Monthly mortgage summary, Aug. 2011

Monthly Mortgage Summary

Georgia Department of Banking & Finance ~ Non-Depository Financial Institutions Division
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Inside this Issue:
Continuing Education 2 Requirements for 2012 License Renewal
2012 License / 2 Registration Renewal
Timeline
Applicants Seeking to 3 Renew Georgia
Mortgage Licenses Held in their
Individual Names
Administrative 4 Actions
License Denials 5
Licenses Revoked, 5 Expired, Withdrawn
Fine Information 6
Licenses Approved 6 or Reinstated

Georgia Residential Mortgage Act Fee Deadline Reminder
The $10.00 per loan fees required by O.C.G.A. Section 7-1-1011(b)(2) and Department Rule 80-5-1-.04 were due no later than September 1, 2011, for residential mortgage loans closed during the period January 1, 2011, through June 30, 2011. A $10.00 fee is due if the loan is a residential mortgage loan as defined in the Georgia Residential Mortgage Act (GRMA), and if a security deed, a modification of a security deed or other form of modification of a security interest is recorded.
Financial institutions, mortgage licensees and registrants that act as the collecting agent (including brokers who table fund and collect the fee) must submit the fees and file the fee statement before the deadline to avoid fines.
GRMA per loan fee reporting / remittance must be completed on-line through the Department's secure website. Reporting is required even if no residential mortgage loans were made and no fees are due. A $100 fine will be assessed for failure to report / remit GRMA fees by the September 1st deadline. There will be no waivers of fines assessed if the online form and fee payment (where applicable) were not submitted by the deadline.
With the on-line payment process, the Department accepts either ACH drafts on a checking account or payments by Visa, MasterCard, AmericanExpress, or DiscoverCard credit cards. Reporting and fee payment must be done online from our secure website at: https://bkgfin.dbf.state.ga.us/GRMAFee.html.

Contact Information 9

Reminder to Applicants when Submitting Photos
The Department would like to remind applicants to ensure they include the following information on the back of any photo submitted along with an application to the Department:
applicant's name, NMLS ID, and GRMA No. (if applicable)

"Safeguarding Georgia's Financial Services"

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August 2011

Continuing Education Requirements for 2012 License Renewal: Mortgage Loan Originators and Mortgage Brokers
On or before October 31, 2011, mortgage loan originators and mortgage brokers must obtain 8 hours of continuing education to renew their licenses for 2012.
Mortgage brokers and mortgage loan originators approved for licensure that obtained their pre-licensing education in 2011 do not have to obtain continuing education for the renewal of their licenses in 2012.
Continuing education obtained by mortgage loan originators for license renewal must be: taken for the required number of hours in the following areas of study:
3 hours in federal law and regulations: 2 hours in ethics, which shall include instruction on fraud, consumer protection and fair lending issues; 2 hours in training related to lending standards for the nontraditional loan product marketplace; and 1 hour in coursework that covers changes made to the Georgia Residential Mortgage Act, O.C.G.A.
7-1-1000, and its corresponding regulations. approved by the Nationwide Mortgage Licensing System and Registry ("NMLSR") and offered by an authorized
person or entity; taken in a classroom setting or on-line; and acquired on January 1, 2011, through October 31, 2011.
Similarly, mortgage brokers licensed by the Department must obtain 8 hours of approved continuing education between January 1, 2011, through October 31, 2011. Mortgage brokers also licensed as mortgage loan originators are only required to obtain 8 hours of continuing education in the areas designated above.
Mortgage brokers that are not licensed as mortgage loan originators must obtain a minimum of 8 hours of continuing education in areas that include the mortgage brokering process; federal mortgage law, rules, and regulations; Georgia residential mortgage law, rules and regulations; mortgage loan applications and required supporting documentation; fraud; ethics; and/or any other topic pertinent to the operation of a mortgage brokering business in Georgia. At least 1 hour of continuing education must be obtained by in coursework that is concentrated on fraud detection and prevention.
To find out when and where necessary course work will be offered to satisfy Georgia's continuing education requirements, mortgage licensees should visit the NMLSR website at http://mortgage.nationwidelicensingsystem.org/profreq/education/Pages/default.aspx.

2012 License / Registration Renewal Timeline for Mortgage Lenders, Mortgage Brokers and Mortgage Loan Originators
Beginning on November 1, 2011, through December 1, 2011, mortgage lenders, mortgage brokers, and mortgage loan originators seeking to renew their licenses/registrations for calendar year 2012 must do so by making applications on the Nationwide Mortgage Licensing System and Registry ("NMLSR"). To do so, an applicant must update his/her/its MU documents on the NMLSR to reflect any changes in responses previously provided and pay the requisite renewal fee. Licensed mortgage brokers and mortgage loan originators also must be able to demonstrate that 8 hours of continuing education were acquired in the appropriate course work during January 1, 2011, through October 31, 2011.

