What are the continuing education requirements for Mortgage Brokers?
By May 31st of each year, mortage brokers must submit to the Commissioner proof that each person who supervises the daily business of the mortgage broker has completed at least 10 hours of certified continuing education during the 12 months immediately preceding the date the license expires.

What are the continuing education requirements for Mortgage Agents?
A mortgage agent must complete at least 10 hours of certified courses of continuing education during the year immediately preceding the date on which the license expires to maintain the license.

What is the annual renewal period for Mortgage Brokers?
Mortgage broker licenses expire annually on June 30. Renewals must be submitted to the Division by May 31.

What is the annual renewal period for Mortgage Agents?
A mortgage agent license expires 1 year after the date the license is issued.

Can I carry over continuing education hours from one renewal cycle
to the next?
Class hours used for prior renewals may not be used to meet current education requirements, although excess hours may be used or carried forward.

What happens if I don’t complete my continuing education requirement?
If an agent fails to renew their license, they must immediately cease conducting business until they have completed the license renewal requirements and pay an additional $75 reinstatement fee. The Division will consider any mortgage activity conducted by an agent following their failure to renew to be a violation of statute and may subject both the broker and agent to administrative action and/or fines.

What are the requirements to become a Mortgage Agent in Nevada?
You’re required by Nevada law to complete an application, including a Personal History Record, Child Support Statement and two sets of fingerprints to become a Mortgage Agent. Education is not required for initial application as a Mortgage Agent. Agents may begin conducting business upon submission of the application. For detailed information, visit ProSchools' License Requirement's page.

What is the SAFE Mortgage Licensing Act?
SAFE stands for Secure and Fair Enforcement for Mortgage Licensing Act of 2008. The law went into effect July 2008. It is Title V of a 700-page piece of legislation entitled the Housing and Economic Recovery act of 2008. The Act is designed to protect consumers by requiring states to use uniform standards for licensing individuals wanting to serve as loan originators. Uniform standards include registry in a national database of loan originators, education and testing requirements, and screening individuals with background checks for past felonies and demonstrated financial responsibility.

Who does the SAFE Mortgage Act impact?
The SAFE Mortgage Licensing Act applies to all loan originators. A loan originator is anyone who is compensated to take a residential mortgage loan application and offer or negotiate terms of a residential mortgage loan.

What is the NMLS or NMLSR?
NMLS is the Nationwide Mortgage Licensing System and Registry. Each applicant is required to submit applicant information, including fingerprints, personal history and experience. This information is stored in a national database of mortgage originators, developed and maintained by the Conference of State Bank Supervisors.

What information will be in the NMLS database?
The database will contain licensing information, enforcement actions and background data for every state-licensed mortgage broker, loan originator and lender. Those individuals operating in states without licensing requirements will have the opportunity to submit information voluntarily.

What type of application form is used to get a mortgage originator's license?
The NMLS has four application forms: MU1, MU2, MU3, and MU4.

Mortgage originators use the Form MU4, which is the Uniform Individual Mortgage License/Registration and Consent form. It is submitted to the jurisdiction where the applicant is filing. A mortgage originator must be affiliated with an employer for the form to be submitted. Certain employing brokers submit this form in behalf of their loan originators.

Form MU1 is the Uniform Mortgage Lender/Mortgage Broker form that is required to be completed and submitted by companies and sole proprietorships. Each MU1 form must be accompanied by at least MU2 form that identifies the firm's key persons in control. Finally, the MU2 form is used to sign up a branch office with the NMLS.

What exactly is an NLMS "unique identifier"?
Each loan originator registered in the NMLS, National Registry, will be permanently assigned a number that will help electronically track them. A loan originator's unique identifier will not change as her or she moves from state to state. In fact, the process of being licensed in additional states is streamlined by just adding the new state's license to the current record.

What is the difference between being a "State-licensed loan originator" and a "registered loan originator"?
Both types of loan originators take applications and negotiate residential mortgage loan terms. However, "registered" loan originators are employed by a bank (depository institution) or credit union, while "State-licensed" loan originators are not.

What are the prelicense education requirements for State-licensed mortgage originators as a result of the SAFE Act?
20 hours of prelicensing education are required; 3 hours of which must be related to Federal laws and regulations, 3 hours of ethics, and 2 hours of training on nontraditional mortgage products (i.e., any product that is not a 30-year fixed rate mortgage). All courses must be approved by the Nationwide Mortgage Licensing System; however the approval system isn't expected to be developed until the latter part of 2009.

What are the testing and exam requirements for mortgage originators?
Applicants must take and pass with of score of not less than 75% a written test. The test measures the applicant's knowledge of mortgage lending ethics, federal and state laws and rules, including consumer protection, nontraditional mortgage products and fair lending issues.

What will be on the test?
The test will have a national component and a state component. The federal component will likely cover licensing and education rules, investigation and examination requirements, and prohibited practices. In fact, the Model State Legislation developed by the Conference of State Bank Supervisors includes 14 prohibited practices. The state portion will be specific to each states laws and rules.

What are the SAFE Act continuing education requirements?
On an annual calendar-year basis, licensees must complete 8 hours of continuing education to renew a license. The hours must include at least 3 hours of federal laws and rules; 3 hours of ethics, including fraud, consumer protection, and fair lending issues; and 2 hours of training relating to lending standards for nontraditional mortgage products, i.e., any product that is not a 30-year fixed rate mortgage.

Licenses do not need to take continuing education in the same year they take their 20 hours of prelicense education.

What are the minimum state license standards as a result of the SAFE Act?
SAFE Act requires that any system developed by a state to license individuals to serve in a mortgage lending capacity must have at least the following 8 features:

1. Screen individuals for no felonies in the last 7 years (certain felonies, like fraud, dishonesty, breach of trust, or money laundering NEVER)
2. Screen individuals for no previous license revocations
3. Require proof of financial responsibility using a credit report
4. Require prelicense testing and education
5. Require continuing education
6. Provide for license renewals on an annual basis
7. Include a bond, net worth or recovery fund

What this means is that states will require background checks, including fingerprinting, and credit checks of individuals seeking licensure. In addition, prelicense education and testing systems and continuing education requirements will be developed and monitored.

Does this mean that current state requirements go away?
No. In fact, the federal law is considered to be the minimum. States may mandate additional licensing or education requirements beyond those required by the SAFE Act.

What authority does the state agency retain with this new federal NMLS system?
Each state agency retains authority to approve, deny, suspend, or revoke mortgage originator licenses. The NMLS is only an electronic repository of applications and renewals.

Who will create the education and testing requirements?
The Board of Managers of the state Regulatory Registry announced it has selected the Financial Industry Regulatory Authority, Inc. (FINRA) and its sub-contractor Pearson VUE to implement the testing and education requirements. The first SAFE tests are expected to be developed and delivered by July 30, 2009.

What are the overall timelines associated with mortgage originator education, testing, and licensing?
There are two different categories of individuals with two different compliance timeframes:

1. Licensed mortgage loan originators- those who were licensed before July 31, 2009 must take the education, exam and be licensed on the NMLS system between July 31, 2009 and January 1, 2001 in order to be compliant. However, if they already have taken 20 hours of prelicense education under an existing requirement, they do not need to repeat that training.
2. Non-licensed mortgage loan originators- those who did not hold a license as of July 31, 2009 must take the education, and exam and be licensed on the NMLS system between July 31, 2009 and July 31, 2010.