Bill Text: TX HB219 | 2023-2024 | 88th Legislature | Enrolled
Bill Title: Relating to the release of a deed of trust or other contract lien securing a home loan after payoff by mortgagor.
Spectrum: Slight Partisan Bill (Republican 7-3)
Status: (Passed) 2023-06-02 - Effective on 9/1/23 [HB219 Detail]
Download: Texas-2023-HB219-Enrolled.html
| H.B. No. 219 | ||
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| relating to the release of a deed of trust or other contract lien | ||
| securing a home loan after payoff by mortgagor. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Subchapter B, Chapter 343, Finance Code, is | ||
| amended by adding Section 343.108 to read as follows: | ||
| Sec. 343.108. RELEASE OF LIEN AFTER PAYOFF BY MORTGAGOR. | ||
| (a) In this section: | ||
| (1) "Mortgage servicer," "mortgagee," and "mortgagor" | ||
| have the meanings assigned by Section 51.0001, Property Code. | ||
| (2) "Release of lien" means a release of a deed of | ||
| trust or other lien securing a home loan. | ||
| (b) Except as provided by Subsection (c), not later than the | ||
| 60th day after the date a mortgage servicer or mortgagee, as | ||
| applicable, receives the correct payoff amount for a home loan from | ||
| a mortgagor, the mortgage servicer or mortgagee shall: | ||
| (1) deliver to the mortgagor a release of lien for the | ||
| home loan; or | ||
| (2) file the release of lien with the appropriate | ||
| county clerk's office for recording in the real property records of | ||
| the county. | ||
| (c) If, on or before the 20th day after the date of the | ||
| payoff of the home loan, the mortgagor delivers a written request to | ||
| the mortgagee or mortgage servicer for the release of lien to be | ||
| delivered to the mortgagor or filed with the county clerk, the | ||
| mortgagee or mortgage servicer shall deliver or file the release of | ||
| lien not later than the 30th day after the date the mortgagee or | ||
| mortgage servicer receives the written request from the mortgagor. | ||
| (d) Chapter 349 does not apply to this section. | ||
| (e) A mortgage servicer is required to comply with this | ||
| section only if the mortgage servicer has the authority to deliver | ||
| or file a release of lien for the home loan. | ||
| SECTION 2. To the extent of a conflict between Section | ||
| 343.108, Finance Code, as added by this Act, and a provision of a | ||
| home loan agreement entered into before the effective date of this | ||
| Act, the provision of the home loan agreement prevails. | ||
| SECTION 3. This Act takes effect September 1, 2023. | ||
| ______________________________ | ______________________________ | |
| President of the Senate | Speaker of the House | |
| I certify that H.B. No. 219 was passed by the House on April | ||
| 19, 2023, by the following vote: Yeas 146, Nays 0, 1 present, not | ||
| voting. | ||
| ______________________________ | ||
| Chief Clerk of the House | ||
| I certify that H.B. No. 219 was passed by the Senate on May | ||
| 16, 2023, by the following vote: Yeas 31, Nays 0. | ||
| ______________________________ | ||
| Secretary of the Senate | ||
| APPROVED: _____________________ | ||
| Date | ||
| _____________________ | ||
| Governor | ||
