Mortgage Loan Originator (MLO)
Below you will find Mortgage Loan Originator news and updates from the Division of Consumer Services.
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News and Updates
Windows XP Upgrade Warning
On April 8, 2014, Windows XP will reach the end of its support lifecycle and will no longer be supported. After April 8, 2014, Washington State Department of Financial Institutions (DFI) will consider all devices connected to the Internet running Windows XP a serious security risk. Devices include: PCs, Laptops, and Tablet PCs.
Winter 2014 Newsletter
The Division of Consumer Services Winter 2014 newsletter is now available.
Summer 2013 Newsletter
The Division of Consumer Services Summer 2013 newsletter is now available.
Spring 2013 Newsletter
The Division of Consumer Services Spring 2013 newsletter is now available.
New SAFE MLO Test with Uniform State Content Now Available
The new National SAFE MLO Test Component with uniform state content was implemented April 1, which creates a single test that can meet both the national and state testing requirements of the SAFE Act. In 20 states, MLOs seeking licensure with their state regulatory agency will no longer be required to take a second, state-specific test component.
March 25 Education and Testing Changes Webinar Presentation
On March 25, we hosted a webinar regarding Mortgage Loan Originator Education and Testing changes. Below you will find a link to the PowerPoint presentation used during the webinar.
New Pre Licensure Education Requirements to Start April 1
April 1 will bring an increase in Washington’s Pre-Licensing Education (PE) requirement for new MLOs. Applicants must complete 22 hours of PE with 4 hours covering Washington law.
Winter 2013 Newsletter
The Division of Consumer Services Winter 2013 newsletter is now available.
New SAFE MLO Test with Uniform State Component to Start April 1
The Conference of State Bank Supervisors (CSBS) has announced that a new National SAFE MLO Test with a uniform state component will be available on April 1, 2013. With the implementation of this new test, Washington will no longer require a second, state-specific test component to be taken by mortgage loan originators (MLOs) seeking licensure.
Fall 2012 Newsletter
The Division of Consumer Services Fall 2012 newsletter is now available.
Spring 2012 Newsletter
DFI's Division of Consumer Services' Spring 2012 newsletter is now available.
- Deb Bortner’s Presentation to Seattle Mortgage Bankers Association - April 26, 2011
Deb Bortner, DFI's Director of Consumer Services, spoke to the Seattle Mortgage Bankers Association on April 26, 2011 about the SAFE Act relating to loan officer compensation, the mortgage call report, current licensing numbers, and more. View her presentation via the link below.
- Red Flags Rule Effective December 31, 2010
The Federal Trade Commission (FTC) issued the Red Flags regulations under the Fair and Accurate Credit Transition Act of 2003, which requires the establishment of guidelines for financial institutions and creditors regarding identity theft. The FTC’s definition of a creditor in the Act was amended on December 8, 2010. The FTC delayed implementation of the rule multiple times to allow for Congressional clarification of this issue. If you have a question about the rule, the FTC has set up a toll free number at 1-877-FTC-HELP (1-877-382-4357)(tty 1-866-653-4261).
- Short Sale Guidance
Guidance to licensees providing services in short sale transactions from DFI and the Washington Department of Licensing.
- Governor Gregoire Signs Loan Servicing/Modification And Escrow Bills
On March 12, 2010 Governor Gregoire signed two DFI-requested bills offering stronger protection for consumers and establishing guidelines for more sound business practices: HB 2608 (PDF)* regarding Loan Servicers and Loan Modifications and ESHB 2564 (PDF)* regarding Escrow Agents.
- Criminal Background Check Through The NMLS For All New MLO Applicants
Effective January 25, 2010, all new MLO applications will require fingerprints to be on file with NMLS and request a federal criminal background check to be processed through NMLS. DFI will not issue a license until results from the federal criminal background check have been received.
- Loan Modifications - License Required
Companies and individuals providing loan modification services in Washington must be licensed as mortgage brokers, consumer loan companies, or loan originators.
- Loan Originators Working For CUSOs Can License Via The NMLS
Residential mortgage loan originators working for Credit Union Service Organizations (CUSOs) can obtain a license via the NMLS. To sponsor their loan originators, CUSOs must register as exempt mortgage brokers on the NMLS. Please see DCU Bulletin B-09-01 for additional information about this federal licensing requirement.
* This document is a PDF file, and you will need Adobe Acrobat Reader to view it. If you don't already have Acrobat Reader installed on your computer, you may download it for free from Adobe.