Section 305.2. Definitions

The following words and terms, when used in this chapter, have the following meanings, unless the context clearly indicates otherwise:

Borrower—A person seeking the services of a loan broker.

Fee—oney or other valuable consideration paid or promised to be paid by a borrower for services rendered or to be rendered by a person acting as a loan broker as that term is defined in this chapter. The term does not include a bona fide fee or expense paid by a borrower which the loan broker pays to a third party specifically for credit reporting and appraisal services.

Loan—An agreement to advance money secured by owner-occupied single-family residential real estate in return for the promise that the money shall be repaid and that payments shall be made for the use of the money.

Loan broker—A person, copartnership, association or corporation engaged in providing services for the purpose of procuring or attempting to procure a loan on behalf of a borrower where a fee or other valuable consideration is charged for the services. The term does not include a person, copartnership, association or corporation expressly regulated by a regulatory body or officer of this Commonwealth or of the United States, such as State and nationally chartered banks, savings and loan associations and their regulated subsidiaries.