Mortgage

Accelerated Mortgage

Beginning September 1, 2016, individuals and business who currently have an accelerated mortgage payment provider registration will need to register with NMLS.

Accelerated Mortgage Payment Provider (.pdf)

Mortgage Originator

An originator includes a broker and lender, and is a person who directly or indirectly, for compensation or gain or in expectation of compensation or gain, solicits or offers to solicit, or accepts or offers to accept an application for a residential mortgage loan through any medium or mode of communication from a borrower, or makes a residential mortgage loan. The originators license is required when an offer of residential mortgage originator services is made to a borrower in Minnesota, or when the residential mortgage originator is located in Minnesota. An offer is defined as "any advertisement or solicitation of any type, including an advertisement or solicitation in newspapers and magazines, by mail, by telephone, on television, on radio, or via the Internet or any other electronic medium of any kind, for residential mortgage originator services. The term "offer" excludes an advertisement or solicitation that specifically states that the services are not available to Minnesota residents.

An applicant for a residential mortgage originator company license must be a corporation or other business entity.

• The company/business entity must have and maintain a surety bond in an amount of at least $100,000.

• No person shall act as a residential mortgage originator company, or make residential mortgage loans without first obtaining a license from the commissioner according to the licensing procedures provided in Chapter 58 or 58A.

• The Commerce Department cannot license natural persons as residential mortgage originator companies.

Renewal

Out-of-State

An out-of-state mortgage company does not need a physical presence in Minnesota. However, registration as a foreign corporation with the Minnesota Secretary of State may be required.

Mortgage Servicer

A servicer is a person who engages in the activity of servicing a residential mortgage through any medium or mode of communication the collection or remittance for, or the right or obligation to collect or remit for a lender, mortgagee, note owner, noteholder, or for a person's own account, of payments, interest, principal, and escrow items such as insurance and taxes for property subject to a residential mortgage loan. The servicing license is required when the residential mortgage loan borrower is a resident of Minnesota.

Residential mortgage servicer company licenses expire on December 31 of each year and are renewable on January 1 of each year after that date. The renewal fee is $250.

Reapply

If a license was not renewed, has lapsed, or was surrendered and you would like the license activated, please follow the instructions at the Nationwide Mortgage Licensing System website and reapply for the license.

Individual Mortgage Loan Originator

A mortgage loan originator is an individual who for compensation or gain or in the expectation of compensation or gain takes a residential mortgage loan application or offers or negotiates terms of a residential mortgage loan. An individual may not engage in the mortgage loan business unless employed and supervised by a licensed residential mortgage originator company or exempt entity under Chapter 58. In addition, any loan processor or underwriter who is an independent contractor of a residential mortgage originator company must obtain a mortgage loan originator license to engage in these activities.

Licenses expire on December 31 of each year and are renewable on January 1 of each year after that date. The renewal fee for a Mortgage Originator license is $50.

If a license was not renewed, has lapsed, or was surrendered and you would like the license activated, please follow the instructions at the Nationwide Mortgage Licensing System website and reapply for the license.

Exempt Entities

Mortgage loan originators (MLOs) who are employees of an exempt entity as defined inMinnesota Statute 58A.02, subd. 12(1)are not required to maintain a license through the State of Minnesota but must register through NMLS.

Examples of a registered MLO include: an employee of

• a depository institution,
• a subsidiary that is owned and controlled by a depository institution and regulated by a federal banking agency; or
  an institution regulated by the Farm Credit Administration.
• MLOs employed with an industrial loan and thrift company, as licensed under Minnesota Statute §53, or regulated lenders under Minnesota Statute §56, are NOT exempt and MUST hold licensure through the state.

The steps for registration and licensure are outline on the NMLS website.