SF 4365

Introduction - 94th Legislature (2025 - 2026)

Posted on 03/12/2026 09:59 a.m.

A bill for an act
relating to consumer protection; modifying various consumer protections for
insurance and financial products; prohibiting virtual-currency kiosks; adding certain
student loan borrower protections; providing for mortgage loan servicing standards;
requiring certain notices to the commissioner of commerce; providing mortgage
protections; amending Minnesota Statutes 2024, sections 53B.69, subdivision 10,
by adding a subdivision; 58.14, subdivisions 3, 4, 5, by adding a subdivision;
58.18, subdivision 4; 58B.02, by adding subdivisions; 58B.03, subdivisions 10,
11; 58B.06, subdivisions 4, 6; 72A.18, subdivision 2, by adding subdivisions;
72A.20, subdivision 2, by adding a subdivision; 80G.01, subdivision 5a; 332.32;
582.043, subdivisions 1, 5; Minnesota Statutes 2025 Supplement, sections 58B.02,
subdivision 8a; 582.043, subdivision 6; proposing coding for new law in Minnesota
Statutes, chapters 53B; 58; 82B; 82C; repealing Minnesota Statutes 2024, section
53B.75.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2024, section 53B.69, is amended by adding a subdivision
to read:

new text begin Subd. 3d. new text end

new text begin Person. new text end

new text begin "Person" means an individual, general partnership, limited partnership,
limited liability company, corporation, trust, association, joint stock corporation, or other
corporate entity identified by the commissioner.
new text end

Sec. 2.

Minnesota Statutes 2024, section 53B.69, subdivision 10, is amended to read:

Subd. 10.

Virtual currency kiosk.

"Virtual currency kiosk" means an new text begin automated and
unstaffed new text end electronic terminal acting as a mechanical agent of the virtual currency kiosk
operator to enable the virtual currency kiosk operator to facilitate the exchange of virtual
currency for money, bank credit, or other virtual currency, including but not limited to by
(1) connecting directly to a separate virtual currency exchanger that performs the actual
virtual currency transmission, or (2) drawing upon the virtual currency in the possession of
the electronic terminal's operator.

Sec. 3.

new text begin [53B.751] VIRTUAL-CURRENCY KIOSKS; PROHIBITION.
new text end

new text begin Subdivision 1. new text end

new text begin Virtual-currency kiosks prohibited. new text end

new text begin (a) Beginning January 1, 2027, a
person is prohibited from installing, operating, maintaining, or making available for use a
virtual-currency kiosk.
new text end

new text begin (b) On or before December 31, 2026, a virtual-currency kiosk operator operating a
virtual-currency kiosk in Minnesota must remove the virtual-currency kiosk from any
location where the virtual-currency kiosk is visible or accessible to the public.
new text end

new text begin (c) A person that violates this section is subject to a civil penalty of $1,000 for each day
the virtual-currency kiosk is not removed.
new text end

new text begin Subd. 2. new text end

new text begin Consumer refunds. new text end

new text begin (a) On or before December 31, 2026, a virtual-currency
kiosk operator that conducts virtual-currency transactions exclusively through
virtual-currency kiosks must issue refunds to each of the virtual-currency kiosk operator's
new and existing customers. The refund must consist of any money or virtual currency held
or owed to the virtual-currency kiosk operator's customers as a result of virtual-currency
kiosk transactions.
new text end

new text begin (b) Notwithstanding paragraph (a), a virtual-currency kiosk operator that maintains other
lawful means for new and existing customers to access, transfer, redeem, or otherwise
transact with the customer's virtual-currency holdings is not required to provide refunds
under this subdivision if the alternative means to access, transfer, redeem, or otherwise
transact with virtual-currency holdings is available to customers at all times.
new text end

new text begin (c) A new or existing customer may elect to receive a refund under this section: (1) in
United States dollars, in an amount equal to the market value of the customer's virtual
currency; or (2) to a virtual-currency wallet address designated by the customer. A new or
existing customer may make an election under this paragraph at any time before December
31, 2026.
new text end

new text begin (d) A virtual-currency kiosk operator must make a refund under this section in the manner
elected by the new or existing customer under paragraph (c). If the new or existing customer
elects the option under paragraph (c), clause (2), the virtual-currency kiosk operator must
transfer the full amount of the virtual currency being held or owed to the new or existing
customer to the customer's designated virtual-currency wallet address within 30 days of the
date the customer submits the refund request.
new text end

new text begin (e) A refund made to a new or existing customer must be recorded on the applicable
blockchain. The virtual-currency kiosk operator must retain proof the transfer was made
and must make the retained proof available to the commissioner upon request.
new text end

Sec. 4.

new text begin [58.131] RESIDENTIAL MORTGAGE LOAN SERVICING STANDARDS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the following terms have
the meanings given.
new text end

new text begin (b) "Authorized representative" means a person, including but not limited to an attorney,
employee, or agent of a government agency, not-for-profit housing counseling organization,
or legal services organization, designated by a borrower in a written authorization signed
by the borrower or in any other form of verifiable authorization to share information and
communicate with a servicer on behalf of the borrower.
new text end

new text begin (c) "Clearly and conspicuously" means the statement, representation, or term being
disclosed is displayed in a size, color, and contrast and is presented in a manner that makes
the statement readily noticed and understood by an ordinary consumer.
new text end

new text begin (d) "Government-sponsored enterprise" means the Federal National Mortgage Association
and the Federal Home Loan Mortgage Corporation.
new text end

new text begin (e) "Real Estate Settlement Procedures Act" or "RESPA" means the Real Estate
Settlement Procedures Act of 1974, United States Code, title 12, section 2601, et seq., and
regulations adopted pursuant to RESPA, also known as Regulation X, Code of Federal
Regulations, title 12, part 1024, as amended.
new text end

new text begin (f) "Third-party provider" means any person or entity retained by or on behalf of the
servicer, including but not limited to foreclosure firms, law firms, foreclosure trustees, other
agents, independent contractors, subsidiaries, and affiliates, that provides insurance,
foreclosure, bankruptcy, mortgage servicing including loss mitigation, or other products or
services in connection with servicing a mortgage loan.
new text end

new text begin (g) "Transferee servicer" means a servicer that has agreed to obtain the right to service
a mortgage loan pursuant to an agreement or understanding.
new text end

new text begin (h) "Transferor servicer" means a servicer that has agreed to, or been informed that the
servicer must, transfer the right to service a mortgage loan to another servicer.
new text end

new text begin Subd. 2. new text end

new text begin General requirements. new text end

new text begin (a) A violation of an applicable state law or
administrative rule, a federal law or regulation, or a state or federal program is a violation
of this section.
new text end

new text begin (b) In addition to complying with this section, a servicer must comply with:
new text end

new text begin (1) other applicable sections of this chapter;
new text end

new text begin (2) other applicable state law, including but not limited to chapters 46A, 47, 580, 581,
and 582;
new text end

new text begin (3) applicable sections of RESPA;
new text end

new text begin (4) the federal Servicemembers Civil Relief Act, United States Code, title 50, section
501, et seq.; and
new text end

new text begin (5) other applicable federal laws and implementing regulations, as amended, including
but not limited to:
new text end

new text begin (i) the Gramm-Leach-Bliley Act, Public Law 106-102;
new text end

new text begin (ii) the Truth-in-Lending Act, United States Code, title 15, section 1601, et seq.; and
new text end

