|
What are the continuing education and testing requirements?
Effective with the renewal period beginning July 1, 2007, all Wisconsin loan originators and loan solicitors must complete continuing education hours or must have passed the CE Test Out Exam during the 2 years immediately preceding the expiration date of the license that needs to be renewed. Loan Originators are required to complete at least 16 hours of approved continuing education. Loan Solicitors are required to complete at least 12 hours of approved continuing education.
During what time period must I take the CE courses for them to count toward the required total hours?
You must take your CE courses during the two years preceding the expiration date of your license. To avoid potential complications with the renewal of your license, it is highly recommended you complete your CE courses at least 30 days prior to the expiration date of your license.
If I decide to take the CE Test Out exam in lieu of CE courses, during what time period must I pass the CE Test Out exam?
You must pass your CE Test Out exam during the two years preceding the expiration date of your license. To avoid potential complications with the renewal of your license, it is highly recommended you pass your CE Test Out exam at least 30 days prior to the expiration date of your license.
What type of courses must I take?
You must accrue credit hours by taking courses offered by education providers where both the course and the provider have been approved by the Wisconsin Department of Financial Institutions, Division of Banking.
I have a Wisconsin loan originator/loan solicitor license; however; I am not a Wisconsin resident. Do I have to meet the CE requirement or pass the CE Test Out exam to have my license renewed?
Yes.
Does Wisconsin have CE reciprocity ?
At this time, Wisconsin does not have reciprocity with other states.
What is the CE Test Out exam?
The CE Test Out exam is the exam that a loan originator or loan solicitor must take if they wish to renew their license but do not have the required number of CE hours to renew their license.
Where do I find out more about the CE Test Out exam?
More information on the CE Test Out exam is available in the Candidate Handbook.
How are my exam results reported to the division if I take the CE Test Out exam?
If you pass the CE Test Out exam, Pearson Vue will automatically submit the results to the division.
Does Pearson Vue have a toll free telephone number that I can use to ask questions about the CE program or about my transcripts?
You can call Pearson Vue's Customer Care Center at 1-800-274-0266, Monday through Friday, 8 a.m. through 6 p.m., Eastern Standard Time.
How are my CE hours reported to the division?
The law requires that all approved providers of CE courses submit course completion information directly to Pearson Vue. Licensees will not be responsible for filing their completion certificates with Pearson Vue; however, they are advised to retain course completion certificates in the event a discrepancy occurs.
Will I receive written notification of my CE requirement before my license expires?
Yes. Effective with the renewal period beginning July 1, 2007, loan originator and loan solicitor renewal notices will identify the number of CE hours that the loan originator or loan solicitor has accrued.
Can I check to see how many CE hours I have accumulated?
This information is available at www.pulseportal.com. Under "Review your CE transcript" select "Wisconsin" and "Financial Institution" and then enter your last name, your license number and your social security number. You will be able to view and print a copy of your transcript.
Can I carry over continuing education hours from one renewal cycle
to the next?
No. Course credits earned during one 2 year licensing period may not be carried over to the next licensing period.
What happens if I don’t complete my continuing education requirement?
Loan originators and loan solicitors who have not completed their CE hours or passed the CE Test Out exam by the date their license expires will not be able to renew their license and will need to stop conducting business in Wisconsin.
What are the requirements to be a loan originator in Wisconsin?
To permit an orderly transition to the new Wisconsin loan originator licensing requirements the deadlines to complete the license requirements are:
New Applicants Applying After December 11, 2009 Must:
- Complete 20 hours of NMLS-approved education prior to being licensed. Existing licensees that have already satisfied 20 hours of NMLS-approved education in any state, or have had their education certified by another state, are not required to complete the prelicense education.
- Pass the National Component of the SAFE Mortgage Loan Originator Test prior to being licensed.
- Pass the Wisconsin State Component of the SAFE Mortgage Loan Originator Test by December 31, 2010. The Wisconsin State Component of the test will not be available until August 16, 2010.
- Pass a national background check and authorize a credit report through NMLS by December 31, 2010. The background check is available now, however, the ability to authorize a credit report through NMLS is not currently available. Once it is available this web page will be updated.
- Register with the Nationwide Mortgage Licensing Registry (NMLS).
Existing Licensees Who Held a License Prior to December 31, 2009 Must:
- Existing licensees that were initially licensed between July 1, 2005 and December 31, 2009 and have completed at least 20 hours of Wisconsin DFI-approved continuing education between July 1, 2005 and June 30, 2010 will be certified as having fulfilled the 20 hours of prelicense education as long as the licensee has transitioned their information onto the NMLS by March 31, 2010.
