Massachusetts General Laws

Mass. Gen. Laws ch. 183C, § 3 (2026)

Certification from counselor with third-party nonprofit organization

✓ current as of July 2026
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Section 3. A creditor may not make a high-cost home mortgage loan without first receiving certification from a counselor with a third-party nonprofit organization approved by the United States Department of Housing and Urban Development, a housing financing agency of this state, or the regulatory agency which has jurisdiction over the creditor, that the borrower has received counseling on the advisability of the loan transaction. Counseling shall be allowed in whole or in part by telephonic means. The commissioner shall maintain a list of approved counseling programs. A high cost home mortgage loan originated by a lender in violation of this section shall not be enforceable. At or before closing a high cost home mortgage loan, the lender shall obtain evidence that the borrower has completed an approved counseling program.

Notes of Decisions
Cited in 5 cases, 2008–2015 · leading case: Drakopoulos v. U.S. Bank Nat'l Ass'n, 465 Mass. 775 (Mass. 2013).
Drakopoulos v. U.S. Bank Nat'l Ass'n, 465 Mass. 775 (Mass. 2013). “” G. L. c. 183C, § 3. Additionally, “[a] lender shall not make a high-cost home mortgage loan unless the lender reasonably believes at the time the loan is consummated that [one] or more of the obligors, will be able to make the scheduled payments to repay the home loan .”
Frykberg v. JPMorgan Chase Bank, Nat'l Ass'n (In re Frykberg), 490 B.R. 652 (1st Cir. BAP 2013). “Mass. Gen. Laws ch. 183C, § 3. The statute defines “high[-]cost” home mortgage loans as those in which the points and fees exceed the greater of 5 percent of the total financed amount or $400.”
Lam v. PNC Mortg., 130 F. Supp. 3d 429 (D. Mass. 2015). “” Mass Gen. Laws ch. 183C, § 3. Further, lenders must reasonably believe, based off a borrower’s “current and expected income, current and expected obligations, employment status, and other financial resources other than.”
In Re Noyes, 382 B.R. 561 (Bankr. D. Mass. 2008). “ctually prove, or in this case demonstrate a reasonable likelihood of proving, violations of the myriad federal and state consumer protection statutes whose remedies do not necessarily overlap or afford much relief to debtors unable to rescind and tender under TILA, unable to…”
Powell v. Ocwen Loan Servicing, LLC, 29 Mass. L. Rptr. 366 (Mass. Super. Ct. 2012). · cites it 2× “Under G.L.c. 183C, §3, a borrower in a “high cost home loan” transaction which incorporates any of the practices prohibited under that chapter may bring a civil action for damages or equitable relief.”
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