A BILL TO BE ENTITLED
AN ACT to prohibit the writing of credit life and related forms of insurance for loans issued by an entity that is subject to the north carolina consumer finance act; and to amend the use of recording fees collected pursuant to that act.
The General Assembly of North Carolina enacts:
SECTION 1.  G.S. 53‑189 reads as rewritten:
"§ 53‑189.  Insurance.
(a)	Credit life, credit accident and health, credit unemployment, and credit property insurance shall not be written for any loan that is subject to this Article, nor shall a debt cancellation agreement or a debt suspension agreement be written for such a loan.
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SECTION 2.  G.S. 53‑177 reads as rewritten:
"§ 53‑177.  Recording fees.
The licensee may collect from the borrower the amount of any fees necessary to file or record its security interest with any public official or agency of a county or the State as may be required pursuant to Article 9 of Chapter 25 of the General Statutes or G.S. 20‑58 et seq. Upon full disclosure to the borrower on how the fees will be applied, such fees shall be paid by the licensee to such public official or agency of the county or State. A licensee shall not collect or permit to be collected any notary fee in connection with any loan made under this Article, nor may a licensee collect any fee from the borrower for the cost of releasing a security interest except such fee as actually paid to any public official or agency of the county or State for such purpose."
SECTION 3.  This act is effective when it becomes law and applies to loans made after that date.