Appendix C to role 1008 – separate Contractors and Loan Processor and Underwriter Activities that need a situation home mortgage Originator License

Appendix C to role 1008 – separate Contractors and Loan Processor and Underwriter Activities that need a situation home mortgage Originator License

The examples listed here are created to assist into the comprehension of loan underwriting or processing tasks which is why someone is needed to obtain a S.A.F.E. Act-compliant home loan originator permit. The examples in this appendix aren’t all-inclusive. They illustrate just the presssing issue described plus don’t payday loans Nebraska illustrate virtually any conditions that may arise under component 1008. For purposes regarding the examples below, the word “loan” means a domestic home mortgage as defined in В§ 1008.23 with this component.

(a) a person who is that loan processor or underwriter whom must get and keep maintaining a situation loan originator permit includes:

(1) Any person that partcipates in the company of that loan originator, as defined in В§ 1008.103 with this component;

(2) Any person that does clerical or help duties and that is a separate contractor, as those terms are defined in В§ 1008.23;

(3) Any person that gathers, gets, distributes, or analyzes information relating to the creating of the credit decision and that is a separate contractor, as that term is defined in В§ 1008.23; and

(4) Any person that communicates with a customer to have information required for making a credit choice and that is a contractor that is independent as that term is defined in В§ 1008.23.

(b) circumstances is not needed to impose S.A.F.E. Act certification needs on any loan that is individual or underwriter whom, as an example:

(1) works just clerical or help duties (i.e., the loan processor’s or underwriter’s tasks usually do not add, e.g., providing or loan that is negotiating or terms, or guidance borrowers or potential borrowers about loan prices or terms), and whom does those clerical or help duties during the direction of and subject to the supervision and instruction of somebody who either: Is certified and registered in conformity with В§ 1008.103(a) (state certification of loan originators); or perhaps is not necessary to be licensed because she or he is excluded through the certification requirement pursuant to В§ 1008.103(e)(2) (time-share exclusion), ( ag ag ag e)(5)(federally registered loan originator), ( ag e)(6) ( federal federal federal government employees exclusion), or (e)(7) (nonprofit exclusion).

(2) works just clerical or help duties as a worker of a home loan loan provider or home loan brokerage company, and who executes those duties during the direction of and susceptible to the direction and instruction of somebody who is utilized because of the employer that is same that is certified in conformity with В§ 1008.103(a) (state certification of loan originators).

(3) Is a worker of a loan processing or underwriting company providing you with loan processing or underwriting services to at least one or even more home loan brokers or home loan brokerage businesses under an agreement involving the loan processing or underwriting business additionally the lenders or mortgage brokerage businesses, supplied the employee executes just clerical or help duties and executes those duties just during the direction of and susceptible to the direction and instruction of a loan that is licensed worker of the identical loan processing and underwriting business.

(4) Is someone who will not otherwise perform those activities of that loan originator and it is maybe maybe maybe not active in the receipt, collection, circulation, or analysis of data typical for the processing or underwriting of the domestic home mortgage, nor is with in interaction utilizing the customer to have information that is such.

(c) to be able to conclude that somebody who executes clerical or help duties is performing therefore during the direction of and susceptible to the direction and instruction of that loan originator that is certified or registered in conformity with В§ 1008.103 (or, as relevant, someone who is excluded through the certification and enrollment needs under В§ 1008.103(e)(2), ( ag ag e)(6), or ( ag ag e)(7)), there has to be a nexus that is actual the licensed or registered loan originator’s (or excluded person’s) way, guidance, and instruction together with loan processor or underwriter’s tasks. This real nexus should be significantly more than a nominal relationship on an organizational chart. As an example, there clearly was a genuine nexus whenever:

(1) The supervisory licensed or authorized loan originator assigns, authorizes, and monitors the mortgage processor or underwriter employee’s performance of clerical and support duties.

(2) The supervisory licensed or registered loan originator exercises conventional supervisory obligations, including, however restricted to, working out, mentoring, and assessment regarding the loan processor or underwriter worker.