1. (a) A residential mortgage lender, residential mortgage lender and servicer, or residential mortgage loan servicer shall establish, and maintain current, the following books with reference to its general accounts:

   1. (1) General ledger reflecting the assets, liabilities, capital, income and expense of the business, in accordance with generally accepted accounting principles;

   2. (2) Cash receipt and disbursement journal.

      The bank accounts contained in the general ledger shall be reconciled at least once each month with the bank statements of the general accounts.

2. (b) Maintenance of records in accordance with generally accepted accounting principles on microfilm, microfiche, or electronic data processing and retrieval systems shall be deemed to be in compliance with the requirements of this section.

Note: Authority cited: Section 50304, Financial Code. Reference: Sections 50301 and 50314, Financial Code.

History

1. New section filed 11-25-96; operative 12-25-96 (Register 96, No. 48).