Monthly mortgage summary, Apr. 2008

NDFI

MONTHLY MORTGAGE SUMMARY

April 2008
Georgia Department of Banking & Finance-- Non Depository Financial Institutions Division MonthlyMoSnutmhmlyaSruymomf MaroyrtogfaMgoerAtgcatgiveitAicetsivfiotrietshefoPr etrhieodPeErnidoidngEnAdpirnigl A20p0ri8l 2007

Inside this issue:

Page 1

NEWS

NEWS ITEMS

2008 Legislative Update

1

MARI Fraud Report 2

2008 LEGISLATIVE UPDATE

Renewals

2

Fraud Prevention

3

ADMINISTRATIVE ITEMS

Administrative Actions

5-6

Fines

6

Licenses Revoked, Expired...Denied

7

Licenses Approved & Reinstated

8

Customer Service Stars

9

Useful Links MORTGAGE FORMS: DBF.GEORGIA.GOV/
DBFMTGFORMS
UPDATING LICENSE INFORMATION
DBF.GEORGIA.GOV/
DBFMTGFORMS
MORTGAGE SUMMARY DBF.GEORGIA.GOV/
DBFMTGSUMMARY

The Georgia General Assembly adopted several pieces of legislation that will affect Georgia financial institutions. The following is a summary of four of those bills. These bills have not yet been signed by the Governor, and do not become law without that approval; however, two of the four summarized below will become effective immediately upon approval. Therefore, licensees should familiarize themselves with the new requirements. Specific questions regarding the legislation and how it may affect particular institutions should be addressed to the licensee's own legal counsel. The following recap is only intended as a summary and the full text of the legislation should be reviewed and understood by each financial institution.
House Bill 1093: This bill, as passed the House and Senate, is an amendment to Official Code of Georgia Annotated (O.C.G.A.) 44-14-3 relating to providing a cancellation or mortgage satisfaction to a borrower. The purpose of the original code provision was to protect grantors of deeds and other security instruments from lenders who unreasonably withheld cancellation of deeds when loans were paid in full. O.C.G.A. 44-14-3 currently provides that, within 60 days of the date of full payment of a loan or note, the holder of the security instrument must file a satisfaction or cancellation with the clerk's office. It further provides that if a lender fails to furnish such cancellation, "upon written demand" the grantor is entitled to $500.00 in liquidated damages and other costs and fees. House Bill 1093 was drafted in response to a number of class action lawsuits that have been filed against lenders in Georgia. These class action suits have been predicated on the argument that a demand can be made when a suit is filed seeking the payment for not only the borrower directly involved in the litigation, but also for any other borrower of the lender whose mortgage had not been satisfied within the 60 day period required. House Bill 1093 provides clarifying language to address this issue. Specifically, whenever a deed or security instrument is paid in full, the lender, within 60 days of the date of the full payment, must mail notice of satisfaction or cancellation and notice of

the borrower's right to demand payment of $500.00 in liquidated damages from the lender if such obligation is not timely met. Language has been added to require that a borrower make written demand to the lender at least 15 business days prior to filing a civil action to recover liquidated damages. House Bill 1093 will become effective upon the Governor's signature or upon its becoming law without such approval.
Senate Bill 355: Referred to as the "Good Funds" bill, this legislation amends O.C.G.A. 44-14-13 by changing the instruments mortgage settlement agents may accept in lieu of collected funds. The legislation provides that a settlement agent may disburse proceeds from its escrow account after receipt of any of the following negotiable instruments even though the same are not collected funds: (1) a cashier's check as defined at O.C.G.A. 11-3- 104 from a federally insured bank, savings bank, savings and loan association, or credit union, and issued by a lender for a closing or loan transaction; (2) a check drawn on the escrow account of an attorney or real estate broker, if there are reasonable and prudent grounds to believe that the check will constitute collected funds in the settlement agent's escrow account within a reasonable time; (3) a check issued by the United States or Georgia, or any agency thereof, as defined at O.C.G.A. 50-15-1; and (4) a check or checks not exceeding $5,000 in aggregate per loan closing. The legislation also contains a provision that in the case of a refinancing or any other loan where a right of rescission applies, the lender shall, prior to disbursement, and no later than 11:00 a.m. eastern time of the next business day following the expiration of the rescission period, deliver loan funds to the settlement agent. Upon the Governor's signature or upon its becoming law without such approval, Senate Bill 355 will become effective July 1, 2008, and will apply to all loans closed on or after July 1, 2008.
Senate Bill 531: This bill amends O.C.G.A. 44-14-162 relating to the advertisement and conduct necessary for validity for sales made on foreclosures under power of sale. This legislation contains a requirement that the security instrument or assignment thereof vesting the secured creditor with title to the security instrument be filed prior to the time of sale in the county in which the real property is located. Notice of the initiation of proceedings must be given to the debtor no later than 30 days before the date of the proposed foreclosure. A copy of the notice to be submitted to the publisher must be included in the notice given to the debtor. The notice
(Continued on page 2)

