EXCERPT FROM CHRISMAN DAILY NEWSLETTER:
And in a somewhat related issue, Scott Olson, Executive Director of the Community Home Lenders Association, commented on some investors accepting, or denying, loans originated by MLOs through transitional licensing. “Great article about the SAFE Act. CHLA was instrumental in the process of enacting transitional licensing legislation, working closely with SAFE Act author Spencer Bachus (R-AL) on his introduction of the first transitional licensing bill six years ago, which was the template for the enacted bill that your article discusses.
“But that is just a first step. Your article alludes to the significant discrepancies in consumer protection licensing requirements between bank and non-bank LOs. For many years CHLA has pushed for a simple requirement that all LOs, including those working for banks, have to pass the SAFE Act test. CHLA believes it is not fair to consumers that thousands of bank LOs that failed the SAFE Act test are registered and authorized as mortgage loan originators, making mortgage loan origination really the only mortgage/real estate profession that does not have a uniform mandatory testing requirement.”