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Mortgage Servicing and Loan Modifications: ALASKA

Alaska Stat. § 34.20.050

Requirements: After ten days written request to discharge, mortgage holder who refuses or neglects to discharge is liable for $300 damages plus any damages resulting from refusal or neglect.

Mortgage Servicing and Loan Modifications: ARIZONA

Ariz. Rev. Stat. Ann. § 33-712

Requirements: Any person receiving satisfaction of mortgage is liable for actual damages upon failure to record within thirty days; after continuing failure for a further thirty days following a written request, liability is for $1000 plus any actual damages. Mortgagor may obtain payoff deed from a title insurer in specified manner if mortgage holder (including “account servicing agent”) fails to provide such after sixty days from date of full payment. § 33-750.

Mortgage Servicing and Loan Modifications: CALIFORNIA

Cal. Civ. Code § 2941 (West)

Requirements: Mortgagee or assignee receiving satisfaction of mortgage is liable for actual damages and $500 upon failure to record within thirty days or, after recording, failure to honor written request to deliver original note to mortgagor. Cf. § 2943.1 as to equity line of credit after July 1, 2015.

Mortgage Servicing and Loan Modifications: CONNECTICUT

Conn. Gen. Stat. § 49-8

Requirements: If release is not delivered within sixty days of satisfaction, mortgage holder is liable the greater of actual damages or $200 per week after the sixty-day period up to a maximum of $5000, plus costs and attorney fees. Mortgagor may have satisfaction recorded by duly appointed officer if mortgagee fails to record such within sixty days of payment. § 49-8a.

Mortgage Servicing and Loan Modifications: GEORGIA

Ga. Code Ann. § 7-1-1013(4)

Requirements: Improper refusal to issue a satisfaction of loan is a prohibited act. Violation is misdemeanor subject to imprisonment or fine no greater than $1000. § 7-1-1019.

Mortgage Servicing and Loan Modifications: INDIANA

Ind. Code §§ 32-29-1-6, 32-29-1-7, 32-29-11-1

Requirements: Upon mortgagor’s request mortgagee shall release, discharge, and enter satisfaction in record or deliver to mortgagor certificate of satisfaction to be recorded. Cf. § 24-4.5-1-301.5(8) as to applicability to mortgages.

Mortgage Servicing and Loan Modifications: IOWA

Iowa Code § 655.1, 655.3

Requirements: Mortgagee to record release within thirty days of payment in full. § 655.1. Mortgagee who fails to discharge mortgage under § 655.1 liable for actual damages, $500 penalty, and attorney fees. § 655.3.

Mortgage Servicing and Loan Modifications: KANSAS

Kan. Stat. Ann. § 58-2309a

Requirements: Mortgagee or assignee who fails to enter satisfaction, within twenty days of written demand by certified or registered mail, is liable in civil action for $500 and any proven additional damages plus attorney fees.

Mortgage Servicing and Loan Modifications: KENTUCKY

Ky. Rev. Stat. Ann. § 382.365 (West)

Requirements: Release of lien required within thirty days of satisfaction. Where noncompliance without good cause follows written request made in person or by certified mail, final lien holder or assignee liable for attorney fees and damages, the amount dependent on time elapsed from date of notice.

Mortgage Servicing and Loan Modifications: LOUISIANA

La. Stat. Ann. § 9:5385

Requirements: Mortgagee or servicing agent or any holder to produce instrument for release within thirty days of written demand; noncompliance results in liability for damages and attorney fees. Mortgagee to deliver documentation for cancellation of mortgage to mortgagor within sixty days of payment; upon failure to do so mortgagor may proceed to have satisfaction recorded by submission of affidavit by authorized party and fifteen-day written notice to mortgagee. § 9:5167.1.

Mortgage Servicing and Loan Modifications: MAINE

Me. Stat. Ann. tit. 9-A, § 9-307(3) (First Lien Mortgages)

Requirements: Creditor shall deliver written evidence of payment in full within thirty days of satisfaction. Civil action allowed seeking damages for noncompliance, no less than $250 and no more than $1000, plus costs and attorney fees. § 9-405. Fines and criminal penalties for knowing and willful violations. § 9-407. Mortgagor may have discharge recorded by attorney’s submission of affidavit. Tit. 33, § 553-A.

Mortgage Servicing and Loan Modifications: MASSACHUSETTS

Mass. Gen. Laws ch. 183, § 55

Requirements: Within forty-five days of payment, holder must record discharge and provide copy of discharge to payoff agent, or provide discharge for recording with a notice as specified. Liability for noncompliance: only actual damages if compliance within thirty days of written demand for compliance; the greater of $2500 or actual damages, costs and attorney fees. Defenses available to holder are specified. Discharge by affidavit of attorney is available where noncompliance.