Page 2

April 2008

News--Continued

("Legislative Update" Continued from page 1)
must be in writing and must include the contact information of an individual or entity that has full authority to negotiate, amend, and modify the terms of the mortgage. The code amendment does not require that a secured creditor negotiate, amend, or modify the terms of a mortgage instrument. Senate Bill 531 will become effective upon the Governor's signature or upon its becoming law without such approval. This legislation does not provide any instruction as to how these new notice requirements will affect foreclosure proceedings already in progress. Only a court of competent jurisdiction will be able to address that issue specifically, however, the Department would suggest that its regulated entities immediately incorporate the notice requirements contained in Senate Bill 531 into their standard operating procedures.
House Bill 921: This bill amends Article 13 of Chapter 1 of Title 7 of the Official Code of Georgia Annotated, relating to licensing of mortgage lenders and mortgage brokers, to allow the Department to participate in a nation-wide automated licensing system for mortgage brokers and mortgage lenders and to provide for rules and regulations for participation in the system. Such regulations are to provide for disbursement of fees minus expenses, to provide for changing license renewal dates, and provide for other procedural changes to facilitate participation in the system. The bill will become effective upon the Governor's signature or upon its becoming law without such approval.

on the web at: http://www.marisolutions.com/resources-news/ reports.asp
FY 2009 Renewals
Please remember that the renewal system is still available through June 30, 2008. Late renewal fines of $300 will be reflected in your renewal record for those filing late and will be paid with your renewal fee, and for broker/processor licensees who failed to obtain Continuing Education credits prior to April 1, a notice will be given that the $1,000 fine will also be assessed as your record is reviewed. Should any additional information be required for any license renewal, the licensee will be contacted by e-mail. Renewals requiring additional information cannot be approved until such information is received and issues resolved. With few exceptions, all outstanding fines and fees must be paid. In addition, remember that license certificates will be sent out by e-mail ONLY! So please make certain your delivery e-mail address is correct. Corrections can be made at:

MARI Mortgage Fraud Report

https://bkgfin.dbf.state.ga.us/MortgageDocs/ MBContactChng.html

The "Tenth Periodic Mortgage Fraud Case Report to the Mortgage Bankers Association", produced by the Mortgage Asset Research Institute, (MARI), is available on the MARI website. The report is a means of highlighting mortgage fraud trends.
The report examines the current composition of residential mortgage fraud and misrepresentation in the United States. The report is derived from information maintained by MARI in its database regarding licensing, public sanctions, and incidents of alleged fraud as reported to MARI by its subscribers. The report contains only "material misrepresentations." Data is represented by geographical trends, by types of loans (prime vs. subprime), and by types of fraud.
The index is an indication of the amount of mortgage fraud found through MARI's subscribers' fraud investigations in various geographical areas within any particular year. The numerical measure of each state's fraud problem is represented by the MARI Fraud Index (MFI). An MFI of 0 would indicate no reported fraud from a state. An MFI of 100 would indicate that the reported fraud for a state is exactly what one would expect in terms of fraud rates, given the level of loan originations in that state. That is, a state that has 5 percent of the cases in the database for 2007 and also has 5 percent of the country's loan originations in the same year would have an MFI of 100. Georgia, which had the 4th highest index in 2006, improved in 2007, moving down to 6th in the index for the year. Appendix II at the end of the report explains in detail how the MFI is calculated and reflected within the report. The report is available

