Monthly Mortgage Summary Georgia Department of Banking & Finance ~ Non-Depository Financial Institutions Division Monthly Summary of Mortgage Activities for the Period Ending August 2014 Inside this Issue: CE Requirements 2 for 2015 License Renewal (continued) AARMR Elects 2 Deputy Commissioner Rod Carnes President Department of 3 Banking and Finance Adopts Final Rules License Denials 4 Fine Information 4 Licenses Approved 4 or Reinstated Licenses Revoked, 5 Expired, Withdrawn or Suspended Contact 8 Information Continuing Education Requirements for 2015 License Renewal: Reminder to Mortgage Loan Originators and Mortgage Brokers On or before October 31, 2014, MLOs and mortgage brokers must obtain 8 hours of continuing education to renew their licenses for 2015. MLOs and mortgage brokers in an approved status that obtained their pre-licensing education in 2014 DO NOT have to obtain continuing education for the 2015 license renewal. Also, mortgage brokers whose license was newly approved between January 1 and October 31, 2014 will not be required to take the 8 hours of continuing education until 2015. Continuing education obtained by MLOs 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. (Continued on page 2) NDFI Outreach AND UPCOMING SPEAKING ENGAGEMENTS Senior Mortgage Examiner Andy Reid will be speaking at the Georgia Real Estate Fraud Prevention and Awareness Coalition, Inc.'s (GREFPAC) Quarterly Educational Meeting "Come Meet Your Regulators" - on September 10th. Learn more or register for the event "Safeguarding Georgia's Financial Services" Page 2 August 2014 Continuing Education Requirements for 2015 License Renewal: Reminder to Mortgage Loan Originators and Mortgage Brokers (Continued from page 1) approved by the NMLSR and offered by an authorized person or entity; taken in a classroom setting or on-line; and acquired on January 1, 2014, through October 31, 2014. Similarly, mortgage brokers licensed by the Department must obtain 8 hours of approved continuing education between January 1, 2014, through October 31, 2014. Mortgage brokers also licensed as MLOs are only required to obtain 8 hours of continuing education in the areas designated on Page 1. Mortgage brokers that are not licensed as MLOs 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 in coursework that is concentrated on fraud detection and prevention. Mortgage brokers will be contacted directly with instructions regarding how to report continuing education hours to Georgia. 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. American Association of Residential Mortgage Regulators (AARMR) Elects Deputy Commissioner Rod Carnes President Rod Carnes On August 5, 2014, during the 25th Annual Regulatory Conference, AARMR elected Deputy Commissioner for Non-Depository Financial Institutions Rod Carnes President. Formed in 1987, AARMR is composed of mortgage regulators from all around the various state regulatory agencies --- all of whom share a commitment: to promote the exchange of information and education concerning the licensing, supervision, and regulation of the residential mortgage industry; to ensure the ability of state mortgage regulators to provide effective mortgage supervision for a safe and sound industry meeting the needs of the local financial markets; and, to protect the rights of consumers. Rod has been active with AARMR since 1998. He has also served on the AARMR Board of Directors since 2007 and previously held the positions of Secretary and Vice President before being elected President. August 2014 Page 3 Department of Banking and Finance Adopts Final Rules On August 29, 2014, the Department adopted Final Rules and filed the Rules with the Secretary of State's Office. Pursuant to O.C.G.A. 50-13-6, the Rules will be effective on September 18, 2014, which is twenty days following the filing of the Rules with the Secretary of State. Prior to adopting the Rules, the proposed Rules along with a synopsis were distributed on July 29, 2014. The Department did not receive any written comments regarding the proposed Rules. The Department believes that the Rules as adopted encourage safety and soundness, encourage safe and fair mortgage lending, and conform to the law. To view or download the Final Rules, go to the Regulations page on the Department's website (http://dbf.georgia.gov/dbf-regulations) and select the appropriate link for the Final Rules, or you may access them directly from: http://dbf.georgia.gov/documents/2014-dbf-final-rulemaking-8-29-2014 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 Page 4 Mortgage Loan Originator License Denials August 2014 Fine Information FINE REASON AND COUNT 3 Fines for Books and Records 3 Fines for Background Checks 1 Fine for Employment of a Felon 1 Fine for Loan Files not Properly Maintained 73 Fines for Mortgage Call Report Filed Late in NMLS 1 Fine for Unapproved branch 2 Fines for Advertising 3 Fines for doing Business w/Unlicensed Entity 1 Fine for Failure to Update NMLS 1 Fine for Miscellaneous Other 2 Fines for Prohibited Acts MORTGAGE BROKERS, PROCESSORS, LENDERS AND REGISTRANTS APPROVED OR REINSTATED IN AUGUST 2014 August 2014 Page 5 MORTGAGE LOAN ORIGINATOR LICENSES APPROVED OR REINSTATED IN AUGUST 2014 A total of 276 MLO licenses were approved during the month, including 32 reinstated licenses and 244 new license approvals. A separate document is provided on the Department's website for licenses approved in July 2014: http://dbf.georgia.gov/documents/august-2014-mortgage-loan-originator-license-approvals MORTGAGE BROKER AND LENDER LICENSEES/REGISTRANTS REVOKED, EXPIRED OR WITHDRAWN IN AUGUST 2014 MORTGAGE LOAN ORIGINATOR LICENSEES REVOKED, WITHDRAWN OR SUSPENDED IN AUGUST 2014 Page 6 MORTGAGE LOAN ORIGINATOR LICENSEES REVOKED, WITHDRAWN OR SUSPENDED IN AUGUST 2014 August 2014 August 2014 MORTGAGE LOAN ORIGINATOR LICENSEES REVOKED, WITHDRAWN OR SUSPENDED IN AUGUST 2014 Page 7 Page 8 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 August 2014 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 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. We're on the Web! dbf.georgia.gov 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. 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