Licensg and Registration Requirements for Mortgage Brokers and Agents the 50 States and the District of Columbia (as of January 2008) fgerprts AL Bankg Dept. $25,000 net worth AK AZ Div of Bankg, Securities & Corps. Dept of $10,000 or $15,000 bond; AR Securities Dept $50,000 bond and $25,000 net worth; PART 1 MORTGAGE BROKERS OR COMPANIES Contug Fees, itial 12 hrs educn $500 per location; $100 vestigation Responsible dividual: course of study, 3 yrs, and brokers and managg prcipals: 3 yrs and as by rule CO Div of Real Estate $25,000 bond and examation, TBD CT DE Dept of Bankg, Consumer Div Office of State Bank Commissioner $40,000 bond and $25,000 net worth; Supervisg dividual: 3 yrs $500 per location, $800 $250 or $500, dependg on volume; $750 + $100/branch $25,000 bond $250 vest. and $250 license, per location $300 + $100/branch; Effective 7/1/08 AZ does not license dividual origators; every location must have a responsible dividual (W-2) Each branch manager must be a licensed loan r 9 hrs/3 yrs $200 at cost; 3 yr Eff. 1/1/08 (SB 07-203); E&O surance, $100,000 per claim, $300,000 aggregate; CO does not license companies $200 $400, 2 yr $500,, or $1000 if records out of state
2 fgerprts DC Dept of Insurance, Securities and Bankg; Non-Dep Licensg Div FL GA HI Office of Regulation; Div of Fance Office of Regulation; Div of Fance Dept of Bankg and Fance Professional and Vocational Licensg Div $10,000 on deposit or le of credit; bond $12,000 to $50,000 per location, max $200,000; Prcipal broker: 1 year 24 hrs educn and, all employees and photos of prcipals $50,000 bond, ID Dept of Fance $25,000 bond, plus $10,000 for each branch IL Div of Bankg $20,000 bond; mimum net worth $35,000 to $100,000; ; $100,000 fidelity bond, or 2 yrs as origator plus 4 hrs $15,000 bond 2 yrs or equiv. Person charge: 3 yrs Approved course of study or 3 yrs Contug Fees, itial $425 + $25/branch; $23 prts 14 hrs/2 yrs $200 + $23 prts 12 hrs/, eff. FY 2008 $1100 $900, $250 + $30 prts $375 per location, 2 yr FL license for broker busess $150, 2 yr FL broker license $500 for ma and 1st branch; $350 for other branches; by rule, $320 by rule, $200; 2 yr $350 $150, $1500 + $1200 upon approval $2700, See Note #1 GA license for broker/processor
3 fgerprts IN Secretary of State, Securities Div Secretary of State, Securities Div Contug Fees, itial $50,000 bond $400 + $200/ultimate equitable owner 24 hrs educn, 3 yrs, and 2 yr IN loan broker license 6 hrs/yr $200 $200, 2 yr IN prcipal manager registration IA Div of Bankg $50,000 bond; KS KY LA ME Office of State Bank Commissioner Office of Office of Dept of Professional and Reg; Office of Consumer Reg In-state $50,000 bond; out-of-state $100,000 bond, $50,000 net worth, $50,000 bond; $100,000 net worth or $1M fundg source; $50,000 bond or $50,000 net worth with $25,000 each location $500 $200, $600 + $200/branch 30 hrs educn 12 hrs/yr $750 + $400/branch, cludg examation $400 + $200 each branch, 2 yr $350 + $200/branch, 10 hrs $400 + prts $300, KS mortgage company KRS 286.8 yes $400 $200, 2 yr