BROKERS/PROCESSORS ONLY - CONTINUING EDUCATION REQUIREMENT If you failed to meet the continuing education requirement of obtaining all credits by March 31, then a $1,000 fine will be assessed, in addition to the $300 late renewal fine which was assessed as of April 4. Should late CE hours be a problem, in order to renew, the continuing education credits must then be obtained prior to June 30, 2008, both fines noted above must be paid, and the on-line renewal completed. Failure to obtain CE hours by June 30 will result in the expiration of your license. NOTE: If you renewed during the extended renewal period during which time you also OBTAINED your CE hours (April 1 to April 3) you will be assessed a late CE fine. The renewal deadline was extended due to on-line access problems. The deadline for obtaining CEs, which you would have had to have to renew in a timely manner by the normal April 1 deadline, was NOT extended.
SPEAKING ENGAGEMENTS There are no upcoming speaking engagements for
May, 2008.
HOLIDAY CLOSING The Department will be closed on Monday, May 26, for Memorial Day.

April 2008

Page 3

News--Continued

Fraud Prevention

Staffing your organization in a way that ensures quality before quantity
Encouraging your employees to adhere to the axiom, "If it doesn't make sense, don't make the loan."

Freddie Mac has published an educational booklet to provide members of the industry with assistance in avoiding and preventing mortgage fraud entitled "Discover Gold Through Quality--Fraud Prevention Best Practices". This booklet provides guidelines for licensees and their employees to assist in the prevention, detection and resolution of mortgage fraud in business operations. A review of some of those best practices will be presented here in a series of articles in the Summary, but it is suggested that you download the entire publication from Freddie Mac's website at: http://www.freddiemac.com/dgtq/pdf/fr.pdf
PREVENTING FRAUD
The publication suggests that efforts to prevent and detect fraud should be made in a number of areas including: Employee Training, Prudent Underwriting, Quality Control, and Loan Servicing Procedures.
Employee Training
Employee training programs that are effective in the fight against fraud:

Sharing information amongst your staff and other departments Utilizing outside vendors on a rotating basis Performing due diligence
Quality Control
To ensure that your fraud prevention and detection efforts are working, you should group and analyze your quality control results accordingly to better identify and highlight potential trends:
Branch office Loan officer Broker Underwriter Real estate agent Product Geographic area Closing/escrow agent Title company Appraiser

Provide employees with the information to help them recognize the red flags that may signal the need for more review. Chapter 2 of the publication contains a mortgage screening checklist.
Help employees understand the most common fraud schemes

In addition, you should:
Consider pre-funding quality control for high-risk loans based on LTV, rate, and FICO Target all early payment defaults for reverification and review

Ensure that your work force is familiar with your company's standards for ethical conduct

Continually update your quality control policies and procedures

Ensure external auditors and/or regulators that sound procedures are in place regarding fraud
Prudent Underwriting

Immediately report adverse findings to senior management if you suspect fraud
Immediately report adverse findings to your Freddie Mac Quality Control Manager

Prudent underwriting--often the cornerstone of your efforts to fight fraud-- includes:
Knowing your brokers. Knowing your appraisers, builder clients, real estate agents and others with whom you conduct business Following comprehensive written procedures Screening loans through programs such as Freddie Mac's Exclusionary List

Loan Servicing Procedures
Implementing the most diligent pre-funding reviews and post- funding quality control audits are no guarantee that fraud will be detected as most are based on sampling techniques. A number of things can be done in the servicing area to help you fight fraud, such as:
(Continued on page 4)

Page 4

April 2008

News--Continued

("Fraud Prevention" Continued from page 3)

house for a friend/relative"

Recognize and investigate adverse default trends Note changes in who is making payments on loans Perform due diligence reviews before acquiring servicing Monitor pre-payment speeds on loans retained for servicing
Portfolio analysis should be performed to monitor for suspicious or abnormal activity that may uncover patterns of mortgage fraud:
Review for first and early payment defaults Focus on geographic areas where the default rate is above average Review production of branches or loan officers whose loan default rate is above average Review monthly production to identify geographical concentrations

