DBO Proposes To Transition All CFL Licensees To NMLS
The State Regulatory Registry LLC, an affiliate of the Conference of State Banking Supervisors, developed and operates the Nationwide Multistate Licensing System (NMLS). In 2008, Congress enacted the Secure and Fair Enforcement for Mortgage Licensing Act. That act requires all state-licensed and federally registered mortgage loan originators to be registered with the system. Currently, some licensees under the California Financing Law are licensed through NMLS. These include mortgage lenders, mortgage brokers, mortgage loan originators, and program administrators. However, CFL lenders that are not engaged in the business of making or brokering loans secured with residential real property are not on NMLS. The Department of Business Oversight is now proposing to transition all CFL licencees to the NMLS. The DBO's Initial Statement of Reasons and Proposed Text are available here and here. The comment period expires December 9, 2019. A public hearing has not be scheduled, but any interested person or his or her duly authorized representative may request a public hearing no later than 15 days prior to the close of the written comment period.