new text begin (iii) the Fair Credit Reporting Act, United States Code, title 15, sections 1681 to 1681x.
new text end

new text begin Subd. 3. new text end

new text begin Servicing and ownership transfers or sales. new text end

new text begin (a) When acquiring servicing
rights from a transferor servicer, a transferee servicer must:
new text end

new text begin (1) continue processing loan modification requests and honoring trial and permanent
modifications; and
new text end

new text begin (2) designate the homeowner as a third-party intended beneficiary in any subsequent
contract for transfer or sale, unless doing so violates another state law or a
government-sponsored enterprise's modification program requirements.
new text end

new text begin (b) When transferring or selling loan servicing with pending modification requests or
trial or permanent modifications, a transferor servicer must:
new text end

new text begin (1) inform the transferee servicer if a loan modification is pending;
new text end

new text begin (2) obligate the transferee servicer to (i) accept and continue processing loan modification
requests, and (ii) honor trial and permanent loan modification agreements; and
new text end

new text begin (3) designate the homeowner as a third-party intended beneficiary in any contract for
transfer or sale, unless doing so violates state law or a government-sponsored enterprise's
modification program requirements.
new text end

new text begin Subd. 4. new text end

new text begin Payment processing and fees. new text end

new text begin (a) A servicer must comply with section 47.59,
subdivision 9a, regarding prompt crediting of payments, if the borrower has provided
sufficient information to credit the account. A servicer must apply the payment as specified
in the loan documents.
new text end

new text begin (b) A servicer may enter into a written contract with the borrower that allows the servicer
to hold certain types of money, or money sent by a certain method, for a period of time until
the money is available before crediting the money to the borrower's account.
new text end

new text begin (c) A servicer must notify the borrower if a payment is received, not credited, and placed
in a suspense account. The servicer must send the notification to the borrower within ten
business days by United States mail to the borrower's last known address. The notification
must identify (1) the reason the payment was not credited or treated as credited to the
account, and (2) any actions the borrower must take to make the residential mortgage loan
current. If a servicer provides monthly or more frequent statements that include the
information under this paragraph, the servicer is not required to provide the information in
an additional notice. If this paragraph conflicts with the requirements of an applicable
bankruptcy court order, compliance with the bankruptcy court requirements constitutes
compliance with this paragraph or paragraph (d).
new text end

new text begin (d) When a suspense account contains enough money to make a full payment, a servicer
must apply the payment to the mortgage on the date the full amount became available in
the suspense account.
new text end

new text begin (e) A servicer must assess an incurred fee to a borrower's account within 45 days of the
date the fee was incurred. A servicer must clearly and conspicuously explain the fee in a
statement mailed to the borrower at the borrower's last known address no more than 30 days
after the date the fee is assessed. If a servicer provides monthly or more frequent statements
that include the information under this paragraph, the servicer is not required to provide the
information in an additional notice.
new text end

new text begin Subd. 5. new text end

new text begin Contracting with third-party providers. new text end

new text begin A servicer must adopt written policies
and procedures governing the oversight of third-party providers, including but not limited
to foreclosure trustees, foreclosure firms, subservicers, agents, subsidiaries, and affiliates.
A servicer must maintain the policies and procedures as part of the servicer's books and
records and must provide the policies and procedures to the commissioner upon request.
new text end

new text begin Subd. 6. new text end

new text begin Maintenance of the escrow account. new text end

new text begin (a) If a servicer collects escrow amounts
held for the borrower to pay insurance, taxes, or other charges with respect to the property,
the servicer must collect and make all payments from the escrow account. To the extent the
servicer has control, the servicer must ensure that no late penalties are assessed or other
negative consequences result for the borrower.
new text end

new text begin (b) At least annually or upon the borrower's request, a servicer must inform the borrower
in writing regarding the amount of reserve required in an escrow account. The notice must
advise the borrower of any fees the borrower incurs (1) for not maintaining the reserve
amount, or (2) if the servicer advances escrow amounts on the borrower's behalf and
subsequently collects the escrow amounts from the borrower.
new text end

new text begin (c) A servicer may enter into a written agreement with the borrower that specifies the
servicer is not required to make escrow payments unless money is available in the escrow
account. An agreement under this paragraph must include language that provides notice to
the borrower that the borrower is responsible to pay the escrow amounts if an amount
sufficient to pay the escrow amounts is not maintained in the escrow account.
new text end

new text begin (d) A servicer must notify the borrower within ten business days of the date a change is
made to the escrow account that modifies the borrower's escrow payment amount. A change
requiring notification includes but is not limited to hazard insurance premiums, a reduction
in the required reserve amount for the account, or a change in the property's tax assessment.
A change resulting from a borrower's regularly scheduled payment is not a change requiring
notification.
new text end

new text begin Subd. 7. new text end

new text begin Borrower requests for information. new text end

new text begin (a) A servicer must make a reasonable
attempt to comply with a borrower's request for information, including a request for
information about loss mitigation, regarding the residential mortgage loan account and must
respond to a dispute initiated by the borrower about the loan account. A reasonable attempt
under this subdivision includes but is not limited to:
new text end

new text begin (1) maintaining written or electronic records of each written request for information
involving the borrower's account until the residential mortgage loan is paid in full, sold, or
otherwise satisfied; and
new text end

new text begin (2) providing a written statement to the borrower within 30 business days of the date a
written request is received from the borrower or by following the response timelines provided
by a loss mitigation program. A borrower's request must include the borrower's name and
account number, if any, a statement that the account is or may be in error, and sufficient
detail regarding the information sought by the borrower to permit the servicer to comply.
new text end

new text begin (b) At a minimum, a servicer must provide the following information in response to a
borrower request received under this subdivision:
new text end

new text begin (1) whether the account is current or, if the account is not current, an explanation
regarding the default and the date the account entered default;
new text end

new text begin (2) the current balance due on the residential mortgage loan, including the principal due;
the amount of money, if any, held in a suspense account; the amount of the escrow balance
known to the servicer, if any; and whether any escrow deficiencies or shortages are known
to the servicer;
new text end

new text begin (3) the identity, address, and other relevant information about the current holder, owner,
or assignee of the residential mortgage loan; and
new text end

new text begin (4) the telephone number and mailing address of an individual servicer representative
with the information and authority to answer questions and resolve disputes.
new text end

new text begin (c) A servicer must promptly correct errors and refund fees assessed to the borrower
resulting from an error the servicer made.
new text end

new text begin (d) If the content of a servicer's response meets the requirements under RESPA for a
response to a qualified written request, the servicer has complied with this subdivision. A
servicer deemed compliant with this subdivision under this paragraph must separately
comply with paragraph (c).
new text end

new text begin (e) In addition to the statement described under paragraph (a), clause (2), a borrower
may request more detailed information from a servicer. A servicer that receives a request
under this paragraph must provide the information to the borrower within 15 business days
of the date a written request from the borrower is received. A borrower's request must
include the borrower's name and account number, if any, a statement that the account is or
may be in error, and sufficient detail to the servicer regarding information sought by the
borrower. If requested by the borrower, a statement provided under this paragraph must
also include:
new text end

new text begin (1) a copy of the original note or, if the original note is unavailable, an affidavit of lost
note that includes all endorsements; and
new text end

