What regulation is SAFE act?
Regulation G
SAFE
Secure and Fair Enforcement of Mortgage Licensing
HERA
HOUSING AND ECONOMIC RECOVERY ACT
When was HERA started
2008
Purpose of SAFE act
- Licensing, Registering, and Educating Standards
- Encourage responsible behavior with industry with mandates
- Provide consumers with access to information to licensees /registrants (ex. denials, enforcement actions)
- Facilitate collection and distribution between complaints between states
What is the break down of the NMLS pre-education?
3 hrs: Federal Law and Regulation 2 hrs: Ethics 2 hrs: Non-traditional Mortgage Products 12 hrs: Electives TOTAL 20 hrs
How many hours of NMLS pre-education is required?
20 hrs
What are the MU forms needed for NMLS licensing?
MU-1 Uniform Mortgage Lender/Mortgage Broker Form
MU-3 Uniform Mortgage Branch Office Form
MU-4 Uniform Individual Mortgage License/Registration and Consent Form
What is the break down of the NMLS exam?
23% Federal Mortgage Law 23% General Mortgage 25% MLO Activities 16% Ethics 13% Uniform State Content
What are the Continuing Education Standard break down
3hrs: Federal Law
2hrs: Ethics
2hrs: Non-traditional Mortgage Products
1 hr: Elective
TOTAL: 8 hrs
What does SAFE define and non-traditional mortgages?
Anything other than a 30 year fixed
What is the purpose of the SAFE Act?
- Licensing/registration and setting education standards
- To encourage responsible behavior within the industry with mandates
- Provide Consumer access to information about licensees/registrants, such as enforcement actions, denials, etc.
- Facilitate collection and distribution between complaints between states
What is Title V of the SAFE act?
HERA
What is the max penalty under SAFE act?
$25,000 per incident BY the State
