encourage borrowers and lenders to make
transactions elsewhere. This bill will personally affect myself and my
business, as a member of the private lending community. To date, I have
made around _____________ loans in the state of Florida. This totaled to
approximately _____ dollars. Should this legislation pass, I will be
unable to operate in your state.
Senate Bill 1632 has potential grievous effects on the
economy, as it would drive out lenders who have made loans in the state
for many years. Further, borrowers will have less options for capital,
hurting Florida property owners seeking a competitive mortgage loan
market. For the reasons stated above, I urge you to vote against Senate
Thank you for your consideration.
If you prefer to send your opposition to SB 1632 through
the mail, download this customizable