new text begin (2) a statement that (i) identifies and itemizes all fees and charges assessed under the
loan servicing transaction, (ii) provides a full payment history that identifies in a clear and
conspicuous manner all the debits, credits, applications, and disbursements of all payments
received from or for the benefit of the borrower, and (iii) identifies other activity on the
residential mortgage loan, including escrow account activity and suspense account activity,
if any.
new text end

new text begin (f) For purposes of a borrower request made under paragraph (e) the account history
period must cover, at a minimum, the two-year period before the date the request for
information is received. If the servicer has not serviced the residential mortgage loan for
the entire two-year period, the servicer must provide the information back to the date on
which the servicer began servicing the residential mortgage loan and must identify the
previous servicer, if known. If a servicer claims delinquent or outstanding sums are owed
on the residential mortgage loan prior to the two-year period or the period during which the
servicer has serviced the residential mortgage loan, the servicer must provide an account
history beginning with the month that the servicer claims any outstanding sums are owed
on the residential mortgage loan up to the date the request for the information is received.
new text end

new text begin (g) If the borrower requests a statement under paragraph (e), a servicer must provide the
statement free of charge. A borrower is entitled to only one free statement annually under
this paragraph. If a borrower requests more than one statement annually, a servicer may
charge $30 for the second and each subsequent statement.
new text end

new text begin Subd. 8. new text end

new text begin Borrower complaints and inquiries. new text end

new text begin (a) A servicer must establish and maintain:
new text end

new text begin (1) procedures and systems to respond to and resolve borrower complaints and inquiries
in a manner that complies with this section;
new text end

new text begin (2) a customer service department staffed by trained personnel to whom a borrower may
direct complaints and inquiries; and
new text end

new text begin (3) a toll-free telephone number or collect calling service that enables a borrower to
speak, during regular business hours, with a live person trained to answer inquiries and
instruct borrowers how to file written complaints.
new text end

new text begin (b) Each welcome packet, periodic statement, including as applicable either the monthly
mortgage statement or annual coupon book that is provided to a borrower, and website
maintained by a servicer must clearly and conspicuously state:
new text end

new text begin (1) an address to which borrowers may direct complaints and inquiries;
new text end

new text begin (2) the toll-free telephone number or collect calling services provided by the servicer;
new text end

new text begin (3) whether the servicer is licensed with the commissioner; and
new text end

new text begin (4) that a borrower may file a complaint and obtain information about the servicer by
contacting the Department of Commerce. The information provided under this clause must
include the department's current telephone contact information and website.
new text end

new text begin (c) A servicer must establish and maintain a process that enables borrowers to escalate
complaints or pending loss mitigation matters for a supervisory-level review.
new text end

new text begin Subd. 9. new text end

new text begin Servicing prohibitions; fair dealing duty. new text end

new text begin (a) In addition to the prohibitions
and standards of conduct under sections 58.12, subdivision 1, paragraph (b), and 58.13,
subdivision 1, a servicer is prohibited from:
new text end

new text begin (1) engaging in unfair, deceptive, or abusive business practices, or misrepresenting or
omitting any material information, in connection with servicing a mortgage loan, including
but not limited to misrepresenting the amount, nature, or terms of a fee, payment due, or
payment claimed due on the loan, the servicing agreement's terms and conditions, or the
borrower's obligations under the loan;
new text end

new text begin (2) requiring money to be remitted by a method that is more costly to the borrower than
a bank, certified check, or attorney's check from an attorney's account; or
new text end

new text begin (3) refusing to communicate with the borrower's authorized representative if the
authorized representative provides the servicer with a written authorization, including by
electronic transmission, signed by the borrower that affirms the authorized representative
may act on behalf of the borrower. A servicer may adopt procedures, excluding collecting
the representative's Social Security number, that are reasonably related to verifying that the
representative is in fact authorized to act on behalf of the borrower.
new text end

new text begin (b) A servicer must act in good faith and deal fairly in the servicer's dealings with a
borrower in connection with servicing a borrower's mortgage loan. For purposes of this
paragraph, acting in good faith and dealing fairly includes but is not limited to the duty to:
new text end

new text begin (1) safeguard and account for any payment made by the borrower or any money belonging
to the borrower;
new text end

new text begin (2) follow reasonable and lawful instructions from the borrower that are consistent with
the underlying note and mortgage;
new text end

new text begin (3) act with reasonable skill, care, and diligence;
new text end

new text begin (4) consider alternatives to foreclosure when a borrower (i) demonstrates that the borrower
is in imminent risk of delinquency on the mortgage loan as a result of a financial hardship,
or (ii) has experienced a financial hardship and is unable to maintain the payment at the
current payment amount required under the mortgage loan or make delinquent payments;
and
new text end

new text begin (5) structure loan modifications to result in payment that are reasonably affordable and
sustainable for the borrower at the time the modification is made.
new text end

new text begin Subd. 10. new text end

new text begin Notices; mailings; evidence of receipt. new text end

new text begin (a) A notification, mailing, or other
correspondence from a mortgage servicer or third-party provider to a borrower must be
provided via first class mail and email if the borrower has provided an email address for
notice or communication purposes.
new text end

new text begin (b) A servicer must provide a mailing address, facsimile number, email address, and a
method to facilitate file transfers via the Internet to produce documents requested from the
borrower. An option to transfer files via the Internet must allow both the borrower and
servicer to view the documents sent and confirm the date the documents were sent for 60
months after the date the documents were produced to the servicer.
new text end

new text begin (c) A servicer must provide a detailed description of all items received and the items'
expiration dates from a borrower within five business days of the date an item was received
via any medium described under this subdivision.
new text end

new text begin (d) A servicer is prohibited from rejecting documentation from a borrower or potential
borrower as incomplete without providing the borrower with details regarding which specific
portion of the documentation is incomplete.
new text end

Sec. 5.

Minnesota Statutes 2024, section 58.14, subdivision 3, is amended to read:

Subd. 3.

Documentation and resolution of complaints.

A licensee or exempt person
must investigate and attempt to resolve complaints made regarding acts or practices subject
to the provisions of this chapter. new text begin A servicer must comply with section 58.131, subdivisions
6 and 7. new text end If a complaint is received in writing, the licensee or exempt person must maintain
a file containing all materials relating to the complaint and subsequent investigation for a
period of 60 months.

Sec. 6.

Minnesota Statutes 2024, section 58.14, subdivision 4, is amended to read:

Subd. 4.

Trust account records for mortgage originators.

A residential mortgage
originator new text begin or servicer new text end shall keep and maintain for 60 months a record of all trust funds,
sufficient to identify the transaction, date and source of receipt, and date and identification
of disbursement.

Sec. 7.

Minnesota Statutes 2024, section 58.14, subdivision 5, is amended to read:

Subd. 5.

Record retention.

A licensee or exempt person must keep and maintain for 60
months the business records, including new text begin email communications, telephone recordings,
incomplete documentation, and new text end advertisements, regarding residential mortgage loans applied
for, originated, or serviced in the course of its business.

Sec. 8.

Minnesota Statutes 2024, section 58.14, is amended by adding a subdivision to
read:

new text begin Subd. 6. new text end

new text begin Telephone recordings. new text end

new text begin A person acting as a residential mortgage loan servicer
that services at least 500 residential mortgage loans secured by property in Minnesota must:
new text end

new text begin (1) record a telephone conversation with a borrower and a borrower's representatives;
and
new text end

new text begin (2) maintain the recording of the conversation for 60 months after the date the recording
is made, as provided under subdivision 5.
new text end

Sec. 9.

