{"data":{"id":"us-ky/krs-286.8-220","jurisdiction":"us-ky","citation":"KRS 286.8-220","heading":"Prohibited acts.","body":"(1) No person shall make or cause to be made, in any document filed with the\ncommissioner, a governmental agency, the Nationwide Multistate Licensing System\nand Registry, or in any proceeding under this subtitle, any statement that is, at the\ntime and in light of the circumstances under which it is made, false or misleading in\nany material respect, including an omission of a material fact.\n(2) No person shall, in connection with a transaction involving the mortgage lending\nprocess, or in connection with the ope ration of a mortgage loan business or the\nmanagement or servicing of mortgage loans, directly or indirectly:\n(a) Employ a device, scheme, or artifice to defraud;\n(b) Engage in any act, practice, or course of business that operates or would\noperate as a fraud or deceit upon any person;\n(c) Fail to disburse funds in accordance with a loan commitment;\n(d) Delay closing of any mortgage loan for the purpose of increasing interest,\ncosts, fees, or charges payable by the borrower;\n(e) Upon receipt of a customer's written request, delay beyond five (5) business\ndays the issuance of a written loan payoff amount or to delay beyond ten (10)\nbusiness days the issuance of a payment history;\n(f) Charge a fee for the issuance of an initial written loan payoff amount or\npayment history for each calendar quarter as set out in paragraph (e) of this\nsubsection;\n(g) Obtain property by fraud or misrepresentation;\n(h) Fail to make disclosures as required by this subtitle or any other applicable\nstate or federal law, including regulations thereunder; or\n(i) Fail to comply with state or federal laws, including the rules and regulations\nthereunder, that are applicable to transacting business in Kentucky.\n(3) Unless exempted by KRS 286.8 -020(1), no person shall transact business in\nKentucky unless it complies with the provisions of this subtitle.\n(4) No person shall use prescreened trigger lead information derived from a consumer\nreport to solicit a consumer who has applied for a mortgage loan with another\nmortgage loan company or mortgage loan broker, when the person:\n(a) Fails to state in the initial solicitation that the person is not affiliated with the\nmortgage loan company or mortgage loan broker with which the consumer\ninitially applied;\n(b) Fails in the initial soli citation to conform to state and federal law relating to\nprescreened solicitations using consumer reports, including the requirement to\nmake a firm offer of credit to the consumer;\n(c) Uses information regarding consumers who have opted out of the prescree ned\noffers of credit or who have placed their contact information on the state or\nfederal do-not-call registry; or\n(d) Solicits a consumer with an offer of certain rates, terms, and costs with the\nknowledge that the rates, terms, or costs will be subsequen tly changed to the\ndetriment of the consumer.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=52857","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:57:14Z","sha256":"0fec8b812801daa9784fb5547174518366271d3d51ae9e637f2913eb611dd8f0","source_id":"us-ky","stale":false,"prev":"us-ky/krs-286.8-210","next":"us-ky/krs-286.8-225"},"notice":"GroundRules: Original legal text. Not legal advice."}