August 2011

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2012 License / Registration Renewal Timeline for Mortgage Lenders, Mortgage Brokers and Mortgage Loan Originators
(Continued from page 2)
Any licensed mortgage broker or mortgage loan originator that makes a timely application for renewal but obtains the requisite continuing education hours on November 1, 2011, through December 1, 2011, also must pay late continuing education fees to both the NMLSR and the Department.
A mortgage license/registration that is not renewed by December 1, 2011 may be considered for late renewal from December 2, 2011, through December 31, 2011, if a proper application is made through the NMLSR. This includes paying late fees to both the Department and the NMLSR, as well as a renewal fee; updating one's MU documents on the NMLSR, and, for licensed mortgage brokers and mortgage loan originators, demonstrating compliance with continuing education requirements.
In addition to the foregoing, any licensed mortgage broker or mortgage loan originator renewing during this late period that did not obtain the proper number and type of continuing education hours between January 1, 2011, and October 31, 2011, also must pay late fees to both the NMLSR and the Department for continuing education hours obtained on November 1, 2011, through December 31, 2011.
PLEASE NOTE THAT UNLIKE PRIOR YEARS, THERE WILL BE NO LICENSE/REGISTRATION REINSTATEMENT PERIOD AFTER DECEMBER 31, 2011. If a mortgage license/registration is not renewed by that day, it will expire by operation of law effective January 1, 2012.
Should this occur, a mortgage loan originator with an expired Georgia license may not engage in any mortgage loan originator activities unless and until such time as a new application for licensure is made and granted by the Department. Similarly, a mortgage broker or mortgage lender with an expired license/registration may not conduct licensed mortgage activity--nor may any of the mortgage loan originators employed by them do so on their behalf--unless and until such time as the mortgage broker or mortgage lender again becomes properly licensed/registered.
If any mortgage licensee/registrant has questions about the timelines in place for renewal applications, please send them to the Department by e-mail to renewal@dbf.state.ga.us.

Applicants Seeking to Renew Georgia Mortgage Licenses Held in their Individual Names
As a result of a recent law change, the Georgia Department of Banking and Finance (Department) is required to obtain from each natural person applying to renew a mortgage license in his or her individual name (Applicant) a signed and sworn affidavit verifying his or her lawful presence in the United States that is accompanied by a copy of at least one "secure and verifiable document." O.C.G.A. 50-36-1(e).
By no later than October 15, 2011, each renewal applicant should mail to the Department the following three documents: 1) a Checklist completed in its entirety by the Applicant, 2) the appropriate original signed and notarized affidavit attesting to the basis for his or her lawful presence in the United States, and 3) a legible photocopy of the Applicant's secure and verifiable document in support of the affidavit being submitted.

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August 2011

Applicants Seeking to Renew Georgia Mortgage Licenses Held in their Individual Names
(Continued from page 3)

The Department's Memorandum concerning the new requirement, along with the above referenced checklist and affidavit forms, can be found on the Department's website in the Renewals section of the Mortgage Forms and Applications and Mortgage Loan Originator Resources pages, or directly from here.
Please ensure that the renewal applicant's name and license numbers are included on each of the three documents being submitted, including the copy of the secure and verifiable document.
Failure to provide the documentation called for by the Memorandum will prevent an applicant from having his or her mortgage license timely renewed for calendar year 2012 and may result in his or her mortgage license being the subject of revocation proceedings.

ADMINISTRATIVE ACTIONS
Final Consent Orders
Parnell, Gregory, Atlanta, GA - Consent Order issued 08/08/2011 became final 08/08/2011.
Cease and Desist Orders Which Became Final
American Residential Law Group, Inc. aka ARLG, Miami, FL - Order to Cease and Desist issued 07/07/2011 became final 08/18/2011.
Bice, Evert, Brooklyn Heights, OH - Order to Cease and Desist issued 06/03/2009 became final 08/05/2011. King, Debbie, Sparta, GA - Order to Cease and Desist issued 06/06/2011 became final 08/19/2011. Mortgage Foreclosure Experts, LLC, Cherry Hill, NJ - Order to Cease and Desist issued 07/11/2011 became
final 08/16/2011. Quest Capital Management, Inc. dba National Home Buyer's Alliance dba www.nhba.biz, Lenexa, KS -
Order to Cease and Desist issued 07/07/2011 became final 08/29/2011. Rose R. Moon, LLC aka Rose L. Moon, LLC, Upatoi, GA - Order to Cease and Desist issued 07/07/2011
became final 08/18/2011. Schwartz, James, Brooklyn Heights, OH - Order to Cease and Desist issued 06/03/2009 became final
08/05/2011. United Capital Lenders, LLC, Southampton, PA (license# 23455) - Order to Cease and Desist issued
07/07/2011 became final 08/06/2011. Willie Roberts, College Park, GA (license# 23377) - Order to Cease and Desist issued 07/06/2011 became final
08/05/2011.

August 2011
License Denials

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August 2011

Fine Information
Information regarding fines assessed against a specific licensee for which there is no pending administrative action, 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

1 Licensee fined for Hiring a Felon 4 Licensees fined for Failure to Perform Background Checks 3 Licensees fined for Advertising 2 Licensee fined for Acquisition of 25% ownership w/o approval

1 Licensee fined for Books and Records 1 Licensee fined for an Unapproved Branch 1 Licensee fined for Change in Management 3 Licensees fined for doing business w/ unlicensed entity

August 2011

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August 2011

August 2011
Georgia Department of Banking and Finance
2990 Brandywine Road Suite 200
Atlanta, Georgia 30341-5565
Phone: (770) 986-1269 Fax: (770) 986-1029 or 1655
Email: dbfmort@dbf.state.ga.us

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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/processors, lenders and loan originators, money service businesses, international banking organizations, and bank holding compa-
nies 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.

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

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This monthly publication highlights topics and activities pertaining to the Department's regulation of state-licensed or registered mortgage brokers, lenders and loan originators. It is delivered to interested parties via e-mail and is also available from the Department's website at: http://dbf.georgia.gov under Publications, Mortgage Summary.
If you would like to be added to our distribution list, send an e-mail to dbfpress@dbf.state.ga.us stating your name and e-mail address. Please be sure to include "Subscribe to Monthly Mortgage Summary" in the Subject line.