Monthly Mortgage Summary Georgia Department of Banking & Finance ~ Non-Depository Financial Institutions Division Monthly SummaMroyntohflyMSourmtmgaagrye oAf cMtoirvtigtaigees Afcotrivtithiees Pfoerrtiohed PEenridoidnEgnSdeinpgtAepmribl e2r0027013 Inside this Issue: Continuing 3 Education Requirements for 2014 License Renewal Department Issues 4 Proposed Rulemaking and Provides Opportunity to Comment Mortgage Call 4 Report Reminder License Denials 5 Administrative 5 Actions Fine Information 5 Licenses Revoked, 6 Expired or Withdrawn Licenses Approved 7 or Reinstated Customer Service 8 Stars NDFI Outreach and 8 Upcoming Speaking Engagements Contact 8 Information 2014 License/Registration Renewal Timeline for Mortgage Lenders, Mortgage Brokers and Mortgage Loan Originators Beginning on November 1, 2013, through December 1, 2013, mortgage lenders, mortgage brokers, and mortgage loan originators seeking to renew their licenses/ registrations for calendar year 2014 must apply for renewal through the NMLS. To do so, a renewal applicant must update all MU documents on the NMLS to reflect any changes in responses previously provided and pay the requisite renewal fee. Licensed mortgage brokers and MLOs also must be able to demonstrate that 8 hours of continuing education were acquired in the appropriate course work during January 1, 2013, through October 31, 2013. Any licensed mortgage broker or MLO that makes a timely application for renewal but obtains the requisite CE hours on November 1, 2013, through December 1, 2013, also must pay late CE fees to the Department. MLOs will not be permitted to submit a renewal application until all required CE hours have been transmitted to NMLS by the education provider. A mortgage license/registration renewal that is not submitted by December 1, 2013, may be considered for late renewal from December 2, 2013, through December 31, 2013 if a proper application is made through the NMLS. (Continued on page 2) COMMONLY USED ACRONYMS CE -- Continuing Education 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 "Safeguarding Georgia's Financial Services" Page 2 September 2013 2014 License/Registration Renewal Timeline for Mortgage Lenders, Mortgage Brokers and Mortgage Loan Originators (Continued from page 1) This includes paying late fees to the Department, as well as the renewal fee through NMLS; updating one's MU documents on the NMLS, and, for licensed mortgage brokers and MLOs, demonstrating compliance with CE requirements. In addition to the foregoing, any licensed mortgage broker or MLO renewing during this late period that did not obtain the proper number and type of CE hours between January 1, 2013, and October 31, 2013, also must pay late fees to the Department for CE hours obtained on November 1, 2013, through December 31, 2013. The late CE fee for loan originators is $100 and the late CE fee for Brokers is $1,000 payable on the Department's website. GEORGIA EXPIRES ALL LICENSES AND REGISTRATIONS THAT HAVE NOT SUBMITTED A RENEWAL APPLICATION BY DECEMBER 31, 2013. BROKER AND ORIGINATOR LICENSEES REQUIRED TO OBTAIN CONTINUING EDUCATION Continuing Education Deadline October 31, 2013 Originators: NMLS Approved Education providers will report CE hours obtained for all Originators to NMLS. The fine for missing the CE deadline is $100. Originators who have not met the CE requirements will not be permitted to renew. Brokers: The fine for missing the CE deadline is $1,000. ALL BROKER, LENDER AND ORIGINATOR LICENSEES AND REGISTRANTS Renewal Period Begins November 1, 2013 Renewal Period Ends December 1, 2013 Late Renewal Begins Late Renewal Ends December 2, 2013 December 31, 2013 Originators: The late renewal fine is $100. Brokers and Lenders: The late renewal fine is $300. License and Registration Expiration January 1, 2014 Expired licensees and registrants must re-apply for licensure or registration to be reinstated. If a mortgage license/registration renewal is not submitted by December 31, 2013, it will expire by operation of law effective January 1, 2014. Should this occur, an MLO 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 mortgage activity--nor may any of the MLOs 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 or such activity falls under an applicable exemption. September 2013 Page 3 2014 License/Registration Renewal Timeline for Mortgage Lenders, Mortgage Brokers and Mortgage Loan Originators (Continued from page 2) 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. ADDITIONAL REMINDERS: E-mail Addresses - Licensees must keep their e-mail addresses updated on the NMLS at all times -- MU1 filings for companies and MU4 filings for individuals. Essentially all communication from our Department is through e-mail. If your e-mail address is not correct in the NMLS, you may miss valuable information that could adversely affect your license. Please ensure that your e-mail properties are set to always allow delivery of email from the Department. The Department is not responsible for any missed communications if your e-mail address is not correct or if you have set our e-mail addresses to go to junk/spam or trash. Sponsorship MLOs without a sponsor will not be allowed to submit a renewal. Deficiencies All licensees should make sure to clear any deficiencies that have