Minnesota Statutes 2024, section 58.18, subdivision 4, is amended to read:

Subd. 4.

Exemption.

This section does not apply to a residential mortgage loan originated
by a federal or state chartered bank, savings bank, or credit union new text begin , unless the residential
mortgage loan originated by a federal or state chartered bank, savings bank, or credit union
is serviced by a residential mortgage servicer, as defined under section 58.02, subdivision
20 new text end .

Sec. 10.

Minnesota Statutes 2024, section 58B.02, is amended by adding a subdivision to
read:

new text begin Subd. 4a. new text end

new text begin Income-driven repayment program. new text end

new text begin "Income-driven repayment program"
means the Income-Contingent Repayment Plan, the Income-Based Repayment Plan, the
Income-Sensitive Repayment Plan, the Pay As You Earn Plan, the Revised Pay As You
Earn Plan, and any other state, federal, or private student loan repayment plan that is
calculated based on a borrower's income and for which a borrower's income may include
the borrower's household income for purposes of evaluating eligibility under section 58B.06,
subdivision 5.
new text end

Sec. 11.

Minnesota Statutes 2025 Supplement, section 58B.02, subdivision 8a, is amended
to read:

Subd. 8a.

Lender.

"Lender" means an entity engaged in the business of securing, making,
or extending student loans. Lender does not include deleted text begin , to the extent that state regulation is
preempted by federal law deleted text end :

(1) a bank, savings banks, savings and loan association, or credit union;

(2) a wholly owned subsidiary of a bank or credit union;

(3) an operating subsidiary where each owner is wholly owned by the same bank or
credit union;

(4) the United States government, through Title IV of the Higher Education Act of 1965,
as amended, and administered by the United States Department of Education;

(5) an agency, instrumentality, or political subdivision of Minnesota;

(6) a regulated lender organized under chapter 56, except that a regulated lender must
file the annual report required for lenders under section 58B.03, subdivision 10; or

(7) a person who is not in the business of making student loans and who makes no more
than three student loans, with the person's own funds, during any 12-month period.

Sec. 12.

Minnesota Statutes 2024, section 58B.02, is amended by adding a subdivision to
read:

new text begin Subd. 10. new text end

new text begin Written communication. new text end

new text begin "Written communication" means a written
correspondence that is made by a borrower and is transmitted by mail, facsimile, or
electronically through an email address or Internet website that the student loan servicer
designates to receive communications from a borrower and enables the student loan servicer
to identify the borrower's name and account. Written communication does not include a
notice on a payment medium supplied by a student loan servicer.
new text end

Sec. 13.

Minnesota Statutes 2024, section 58B.03, subdivision 10, is amended to read:

Subd. 10.

Annual report.

(a) deleted text begin Beginning deleted text end new text begin On or before new text end March 15 deleted text begin , 2025 deleted text end new text begin each year new text end , a
student loan lender that secures, makes, or extends student loans in Minnesota must new text begin submit
a new text end report to the commissioner on the form the commissioner provides new text begin . The report must include
for the previous calendar year new text end :

(1) a list of all schools attended by borrowers who received a student loan from the
student loan lender and resided within Minnesota at the time of the transaction and whose
debt is still outstanding, including student loans used to refinance an existing debt;

(2) the total outstanding dollar amount owed by borrowers residing in Minnesota who
received student loans from the student loan lender;

(3) the total number of student loans owed by borrowers residing in Minnesota who
received student loans from the student loan lender;

(4) the total outstanding dollar amount and number of student loans owed by borrowers
who reside in Minnesota, associated with each school identified under clause (1);

(5) the total dollar amount of student loans provided by the student loan lender to
borrowers who resided in Minnesota in the prior calendar year;

(6) the total outstanding dollar amount and number of student loans owed by borrowers
who resided in Minnesota, associated with each school identified under clause (1), that were
provided in the prior calendar year;

(7) the rate of default for borrowers residing in Minnesota who obtained student loans
from the student loan lender, if applicable;

(8) the rate of default for borrowers residing in Minnesota who obtained student loans
from the student loan lender associated with each school identified under clause (1), if
applicable;

(9) the range of initial interest rates for student loans provided by the student loan lender
to borrowers who resided in Minnesota in the prior calendar year;

(10) the total number of borrowers who received student loans identified under clause
(9), and the percentage of borrowers who received each rate identified under clause (9);

(11) the total dollar amount and number of student loans provided in the prior calendar
year by the student loan lender to borrowers who resided in Minnesota at the time of the
transaction and had a cosigner for the student loans;

(12) the total dollar amount and number of student loans provided by the student loan
lender to borrowers residing in Minnesota used to refinance a prior student loan or federal
student loan in the prior calendar year;

(13) the total dollar amount and number of student loans for which the student loan
lender had sued to collect from a borrower residing in Minnesota in the prior calendar year;

(14) a copy of any model promissory note, agreement, contract, or other instrument used
by the student loan lender in the previous year to substantiate that a borrower owes a new
debt to the student loan lender; and

(15) any other information considered necessary by the commissioner to assess the total
size and status of the student loan market and well-being of borrowers in Minnesota.

(b) In addition to annual reports, the commissioner may require additional regular or
special reports as the commissioner deems necessary to properly supervise student loan
lenders under this chapter.

(c) The commissioner of commerce must share data collected under this subdivision
with the commissioner of higher education.

Sec. 14.

Minnesota Statutes 2024, section 58B.03, subdivision 11, is amended to read:

Subd. 11.

Annual report from student loan servicers.

(a) deleted text begin Beginning deleted text end new text begin On or before new text end
March 15 deleted text begin , 2025 deleted text end new text begin each year new text end , a student loan servicer that services student loans in Minnesota
must new text begin submit a new text end report to the commissioner on the form the commissioner provides. The
report must include new text begin for the previous calendar year new text end :

(1) a list of any outstanding student loans owed by borrowers who reside in Minnesota
that are serviced by the student loan servicer;

(2) the total outstanding dollar amount and number of student loans that are serviced by
the student loan servicer and owed by borrowers who reside in Minnesota;

(3) the total dollar amount and number of student loans owed by borrowers who resided
in Minnesota that were serviced by the student loan servicer in the prior calendar year;

(4) the rate of default for student loans owed by borrowers who reside in Minnesota that
are serviced by the student loan servicer, if applicable;

(5) the range of interest rates for student loans serviced by the student loan servicers to
borrowers who resided in Minnesota in the prior calendar year;

(6) the total outstanding dollar amount and number of student loans that were serviced
by the student loan servicer and owed by borrowers residing in Minnesota to refinance a
prior student loan or federal student loan; and

(7) any other information considered necessary by the commissioner to assess the total
size and status of the student loan market and well-being of borrowers in Minnesota.

(b) In addition to annual reports, the commissioner may require additional regular or
special reports as the commissioner deems necessary to properly supervise student loan
servicers under this chapter.

(c) The commissioner of commerce must share data collected under this subdivision
with the commissioner of higher education.

Sec. 15.

Minnesota Statutes 2024, section 58B.06, subdivision 4, is amended to read:

Subd. 4.

Transfer of student loan.

