Monthly mortgage summary, Apr. 2013

Monthly
Mortgage Summary

Georgia Department of Banking & Finance ~ Non-Depository Financial Institutions Division
Monthly SumMmonatrhylyoSfuMmmoratrgyaogfeMoArcttgiavgietiAecstivfoitrietshfoer PtheeriPoedrioEdndEnindigngAApprrilil 22000173

Inside this Issue:
MLO 2 Compliance
Checklist
(continued)
Mortgage Call 2 Report
Reminder
Administrative 3 Actions
NDFI Outreach 3 and Upcoming
Speaking Engagements
Fine Information 4
Licenses 4 Revoked, Withdrawn or
Licenses 8 Approved or
Customer 9 Service Stars
Contact 10 Information

Mortgage Loan Originator (MLO) Compliance Checklist
Timely review and respond (as appropriate) to Department communications The Department primarily communicates with its licensees electronically via our monthly newsletter, directly via email, and by placing deficiencies on a licensee's NMLS record. Certain communications are sent via U.S. mail. All communications from the Department are equally important. Be sure to timely respond to any Department request. To ensure you receive all Department communications it is important to review your NMLS record frequently to ensure there are no outstanding requests from the Department. Failure to respond timely may subject you to fines or administrative action.
Keep Your NMLS Record Current, Complete and Accurate MLO's are responsible for keeping their information current on NMLS at all times. This includes, but is not limited to, employment history, contact information, residential history and disclosure question responses. MLO's are required to update their MU-4 on NMLS within 10 business days of the date of any changes to any information on their MU-4 including disclosure question responses per Department Rule 80-11-5-.07.
Maintain a mortgage loan transaction journal MLO's are required to create and maintain a journal of mortgage loan transactions that includes, at a minimum, the following information:
1) Full name of all borrowers; 2) Mortgage loan application date; 3) Name of the mortgage broker or lender licensee sponsoring the MLO; and, 4) Disposition of the mortgage loan application and disposition date.
The journal must be kept current, updated at least every seven (7) days, and shall be maintained for five years. Failure to maintain the mortgage loan transaction journal or to keep the journal current may be grounds for administrative action, including revocation, and will subject an MLO to a $1,000 fine. Department Rules 80-11-5-.02 and 80-11-5-.05 (d). All books and records are subject to review upon request by Department examiners.
No sponsor, No License Sponsorship is a prerequisite to licensure for MLO's. Via NMLS, Sponsoring companies must request sponsorship of their MLOs for Department acceptance. Similarly, sponsoring companies are also required to terminate sponsorships of any MLOs no longer employed by their companies. Failure to maintain sponsorship by a licensed Georgia mortgage broker or lender places an MLO license in jeopardy. Unless another sponsorship is obtained, an MLO should surrender his or her license to avoid revocation. This mandate also applies to an MLO that leaves his or her sponsor to begin working as a loan officer for an exempt entity identified in O.C.G.A. 7-1-1001. Department Rule 8011-5.01(3)(6).

"Safeguarding Georgia's Financial Services"

Page 2

April 2013

Mortgage Call Report Reminder
This is a reminder that the Mortgage Call Report required by O.C.G.A. Section 7-1-1004.1 is due within 45 days of the end of every calendar quarter. First quarter data (January 1 March 31, 2013) must be filed through the NMLSR by May 15, 2013.
Companies that fail to file quarterly MCRs prior to the deadline will be assessed a fine and may subject their Georgia license to revocation. Any outstanding fines owed to the Department must be paid through its secure website at: https://bkgfin.dbf.state.ga.us/MortgageDocs/MtgFinePay.html.
For more information about the requirements surrounding the MCR, please refer to the NMLSR website at: http://mortgage.nationwidelicensingsystem.org/slr/common/mcr/Pages/default.aspx.