been placed in NMLS for the licensee prior to renewal. Continuing Education Requirements for 2014 License Renewal: Reminder to Mortgage Loan Originators and Mortgage Brokers On or before October 31, 2013, MLOs and mortgage brokers must obtain 8 hours of CE to renew their licenses for 2014. MLOs and mortgage brokers approved for licensure that obtained their pre-licensing education in 2013 DO NOT have to obtain CE for the 2014 license renewal. Also, mortgage brokers whose license was newly approved between January 1 and October 31, 2013 will not be required to take the 8 hours of CE until 2014. Mortgage brokers were contacted directly via e-mail on September 18, 2013, with instructions for reporting CE hours to the Department. Mortgage brokers who did not receive the e-mail should first check to be sure that their contact information in the NMLS is accurate, then send an e-mail to renewal@dbf.state.ga.us requesting a resend of the reporting instructions. There is no separate CE reporting requirement for MLOs. Education providers will report an MLO's CE hours directly to NMLS. Only mortgage brokers must report to the Department the CE hours obtained by a mortgage broker's qualified individual. Refer to the Department's August Monthly Mortgage Summary for further details. Page 4 September 2013 Department Issues Proposed Rulemaking and Provides Opportunity to Comment On October 4, 2013, pursuant to the provisions of the Georgia Administrative Procedure Act, O.C.G.A. 50-13-1 et seq., and by the authority of O.C.G.A. 7-1-61, 7-1-688, 7-1-704, 7-1-1012 and other cited statutes, the Department of Banking and Finance ("Department") gave notice of its intent to adopt new rules. Comments to the Department must be received by the close of business on Monday, November 4, 2013. The Proposed Rules may be viewed or downloaded from the Department's website at: http://dbf.georgia.gov/sites/dbf.georgia.gov/files/related_files/document/DBFProposedRules10-4-2013.pdf Mortgage Call Report Reminder This is a reminder that the Mortgage Call Report ("MCR") required by O.C.G.A. Section 7-1-1004.1 is due within 45 days of the end of every calendar quarter. Third quarter data (July 1 September 30, 2013) must be filed through the NMLSR by November 14, 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 September 2013 Mortgage Loan Originator License Denials Page 5 ADMINISTRATIVE ACTIONS Cease and Desist Orders Which Became Final Allstate Equity Mortgage, Inc., Woodstock, GA (license# 16936) - Order to Cease and Desist issued 08/20/2013 became final 09/23/2013. Georgia Residential Lenders, Inc., Lilburn, GA (license# 7317) - Order to Cease and Desist issued 08/20/2013 became final 09/23/2013. NuView Financial Services, LLC, Irvine, CA - Order to Cease and Desist issued 08/23/2013 became final 09/24/2013. State Trust Legal, Inc., Newport Beach, CA - Order to Cease and Desist issued 08/19/2013 became final 09/20/2013. Fine Information FINE REASON AND COUNT 1 Fine for Acquisition of 25% Ownership w/o Approval 1 Fine for Unapproved Branch Manager 4 Fines for Background Checks 57 Fines for GRMA Fees Not Paid 2 Fines for Books and Records Page 6 September 2013 September 2013 Page 7 MORTGAGE LOAN ORIGINATOR LICENSES APPROVED OR REINSTATED IN SEPTEMBER 2013 A total of 363 MLO licenses were approved during the month, including 11 reinstated licenses and 352 new license approvals. Due to the large number of licenses approved in September 2013, a separate document is provided on the Department's website at: http://dbf.georgia.gov/documents/september-2013-mortgage-loan-originator-licenseapprovals HOLIDAY CLOSING This is a reminder that the Department will be closed on Monday, October 14th for Columbus Day. Page 8 September 2013 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: Receptionist Sheila Ball The Department received comments from a customer stating: "Today I phoned your offices and was fortunate to be connected with your employee, Sheila Ball. Ms. Ball went beyond the call of duty by assisting me with answers to questions concerning non-depository, non- mortgage lenders by directing me to a number of State resources for information. It is such a pleasure to deal with people who are energetic in discharging their job duties; but, Ms. Ball went beyond and showed that she was interested in my call and was anxious to help." NDFI Analyst LaTosha Rose The Department received comments from a customer stating: "Thank you for talking with me on the telephone. It is gratifying to meet someone dedicated to doing a good job. Your efforts are sincerely appreciated." Supervisory Manager Betty Thomas The Department received comments from a customer stating: "Thank you for always being so courteous, helpful and responsive." CONGRATULATIONS AND GREAT JOB TO THIS MONTH'S CUSTOMER SERVICE STARS!! NDFI Outreach AND UPCOMING SPEAKING ENGAGEMENTS Deputy Commissioner for Non-Depository Financial Institutions Rod Carnes will be speaking at the Atlanta Mortgage Bankers Association Luncheon on October 8th in Atlanta, GA. Learn more... He will also be speaking at the Southeast Community Owners Symposium on October 9th in Forsyth, GA. Learn more... September 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 Page 9 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.