Registration of Bank Loan Originators for NMLS Coming Soon

The Office of the Comptroller of the Currency (OCC) reminded banks that under the Secure and Fair Enforcement for Mortgage Licensing Act (SAFE Act) and the final rules issued on July 28, 2010, residential mortgage loan originators employed by banks, savings associations, credit unions, Farm Credit System institutions, and certain subsidiaries of these financial institutions must register with the Nationwide Mortgage Licensing System and Registry.

The initial period for federal registration of residential loan originators is expected to start on or around January 31, 2011, and end on or around July 29, 2011.

According to the OCC, employees of national banks and their subsidiaries will have 180 days from the start date to complete their initial registrations. After this 180-day period, anticipated to expire on or about July 29, 2011, any employee subject to the registration requirements will be prohibited from originating residential mortgage loans without first meeting these requirements.

Advertisement

The Department of Housing and Urban Development announced its tracking third party originators by NMLS numbers earlier this month.

Join the Conversation (4)

see all

This is a professional community. Please use discretion when posting a comment.

  • So here we are with an irrational two tiered system. One tier is for the big guys and their cronies and the other for the rest of us.

    It now takes six months to register? Try taking the NMLS exams. There are a lot of originators who tried and failed. While it is barely understandable why the banks themselves are exempt under this law from some licensing requirements, it is impossible to understand why the originators are.

    Whenever someone defends the exemption, it always comes down to the needs of smaller states and thus the bank exemption. OK, some people agree with that position. What no one addresses is why any exemption should apply to mortgage loan originators because there is no logical explanation other than the banks think that it will ultimately mean higher comp to their origination core and somehow in some way, the banks provide better safeguards through their systems and training. (; (; (wink, wink and very hush, hush)

  • So here we are with an irrational two tiered system. One tier is for the big guys and their cronies and the other for the rest of us.

    It now takes six months to register? Try taking the NMLS exams. There are a lot of originators who tried and failed. While it is barely understandable why the banks themselves are exempt under this law from some licensing requirements, it is impossible to understand why the originators are.

    Whenever someone defends the exemption, it always comes down to the needs of smaller states and thus the bank exemption. OK, some people agree with that position. What no one addresses is why any exemption should apply to mortgage loan originators because there is no logical explanation other than the banks think that it will ultimately mean higher comp to their origination core and somehow in some way, the banks provide better safeguards through their systems and training. (; (; (wink, wink and very hush, hush)

  • I have commented on this so many times. Anyone who thinks banks are better able to control their originators than mortgage banks and brokers might want to remember — oh, I don’t know — maybe CountryWide aka BofA, Wachovia aka Wells Fargo, Washington Mutual aka Chase. Swallowing up those banks does not swallow up the history of lax bank regulation. But, hey, we need banks so they can lend to the little guys, so businesses can start up and oh well, :):););)

  • I have commented on this so many times. Anyone who thinks banks are better able to control their originators than mortgage banks and brokers might want to remember — oh, I don’t know — maybe CountryWide aka BofA, Wachovia aka Wells Fargo, Washington Mutual aka Chase. Swallowing up those banks does not swallow up the history of lax bank regulation. But, hey, we need banks so they can lend to the little guys, so businesses can start up and oh well, :):););)

string(103) "https://reversemortgagedaily.com/2011/01/26/registration-of-bank-loan-originators-for-nmls-coming-soon/"

Share your opinion