(a) If a borrower's student loan servicer changes
pursuant to the sale, assignment, or transfer of the servicing, the original student loan servicer
must deleted text begin : deleted text end new text begin protect the borrower from negative consequences resulting from the sale, assignment,
transfer, system conversion, or payment the borrower makes to the original loan servicer
consistent with the original student loan servicer's policy. For purposes of this paragraph,
"negative consequences" includes but is not limited to: (1) negative credit reporting; (2)
imposing late fees that are not required by the promissory note; or (3) eligibility loss or
denial for a benefit or protection established under federal law or included in the loan
contract.
new text end

deleted text begin (1) require the new student loan servicer to honor all benefits that were made available,
or which may have become available, to a borrower from the original student loan servicer
or are authorized under the student loan contract, including any benefits for which the student
loan borrower has not yet qualified unless that benefit is no longer available under the federal
or state laws and regulations; and
deleted text end

deleted text begin (2) transfer to the new student loan servicer all information regarding the borrower, the
account of the borrower, and the borrower's student loan, including but not limited to the
repayment status of the student loan and the benefits described in clause (1).
deleted text end

deleted text begin (b) The student loan servicer must complete the transfer under paragraph (a), clause (2),
less than 45 days from the date of the sale, assignment, or transfer of the servicing.
deleted text end

deleted text begin (c) A sale, assignment, or transfer of the servicing must be completed no less than seven
days from the date the next payment is due on the student loan.
deleted text end

deleted text begin (d) A new student loan servicer must adopt policies and procedures to verify that the
original student loan servicer has met the requirements of paragraph (a).
deleted text end

new text begin (b) If a borrower's student loan servicer changes pursuant to the sale, assignment, or
transfer of the servicing, the original and new student loan servicer must provide a written
notice to the borrower subject to the transfer. The notice must be provided no less than 15
calendar days before the transfer's effective date and must include:
new text end

new text begin (1) the sale, assignment, or transfer's effective date;
new text end

new text begin (2) the name, address, website, and toll-free telephone number for the original student
loan servicer's designated point of contact for the borrower to contact in order to obtain
answers to servicing inquiries;
new text end

new text begin (3) the name, address, website, and toll-free telephone number for the new student loan
servicer's designated point of contact for the borrower to contact in order to obtain answers
to servicing inquiries;
new text end

new text begin (4) the date the original student loan servicer stops accepting payments on the borrower's
student loan;
new text end

new text begin (5) the date the new student loan servicer begins accepting payments on the borrower's
student loan;
new text end

new text begin (6) information that indicates whether the borrower's authorization for recurring electronic
funds transfers, if applicable, is transferred to the new servicer. If a recurring electronic
funds transfer is not transferred, the transferee must provide information that explains how
the borrower may establish a new recurring electronic funds transfer with the new servicer;
and
new text end

new text begin (7) a statement that indicates the current loan balance, including the current unpaid
amount of principal, interest, and fees.
new text end

new text begin (c) If a borrower's student loan servicer changes pursuant to the sale, assignment, or
transfer of the servicing, the original student loan servicer must ensure all necessary
information regarding a borrower, a borrower's account, and a borrower's student loan
accompanies a loan when the loan is transferred to a new student loan servicer. The transfer
of necessary information must occur within 45 calendar days of the sale, assignment, or
transfer's effective date. For purposes of this subdivision, "necessary information" includes
but is not limited to:
new text end

new text begin (1) a schedule of all transactions credited or debited to the student loan account;
new text end

new text begin (2) a copy of the promissory note for the student loan;
new text end

new text begin (3) notes created by the student loan servicer's personnel that reflect communications
with the borrower regarding the student loan account;
new text end

new text begin (4) a report of the data fields relating to the borrower's student loan account created by
the student loan servicer's electronic systems in connection with servicing practices;
new text end

new text begin (5) copies or electronic records of information or documents the borrower provided to
the student loan servicer;
new text end

new text begin (6) if applicable, usable data fields that contain information necessary to assess the
borrower's eligibility for forgiveness, including public service loan forgiveness; and
new text end

new text begin (7) information necessary to compile a payment history.
new text end

new text begin (d) A new student loan servicer must adopt and implement policies and procedures to
verify that the original student loan servicer meets the requirements of paragraph (c).
new text end

Sec. 16.

Minnesota Statutes 2024, section 58B.06, subdivision 6, is amended to read:

Subd. 6.

Records.

A student loan servicer must maintain deleted text begin adequate deleted text end new text begin complete and accurate new text end
records new text begin , including new text end of new text begin all written communication and telephone recordings, for new text end each student
loan new text begin . The records must be maintained new text end for deleted text begin not less than deleted text end new text begin at least new text end two years following the final
payment on the student loan or the sale, assignment, or transfer of the servicing.

Sec. 17.

Minnesota Statutes 2024, section 72A.18, subdivision 2, is amended to read:

Subd. 2.

Person.

"Person" means any individual, corporation, association, partnership,
reciprocal exchange, interinsurer, Lloyds insurer, fraternal benefit society, or any other legal
entity, engaged in the business of insurance, including an agent, a solicitor, deleted text begin or deleted text end an adjuster
deleted text begin and deleted text end new text begin , or an insurance lead generator. new text end For the purposes of sections 72A.31 and 72A.32 "person"
shall in addition mean any person, firm or corporation even though not engaged in the
business of insurance.

Sec. 18.

Minnesota Statutes 2024, section 72A.18, is amended by adding a subdivision to
read:

new text begin Subd. 3. new text end

new text begin Insurance lead generator. new text end

new text begin "Insurance lead generator" means a person that
uses a lead-generating device to:
new text end

new text begin (1) publicize the availability of what is or what purports to be an insurance product or
service that the person is not licensed to sell directly to a customer;
new text end

new text begin (2) identify a customer who may be interested in learning more about an insurance
product; or
new text end

new text begin (3) sell or transmit customer information to an insurer or producer for the purposes of
subsequent contact or sales activity.
new text end

Sec. 19.

Minnesota Statutes 2024, section 72A.18, is amended by adding a subdivision to
read:

new text begin Subd. 4. new text end

new text begin Lead-generating device. new text end

new text begin "Lead-generating device" means communication
directed to the public that, regardless of the communication's form, content, or stated purpose,
is intended to result in compiling or qualifying a list containing names and other personal
information to solicit Minnesota residents to purchase what is or what purports to be an
insurance product or service.
new text end

Sec. 20.

Minnesota Statutes 2024, section 72A.18, is amended by adding a subdivision to
read:

new text begin Subd. 5. new text end

new text begin Recording. new text end

new text begin "Recording" means documenting a sale or verifying a call, including
a virtual technology call, to market an insurance product or service.
new text end

Sec. 21.

Minnesota Statutes 2024, section 72A.20, subdivision 2, is amended to read:

Subd. 2.

False information and advertising generally.

Making, publishing,
disseminating, circulating, or placing before the public, or causing, directly or indirectly,
to be made, published, disseminated, circulated, or placed before the public, in a newspaper,
magazine, new text begin email, Internet advertisement or posting, new text end or other publication, or in the form of
a notice, circular, pamphlet, letter, new text begin electronic posting of any kind, new text end or poster, or over any
radio station, new text begin or using the Internet or other electronic means, new text end or in any other way, an
advertisement, announcement, or statement, containing any assertion, representation, or
statement with respect to the business of insurance, or with respect to any person in the
conduct of the person's insurance business, which is untrue, deceptive, or misleading, shall
constitute an unfair method of competition and an unfair and deceptive act or practice.

