Thousands of Mortgage Professional may be Unable to Legally Work as of 1/1/2011

Allison Tussey —  December 10, 2010 — 1 Comment

With only a month left and just over 10,000 of the almost 43,000 mortgage industry professionals having submitted their new applications, the Florida Office of Financial Regulation (OFR) is concerned that mortgage professionals will not get their applications in on time and will not be able to continue working in the industry come January 1, 2011. All industry licensees are required to re-apply under the new Nationwide Mortgage Licensing System (NMLS) with more stringent requirements, Professionals whose applications are certified as received by December 31, 2010, can continue to work while their application is processed. If a person’s application is not certified as received by December 31, 2010, they will find themselves unable to legally continue working in the mortgage industry and out of work until the new license is approved, which could take more than 3 months.

• Current number of licensed mortgage brokers: 42,666

• Loan Originator applications received as of December 1, 2010: 10,308

• Current number of licensed mortgage companies: 6,967

• New company applications received as of December 1, 2010: 995

• Current number of licensed mortgage company branches: 3116

• New branch applications received as of December 1, 2010: 727

On October 1, 2010, Florida began accepting applications under NMLS, and all existing individuals, companies, and branch offices are now be required to reapply for licensure. But before an application can be certified received a series of requirements must be met and verified, including:

• New state and federal criminal background check

• Satisfaction of pre-license education (includes certification if eligible)

• At least one attempt at the state and national test (includes certification of state test if eligible)

• Credit Report

“We have rigorously been reaching out through industry organizations and their communications vehicles, trying to drill down the message and encouraging applicants to apply now so that they can continue to work while their application is being processed,” said Tom Cardwell, Commissioner of the Florida Office of Financial Regulation. “The longer you wait the more risk you take, and the last thing we want to see is Floridians who are unable to legally continue working in the mortgage industry just because they didn’t get their applications in on time.”

For more information on the new mortgage licensing requirements and process go to http://www.flofr.com/Finance/index.htm, or call the Office’s Licensing Bureau at 850-410-9895.

Be Sociable, Share!

Allison Tussey

Posts Google+

One response to Thousands of Mortgage Professional may be Unable to Legally Work as of 1/1/2011

  1. Several things I find interesting about this article:

    1)Many other states have transition to the NMLS YET NONE have drawn this much attention.

    2)These brokers and firms are not UNABLE to work. They DO NOT MEET the NATIONAL standards that have been set in place. Poor credit, inadequate financial statements or not enough assets have place these companies and individuals where they belong..out of the financial market

    3)As Florida has the HONORS of being number 1 for mortgage fraud since 2007 it is about time that they passed the honor onto someone else. Especially after it came to light they had LICENSED criminals who came from other states to do business in Florida.

    4)Finally, I think Florida will be sad to see that they will remain NUMBER one for mortgage fraud after the transition is complete..why?..because the fight for business dollars is too high. Many of these new unlicense brokers/shops will have books of business worth money. Back door deals will be put in place and interesting “job titles” will be created to funnel illegal payments to these ex mortgage companies and ex brokers..it is the way of doing business in Florida..the AG will have to come down hard if they want to make a dent…

Leave a Reply

Text formatting is available via select HTML.

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong> 

*