Is a Licensed Loan Officer Processing Your Loan Request?

Would you buy a house from Realtor who was not licensed? Would you have taxes done by unlicensed CPA or tax preparer? Would you buy stocks from unlicensed broker? Would you have car serviced by unlicensed mechanic?

The simple answer. Of course not! The SAFE-ACT (Security and Freedom Ensured Act of 2003) requires every Loan Officer, who works for a Mortgage Banker or Broker, to register and obtain a license through the NMLS (National Mortgage Licensing System  Registry) system. Loan Officers who work for banks must register with NMLS; however, they are not required to obtain a license. This is a loop hole for the big banks again beware! They say just trust us we are MR BIG BANK we know what’s best for you.

The real LISCENED Loan Officer in order to obtain his or her license, must have their fingerprints taken, pass a FBI background and local background check, take and pass annual mortgage education courses, pass a very lengthy the national mortgage exam. State laws also require the loan officer pass additional licensing regulations for each state they do business in. Again big banks get to bypass this one!

Keep in mind just because the big bank holds your mortgage you could be working with some seasonal unlicensed hourly worker. They may be a temporary worker! Next time your shopping Ask the person on the phone or email a few simple questions. Then look them up here a the NMLS consumer look up system.

No comments: