Contact Us

Illinois Regulatory Update

ILLINOIS REGULATION 38 IL ADMIN CODE PART 1050 The Illinois Department of Financial and Professional Regulation recently amended certain rules related to the Residential Mortgage License Act (“Act”) related to independent loan processors and advertisements, effective May 10, 2019. "Independent loan processing entity" means an entity engaged solely in providing loan processing services through the […]

ILLINOIS REGULATION 38 IL ADMIN CODE PART 1050

The Illinois Department of Financial and Professional Regulation recently amended certain rules related to the Residential Mortgage License Act (“Act”) related to independent loan processors and advertisements, effective May 10, 2019.

"Independent loan processing entity" means an entity engaged solely in providing loan processing services through the sponsoring of individuals acting as independent loan processors.

An independent loan processor entity must employ one or more individuals licensed as a Mortgage Loan Originator to provide supervision and instruction to one or more individuals performing loan processing services. If only one loan processor is providing services for an independent loan processing entity, that individual must be licensed as a Mortgage Loan Originator to meet the supervision and instruction requirements.

Exempt independent loan processing entity registrants must file and maintain an electronic surety bond that provides coverage for each sponsored Mortgage Loan Originator in the amount of $50,000.

Any advertisement appearing in Illinois by a licensee regarding residential mortgage loans, whether via electronic or print media, including mailings to individual potential residential mortgage loan customers, must include, in a manner that is clear and conspicuous to the consumer:

  • The NMLS Consumer Access homepage (www.nmlsconsumeraccess.org). For electronic media, the licensee must use the phrase "For licensing information, go to: www.nmlsconsumeraccess.org.
  • The NMLS Unique Identifier of the licensee. If a Mortgage Loan Originator (MLO) is advertised, the licensee must include its MLO employee's individual NMLS Unique Identifier, in addition to the licensee's NMLS Unique Identifier.

Sign up for news + updates

Expert insights and regulatory updates on RegTech, compliance management, and fair lending.
[piotnetforms id=3756]

Diane Jenkins

Director, National Mortgage Compliance Practice Group, AsurityDocs Of Counsel, Sandler Law Group

Recommended Resources

Goals Module Overview

Learn more about the Goals Module and its key monitoring and reporting features.

Reg+Tech Magazine Volume 2 Issue 1

Learn about the changes of state consumer protection and the responsibility of financial services institutions to pursue operational excellence and a culture of compliance.

Reg+Tech Magazine Vol. 1 Issue 2

Regulatory and technology experts discuss innovation, CRA reforms, and how single-close construction loans are reenergizing rural America.

chevron-down linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram