National Mortgage Licensing System Expands to 14 States

A national registry designed to centralize information on and licensing for mortgage brokers and lenders has expanded to 14 states, according to the Conference of State Bank Supervisors (CSBS) and the American Association of Residential Mortgage Regulators, who first introduced the registry in January. On Monday, CSBS officials said that six more states — Connecticut, Louisiana. Mississippi, North Carolina, New Hampshire and Vermont — will begin using the Nationwide Mortgage Licensing System beginning July 1. Eight states currently use the NMLS, including Idaho, Iowa, Kentucky, Massachusetts, Nebraska, New York, Rhode Island and Washington. More than 5,000 companies and 16,000 loan officers are registered via the NMLS platform; to date, 42 state agencies representing 40 states have committed to participate. Nineteen states are slated to be online with the system by the end of this year. NMLS is a web-based system that allows state-licensed mortgage lenders, mortgage brokers, and loan officers to apply for, amend, update or renew a license online for all participating state agencies using a single set of uniform applications. “This unprecedented adoption rate is the result of hard work begun several years ago by state regulators as we envisioned a new regulatory framework that would begin to address some of the gaps we experienced in state and federal oversight of the mortgage industry,” said Gavin Gee, Idaho’s Director of Finance and chairman of State Regulatory Registry LLC, the CSBS subsidiary which developed and operates NMLS. “The importance of this initiative is underscored by the 19 state agencies that will come on the System during its first year,” said David H. Bleicken, AARMR president and SRR board member. “These states are creating the initial critical mass necessary for the System’s success.” NMLS is used by state residential mortgage regulators to accept and process uniform license applications and renewal forms created by states. Licensees are able to manage a single record electronically in the System to apply for, amend, renew, and surrender licenses with one or more state regulators. For more information, visit http://www.csbs.org.

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