Quarters

Time Period

MCR Deadline

Quarterly Due Dates for the Residential Mortgage Loan Activity (RMLA) component of the MCR (Due within 45 days of the end of every calendar quarter):

Q1

(January 1 March 31)

May 15

Q2

(April 1 June 30)

August 14

Q3

(July 1 September 30)

November 14

Q4

(October 1 December 31)

February 14

COMMONLY USED ACRONYMS
Department -- Georgia Department of Banking and Finance GRMA -- Georgia Residential Mortgage Act MCR -- Mortgage Call Report MLO -- Mortgage Loan Originator NMLS or NMLSR -- Nationwide Mortgage Licensing System & Registry O.C.G.A. -- Official Code of Georgia Annotated

April 2013

Page 3

ADMINISTRATIVE ACTIONS
Cease and Desist Orders Which Became Final
Citywide Financial Group, Inc., Marietta, GA - Order to Cease and Desist issued 03/04/2013 became final
04/04/2013.
Garmon, Sydney, Vacaville, CA - Order to Cease and Desist issued 03/25/2013 became final 04/29/2013.
Home Service Realty, LLC, Lawrenceville, GA - Order to Cease and Desist issued 03/04/2013 became
final 04/04/2013.
Housing Problem Solvers Company, Atlanta, GA - Order to Cease and Desist issued 03/04/2013 became
final 04/04/2013.
Swiss Roth Holdings, LLC, Alpharetta, GA - Order to Cease and Desist issued 03/18/2013 became final
04/17/2013.

Consent Orders Which Became Final
Generation Mortgage Company, Atlanta, GA (license# 22292) - Consent Order issued 04/29/2013
became final 04/29/2013.

License Denials

IDNUM LICENSE TYPE

NAME

36655 Mortgage Loan Originator Michael Dean Phan

CIT Garden Grove

ST DENIED CA 04/05/2013

NDFI Outreach AND UPCOMING SPEAKING ENGAGEMENTS
Deputy Commissioner for Non-Depository Financial Institutions Rod Carnes will be speaking during the Residential Real Estate Session at the Real Property Law Institute Seminar on May 10th.

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Fine Information

April 2013

FINE REASON AND COUNT

1 Fine for Employment of a Felon 1 Fine for Loan Files not Properly Maintained 1 Fine for Doing Business w/ Unlicensed Entity

3 Fines for Failure to Perform Background Check 1 Fine for Unapproved Branch 1 Fine for Unapproved Branch Manager

HOLIDAY OBSERVANCE--OFFICE CLOSING
This is a reminder that the Department will be closed on Monday, May 27th for the Memorial Day holiday.

April 2013

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A total of 224 MLO licenses were approved during the month, including 13 reinstated licenses and 211 new license approvals.
Due to the large number of licenses approved in April 2013, a separate document is provided on the Department's website at: http://dbf.georgia.gov/documents/april-2013-mortgage-loan-originator-license-approvals

CUSTOMER SERVICE STARS
It is the Department's goal to provide excellent customer service by meeting and exceeding the expectations of our customers. Along those lines, we would like to recognize the following individuals and/or teams for going above and beyond in serving our customers:
Assistant Financial Examiner Bradley DeLettera The Department received comments from another State regulator stating: "Thanks again Brad. You definitely win the gold star for responsiveness and participation on this exam. You've been the first person to complete every step in the exam process. Your proactive approach is much appreciated."
Mortgage Examination Team The Department received comments from a customer stating: "This was our third examination with the Department. We have always found the examination team to be professional, knowledgeable, courteous, and reasonable. This past experience was no exception."
Secretary Sheila Ball The Department received comments from a customer stating: "Sheila was very helpful when I called on Friday. I appreciate the GA DBF staff."
CONGRATULATIONS AND GREAT JOB TO THIS MONTH'S CUSTOMER SERVICE STAR!!

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

April 2013
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, internaonal banking organizaons, and bank holding companies
conducng business in Georgia.
Our MISSION is to promote safe, sound, compeve financial services in Georgia through innovave, responsive regulaon and supervision.
Our VISION is to be the best financial services industry regulator in the country Progressive. Proacve. Service-Oriented.

Sign-up to Receive this Publication
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.