TO ALL ORIGINATORS NOT JUST MORTGAGE BROKER OWNERS
DID YOU KNOW - the safe Act passed and was signed by the Governor on 5/21/2009
THE Alabama S.A.F.E.(Secure and Fair Enforcement) Mortgage Licensing Act of 2009 requires
* ALL Originators to be licensed and registered through the
Nationwide Mortgage Licensing System and Registry (NMLSR) you will be required to obtain a mortgage loan originator license by June 1, 2010
A Mortgage Loan Originator is “ an individual who for compensation or gain or in the expectation of compensation or gain takes a residential loan application, offers or negotiates terms of a residential mortgage loan ONLINE APPLICATIONS CAN BEGIN OCTOBER 2, 2009
* Will receive a unique identifier
* Applicants for Licensure to pay a fee – initial $75.00 license
fee IN ADDITION to the fees required to apply through the NMLSR, Renewal Fee $75.00 license fee IN ADDITION to the fees required to apply through the NMLSR
* Background information – fingerprints, personal history,
independent credit report, and information related to any administrative civil or criminal findings by a governmental jurisdiction
* Complete educational requirements
Pre-licensing – 20 hours of education to include 3 hours of Federal Law and regulations, 3 hours of Ethics (fraud, consumer protection, and fair lending issues), and 2 hours of training related to lending standards for the non traditional mortgage product marketplace
License Renewal -8 hours of education to include 3 hours of Federal Law and regulations, 2 hours of Ethics (fraud, consumer protection, and fair lending issues), and 2 hours of training related to lending standards for the non traditional mortgage product marketplace
* Pass a written test 75% or greater
Will include – ethics, federal law and regulation, state law
* Effective Date – June 1, 2010
NOTE: ALL 20 HOURS OF EDUCATION NEED TO BE CERTIFIED BY ONLY ONE APPROVED SOURCE AND AMBA IS ONE OF THOSE SOURCES THIS MUST BE DONE PRIOR TO APRIL 30, 2010
THE STATE BANKING DEPARTMENT IS GOING TO REVIEW APPLICATIONS OF CURRENTLY LICENSED MORTGAGE BROKERS FIRST SO IF YOU WANT TO GUARANTEE THAT YOU WILL BE READY TO OPERATE YOUR BUSINESS ON JUNE 1, 2010, MAKE SURE YOU CURRENTLY HAVE YOUR STATE MORTGAGE BROKER LICENSE (go to www.banking.alabama.gov to apply online)
The Mortgage Broker Licensing Act PASSED AND SIGNED BY THE GOVERNOR
5/21/2009
* Mortgage Company owners will be required to obtain a license for
the company AND if you also originate, you will be required to be licensed as above
* Mortgage Company requirements
* fees –
Initial Non-refundable $600 application fee
Renewal – non refundable $500.00 application fee due by 12/31
* Surety Bond in lieu of the $25,000 net worth
* Background information- fingerprints, personal history,
independent credit report, and information related to any administrative civil or criminal findings by a governmental jurisdiction
Please note that these are just highlights of what is to come. For more detailed information, please become a member of AMBA. Contact Tammy Kirkland or visit our website at www.almba.org
COME TO THE NEXT STATE LAW EDUCATION ON JULY 16, 2009 AT THE 5 RIVERS IN MOBILE, ALABAMA TAUGHT BY JEREMY WINDHAM OF THE ALABAMA STATE BANKING DEPARTMENT.
Blessings,
Phil King
2009 AMBA President