"I deeded/sold this property to_____. Contact them for the payment"
"This isn't my loan. I never owned property at that address"
"I bought multiple investment properties from the same person and they are all vacant and in disrepair"
Training programs for your loan servicing employees can be a crucial line of defense against mortgage fraud. Areas to include are customer service, collection, loss mitigation, foreclosure, bankruptcy, escrow, and real estate owned (REO). Employees should know the process for escalating any suspicious incidents and mortgage fraud awareness should be incorporated into any new employee orientation programs.
Next month this column will look at "Detecting and Investigating Fraud."
(Reprinted with permission of the Federal Home Loan Mortgage Corporation)

Periodic review of high volume producers

Review production for a branch or loan officer whose monthly production has dramatically increased within a short period of time

INDUSTRY REPORTING FORMS

Review unusual patterns such as:
No valid phone number collector is unable to contact borrower Returned mail with no forwarding address Address change requested on owner occupied properties Social Security number change requests Insurance changed from occupant to investor Work number is disconnected Borrowers employer does not know borrower or borrower was terminated from employment prior to the closing date Loan is coded owner occupied, but the borrower states reason for default is "tenant not paying rents"
Pursue "suspicious" collection calls that may indicate fraud is taking place:
"Oh...this isn't my loan. I let someone use my name" "My broker/realtor/seller is supposed to be making the payments"

Licensees are reminded that a complaint/reporting form is available for use by members of the industry, or for use by consumers reporting issues NOT involving their own home. Use the Form for Mortgage Industry Reporting to report a mortgage licensee for suspected mortgage fraud and/or for a violation of the Georgia Residential Mortgage Act (GRMA). The form is available on the Internet at:
http://dbf.georgia.gov/00/ channel_title/0,2094,43414745_46296143,00.html#complaint
Mortgage licensees (or current or former employees), banks, credit unions, appraisers, real estate agents, etc., reporting a mortgage licensee for suspected mortgage fraud or for a violation of the Georgia Residential Mortgage Act should use this form.
In addition, mortgage licensees may use the Form for Mortgage Industry Reporting to meet the reporting requirements of the Official Code of Georgia Annotated 7- 1-1007(d).

"I'm not responsible for the payment. I only purchased the

April 2008
Administrative Actions
CEASE AND DESIST ORDERS--ISSUED & FINAL

Page 5

B. D. Nationwide Mortgage Company, Encinitas, CA (license no. 19240) Cease and Desist Order issued March 18, 2008 became final on April 19, 2008.
C.R. Mayo, LLC dba Fidelity Home Loans, Decatur, GA (license no. 20339) Cease and Desist Order issued March 6, 2008 became final on April 6, 2008.
Direct Lending, Inc. (DE), Livonia, MI (license no. 20415) Cease and Desist Order issued March 20, 2008 be- came final on April 20, 2008.
Financial Help Services, Inc., Lake Wylie, SC (license no. 22101) Cease and Desist Order issued March 4, 2008 became final on April 3, 2008.
First United Mortgage Corp. of Georgia, Jericho, NY (license no. 20358) Cease and Desist Order issued March 18, 2008 became final on April 18, 2008.
Gay, John H. , Jr., Columbus, GA (license no. 17923) Cease and Desist Order issued March 25, 2008 became final on April 24, 2008.
George, David R., Woodland Hills, CA Cease and Desist Order issued March 28, 2008 became final on April 18, 2008
Hinson, C. Frederick, Marietta, GA (license no. 17647) Cease and Desist Order issued March 28, 2008 be- came final on April 28, 2008.
Lowe, James C., III, d/b/a Allset Real Estate Plus, Atlanta, GA Cease and Desist Order issued March 24, 2008 became final on April 24, 2008.
Martinez, Beatriz Caicedo, Kennesaw, GA-- Cease and Desist Order issued April 4, 2008 became final on April 25, 2008.
Maximum One Mortgage, LLC, Powder Springs, GA (license no. 22506) Cease and Desist Order issued March 27, 2008 became final on April 26, 2008.
Mortgage Assistance Partners, LLC, Decatur, GA (license no. 20656) Cease and Desist Order issued March 20, 2008 became final on April 19, 2008.
Optimal Mortgage Company, LLC, Atlanta, GA (license no. 21720) - Cease and Desist Order issued March 20, 2008 became final on April 19, 2008
Sherlin, Steve D., Woodland Hills, CA Cease and Desist Order issued March 28, 2008 became final on April 18, 2008.
Simons & Leoni Home Loans, LLC dba SL Home Loans, Tampa, FL (license no. 21371) Cease and Desist Order issued March 27, 2008 became final on April 26, 2008.
Unbound Mortgage Corporation, Sanford, FL (license no. 21449) Cease and Desist Order issued March 13, 2008 became final on April 12, 2008.

