Section 5-26-1 – Short Title.
Section 5-26-1 Short title. This chapter may be cited as the Alabama Secure and Fair Enforcement for Mortgage Licensing Act of 2009 or Alabama S.A.F.E. Mortgage Licensing Act of 2009. (Act 2009-627, p. 1907, §1.)
Section 5-26-10 – Continuing Education for Mortgage Loan Originators.
Section 5-26-10 Continuing education for mortgage loan originators. (1) In general. In order to meet the annual continuing education requirements referred to in Section 5-26-9(1)(b), a licensed mortgage loan originator shall complete at least eight hours of education approved in accordance with subsection (2), which shall include at least: (a) Three hours of federal law […]
Section 5-26-11 – Authority to Require License.
Section 5-26-11 Authority to require license. In addition to any other duties imposed upon the supervisor by law, the supervisor shall require mortgage loan originators to be licensed and registered through the Nationwide Mortgage Licensing System and Registry. In order to carry out this requirement the supervisor is authorized to participate in the Nationwide Mortgage […]
Section 5-26-12 – Nationwide Mortgage Licensing System and Registry Information Challenge Process.
Section 5-26-12 Nationwide Mortgage Licensing System and Registry information challenge process. The supervisor shall establish a process whereby mortgage loan originators may challenge information entered into the Nationwide Mortgage Licensing System and Registry. (Act 2009-627, p. 1907, §12.)
Section 5-26-13 – Enforcement Authorities, Violations, and Penalties.
Section 5-26-13 Enforcement authorities, violations, and penalties. (1) In order to ensure the effective supervision and enforcement of this chapter the supervisor may: (a) Deny, suspend, revoke, condition, or decline to renew a license for a violation of this chapter, rules or regulations issued under this chapter or order or directive entered under this chapter, […]
Section 5-26-14 – Surety Bond Required.
Section 5-26-14 Surety bond required. (1) Coverage, form and regulations. Each mortgage loan originator shall be covered by a surety bond in accordance with this section. In the event that the mortgage loan originator is an employee or exclusive agent of a person subject to the Alabama Consumer Credit Act or Mortgage Brokers Licensing Act, […]
Section 5-26-15 – Confidentiality.
Section 5-26-15 Confidentiality. In order to promote more effective regulation and reduce regulatory burden through supervisory information sharing: (1) PROTECTIONS. Except as otherwise provided in Public Law 110-289, Section 1512, the requirements under any federal law regarding the privacy or confidentiality of any information or material provided to the Nationwide Mortgage Licensing System and Registry, […]
Section 5-26-16 – Investigation and Examination Authority.
Section 5-26-16 Investigation and examination authority. In addition to any authority allowed under this chapter the supervisor shall have the authority to conduct investigations and examinations as follows: (1) AUTHORITY TO ACCESS INFORMATION. For purposes of initial licensing, license renewal, license suspension, license conditioning, license revocation or termination, or general or specific inquiry or investigation […]
Section 5-26-17 – Prohibited Acts and Practices.
Section 5-26-17 Prohibited acts and practices. It is a violation of this chapter for a person or individual subject to this chapter to: (1) Obtain property by intentional fraud or intentional misrepresentation; (2) Solicit or enter into a contract with a borrower that provides in substance that the person or individual subject to this chapter […]
Section 5-26-18 – Mortgage Call Reports.
Section 5-26-18 Mortgage call reports. Each person employing a mortgage loan originator licensed under this chapter shall submit to the Nationwide Mortgage Licensing System and Registry reports of condition, which shall be in such form and shall contain such information as the Nationwide Mortgage Licensing System and Registry may require. (Act 2009-627, p. 1907, §18.)
Section 5-26-19 – Report to Nationwide Mortgage Licensing System and Registry.
Section 5-26-19 Report to Nationwide Mortgage Licensing System and Registry. Notwithstanding state privacy law, the supervisor is required to report regularly violations of this chapter as well as enforcement actions and other relevant information to the Nationwide Mortgage Licensing System and Registry, subject to the provisions contained in Section 5-26-15. (Act 2009-627, p. 1907, §19.)
Section 5-26-2 – Legislative Findings.
Section 5-26-2 Legislative findings. The activities of mortgage loan originators and the origination or offering of financing for residential real property have a direct, valuable, and immediate impact upon Alabama’s consumers, Alabama’s economy, the neighborhoods and communities of Alabama, and the housing and real estate industry. The Legislature finds that accessibility to mortgage credit is […]
Section 5-26-20 – Unique Identifier Shown.
Section 5-26-20 Unique identifier shown. The unique identifier of any person originating a residential mortgage loan shall be clearly shown on all residential mortgage loan application forms, solicitations, or advertisements, including business cards or websites, and any other documents as established by rule, regulation, or order of the supervisor. (Act 2009-627, p. 1907, §20.)
Section 5-26-3 – Definitions.
Section 5-26-3 Definitions. For purposes of this chapter, the following definitions shall apply: (1) DEPOSITORY INSTITUTION. The term “depository institution” has the same meaning as in Section 3 of the Federal Deposit Insurance Act, and includes any credit union. (2) FEDERAL BANKING AGENCIES. The term “federal banking agencies” means the Board of Governors of the […]
Section 5-26-4 – License and Registration Required.
Section 5-26-4 License and registration required. (1) In general. An individual, unless specifically exempted from this chapter under subsection (2), shall not engage in the business of a mortgage loan originator with respect to any dwelling located in this state without first obtaining and maintaining annually a license under this chapter. Each licensed mortgage loan […]
Section 5-26-5 – State License and Registration Application and Issuance.
Section 5-26-5 State license and registration application and issuance. (1) Application form. Applicants for a license shall apply in a form as prescribed by the supervisor. Each such form shall contain content as set forth by rule, regulation, instruction, or procedure of the supervisor and may be changed or updated as necessary by the supervisor […]
Section 5-26-6 – Issuance of License.
Section 5-26-6 Issuance of license. The supervisor shall not issue a mortgage loan originator license unless the Supervisor makes at a minimum the following findings: (1) NO LICENSE REVOCATION. The applicant has never had a mortgage loan originator license revoked in any governmental jurisdiction, except that a subsequent formal vacation of such revocation shall not […]
Section 5-26-7 – Pre-Licensing Education of Loan Originators.
Section 5-26-7 Pre-licensing education of loan originators. (1) Minimum educational requirements. In order to meet the pre-licensing education requirement referred to in Section 5-26-6(4) a person shall complete at least 20 hours of education approved in accordance with subsection (2), which shall include at least: (a) Three hours of federal law and regulations; (b) Three […]
Section 5-26-8 – Testing of Loan Originators.
Section 5-26-8 Testing of loan originators. (1) In general. In order to meet the written test requirement referred to in Section 5-26-6(5), an individual shall pass, in accordance with the standards established under this subsection, a qualified written test developed by the Nationwide Mortgage Licensing System and Registry and administered by a test provider approved […]
Section 5-26-9 – Standards for License Renewal.
Section 5-26-9 Standards for license renewal. (1) In general. The minimum standards for license renewal for mortgage loan originators shall include the following: (a) The mortgage loan originator continues to meet the minimum standards for license issuance under Section 5-26-6(1) to (6), inclusive. (b) The mortgage loan originator has satisfied the annual continuing education requirements […]