Nevada Adopts Uniform State Test and Exempts Loan Processors and Underwriters from MLO Licensure

more+
less-

Another state agency has announced that it will be adopting the new national MLO test with the Uniform State Content. The Nevada Department of Business and Industry will adopt the test effective January 1, 2014. With this announcement, a total of 32 state agencies have adopted the new test and will no longer require a separate state-specific test component as a prerequisite for MLO licensure.

Nevada also has amended its MLO licensing statute to explicitly exempt loan processors and underwriters from the definition of “residential mortgage loan originator.” Accordingly, a loan processor or underwriter who acts as an employee at the direction of and subject to the supervision and instruction of a licensed or exempt mortgage broker is exempt from MLO licensure. This amendment is effective immediately.

Oregon Amends Mortgage Licensing Exemptions

Oregon recently amended its mortgage licensing statute to remove certain exemptions. Previously, subsidiaries and affiliates of financial holding companies, bank hold companies, and savings and loan holding companies were exempt from mortgage licensure. However, Oregon has recently removed these exemptions. This means that any such entities that were previously exempt must now obtain licensure if not otherwise exempt. This amendment is effective January 1, 2014.

Oregon also recently amended its mortgage loan originator licensing statute to exempt individuals who, as a seller during any 12-month period, offer or negotiate terms for not more than three residential mortgage loans that are secured by a dwelling that did not serve as that person's residence. To claim this exemption, an individual cannot at any time hold more than eight residential mortgage loans. Otherwise, that person will need to obtain an Oregon MLO license. This amendment is effective immediately with an operative date of September 3, 2013.

Topics:  Exemptions, Licenses, MLO Licenses, Mortgages, Underwriting

Published In: General Business Updates, Finance & Banking Updates, Residential Real Estate Updates

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Ballard Spahr LLP | Attorney Advertising

Don't miss a thing! Build a custom news brief:

Read fresh new writing on compliance, cybersecurity, Dodd-Frank, whistleblowers, social media, hiring & firing, patent reform, the NLRB, Obamacare, the SEC…

…or whatever matters the most to you. Follow authors, firms, and topics on JD Supra.

Create your news brief now - it's free and easy »