The annual NMLS renewal period for 2016 started on November 1, 2015, and ends on December 31, 2015. State regulators are encouraging licensees to renew their licenses early. Renewal applications are available online. In addition, for updates and renewal-related news, licensees can follow the State Regulatory Registry’s new Twitter account, @NMLSInfo. 

North Carolina Implements Registration System for Third Party Loan Processors and Underwriters

North Carolina has enacted provisions under the Secure and Fair Mortgage Licensing Act establishing a registration process for entities engaged in third party loan processing and underwriting activities.  Specifically, a company registration will be required for “mortgage origination support registrants,” who are defined as persons engaged exclusively in the processing or underwriting of residential mortgage loans and not engaged in the mortgage business. The eligibility requirements for registration are generally the same as those for licensure as a mortgage broker, mortgage lender, or mortgage servicer. For instance, applicants must put forward a qualifying individual with at least three years of pertinent mortgage industry experience. Applicants for registration will apply through the Nationwide Mortgage Licensing System and Registry. 

This provision became effective November 1, 2015. 

Connecticut Issues Memorandum Regarding License Requirements for Loan Processors and Underwriters

The Connecticut Department of Banking, Consumer Credit Division (Division) issued a memorandum on October 23, 2015, clarifying its position on licensing requirements for mortgage loan processors and underwriters. The memorandum details the applicable statutory language, and provides certain examples of processing and underwriting arrangements that invoke the license requirement. 

In doing so, the Division signals its intention to pursue administrative actions against unlicensed processors and underwriters, as well as those licensed mortgage lenders, mortgage correspondent lenders, and mortgage brokers that utilize the services of unlicensed entities. The memorandum states that the Division will defer the initiation of administrative actions against licensees if those needing to be licensed in their organizations apply for LPUW licensure on the NMLS by December 31, 2015.