Page 6
Administrative Actions

April 2008

CEASE AND DESIST ORDERS--LIFTED

Brookwood Mortgage Funding Corp., Atlanta, GA (license no. 6526) Cease and Desist Order issued February 28, 2008 was rescinded on April 18, 2008.

FINAL CONSENT ORDERS ISSUED
None
SUPERIOR COURT INJUCTIONS ISSUED
None

FINE INFORMATION

Information regarding fines assessed against a specific licensee, against whom there are no pending administrative actions, is available on an individual licensee basis by submitting a written request to the following e-mail address: dbfmort@dbf.state.ga.us

FINE REASON

9 Licensees fined for Advertising Violations 1 Licensee fined for Prohibited Acts 5 Licensees fined for Loan Files Not Properly Maintained 5 Licensees fined for Doing Business w/ Unlicensed Entity 1 Licensee fined for Unapproved Branch Manager 2 Licensees fined for Failure to Submit to an Exam 13 Licensees fined for Continuing Education Filed Late

3 Licensees fined for Background Check Violations 5 Licensees fined for Books & Records Violations 1 Licensee fined for Unapproved Branch Manager 629 Licensees fined for Late Renewal Filing 1 Licensee fined for $6.50 Fees Not Paid 1 Licensee fined for Failure to Respond to a Consumer Complaint

