United States — Utah Act or statute

United States — Utah legislation

Utah Code § 7-17-4

If a lender does not require a reserve account, it must offer the borrower specified options and give written notice. The borrower must choose by the stated deadline, and later delinquency can trigger a reserve account…

Source excerpt

bankingborrower noticesdelinquency managementinsurance premiumsloan servicingreal estate loansreserve accountstax payments

Jurisdiction: United States — Utah
Status: In force
Dates: Legal dates not recorded

On this page

Professional statute overview

Enactment structure, operative effect and source provenance

Official source

Purpose and legislative effect

“If a lender does not require a reserve account, it must offer the borrower specified options and give written notice. The borrower must choose by the stated deadline, and later delinquency can trigger a reserve account unless the delinquency is cured within 30 days and there was no prior delinquency.”

Use this record to locate individual provisions, understand the instrument’s recorded structure, and move from a research summary to the exact source text.

How the instrument operates

01
Start with the recorded version

Legal dates not recorded. The date shown identifies this source expression and should not be treated as proof that no later change exists.
02
Locate the controlling provision

Use the provision map, part headings and full-text filter to move from the broad subject to the exact legal language.
03
Read conditions and exceptions together

Keep subsections, definitions, provisos and cross-references in context before drawing a legal conclusion.
04
Verify currency and official wording

Confirm later legislation, commencement notices and corrections with the official publisher before advice, filing or reliance.

Research entry points

Selected provisions across the instrument. Open any row to continue with the exact stored text.

Options in lieu of reserve account -- Notice by lender -- Selection by borrower -- Noninterest-bearing reserve account -- Exemption.

Section 7-17-4

Subsection 7-17-4(2)(a)(i)

with respect to real estate loans existing on July 1, 1979, by notice mailed not more than 30 days after July 1, 1979; or

Section 7-17-4(2)(a)(i)

Subsection 7-17-4(2)(b)(ii)(B)

The borrower is responsible for paying taxes, insurance premiums, and other charges.

Section 7-17-4(2)(b)(ii)(B)

Subsection 7-17-4(2)(f)

If the borrower selects the option described in Subsection (1)(a) , the lender may not be required to account for earnings, if any, on the account.

Section 7-17-4(2)(f)

Subsection 7-17-4(4)

This section does not apply to loans made, renewed, or modified on or after May 6, 2002.

Section 7-17-4(4)

Source and current-law status

In force source record

Source record from le.utah.gov · Legal dates not recorded

In force

This source records the instrument as in force. Confirm subsequent amendments, commencement notices, and judicial treatment before relying on it.

For advice, pleadings, or compliance decisions, retain the official source and confirm the current consolidated provision.

Official record

Source-indexed provision map

Sections and provisions

Search by section, heading, part or exact legal wording. Every result remains linked to the stored source record.

Search within this statute

Search all stored provisions in this version.

Showing 24 of 24 provisions

Provision 24

§ 7-17-4Options in lieu of reserve account -- Notice by lender -- Selection by borrower -- Noninterest-bearing reserve account -- Exemption.Provision

Source excerpt

Options in lieu of reserve account -- Notice by lender -- Selection by borrower -- Noninterest-bearing reserve account -- Exemption. A lender not requiring the establishment and maintenance of a reserve account shall offer the borrower the following options: the borrower may elect to maintain a noninterest-bearing reserve account to be serviced by the lender at no charge to the borrower; or the borrower may manage the payment of insurance premiums, taxes and other charges for the borrower's own account. The lender shall give written notice of the options to the borrower: with respect to real estate loans existing on July 1, 1979, by notice mailed not more than 30 days after July 1, 1979; or with respect to real estate loans made on or after July 1, 1979, by notice given at or prior to the closing of the loan. The notice required by this Subsection (2) shall: clearly describe the options; and state that: a reserve account is not required by the lender; the borrower is legally responsible for the payment of taxes, insurance premiums, and other charges; and the notice is being given pursuant to this chapter. For real estate loans in existence on July 1, 1979, the borrower shall select one of the options prior to 60 days after July 1, 1979. If no option is selected prior to 60 days after July 1, 1979, the borrower will be considered to have selected the option described in Subsection (1)(a) , provided, however, that the borrower at a later time may select the option described in Subsection (1)(b) . For loans made on or after July 1, 1979, the borrower shall select one of the options at the closing. If the borrower selects the option described in Subsection (1)(a) , the lender may not be required to account for earnings, if any, on the account. Subject to Subsection (3)(b) , if the borrower who selects the option described in Subsection (1)(b) , or the borrower's successors or assigns, fails to pay the taxes, insurance premiums, or other charges pertaining to the property securing the loan prior to the delinquency date for such payments, the lender may require a reserve account without interest or other compensation for the use of the funds. Notwithstanding Subsection (3)(a) , the lender may not require a reserve account without interest or other compensation if: the borrower pays any delinquency within 30 days; and the borrower has not previously been delinquent in payment of taxes, insurance premiums, or other charges. This section does not apply to a loan made, renewed, or modified on or after May 6, 2002.

