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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
Application is considered withdrawn if there is no activity for a period of 90 days from the date of application filed with NMLS.
Application is considered withdrawn if there is no response within in fifteen (15) days to a written request from IDFPR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.
Licensee shall comply with applicable federal and State statutes and regulations, including Illinois Mortgage Foreclosure Law.