Maryland § 12-1024
Full text of Maryland Maryland Code § 12-1024, with citation guidance and answers to common questions.
§ 12-1024.
(a) (1) Except as provided in paragraph (2) of this subsection, this section applies only to a loan made by a credit grantor to a consumer borrower.
(2) This section does not apply to a loan to which § 3–105.1 of the Real Property Article applies.
(b) Within a reasonable time after a loan to a consumer borrower has been repaid in full and all other obligations under the agreement, note, or other evidence of the loan have been fulfilled, a credit grantor shall:
(1) (i) Indelibly mark with the word “paid” or “canceled” and return to the consumer borrower each agreement, note, or other evidence of the loan; or
(ii) Furnish the consumer borrower with a written statement that identifies the loan transaction and states that the loan has been paid in full; and
(2) Release any recorded mortgage, deed of trust, security agreement, or other lien securing the loan.
(c) (1) The release shall be:
(i) In writing; and
(ii) Prepared at the expense of the credit grantor.
(2) If the release required by this section pertains to a motor vehicle, the release shall be filed electronically with the Motor Vehicle Administration in accordance with § 13–108.1 of the Transportation Article within 5 business days after the credit grantor has received full payment.
(d) (1) If the credit grantor does not record the release, the credit grantor shall furnish the consumer borrower with the release in a recordable form.
(2) If the credit grantor records the release, the credit grantor shall furnish the consumer borrower with a copy of the release.
(e) (1) If a fee is collected by a credit grantor for the recording of a release:
(i) The release shall be recorded by the credit grantor; and
(ii) Any portion of the fee not paid to a governmental entity for recording the release shall be refunded to the borrower.
(2) If a fee is not collected by a credit grantor for the recording of a release, the credit grantor is not obligated to record the release.
Frequently Asked Questions About Maryland § 12-1024
What does Maryland Code § 12-1024 cover?
Section 12-1024 is part of the Maryland Code, the codified statutory law of Maryland. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Maryland § 12-1024?
A common citation format is "Maryland Code § 12-1024" (Maryland). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Maryland law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Maryland official source linked on this page or consult a licensed Maryland attorney.
How does Maryland § 12-1024 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Maryland can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Maryland.