April 2008

Page 7

LICENSEES/REGISTRANTS REVOKED, EXPIRED, SURRENDERED, WITHDRAWN OR DENIED

IN APRIL 2008

ID# 5742
6931

NAME FEDERATED MTG INC
GREAT NORTHERN FINL CORP

CODE BD
LD

REVOKED

EXPIRED

SURRENDERED

WITHDRAWN 04-09-2008
04-01-2008

DENIED

11689 AMER CAP FUNDING

BD

13733 DRI FIN INC

BD

15165 HARWOOD ST FUNDING LLC

LD

04-04-2008 04-04-2008 04-07-2008

17569 AMER LENDING PARTNERS

BD

17572 COOLBROTH, KIM S

BD

17647 HINSON, C FREDERICK

BD

17923 GAY, JOHN H JR

BD

18544 TERWIN ADVISORS LLC

LD

18864 RIVERTOWN MTG SOLUTION LL

BD

04-28-2008 04-24-2008

04-23-2008 04-03-2008
04-09-2008 04-24-2008

19099 GUARANTEED MTG BROKERS IN

BD

04-04-2008

19240 BD NATIONWIDE MTG CO

BD

19630 ELITE INV INC

BD

19734 ARLINGTON CAP MTG CORP

LD

04-19-2008

04-29-2008 04-29-2008

19988 NUSTAR MTG RESOURCES LLC

LD

04-16-2008

20007 20221 20339 20358 20415 20482

MTG PROFESSIONALS INC MHC I INC CR MAYO LLC 1ST UNITED MTG CORP GA DIRECT LENDING INC FIRST FIDELITY CENTERS INC

BD

LD

BD

04-06-2008

LD

04-18-2008

LD

04-20-2008

BD

04-18-2008

04-09-2008 04-15-2008

20656 MTG ASSISTANCE PARTNERS

BD

04-19-2008

21371 SIMONS & LEONI HM LOANS

LD

04-26-2008

21449 UNBOUND MTG CORP

LD

21647 E-LENDING LLC

BD

21720 OPTIMAL MTG CO LLC

BD

22101 FINL HELP SVCS INC

LD

22188 MALIBU FUNDING INC

BD

22506 MAXIMUM ONE MTG LLC

BD

22615 ALL NATIONS MTG CO INC

BD

22770 RESCORE LENDING LLC

BD

22784 CONCORD MTG CORP (NY)

LD

22812 UNITED MTG CORP (FL)

LD

22863 MTG PROS LLC

BD

TOTAL 35

04-12-2008
04-19-2008 04-03-2008
04-26-2008

04-03-2008
04-01-2008
04-11-2008 04-30-2008 04-29-2008 04-23-2008 04-21-2008

Page 8

April 2008

ID# 6716
15188 17723
23014 23129
23146 23189 23191 23200 23226 23240 23245
23247 23261 23263 23272 23277 23286
23296 23262
23313 23328 15334 15385

LICENSEES/REGISTRANTS APPROVED OR REINSTATED IN APRIL 2008

MB

ORIGINAL

COMPANY NAME

CITY

ST

CD

Merrill Lynch, Pierce, Fenner &

New York

NY

R

Smith Inc. #

Gold Mountain Mortgage, Inc. *

Dahlonega

GA

L

APPROVAL 12-03-1993
12-03-1999

RENEWAL 04-04-2008
04-04-2008

Merrill Lynch Mortgage Lending,

New York

NY

R

Inc. #

Euro Mortgage, Inc.

Patchogue

NY

L

10-25-2002 04-04-2008

04-04-2008 04-04-2008

Advantage Home Loan, LLC (Florida) Fort Lauder- FL

L

dale

Churchill Mortgage Corporation

Brentwood

TN

L

04-04-2008 04-04-2008

04-04-2008 04-04-2008

Express Loan Processing, Inc.

Loganville

GA

B

04-04-2008

04-04-2008

AmericaHomeKey, Inc.

Dallas

TX

L

04-04-2008

04-04-2008

Loan South Mortgage, Inc.

Tybee Island GA

L

04-04-2008

04-04-2008

Hyunju B. Kim

Duluth

GA

B

04-04-2008

04-04-2008

Waterford Loan Consulting LC

Dunwoody

GA

B

04-04-2008

04-04-2008

First Metropolitan Lending Com-

Alpharetta

GA

B

pany

Duvan Guerrero

Suwanee

GA

B

04-04-2008 04-04-2008

04-04-2008 04-04-2008

Wendy K. O'Rear

Hawkinsville GA

B

04-04-2008

04-04-2008

NLC of America, Inc.

Atlanta

GA

B

04-04-2008

04-04-2008

Meridian Mortgage Partners, LLC Atlanta

GA

B

04-04-2008

04-04-2008

At Home Mortgage Services, LLC

Atlanta

GA

B

04-04-2008

04-04-2008

Mortgage Lending Solutions, LLC

Delray Beach FL

B

(FL)

Homecorp Lending, LLC

Gainesville

GA

B

04-04-2008 04-04-2008

04-04-2008 04-04-2008

Mortgage Acceptance Corporation Jacksonville

FL

B

of Jacksonville

Capstone Lending Corporation

Cerritos

CA

L

04-11-2008 04-11-2008

04-11-2008 04-11-2008

John Sanford Cook

Duluth

GA

B

04-11-2008

04-11-2008

First American Equity Corp. +

Cleveland

TN

B

01-14-2000

04-18-2008

Professional Home Mortgages, Inc.+ Dalton

GA

B

02-25-2000

04-18-2008

23135 First Home Mortgage Corporation Baltimore

MD

L

23190 Acopia, LLC

Goodlettsville TN

L

23255 Nations Direct Mortgage, LLC

Irvine

CA

L

23289 Mid America Mortgage Services,

Waukesha

WI

B

LLC

23326 Integrity Mortgage Funding, LLC

Newnan

GA

B

23335 Express Loan America, Inc.

Bend

OR

B

23338 Amerihome Loan, Inc.

Norcross

GA

L

22045 23327
6526
19355

Sentinel Home Mortgage, LP + Voyage Financial Group, Inc. Brookwood Mortgage Funding Corp. Keel Mortgage Company, LLC

