Standards for State license renewal

Source Credit

(a) In general
The minimum standards for license renewal for State-licensed loan originators shall include the following:
(1) The loan originator continues to meet the minimum standards for license issuance.
(2) The loan originator has satisfied the annual continuing education requirements described in subsection (b).
(b) Continuing education for State-licensed loan originators
(1) In general
In order to meet the annual continuing education requirements referred to in subsection (a)(2), a State-licensed loan originator shall complete at least 8 hours of education approved in accordance with paragraph (2), which shall include at least—
(A) 3 hours of Federal law and regulations;
(B) 2 hours of ethics, which shall include instruction on fraud, consumer protection, and fair lending issues; and
(C) 2 hours of training related to lending standards for the nontraditional mortgage product marketplace.
(2) Approved educational courses
For purposes of paragraph (1), continuing education courses shall be reviewed, and approved by the Nationwide Mortgage Licensing System and Registry.
(3) Calculation of continuing education credits
A State-licensed loan originator—
(A) may only receive credit for a continuing education course in the year in which the course is taken; and
(B) may not take the same approved course in the same or successive years to meet the annual requirements for continuing education.
(4) Instructor credit
A State-licensed loan originator who is approved as an instructor of an approved continuing education course may receive credit for the originator's own annual continuing education requirement at the rate of 2 hours credit for every 1 hour taught.
(5) Limitation and standards
(A) Limitation
To maintain the independence of the approval process, the Nationwide Mortgage Licensing System and Registry shall not directly or indirectly offer any continuing education courses for loan originators.
(B) Standards
In approving courses under this section, the Nationwide Mortgage Licensing System and Registry shall apply reasonable standards in the review and approval of courses.

History

(Pub. L. 110–289, div. A, title V, §1506, July 30, 2008, 122 Stat. 2816.)