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Launch of NMLS Consumer Access Announced by State Regulators

The ""Nationwide Mortgage Licensing System & Registry"":http://mortgage.nationwidelicensingsystem.org/Pages/Default.aspx (NMLS), a mortgage licensing system operated by state financial regulators recently announced the launch of

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""NMLS Consumer Access"":http://www.nmlsconsumeraccess.org/. This fully researchable Web site allows the general public to view information concerning state-licensed mortgage companies, branches, and individuals currently licensed through the NMLS.

According to the NMLS, Consumer Access achieves three critical goals set forth by state regulators.

The new site provides consumers and the general public with a single location to obtain standardized information regarding their mortgage provider, regardless of the state in which it operates.

In addition, Consumer Access offers a transparent resource for consumer researching mortgage providers, which will assist consumers in identifying legitimately licensed providers.

Finally, the Web site meets mandates outlined in the Secure and Fair Enforcement for Mortgage Licensing Act (SAFE Act) of 2008 to provide consumers with easily accessible information, offered at no charge, regarding the background of state-licensed and federally- registered mortgage loan originators.

""Over the past decade, state regulators have embarked upon an unparalleled campaign to enhance supervision of the residential mortgage industry,"" said Neil Milner, president and CEO of the ""Conference of State Bank Supervisors"":http://www.csbs.org//AM/Template.cfm?Section=Home (CSBS). ""NMLS Consumer Access is one more initiative undertaken by the states to empower consumers with information while they take on what is usually the most significant purchase of their lifetime: their home.""

Through CSBS and the ""American Association of Residential Mortgage Regulators"":http://www.aarmr.org/, state regulators launched NMLS in January 2008. To date, 45 states and territories license mortgage companies, branches, and individuals through the system. By the end of 2010, all 54 states and territories are expected to be on the NMLS and to be compliant with the requirements of the SAFE Act.

At the launch of Consumer Access, not all state-licensed companies, branches, and mortgage loan originators will be available for look-up on the site. However, CSBS expects that by the end of 2010 all licensees within NMLS will be available.

Through NMLS, every mortgage loan originator is assigned a unique identification. Starting July 2010, Fannie Mae and Freddie Mac are requiring this ID be incorporated into every loan sold to the GSEs. Allowing regulators to associate the loan documents and business practices with the individual and company that negotiated the transaction, this unique ID is a powerful tool used to ensure that imitators cannot hide from their past actions.

""NMLS is successfully combining the objectives of state regulators with the mandates of the SAFE Act faster than most anticipated,"" said Gavin Gee, Idaho director of finance and chairman of the State Regulatory Registry. ""State regulators have rallied behind NMLS to coordinate our efforts as we strive to create a seamless and comprehensive system of supervision for the residential mortgage industry. In addition, NMLS Consumer Access indicates our ongoing and widely recognized dedication to formulating innovative solutions to protect consumers.""

About Author: Brittany Dunn

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