Sec. 22.

Minnesota Statutes 2024, section 72A.20, is amended by adding a subdivision to
read:

new text begin Subd. 2a. new text end

new text begin Failure to maintain certain records. new text end

new text begin A person must maintain books, records,
documents, and other business records in a manner that ensures data regarding complaints
and marketing are accessible and retrievable for examination by the insurance commissioner.
A person must maintain data under this subdivision for at least the current calendar year
and the two preceding years.
new text end

Sec. 23.

Minnesota Statutes 2024, section 80G.01, subdivision 5a, is amended to read:

Subd. 5a.

Minnesota transaction.

"Minnesota transaction" means a bullion product
transaction conducted:

(1) by a dealer deleted text begin that is incorporated, registered, domiciled, or otherwise deleted text end located in
Minnesota;

(2) by a dealer representative at a location in Minnesota;

(3) between a dealer and a consumer deleted text begin who lives deleted text end in Minnesota; or

(4) between a dealer and a Minnesota consumer when the transaction involves:

(i) delivering or shipping a bullion product to an address in Minnesota; new text begin or
new text end

deleted text begin (ii) delivering to or shipping from a precious metal depository on behalf of a Minnesota
resident; or
deleted text end

deleted text begin (iii) deleted text end new text begin (ii) new text end making payment to a consumer or receiving a payment from a consumer at an
address in Minnesota, unless the transaction occurs when the consumer is deleted text begin at a business
location deleted text end outside of Minnesota.

Sec. 24.

new text begin [82B.081] NOTICE TO COMMISSIONER.
new text end

new text begin Subdivision 1. new text end

new text begin Change of application information. new text end

new text begin A licensee must provide notice to
the commissioner if the information in the license application filed with the commissioner
changes. The notice must be provided in writing or another format prescribed by the
commissioner within ten days of the date the change occurs. For purposes of this subdivision,
an information change requiring notice includes but is not limited to a change with respect
to the licensee's personal name, trade name, address, or business location.
new text end

new text begin Subd. 2. new text end

new text begin Civil judgment. new text end

new text begin The licensee must notify the commissioner of a final adverse
decision or court order, whether or not the decision or order is appealed, resulting from a
proceeding in which the licensee was named as a defendant and the final adverse decision
relates to fraud or misrepresentation. The notice must be provided in writing or another
format prescribed by the commissioner within ten days of the date the final adverse decision
or court order is issued.
new text end

new text begin Subd. 3. new text end

new text begin Disciplinary action. new text end

new text begin The licensee must notify the commissioner of a disciplinary
action involving the licensee, including but not limited to a suspension or revocation of the
licensee's real property appraiser license or another occupational license issued by Minnesota
or another jurisdiction. The notice must be provided in writing or another format prescribed
by the commissioner within ten days of the date the disciplinary action occurs.
new text end

new text begin Subd. 4. new text end

new text begin Criminal offense. new text end

new text begin The licensee must notify the commissioner if the licensee
is charged with, is adjudged guilty of, or enters a plea of guilty or nolo contendere to a
felony charge or a gross misdemeanor charge that alleges fraud, misrepresentation, or a
similar violation of a real property appraiser licensing law. The notice must be provided in
writing or another format prescribed by the commissioner within ten days of the date the
charge, judgment, or plea occurs.
new text end

Sec. 25.

new text begin [82C.031] NOTICE TO COMMISSIONER.
new text end

new text begin Subdivision 1. new text end

new text begin Change of application information. new text end

new text begin A licensee must provide notice to
the commissioner if the information in the license application filed with the commissioner
changes. The notice must be provided in writing or another format prescribed by the
commissioner within ten days of the date the change occurs. For purposes of this subdivision,
an information change requiring notice includes but is not limited to a change with respect
to the licensee's personal name, trade name, address, or business location.
new text end

new text begin Subd. 2. new text end

new text begin Civil judgment. new text end

new text begin The licensee must notify the commissioner of a final adverse
decision or court order, whether or not the decision or order is appealed, resulting from a
proceeding in which the licensee was named as a defendant and the final adverse decision
relates to fraud or misrepresentation. The notice must be provided in writing or another
format prescribed by the commissioner within ten days of the date the final adverse decision
or court order is issued.
new text end

new text begin Subd. 3. new text end

new text begin Disciplinary action. new text end

new text begin The licensee must notify the commissioner of a disciplinary
action involving the licensee, including but not limited to a suspension or revocation of the
licensee's real property appraisal management company license issued by another jurisdiction.
The notice must be provided in writing or another format prescribed by the commissioner
within ten days of the date the disciplinary action occurs.
new text end

new text begin Subd. 4. new text end

new text begin Criminal offense. new text end

new text begin The licensee must notify the commissioner if the licensee
is charged with, is adjudged guilty of, or enters a plea of guilty or nolo contendere to a
felony charge or a gross misdemeanor charge that alleges fraud, misrepresentation, or a
similar violation of a real property appraisal management company licensing law. The notice
must be provided in writing or another format prescribed by the commissioner within ten
days of the date the charge, judgment, or plea occurs.
new text end

Sec. 26.

Minnesota Statutes 2024, section 332.32, is amended to read:

332.32 EXCLUSIONS.

(a) The term "collection agency" does not include banks when collecting accounts owed
to the banks and when the bank will sustain any loss arising from uncollectible accounts,
abstract companies doing an escrow business, real estate brokers, public officers, persons
acting under order of a court, lawyers, trust companies, insurance companies, credit unions,
savings associations, loan or finance companies unless they are engaged in asserting,
enforcing or prosecuting unsecured claims which have been purchased from any person,
firm, or association when there is recourse to the seller for all or part of the claim if the
claim is not collected.

(b) The term "collection agency" deleted text begin shall deleted text end new text begin does new text end not include a trade association performing
services authorized by section 604.15, subdivision 4a, but the trade association in performing
the services may not engage in any conduct that would be prohibited for a collection agency
under section 332.37.

new text begin (c) The term "collection agency" does not include a residential mortgage servicer licensed
under chapter 58 or a student loan servicer licensed under chapter 58B if the residential
mortgage servicer or student loan servicer is engaging in activities subject to licensure under
chapter 58 or 58B, as applicable.
new text end

Sec. 27.

