Proposed Changes For MLO's and Licensee's
The abbreviated changes are as follows:
- Section 1050.210/b/2/C – Amended License
$500 fee for Notice of Change of Ownership or Control
- Section 1050.210/b/2/F - Returned Payment
If a licensee pays with a check and it is returned, there will be a fee of $50. charged
- Section 1050.210/c/1 – Application Fee
New Loan originator application fee goes from $125 to $200.
Annual Renewal for Loan Originator fee goes from $100. to $150.00.
Late fee for renewal of Loan Originator license goes from $50. to $75.
- Section 1050.210/c/2 – Transfer Fee
Transfer of a Loan Originator license from one company to another goes from $35. to $50
- Section 1050.210/c/3 – Reactivation Fee
The fee for reactivation of a loan officer license goes from $100. to $150.
- Section 1050.340/2/A – Full Service Office
Leased offices must have a term of least twelve (12) months and cover the full period of the licensee’s license.
- Section 1050.370 – (NEW SECTION) Licensing of Mortgage Loan Originators
- Section 1050.370/a
Application is considered withdrawn if there is no activity for a period of 90 days from the date of application filed with NMLS.
Application is considered withdrawn if there is no response within in fifteen (15) days to a written request from IDFPR
- Section 1050.370/b/1 - Issuance of License; Conditions and Reports
Allows the Director of IDFPR to issue licenses through electronic licensing systems such as NMLS as well as maintain a public record on the NMLS system.
- Section 1050.370/b/1/A -The licenses shall be issued subject to the following:
IDFPR shall use applicable license numbers and or identifiers for MLO License
An MLO will notify IDFPR/NMLS within 10 days if any of the following happen:
*Loan officer has had his MLO license revoked in any governmental jurisdiction
*Loan Officer has been convicted or nolo contendere of any Felony.
*Convicted of any misdemeanor, adverse judgment involving monies, breach of trust or moral turpitude.
*Fails to comply with any reporting requirement
- Section 1050.370/b/1/C – Termination
Any company licensee must report within ten (10) days, through the NMLS system that a loan officer has left the companies employment.
The company is subject to disciplinary action if the report is not completed within the 10 days from the date of termination.
- Section 1050.370/b/1/D – Changes to MLO status
The MLO must report to IDFPR through the NMLS within thirty (30) days if any of the following happen:
*A lien filed against him or her or has filed bankruptcy.
*Becomes delinquent on child support payments, defaults on student loans or is more than 30 days in arrears on Illinois taxes.
*Changes his or her name, address, email or other identifying criteria.
* Any violation of this requirement may result in disciplinary action.
- Section 1050.370/b/1/E/2 – Inactive or Inoperative Status or Reactivation
*An MLO is considered inactive or inoperative, if the MLO is not employed with a licensee.
*An MLO is to submit the application and fee to NMLS to transfer their MLS license.
*An MLO cannot conduct any licensable activities while inoperative or inactive.
* If the MLO stays inactive or inoperative for more than ninety (90) days the reactivation fee will have to be paid.
*If the MLO’s license expires during the inactive or inoperative status, a new application and fee is required to be submitted.
- Section 1050.655 – Purchase Activity Report
Any company licensee that purchases loans is required to submit by March 1 of each year, an Annual Report of Purchase Activity.
The report is to include:
Name of Originating Company
Dollar amount for each loan by property address or dollar amount of Illinois contained in a multi-state property portfolio and identifying the portfolio, a total amount for all Illinois loans purchased.
- Section 1050.870
Licensee shall comply with applicable federal and State statutes and regulations, including Illinois Mortgage Foreclosure Law.
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