NRS 645B.187
Prohibition on making certain guarantees in advertisements and solicitations

  • limitations on payment of premium interest
  • penalty.

1.

If a mortgage broker or mortgage agent solicits or receives money from an investor, the mortgage broker or mortgage agent shall not:

(a)

In any advertisement; or

(b)

Before, during or after solicitation or receipt of money from the investor,
Ê make, or cause or encourage to be made, any explicit or implicit statement, representation or promise, oral or written, which a reasonable person would construe as a guarantee that the investor will be repaid the principal amount of money he or she invests or will earn a specific rate of return or a specific rate of interest on the principal amount of money he or she invests.

2.

If a mortgage broker offers to pay or pays premium interest on money that the mortgage broker receives from a person to acquire ownership of or a beneficial interest in a loan secured by a lien on real property or in full or partial payment of such a loan:

(a)

The premium interest must be paid from the assets or income of the mortgage broker; and

(b)

The mortgage broker or a mortgage agent shall not:

(1)

In any advertisement; or

(2)

Before, during or after receipt of money from such a person,
Ê make, or cause or encourage to be made, any explicit or implicit statement, representation or promise, oral or written, which a reasonable person would construe as a guarantee that the mortgage broker will pay the premium interest.

3.

A person who violates any provision of this section is guilty of a misdemeanor and shall be punished as provided in NRS 645B.950.

4.

As used in this section, “premium interest” means that amount of interest a mortgage broker pays to a person which exceeds the amount which is being obtained from the insured depository financial institution.

Source: Section 645B.187 — Prohibition on making certain guarantees in advertisements and solicitations; limitations on payment of premium interest; penalty., https://www.­leg.­state.­nv.­us/NRS/NRS-645B.­html#NRS645BSec187.

Last Updated

Jun. 24, 2021

§ 645B.187’s source at nv​.us