4 fgerprts MD Office of Regulation MA MI MS Consumer Affairs and Busess Reg Dept; Div of Banks Dept of Labor and Economic Growth; Office of and Insurance Serv Office of Bankg and Consumer Fance; MLDiv $15,000 to $75,000 bond; $75,000 bond and $25,000 net worth; $25,000 bond and $25,000 net worth; One prcipal r or member: 3 yrs Statutes require busess Statutes require commissioner to evaluate $25,000 bond Prcipal r: approved course of study and pass exam, or 2 yrs MO Div of Fance $20,000 bond and $25,000 net worth; annual or post additional $100,000 bond MT NE Div of Bankg and Dept of Bankg and Fance $25,000 bond, each location $100,000 or more bond; if requested Experience is 3 yrs and ; grandfatherg allowed for license prior to 12/31/02 Contug Each covered employee: 20 hrs/2 yrs Prcipal r: 12 hrs Fees, itial $1000 + $100 prts, per location $600 + $115 exam $350 + $450 exam and prts $750 + $100/branch 12 hrs/yr $500 + $29 prts $1000, 2 yr See Note #1 $600 + $50/branch, operatg fee based on number of loans; $475 + $25/branch; $300 $300, $400 + $100 processg by rule; $100 + $75/branch + $20/branch; MGL Ch 255E; 209 CMR 42.00; MA does not license origators Banker license cludes brokers; NE does not license origators
5 fgerprts NV DB&I, MLD Mimum net worth; NH Bankg Dept, all prcipals and branch managers NJ Dept of Bankg & Insurance; Div of Bankg NM Div $20,000 bond and positive net worth; $100,000 bond, $50,000 net worth; $25,000 bond; NY Bankg Dept $10,000 to $100,000 bond, dependg on volume NC ND Commissioner of Banks Dept of $50,000 bond (or $250,000 net worth for qualified lenders only); $25,000 bond; Qualified employee: 2 yrs ; Eff. 7/1/08, educn and One prcipal: 3 yrs Licensed dividual of record must pass exam Contug Fees, itial 10 hrs/yr $1500 + $40/branch $500 per location + $45 prts $700 to $1600; branches must file separately 2 yrs $1500 + $99 prts Managg prcipal and each branch manager: 3 yrs (or 40 hrs option available with certa restrictions) By rule; NTE 8 hrs/yr 1st renewal: $1000 + $60/branch; then $500 + $100/branch; $500 per location, no fee thru 6/09; 2 yr $400 $300, $1250 + $125/branch $300 + $50/branch; $400 for exam. assessment dependg on activity; NTE $625 + $125/branch Each busess entity seekg a license must also license an dividual r, member, partner or owner $300, ND money broker license
6 fgerprts OH OK OR Div of Dept of Consumer Dept of Consumer & Busess Serv, Div of Fance & Corp Securities $50,000 bond + $10,000/addl. $25,000 bond + $5,000 each branch, NTE $50,000; f l PA Dept of Bankg $100,000 bond, some exceptions RI Div of Bankg $20,000 bond + $5,000/branch; $10,000 capital SC SD TN Dept of Consumer Affairs Dept of Revenue and Reg; Div of Bankg Dept of Operations mgr: 24 hrs educn, 3 yrs, and ; and must be licensed loan r Responsible person:, 3 yrs, and Experienced person: 3 yrs $10,000 bond 2 yrs as origator, or equiv combation of /educn Contug Operations mgr: 6 hrs/yr Fees, itial $350 per location 16 hrs/yr $750 + $150 exam One person per : 6 hrs/yr $825 + $165/branch $500 + $50/branch; $10 prts $350 per location; $100 + $50/branch; same as itial plus $60 per origator; $200 + $25/branch; $550 per location; 8 hrs/yr $750 + prts $550 + $150/branch $25,000 2 yrs 9 hrs/yr $500 + $39 prts $90,000 bond; $25,000 net worth; Broker must designate managg prcipal $600 $500, Employees of licensees are exempt from licensg; 1099 nonemployees must have their own license RI loan broker license, eff. 1-1-09 $350, SD does not license companies; each dividual broker must be licensed
