Benworth Capital Cracking Down on Unlicensed Lending
MIAMI, FL – October 10th, 2018 –Benworth Capital was the event sponsor at the most recent “Desayuno con CABA” event from the Cuban American Bar Association that took place on September 27th, 2018 at the Riviera Country Club in Coral Gables.
During the event, Bernie Navarro, Benworth Capital’s President, and Gregory Oaks, Director of Division of Consumer Finance at the FL Office of Financial Regulation, discussed the recent changes to Chapter 494 of the FL Statutes under HB 935, which will change the way lenders operate and how these changes affect the mortgage business.
“This seminar was catered to real-estate attorneys on the changes to Chapter 494 of the Florida Statutes,” said Mr. Navarro. “As a result of the same, the mortgage industry will continue to work with the Florida Office of Financial Regulation and the Legislature to make sure we strengthen the law and to ensure that consumers do not continue to be abused by unlicensed lenders” he added.
Among some of the changes, House Bill 935 prohibits any person from directly or indirectly misrepresenting a residential mortgage loan as a business purpose loan in any practice or transaction or course of business relating to the sale, purchase, negotiation, promotion, advertisement, or hypothecation of mortgage loan transactions. The bill also specifies that the phrase “hold himself or herself out to the public as being in the mortgage lending business,” includes the following:
- Representing to the public, through advertising or other means of communicating or providing information, including the use of business cards, stationery, brochures, signs, rate lists, or promotional items, by any method, that such individual can or will perform the activities described in the definition of “mortgage lender.”
- Soliciting in a manner that would lead the intended audience to reasonably believe that such an individual is in the business of performing the activities described in the definition of “mortgage lender.”
- Maintaining a commercial business establishment at which, or premises from which, such individual regularly performs the activities described in the definition of “mortgage lender” or regularly meets with current or prospective mortgage borrowers.
Advertising, soliciting, or conducting business through the use of a name, trademark, service mark, trade name, Internet address, or logo that indicates or reasonably implies that the business being advertised, solicited, or conducted is of the kind or character of business transacted or conducted by a licensed mortgage lender or is likely to lead any person to believe that such business is that of a licensed mortgage lender.
For further details on these recent changes, click here.
About Benworth Capital
About Benworth Capital Partners: Benworth Capital Partners, LLC, founded in 2008 and headquartered in South Florida, is a licensed mortgage lender and servicer specializing in private lending and bridge lending. The private equity firm offers short-term, first position mortgages for the purchase and development of residential, commercial and income-generating property in Florida. Benworth’s disciplined approach to financing real estate assets attracts funding participation from investors seeking strong returns from a low-risk profile investment. For more information about Benworth Capital Partners, visit http://www.benworthcapital.com.
# # #