Section 7-17-4Verify source

§ 7-17-4(1)Subsection 7-17-4(1)Provision

Source excerpt

If a lender does not require a reserve account, it must offer the borrower two options: keep a noninterest-bearing reserve account serviced by the lender at no charge, or manage payment of insurance premiums, taxes, and other charges personally.

A lender not requiring the establishment and maintenance of a reserve account shall offer the borrower the following options: the borrower may elect to maintain a noninterest-bearing reserve account to be serviced by the lender at no charge to the borrower; or the borrower may manage the payment of insurance premiums, taxes and other charges for the borrower's own account.

Section 7-17-4(1)Verify source

§ 7-17-4(1)(a)Subsection 7-17-4(1)(a)Provision

Source excerpt

The borrower may choose to maintain a noninterest-bearing reserve account.

the borrower may elect to maintain a noninterest-bearing reserve account to be serviced by the lender at no charge to the borrower; or

Section 7-17-4(1)(a)Verify source

§ 7-17-4(1)(b)Subsection 7-17-4(1)(b)Provision

Source excerpt

The borrower may manage payment of insurance premiums, taxes, and other charges for the borrower’s own account.

the borrower may manage the payment of insurance premiums, taxes and other charges for the borrower's own account.

Section 7-17-4(1)(b)Verify source

§ 7-17-4(2)Subsection 7-17-4(2)Provision

Source excerpt

The lender must give the borrower written notice of the available options, and the borrower must choose an option within the stated timing rules.

The lender shall give written notice of the options to the borrower: with respect to real estate loans existing on July 1, 1979, by notice mailed not more than 30 days after July 1, 1979; or with respect to real estate loans made on or after July 1, 1979, by notice given at or prior to the closing of the loan. The notice required by this Subsection (2) shall: clearly describe the options; and state that: a reserve account is not required by the lender; the borrower is legally responsible for the payment of taxes, insurance premiums, and other charges; and the notice is being given pursuant to this chapter. For real estate loans in existence on July 1, 1979, the borrower shall select one of the options prior to 60 days after July 1, 1979. If no option is selected prior to 60 days after July 1, 1979, the borrower will be considered to have selected the option described in Subsection (1)(a) , provided, however, that the borrower at a later time may select the option described in Subsection (1)(b) . For loans made on or after July 1, 1979, the borrower shall select one of the options at the closing. If the borrower selects the option described in Subsection (1)(a) , the lender may not be required to account for earnings, if any, on the account.

Section 7-17-4(2)Verify source

§ 7-17-4(2)(a)Subsection 7-17-4(2)(a)Provision

Source excerpt

The lender must give the borrower written notice of the options.

Section 7-17-4(2)(a)Verify source

§ 7-17-4(2)(a)(i)Subsection 7-17-4(2)(a)(i)Provision

Source excerpt

with respect to real estate loans existing on July 1, 1979, by notice mailed not more than 30 days after July 1, 1979; or

Section 7-17-4(2)(a)(i)Verify source

§ 7-17-4(2)(a)(ii)Subsection 7-17-4(2)(a)(ii)Provision

Source excerpt

with respect to real estate loans made on or after July 1, 1979, by notice given at or prior to the closing of the loan.

Section 7-17-4(2)(a)(ii)Verify source

§ 7-17-4(2)(b)Subsection 7-17-4(2)(b)Provision

Source excerpt

The required notice must describe the options and state that no reserve account is required by the lender, that the borrower is responsible for taxes, insurance premiums, and other charges, and that the notice is given under this chapter.

The notice required by this Subsection (2) shall: clearly describe the options; and state that: a reserve account is not required by the lender; the borrower is legally responsible for the payment of taxes, insurance premiums, and other charges; and the notice is being given pursuant to this chapter.

Section 7-17-4(2)(b)Verify source

§ 7-17-4(2)(b)(i)Subsection 7-17-4(2)(b)(i)Provision

Source excerpt

clearly describe the options; and

Section 7-17-4(2)(b)(i)Verify source

§ 7-17-4(2)(b)(ii)Subsection 7-17-4(2)(b)(ii)Provision

Source excerpt

The borrower is responsible for paying taxes, insurance premiums, and other charges.

state that: a reserve account is not required by the lender; the borrower is legally responsible for the payment of taxes, insurance premiums, and other charges; and the notice is being given pursuant to this chapter.

Section 7-17-4(2)(b)(ii)Verify source

§ 7-17-4(2)(b)(ii)(A)Subsection 7-17-4(2)(b)(ii)(A)Provision

Source excerpt

a reserve account is not required by the lender;

Section 7-17-4(2)(b)(ii)(A)Verify source

§ 7-17-4(2)(b)(ii)(B)Subsection 7-17-4(2)(b)(ii)(B)Provision

Source excerpt

The borrower is responsible for paying taxes, insurance premiums, and other charges.

the borrower is legally responsible for the payment of taxes, insurance premiums, and other charges; and

Section 7-17-4(2)(b)(ii)(B)Verify source

§ 7-17-4(2)(b)(ii)(C)Subsection 7-17-4(2)(b)(ii)(C)Provision

Source excerpt

the notice is being given pursuant to this chapter.