Minnesota Statutes 2024, section 582.043, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

(a) For purposes of this section, the terms defined in this
subdivision have the meanings given deleted text begin them deleted text end .

new text begin (b) "Complete loss mitigation application" means a loss mitigation application for which
a servicer has received the information and documentation the servicer requested in writing
from the mortgagor in order to evaluate the loss mitigation options available to the mortgagor.
new text end

deleted text begin (b) deleted text end new text begin (c) new text end "Foreclosure sale date" means either:

(1) the date of the foreclosure sale contained in the notice that has been either served or
published as required under section 580.03, or 550.18 and 550.19; or

(2) the date to which the foreclosure sale is postponed by the borrower under section
580.07, subdivision 2,

whichever is later.

new text begin (d) "Loss mitigation application" means an oral or written request, occurring through a
usual or customary method for mortgage servicing communications, for a loss mitigation
option.
new text end

deleted text begin (c) deleted text end new text begin (e) new text end "Loss mitigation option" means a temporary or permanent loan modification, a
forbearance agreement, a repayment agreement, a principal reduction, capitalizing arrears,
or any other relief intended to allow a mortgagor to retain ownership of the property.

deleted text begin (d) deleted text end new text begin (f) new text end "Mortgagor" means a person who is liable on the promissory note secured by the
mortgage, except that the mortgagor does not include a person who has surrendered the
mortgaged property, as evidenced by either a letter or other written notice confirming the
surrender or by delivery of the keys to the property to the servicer or authorized agent.

new text begin (g) "Real Estate Settlement Procedures Act" or "RESPA" means the Real Estate
Settlement Procedures Act of 1974, United States Code, title 12, section 2601, et seq., and
regulations adopted pursuant to RESPA, also known as Regulation X, Code of Federal
Regulations, title 12, part 1024, as amended.
new text end

deleted text begin (e) deleted text end new text begin (h) new text end "Servicer" means a residential mortgage servicer as defined in section 58.02,
subdivision 20.

deleted text begin (f) deleted text end new text begin (i) new text end "Small servicer" means a servicer that is either:

(1) a small servicer, as defined in Code of Federal Regulations, title 12, section 1026.41,
paragraph (e), clause (4);

(2) a Housing Finance Agency, as defined in Code of Federal Regulations, title 24,
section 266.5; or

(3) a servicer that has conducted 125 or fewer foreclosure sales during the preceding 12
months.

Sec. 28.

Minnesota Statutes 2024, section 582.043, subdivision 5, is amended to read:

Subd. 5.

Loss mitigation.

A servicer must:

(1) notify a mortgagor in writing of available loss mitigation options offered by the
servicer that are applicable to the mortgagor's loan before referring the mortgage loan to an
attorney for foreclosure;

new text begin (2) provide at no cost to the mortgagor a method other than mail for the mortgagor to
submit and receive loss mitigation documents, including loss mitigation options provided
to the mortgagor;
new text end

deleted text begin (2) deleted text end new text begin (3) new text end after receiving a request for a loan modification or other loss mitigation option,
exercise reasonable diligence in obtaining documents and information from the mortgagor
to complete a loss mitigation application, facilitate the submission and review of loss
mitigation applications, new text begin provide written notice of the documents necessary to complete the
loss mitigation application, new text end and give the mortgagor deleted text begin a reasonable amount of time deleted text end new text begin at least 30
days new text end to provide the required documents;

deleted text begin (3) deleted text end new text begin (4) new text end upon the timely receipt of a loss mitigation application deleted text begin , deleted text end new text begin : (i) new text end new text begin provide written notice
that the loss mitigation application is complete or incomplete; (ii) provide written notice
that identifies the documents received and the documents' expiration dates; (iii) provide
written notice that identifies the documents necessary to complete the loss mitigation
application; (iv) allow the mortgagor no less than 30 days to provide the required documents;
and (v) new text end evaluate the mortgagor for all available loss mitigation options prior to referring a
mortgage loan to an attorney for foreclosure;

deleted text begin (4) deleted text end new text begin (5) new text end after review of the loss mitigation application new text begin and within 45 days of the date the
loss mitigation application is received new text end , deleted text begin timely deleted text end offer the mortgagor a loan modification if
the mortgagor is eligible or, if not, timely offer the mortgagor any other loss mitigation
option for which the mortgagor is eligible; deleted text begin and
deleted text end

deleted text begin (5) comply with any applicable appeal period and procedures applicable to the specific
loss mitigation option.
deleted text end

new text begin (6) allow the mortgagor at least 30 days to accept any loss mitigation option;
new text end

new text begin (7) respond to qualified written requests, as defined in RESPA, from the mortgagor for
information concerning a loss mitigation application, offer, option, or decision within 14
days of the date the qualified written request is received;
new text end

new text begin (8) if the mortgagor does not qualify for a loan modification, provide the mortgagor (i)
a loan modification denial notice that lists reasons for denial, and (ii) an opportunity to
appeal the denial within 30 days. If the denial is due to the terms of an agreement between
a servicer and an investor, the servicer must provide the name of the investor and a summary
that explains the reason for the denial. If the denial is based on a net present value model,
the servicer must provide the data inputs used to determine the net present value;
new text end

new text begin (9) notify and provide the mortgagor an opportunity to obtain a full appraisal that contests
the appraisal data used in a denial based on net present value;
new text end

new text begin (10) evaluate a mortgagor's appeal of a loss mitigation application denial if the servicer
receives the appeal before midnight of the eleventh day before the date of a foreclosure sale
or before the date the servicer commences a foreclosure action against a mortgagor. An
appeal must be reviewed by different personnel than the personnel responsible for evaluating
the mortgagor's complete loss mitigation application. The determination of an appeal under
this clause must be provided to the mortgagor within 30 days of the date the appeal is
received. A servicer's determination under this clause is not subject to additional appeal;
new text end

new text begin (11) provide a copy of the loan modification to the mortgagor within 30 days of the date
the loan modification is executed;
new text end

new text begin (12) not require a homeowner to waive legal claims and defenses as a condition of a
loan modification, reinstatement, forbearance, repayment plan, or other loss mitigation
option; and
new text end

new text begin (13) comply with all applicable federal laws and regulations, including but not limited
to RESPA, related to loss mitigation.
new text end

Sec. 29.

Minnesota Statutes 2025 Supplement, section 582.043, subdivision 6, is amended
to read:

Subd. 6.

Dual tracking.

(a) If the servicer has received a new text begin partial or complete new text end loss
mitigation application new text begin , or an appeal to a loss mitigation application denial, new text end and the subject
mortgage loan has not already been referred to an attorney for foreclosure, a servicer shall
not refer the subject mortgage loan to an attorney for foreclosure while the mortgagor's
application is pending, unless:

(1) the servicer determines that the mortgagor is not eligible for any loss mitigation
option, the servicer informs the mortgagor of the determination in writing, and the applicable
appeal period has expired without an appeal or the appeal has been properly denied;

(2) where a written offer is made and a written acceptance is required, the mortgagor
fails to accept the loss mitigation offer within the time frame specified in the offer or within
14 days after the date of the offer, whichever is longer; or

(3) the mortgagor declines the loss mitigation offer in writing.

(b) If the servicer receives a new text begin partial or complete new text end loss mitigation application new text begin , new text end new text begin or an appeal
to a loss mitigation application denial, new text end after the subject mortgage loan has been referred to
an attorney for foreclosure, but before a foreclosure sale has been scheduled, a servicer shall
not move for an order of foreclosure, seek a foreclosure judgment, deleted text begin or deleted text end new text begin schedule a foreclosure
sale, new text end conduct a foreclosure sale new text begin , or conduct an activity, except to preserve the property or
determine the property is abandoned, that would lead to a charge, fee, penalty, or other
incumbrance being imposed on the mortgagor new text end unless:

(1) the servicer determines that the mortgagor is not eligible for a loss mitigation option,
the servicer informs the mortgagor of this determination in writing, and the applicable appeal
period has expired without an appeal or the appeal has been properly denied;

(2) where a written offer is made and a written acceptance is required, the mortgagor
fails to accept the loss mitigation offer within the time frame specified in the offer or within
14 days after the date of the offer, whichever is longer; or

(3) the mortgagor declines a loss mitigation offer in writing.