- Pass the National Component of the SAFE Mortgage Loan Originator Test by December 31, 2010.
- Existing licensees that were initially licensed between July 1, 2005 and December 31, 2009 do not have to take the Wisconsin State Component as long the licensee has transitioned their information onto the NMLS by March 31, 2010.
- Licensees that were initially licensed prior to July 1, 2005 must pass the Wisconsin State Component by December 31, 2010 unless the licensee has passed the Wisconsin Continuing Education Test-Out Exam and transitioned their information onto the NMLS by March 31, 2010.
- Pass a national background check and authorize a credit report through NMLS by December 31, 2010. The background check is available now, however, the ability to authorize a credit report through NMLS is not currently available. Once it is available this web page will be updated.
- Register with the Nationwide Mortgage Licensing Registry (NMLS) by March 31, 2010. Existing licensees that have not transitioned their information onto the NMLS by March 31, 2010 will not be eligible to have their education or Wisconsin State Component of the SAFE Mortgage Loan Originator Test certified.
Should I complete the minimum 20 hours of NMLS-approved education and pass the National Component of the exam before the deadline?
Yes. Loan originators are encouraged to begin the prelicense education and testing early and can take the national components separately from the state requirements.
Who do I contact if I have questions about the NMLS?
For questions relating to the Nationwide Mortgage Licensing System, please contact the NMLS Call Center at (240) 386-4444.
Who do I contact if I have questions about Wisconsin' requirements?
For questions relating to Wisconsin' state-specific requirements visit their website.
Can the prelicense education be completed online?
Yes. The NMLS allows courses to be completed in online instructor-led, classroom-equivalent and classroom formats.
Will ProSchools' NMLS-approved prelicense courses help me to pass the SAFE Loan Originator Test? Do I need to purchase exam prep?
ProSchools' prelicense courses have been designed to prepare you to pass the SAFE Loan Originator Test. When you enroll in one of ProSchools' prelicense courses you will be preparing for the SAFE Loan Originator Test while you complete your mandatory education so purchasing exam prep is not necessary.
What is "credit banking" and how does it work?
The NMLS requires all completed hours to be "banked" with the NMLS. ProSchools, as your NMLS-approved course provider, will transmit your completion record to the NMLS within 7 days of you finishing your coursework and your session has ended. The NMLS charges $1.50 per credit hour to bank your credit hours.
What exactly is an NMLS "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 he 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.
Do I need an NMLS "unique identifier" to have my credits banked with the NMLS or enroll for the SAFE Loan Originator Test?
Yes. To have your credits banked or to enroll for the SAFE Loan Originator Test you must have a Unique Identifier. The NMLS Resource Center makes it easy to get registered and receive your unique identifier.
What is the purpose of the SAFE Mortgage Loan Originator Test?
As required by the SAFE Act, the SAFE Mortgage Loan Originator Test is designed to adequately measure an individual’s knowledge and comprehension in appropriate areas, to include:
- Ethics;
- Federal law and regulation pertaining to mortgage origination;
- State law and regulation pertaining to mortgage origination;
- Federal and State law and regulation, including instruction on fraud, consumer protection, the nontraditional mortgage marketplace, and fair lending issues.
The SAFE Mortgage Loan Originator Test includes two components: a National Component and a State component.
When will the SAFE Mortgage Loan Originator Test be available?
The National Component and several State Components are available now or will be offered soon. Each states component will be made available in accordance with each state’s SAFE Act implementation schedule.
Will Mortgage Loan Originators have to take a test for each state or jurisdiction they conduct loan origination activities?
Mortgage Loan Originators will have to pass the State Component for each state or jurisdiction they conduct loan origination activities. The National Component will only have to be passed once. Mortgage loan originators who have successfully passed a state required test previously may not have to take the State Component for that state. The state regulatory agency will be able to verify if the State Component is required.
What are the fees for taking the SAFE Mortgage Loan Originator Test?
The National Component is $92 and each State Component is $69.
Is prelicense education required prior to taking the SAFE Mortgage Loan Originator Test?
No. It is recommended to take prelicense education prior to taking the SAFE Mortgage Loan Originator Test but not required.
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 MU3 form is used to sign up a branch office with the NMLS.
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 features:
- Screen individuals for no felonies in the last 7 years (certain felonies, like fraud, dishonesty, breach of trust, or money laundering NEVER)
- Screen individuals for no previous license revocations
- Require proof of financial responsibility using a credit report
- Require prelicense testing and education
- Require continuing education
- Provide for license renewals on an annual basis
- 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.
|
