National Multistate Lincensing Annual Renewal Period Ends Dec. 31
If mortgage loan originators are not renewed by deadline, they will be place in an inactive registration status.
The National Multistate Licensing System (NMLS) annual renewal period will end Dec. 31. According to federal regulations, both institutions and most individual mortgage loan originators (MLOs) must be renewed through NMLS annually.
If the renewal process is not completed before Dec. 31, the MLO is placed in an “inactive” registration status both on NMLS and NMLS Consumer Access. Inactive registrations must be reactivated in order to have an “active” registration status.
NMLS requires a $30 processing fee for each MLO seeking to renew or reactivate a registration. MLOs that are submitted for renewal but did not complete renewal attestation prior to Dec. 31 need to be reactivated, incurring an additional $30 processing fee at the time of reactivation.
MLOs receive a notification from NMLS confirming that the renewal or reactivation process is complete.
Question of the Week
Q. What can be done if a member has declared bankruptcy, and they only want to reaffirm on one, but not all of the loans they have?
A. Reaffirmation is completely voluntary for both the member and the credit union. While the member does not have to reaffirm, the credit union can refuse to accept a reaffirmation that is unacceptable. If a member wants to reaffirm on a car loan so they can keep the car, but the credit union wants to reaffirm on both the car loan and Visa, the credit union can reject the member’s offer to reaffirm on only the car loan. This is risky because the member might decide to reject this offer, and then the credit union will not have any reaffirmation. Of course, if the member does not reaffirm, the credit union can repossess the car. Using this tactic is a business decision on the credit union’s part.
National Credit Union Administration
NCUA released letter 19-CU-03 to credit unions, which details the NCUA’s commitment to supporting diversity and inclusion in the credit union system and building a database of credit union activities related to diversity and inclusion. The NCUA encourages credit unions to share their diversity and inclusion successes and challenges by completing and submitting the voluntary Credit Union Diversity Self-Assessment.
The NCUA’s public union and nonmember share rule has been published in the Federal Register. The effective date for the rule is Jan. 29, 2020.
U.S. Department of Agriculture (USDA)
The USDA published an interim final rule with request for comments to establish and specify the rules and regulations to produce hemp. This rule outlines provisions for the USDA to approve plans submitted by States and Indian Tribes for the domestic production of hemp. It also establishes a federal plan for producers in states or territories of Indian tribes that do not have their own USDA-approved plan. The program includes provisions for maintaining information on the land where hemp is produced, testing the levels of THC, disposing of plants not meeting necessary requirements, licensing requirements, and ensuring compliance with the requirements.
National Multistate Licensing System (NMLS)
The NMLS annual renewal period ends Dec. 31, 2019. According to federal regulations, both institutions and most individual mortgage loan originators (MLOs) must be renewed annually through the NMLS.
Office of Foreign Assets Control (OFAC)
OFAC has updated the SDN list as of Nov. 8. The last update prior to this was Oct. 23.
Questions? Contact the Compliance Hotline: 1.800.546.4465, [email protected].