(c) If the servicer receives a new text begin partial or complete new text end loss mitigation application new text begin , or an appeal
to a loss mitigation application denial, new text end after the foreclosure sale has been scheduled, but
before midnight of the deleted text begin seventh deleted text end new text begin eighth new text end business day prior to the foreclosure sale date, the
servicer must halt the foreclosure sale and evaluate the application. If required to halt the
foreclosure sale and evaluate the application, the servicer deleted text begin may deleted text end new text begin must not new text end cancel new text begin or postpone new text end
the foreclosure sale deleted text begin or postpone the foreclosure sale under section 580.07, subdivision 1,
but deleted text end new text begin for at least 45 days and new text end must not move for an order of foreclosure, seek a foreclosure
judgment, deleted text begin or deleted text end conduct a foreclosure sale new text begin , new text end new text begin or conduct an activity, except to preserve the
property or determine the property is abandoned, that would lead to a charge, fee, penalty,
or other incumbrance being imposed on the mortgagor new text end unless deleted text begin 60 days have passed since
the occurrence of one of the following, whichever is applicable deleted text end :

(1) the servicer determines that the mortgagor is not eligible for a loss mitigation option,
the servicer informs the mortgagor of this determination in writing, and the applicable appeal
period has expired without an appeal or the appeal has been properly denied;

(2) where a written offer is made and a written acceptance is required, the mortgagor
fails to accept the loss mitigation offer within the time frame specified in the offer or within
14 days after the date of the offer, whichever is longer; or

(3) the mortgagor declines a loss mitigation offer in writing.

(d) A servicer shall not move for an order of foreclosure new text begin , schedule a foreclosure sale, new text end
or conduct a foreclosure sale under any of the following circumstances:

(1) the mortgagor is in compliance with the terms of a trial or permanent loan
modification, new text begin forbearance, new text end or other loss mitigation option; or

(2) a short sale has been approved by all necessary parties and proof of funds or financing
has been provided to the servicer.

Sec. 30. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2024, section 53B.75, new text end new text begin is repealed.
new text end

APPENDIX

Repealed Minnesota Statutes: 26-06136

53B.75 VIRTUAL CURRENCY KIOSKS.

Subdivision 1.

Disclosures on material risks.

(a) Before entering into an initial virtual currency transaction for, on behalf of, or with a person, the virtual currency kiosk operator must disclose in a clear, conspicuous, and easily readable manner all material risks generally associated with virtual currency. The disclosures must be displayed on the screen of the virtual currency kiosk with the ability for a person to acknowledge the receipt of the disclosures. The disclosures must include at least the following information:

(1) virtual currency is not legal tender, backed or insured by the government, and accounts and value balances are not subject to Federal Deposit Insurance Corporation, National Credit Union Administration, or Securities Investor Protection Corporation protections;

(2) some virtual currency transactions are deemed to be made when recorded on a public ledger, which may not be the date or time when the person initiates the transaction;

(3) virtual currency's value may be derived from market participants' continued willingness to exchange fiat currency for virtual currency, which may result in the permanent and total loss of a particular virtual currency's value if the market for virtual currency disappears;

(4) a person who accepts a virtual currency as payment today is not required to accept and might not accept virtual currency in the future;

(5) the volatility and unpredictability of the price of virtual currency relative to fiat currency may result in a significant loss over a short period;

(6) the nature of virtual currency means that any technological difficulties experienced by virtual currency kiosk operators may prevent access to or use of a person's virtual currency; and

(7) any bond maintained by the virtual currency kiosk operator for the benefit of a person may not cover all losses a person incurs.

(b) The virtual currency kiosk operator must provide an additional disclosure, which must be acknowledged by the person, written prominently and in bold type, and provided separately from the disclosures above, stating: "WARNING: LOSSES DUE TO FRAUDULENT OR ACCIDENTAL TRANSACTIONS ARE NOT RECOVERABLE AND TRANSACTIONS IN VIRTUAL CURRENCY ARE IRREVERSIBLE. VIRTUAL CURRENCY TRANSACTIONS MAY BE USED BY SCAMMERS IMPERSONATING LOVED ONES, THREATENING JAIL TIME, AND INSISTING YOU WITHDRAW MONEY FROM YOUR BANK ACCOUNT TO PURCHASE VIRTUAL CURRENCY."

Subd. 2.

Disclosures.

(a) A virtual currency kiosk operator must disclose all relevant terms and conditions generally associated with the products, services, and activities of the virtual currency kiosk operator and virtual currency. A virtual currency kiosk operator must make the disclosures in a clear, conspicuous, and easily readable manner. The disclosures under this subdivision must address at least the following:

(1) the person's liability for unauthorized virtual currency transactions;

(2) the person's right to:

(i) stop payment of a virtual currency transfer and the procedure to stop payment;

(ii) receive a receipt, trade ticket, or other evidence of a transaction at the time of the transaction; and

(iii) prior notice of a change in the virtual currency kiosk operator's rules or policies;

(3) under what circumstances the virtual currency kiosk operator, without a court or government order, discloses a person's account information to third parties; and

(4) other disclosures that are customarily provided in connection with opening a person's account.

(b) Before each virtual currency transaction for, on behalf of, or with a person, a virtual currency kiosk operator must disclose the transaction's terms and conditions in a clear, conspicuous, and easily readable manner. The disclosures under this subdivision must address at least the following:

(1) the amount of the transaction;

(2) any fees, expenses, and charges, including applicable exchange rates;

(3) the type and nature of the transaction;

(4) a warning that once completed, the transaction may not be reversed;

(5) a daily virtual currency transaction limit of no more than $2,000;

(6) the difference in the virtual currency's sale price compared to the current market price; and

(7) other disclosures that are customarily given in connection with a virtual currency transaction.

Subd. 3.

Acknowledgment of disclosures.

Before completing a transaction, a virtual currency kiosk operator must ensure that each person who engages in a virtual currency transaction using the virtual currency operator's kiosk acknowledges receipt of all disclosures required under this section via confirmation of consent. Additionally, upon a transaction's completion, the virtual currency kiosk operator must provide a person with a physical receipt, or a virtual receipt sent to the person's email address or SMS number, containing the following information:

(1) the virtual currency kiosk operator's name and contact information, including a telephone number to answer questions and register complaints;

(2) the type, value, date, and precise time of the transaction, transaction hash, and each virtual currency address;

(3) the fees charged;

(4) the exchange rate;

(5) a statement of the virtual currency kiosk operator's liability for nondelivery or delayed delivery;

(6) a statement of the virtual currency kiosk operator's refund policy; and

(7) any additional information the commissioner of commerce may require.

Subd. 4.

Refunds for new customers.

A virtual currency kiosk operator must issue a refund to a new customer for the full amount of all transactions made within the 72-hour new customer time period, as described in section 53B.69, subdivision 3b, upon request of the customer. In order to receive a refund under this subdivision, a customer must:

(1) have been fraudulently induced to engage in the virtual currency transactions; and

(2) within 14 days of the last transaction to occur during the 72-hour new customer time period, contact the virtual currency kiosk operator and a government or law enforcement agency to inform them of the fraudulent nature of the transaction.

Subd. 5.

Transaction limits.

(a) There is an established maximum daily transaction limit of $2,000 for each new customer of a virtual currency kiosk.

(b) The maximum daily transaction limit of an existing customer shall be decided by each virtual currency kiosk operator in compliance with federal law.