7 fgerprts TX Dept of Savgs and Mortgage Lendg $50,000 bond or $25,000 net worth; ; See Note #2 90 hrs educn (or 30 hrs if licensed loan r); 3 yrs (or equiv combation); and UT Div of Real Estate Prcipal lendg mgr: See Note #3 VT VA WA Dept of BIS&HCA; Bankg Div. Corp Commission; Bureau of Dept of, Div of Consumer Serv, designated broker WV Div of Bankg, each prcipal $25,000 each location; positive net worth; $25,000 bond; bond amount varies; see WAC $50,000 or $100,000 bond; $10,000 net worth; Each location must have designated manager Designated broker: 2 yrs educn + pass exam Contug Fees, itial 15 hrs/term $434 div.; $175 company + $50/branch 14 hrs/2 yrs Company: $250 + $25/branch; PLM: $271 $700 per location Designated broker: 3 courses/yr $395 div.; $175 company + $50/branch; 2 yrs Unless company is sole proprietorship, both company and designated representative must be licensed Company: $253 PLM: $139; 2 yrs $350; VT does not license origators dividually but a W-2 employee workg for a licensed broker must fill out a $500 $400 + $6.60 per loan previous year; $371 $530 each location; $44 prts $350 each location + $5 per loan; registration form W-2 employees do not require licensg; contractors must have their own license
8 fgerprts WI WY Dept of Dept of Audit, Div of Bankg, each key r, member, partner, owner If WI, $10,000 bond or $100,000 net worth; if no WI, $120,000 bond and $250,000 net worth; $25,000 bond + $10,000 each Contug Fees, itial $750 $750, 2 yr By rule, $500 + $50/branch Same, PART 2 MORTGAGE AGENTS, OFFICERS, ORIGINATORS, AND SOLICITORS fgerprts AK Div of Bankg, Securities, and Pay to surety fund Corporations AR Securities Dept Diploma or GED and / examation as by rule CT Dept of Bankg, Consumer Div Contug Fees, itial Pass exam 24 hrs/2 yrs TBD TBD, 2 yr Eff. 7-1-08, AS 06.60; no grandfatherg 8 hrs/yr $50 $50, $100 $100, 2 yr
9 fgerprts HI Professional and Vocational Licensg Div Contug Fees, itial ID Dept of Fance $10,000 bond 16 hrs/2 yrs; NTE 20/2 IL Div of Bankg, Bur Pass exam 6 hrs/yr $125 + of Residential $74 exam + Fance $39 bkgrd + by rule, $145 by rule, $50, 2 yr $200 $100, $100, $115 bkgrd IN Secretary of State, 24 hrs educn and 6 hrs/yr $100 2 yr Securities Div IA Div of Bankg 12 hrs/yr At cost At cost, KS KY LA ME MD Office of State Bank Commissioner Office of Office of DPFR; OCCR; Bur of Consumer Protection Office of Regulation, if owner or r 8 hrs/yr $75 + $49 prts 12 hrs educn 12 hrs/yr $50 $50, Pass exam or obta exemption via combation of college,, contug educn 12 or 16 hrs educn, dependg on date; Rule 500 3 yrs + courses; or 40 hrs educn and 10 hrs $100 each location + $45 prts 16 hrs $20 $20, $300 + $100 exam + $42 prts $50, if owner or r $100, Origators must be W-2 employees 2 yr
10 fgerprts MN Dept of Commerce, cl. employees, contractors MS MT Office of Bankg & Consumer Fance; MLDiv Div of Bankg & Inst. $50,000 bond or $250,000 net worth or HUD or FNMA approval Contug 15 hrs by 3/1/08 15 hrs by 3/1/08 24 hrs educn or 6 mos. and ; grandfatherg allowed for license prior to 12/31/02 NV DB&I, MLD Eff. 7/1/08, educn and NJ DOB&I, Div of Bankg; Off of Consumer Fance NM Div $25,000; NY Bankg Dept 18 hrs educn 18 hrs/2 yrs for 8 years; 8 hrs/4 yrs thereafter NC Commissioner of Banks Mortgage fundamentals course and Fees, itial 12 hrs/yr $400 + $29 prts $2125 $1125, 2 yr Eff. 8/1/07, applicant for origator license must be a corp or other busess entity and have (1) HUD or FNMA approval, (2) net worth > $250,000, or (3) $50,000 surety. Natural persons not eligible. Note MN does not appear on broker list. $100 $50, by rule; 10 hrs/yr $185 $100, $100 none Registration only $400 $300, Applies to 1099 nonemployees only At cost At cost, Eff. 1/1/08 $67.50 $67.50,