Finksburg

MD

B

Sacramento CA

B

Atlanta

GA

B

Woodstock

GA

B

04-18-2008 04-18-2008 04-18-2008 04-18-2008
04-18-2008 04-18-2008 04-18-2008 12-01-2006 04-25-2008 07-20-1993
04-30-2004

04-18-2008 04-18-2008 04-18-2008 04-18-2008
04-18-2008 04-18-2008 04-18-2008 04-25-2008 04-25-2008 04-18-2007
04-18-2008

TOTAL: 35

REIN- STATED
04-18-2008 04-18-2008

April 2008

Page 9

DBF's Customer Service Stars for the Month of April

It is the Department's goal to provide excellent customer service, meeting and exceeding the expectations of our customers. Along those lines, we would like to recognize the following individuals or groups for going above and beyond in serving our customers:
Assistant Review Examiner Deborah Long (NDFI Division): Deborah received comments from a customer stating: "(It) is with great appreciation that I send you this letter thanking you for all your time and guidance for the past year or so. I did want to take this opportunity to thank both you and the Department for your help and assistance during this time. You have all been great to work with and I thank you for all your help and for such an efficient and helpful department."

The Department is the state agency that regulates and examines banks, credit unions, and trust companies chartered by the State. The Department also has regulatory and/or licensing authority over mortgage brokers, lenders, and processors, money service businesses, international banking organizations, and bank holding companies conducting business in Georgia.
Our MISSION is to promote safe, sound, competitive financial services in Georgia through innovative, responsive regulation and supervision.
Our VISION is to be the best financial services industry regulator in the country Progressive. Proactive. Service-Oriented.
CONGRATULATIONS AND GREAT JOB TO THIS MONTH'S CUSTOMER SERVICE STARS!!

Page 10

April 2008

Georgia Department of Banking and Finance
2990 Brandywine Road Suite 200
Atlanta, Georgia 30341-5565
Phone: (770) 986-1136 Fax: (770) 986-1654 or 1655
Email: dbfmort@dbf.state.ga.us

LICENSE STATUS CHANJGuEdINgDmICeAnTtO/CRSla&imMONRoTtGifAiGcEatLiIoCnENSE CODES--(In Tables)

As a reminder to licensees during the renewal period, O.C.G.A. 7-1-1007 requires reporting to the

Department on certain actions brought against licensees, and states the following:

License Status Indicators

(MB CD) - Mortgage License Codes

"(a) A licensee shall give notice to the department by registered or certified mail or statutory over-

night delivery of any action which may be brought against it by any creditor or borrower where such

action is brought under this article, involves a claim against the bond filed with the department for the

purp*oses of cUopmgprliaadneceBwroithkeCrotdoe LSeecntdioenr 7-1-1003 or 7-B1-1004, or involves a clBarimokfoerrdamages in
excess of $25,000.00 for a broker and $250,000.00 for a lender and of any judgment which may be

entered against it by any creditor or any borrower or prospective borrower, with details sufficient to

identify the action or judgment, within 30 days after the commencement of any such action or the

entry+of any sDucohwjundggrmadeentL. "ender to Broker

L

Lender

The Department often obtains information regarding judgments and claims from public sources or other regulators, not from the licensee. It is important to remember that such notification to the
Depa#rtment bUyptghreadliceeLnseenediesrretoquRireegdisbtyralanwt, and any lPicensee subject to suPchrocclaeimssoorrjudgment
must report details to the Department according to the law as noted above.

We're on the Web! dbf.georgia.gov



Downgrade Registrant to Lender

R

Registrant

Sign-up to Receive this Publication
This publication is delivered to interested parties via e-mail and is also available from the Department's website at:
http://dbf.georgia.gov. If you would like to be added to our distribution list, please send an e-mail to dbfpress@dbf.state.ga.us and indicate your name, the company you are with, and your phone number. Also, please indicate which publication(s) you would like to receive. See the list under PUBLICATIONS on our home page.