The Office of the Comptroller of the Currency (OCC) reminded banks that under the Secure and Fair Enforcement for Mortgage Licensing Act (SAFE Act) and the final rules issued on July 28, 2010, residential mortgage loan originators employed by banks, savings associations, credit unions, Farm Credit System institutions, and certain subsidiaries of these financial institutions must register with the Nationwide Mortgage Licensing System and Registry.
The initial period for federal registration of residential loan originators is expected to start on or around January 31, 2011, and end on or around July 29, 2011.
According to the OCC, employees of national banks and their subsidiaries will have 180 days from the start date to complete their initial registrations. After this 180-day period, anticipated to expire on or about July 29, 2011, any employee subject to the registration requirements will be prohibited from originating residential mortgage loans without first meeting these requirements.
The Department of Housing and Urban Development announced its tracking third party originators by NMLS numbers earlier this month.