11 fgerprts OH OK OR RI SC Div of Dept of Consumer DC&BS, Div of Fance and Corp Securities Div of Bankg & Securities Regln Dept of Consumer Affairs 24 hrs educn (grandfatherg allowed) and pass exam, by employer, Director may require 18 mos or 20 hrs educn and trag course, 24 hrs mimum; or 12 hrs m C/E if > 5 yrs 6 mos or 8 hrs of C/E postlicensg with 90 days SD Dept of Revenue & Reg; Div of Bankg TN Dept of TX Dept of Savgs and Mortgage Lendg UT Div of Real Estate 20 hrs educn and WA DFI, Div of Consumer Serv Contug Fees, itial 6 hrs/yr $100 $100, 16 hrs/yr $50 + $150 if test reqd. 20 hrs/2 yrs Paid by broker licensee $30 until 1/1/09; then $50 $50, Paid by broker licensee; 2 yr 8 hrs/yr $50 + prts $50, $100, Origators must register by 3/1/08; licensg begs 1/1/09; see RIGL Laws 19-14-1 9 hrs/yr $150 + $39 prts $75, $100 Registration See Note #4 15 hrs/term $334 $195, 2 yr Pass exam 2 courses/yr $125 $125 + $75/broker relationship WV Div of Bankg 7 hrs/yr $150 + $44 prts 14 hrs/2 yrs $271 $139, 2 yr UT offers reciprocity with other states, but most still apply $150, 5 yrs or upon change of broker Eff. 1/1/08
12 fgerprts WI Dept of Contug Pass exam 16 hrs/2 yrs or pass test out exam Fees, itial $250 + $150 test $250, 2 yr PART 3 MISCELLANEOUS LICENSES fgerprts CA Dept of Real Estate 8 college-level courses at accred. st., 2 yrs as salesperson or equiv, and pass exam Dept of Corporations Dept of Corporations $50,000 bond; $250,000 net worth; $25,000 bond; $25,000 net worth; Contug 45 hrs, each renewal 6 hrs, 4 yrs, for any employee providg brokerage services; and prior to providg any such services Fees, itial $165 + $50 prts $900 + $100 exam + $62 prts $200 + $100 exam + prts $165, 4 yrs CA Real Estate Broker License; see Note #5 Assessment, $1000 m., $5000 max.; annual Assessment; annual CA Residential Mortgage Lender License; see Note #5 CA Fance Lender Broker License; See Note #5
Notes: 1. Georgia and Maryland do not require a broker to mata a physical the state, provided the broker s home state does not require a physical. 2. In Texas, the surety bond and mimum net worth of an dividual broker licensee must represent personal assets, and the surety bond and mimum net worth of a company licensee must represent company assets. 3. In Utah, a broker s prcipal lendg manager must meet one of two prerequisites: (1) 40 hours of, 3 years, and a passg score on the State and national exam or (2) 5 years and a passg score on the State exam. 4. In Texas, a loan r has four optional licensg prerequisites: (1) a related bachelor s degree and 18 months, (2) a license as an attorney, surance agent, or real estate broker, (3) 60 hours of classroom, or (4) 18 months and 30 hours of classroom. 5. In California, a licensed real estate broker, residential mortgage lender, fance lender, or fance broker may broker a residential mortgage, provided they meet the set forth the table. Prepared by: Legislative Counsel Bureau Research Division January 9, 2007 W80200-1