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.