Section 7-17-4(2)(b)(ii)(C)Verify source

§ 7-17-4(2)(c)Subsection 7-17-4(2)(c)Provision

Source excerpt

For certain real estate loans existing on July 1, 1979, the borrower must choose one of the available options within 60 days after that date.

For real estate loans in existence on July 1, 1979, the borrower shall select one of the options prior to 60 days after July 1, 1979.

Section 7-17-4(2)(c)Verify source

§ 7-17-4(2)(d)Subsection 7-17-4(2)(d)Provision

Source excerpt

If no option is selected prior to 60 days after July 1, 1979, the borrower will be considered to have selected the option described in Subsection (1)(a) , provided, however, that the borrower at a later time may select the option described

Section 7-17-4(2)(d)Verify source

§ 7-17-4(2)(e)Subsection 7-17-4(2)(e)Provision

Source excerpt

For loans made on or after July 1, 1979, the borrower must select one of the options at closing.

For loans made on or after July 1, 1979, the borrower shall select one of the options at the closing.

Section 7-17-4(2)(e)Verify source

§ 7-17-4(2)(f)Subsection 7-17-4(2)(f)Provision

Source excerpt

If the borrower selects the option described in Subsection (1)(a) , the lender may not be required to account for earnings, if any, on the account.

Section 7-17-4(2)(f)Verify source

§ 7-17-4(3)Subsection 7-17-4(3)Provision

Source excerpt

A lender may require an interest-free reserve account if the borrower or the borrower’s successors or assigns miss certain property-related payments before the delinquency date, but not if the delinquency is paid within 30 days and the borrower has not been previously delinquent.

Subject to Subsection (3)(b) , if the borrower who selects the option described in Subsection (1)(b) , or the borrower's successors or assigns, fails to pay the taxes, insurance premiums, or other charges pertaining to the property securing the loan prior to the delinquency date for such payments, the lender may require a reserve account without interest or other compensation for the use of the funds. Notwithstanding Subsection (3)(a) , the lender may not require a reserve account without interest or other compensation if: the borrower pays any delinquency within 30 days; and the borrower has not previously been delinquent in payment of taxes, insurance premiums, or other charges.

Section 7-17-4(3)Verify source

§ 7-17-4(3)(a)Subsection 7-17-4(3)(a)Provision

Source excerpt

If the borrower or successors/assigns miss required property-related payments by the delinquency date, the lender may require a noninterest-bearing reserve account.

Section 7-17-4(3)(a)Verify source

§ 7-17-4(3)(b)Subsection 7-17-4(3)(b)Provision

Source excerpt

Notwithstanding Subsection (3)(a) , the lender may not require a reserve account without interest or other compensation if: the borrower pays any delinquency within 30 days; and the borrower has not previously been delinquent in payment of

Section 7-17-4(3)(b)Verify source

§ 7-17-4(3)(b)(i)Subsection 7-17-4(3)(b)(i)Provision

Source excerpt

The borrower must pay any delinquency within 30 days.

the borrower pays any delinquency within 30 days; and

Section 7-17-4(3)(b)(i)Verify source

§ 7-17-4(3)(b)(ii)Subsection 7-17-4(3)(b)(ii)Provision

Source excerpt

the borrower has not previously been delinquent in payment of taxes, insurance premiums, or other charges.

Section 7-17-4(3)(b)(ii)Verify source

§ 7-17-4(4)Subsection 7-17-4(4)Provision

Source excerpt

This section does not apply to loans made, renewed, or modified on or after May 6, 2002.

This section does not apply to a loan made, renewed, or modified on or after May 6, 2002.

Section 7-17-4(4)Verify source

Legislative relationships

0 referenced instruments

Names are derived from the stored provision headings and citation-enrichment layer. Treat this as a research index and verify each relationship against the source text.

No structured legislative relationships were detected

The statute remains fully searchable by provision. Consult the source text for amendments and cross-references that have not yet been indexed.

Recorded versions and source checkpoint

1 version available in this collection

Current-law checkpoint

Undated version · currentEnglish · In force

This relationship view does not by itself establish whether another instrument remains in force.

Check official source

Source-linked research

Ask AI about this statute

The overview, provisions, and source records above are public. Continue in a separate conversation with this statute’s jurisdiction and source version attached.

Utah Code § 7-17-4

Purpose and legislative effect

How the instrument operates

Start with the recorded version

Locate the controlling provision

Read conditions and exceptions together

Verify currency and official wording

Research entry points

Source and current-law status

In force source record

Sections and provisions

Search within this statute

0 referenced instruments

No structured legislative relationships were detected

Recorded versions and source checkpoint

Ask AI about this statute