California's Transition to NMLS - Nationwide Multistate Licensing System

The California Department of Corporations began accepting filing though the Nationwide Multistate Licensing System (NMLS) on January 4, 2010.  NMLS, developed through the Conference of State Bank Supervisors (CSBS) and the American Association of Residential Mortgage Regulators (AARMR), will allow companies to conveniently manage their mortgage license(s) in an electronic format through a secure website. 

To file on NMLS
Implementation/Transition Plans to NMLS

All current licensees employing mortgage loan originators must transition their licensee information onto the NMLS by July 31, 2010. Transition requests must be submitted through NMLS by June 15, 2010 in order to allow adequate processing time to complete the transition requested by July 31, 2010.

  • All transition requests must be attested to by a control person named in the Direct Owner/Executive Officer section of the MU1.
  • Each branch location, wherever located, desiring to conduct business under this license authority must be separately authorized and will require a filing of Form MU3 through NMLS. All locations in California must be authorized.
  • Each individual originating mortgages must be separately licensed by July 31, 2010 and must file a Form MU4 through NMLS. The application Form MU4 must be filed by May 28, 2010 in order to allow adequate processing time to complete the application and issue the license by July 31, 2010. After the MU4 is submitted, the company must submit a sponsorship request to the California Department of Corporations before the individual MU4 license will be approved. A quick guide entitled “Create a Company Relationship” at the following link will help walk you through this process: NMLS Quick Guides.
  • An on-site manager is required to be appointed for all locations where the licensee conducts business. This individual may be referred to as the Branch Manager. Each branch must have at least one manager with a completed Form MU2.
  • The Resident/Registered Agent section of the MU1 form should be completed with the information currently on record with the California Secretary of State.
  • The Department of Corporations does not charge existing licensees for transition to the NMLS system. The only transition fee will be the $100.00 NMLS processing fee.
  • Fees are collected through the NMLS and ARE NOT REFUNDABLE.
  • The Department of Corporations will review the filing and all required documents and communicate with you through NMLS. To review your status in NMLS, click the Tasks tab and click Work List.
  • Jurisdiction-specific requirements as identified on the checklist below must be received with this checklist within 5 business days of the electronic submission of your application through the NMLS at the following: Department of Corporations, NMLS LIcensing Unit. 320 West 4th Street, Suite 750. Los Angeles, CA 90013

Department of Corporations' Implementation Plan for Mortgage Loan Originators

Transition Plan CFLL Licensees

Transition Plan CRMLA Licensees

California Finance Lenders Law

This license is required for any person or company that engages in the business of making consumer or commercial loans, or any person or company that engages in the business of negotiating or performing any act as a broker in connection with loans made by a Finance lender, when secured by residential real property will be required to obtain this license through NMLS. Non-residential and commercial lenders and brokers will be required to be licensed under the California. A California Finance Lenders license can be issued as a Finance lender, a broker or both Finance lender and broker.

CFLL licensees who make and/or broker residential mortgage loans must request transition of their records, including all branches, to NMLS.  The instructions for the transition of CFLL licenses can be found on the NMLS website.  The transition request should be submitted to the DOC through NMLS by June 15, 2010 to allow time to complete the approval of the transition request and the approval of MLO licenses sponsored by the licensee.  All approvals must be completed by July 31, 2010.  CFLL licensees who do not engage in the making or brokering of residential mortgage loans are not required to transition to NMLS

 

California Residential Mortgage Lending Act

This license is required for any company or person who makes or services residential mortgage loans in California. A license can be issued as a residential Mortgage Lender, a residential mortgage servicer or both residential mortgage lender and servicer.

All CRMLA licensees must request transition of their records, including all branches, to NMLS.  The instructions for the transition of CRMLA licenses can be found on the NMLS website.  The transition request should be submitted to the DOC through NMLS by May 28, 2010 to allow time to complete the approval of the transition request and the approval of MLO licenses sponsored by the licensee.  All approvals must be completed by July 31, 2010.

Upcoming Deadlines:
  • 7/31/10 – Mortgage loan originators employed by California Finance Lenders or California Residential Mortgage Lenders licensees must be licensed through NMLS by July 31, 2010.
  • 07/31/10- All Consumer Finance Lender licensees (CFLL licensees) who make and/or broker residential mortgage loans must  transition their records, including all branches, to NMLS. The transition request should have been submitted to the DOC through NMLS by May 28, 2010 to allow time to complete the approval of the transition request and the approval of MLO licenses sponsored by the licensee. All approvals must be completed by July 31, 2010. CFLL licensees who do not engage in the making or brokering of residential mortgage loans are not required to transition to NMLS.
  • 07/31/10 - All California Residential Mortgage Lender Act licensees "CRMLA licensees" must transition their records, including all branches, to NMLS. The original transition request submission deadline to DOC through NMLS was May 28, 2010.  The transition deadline was extended to June 15, 2010 to allow time to complete the approval of the transition request and the approval of MLO licenses sponsored by the licensee. All approvals must be completed by July 31, 2010
  • 6/15/10 - Deadline for Requesting Certification of Pre-license Education
  • 5/28/10 – Deadline to submit your license applications through NMLS in order to be approved and licensed by July 31, 2010.
  • 3/31/10 – The Department will waive the $100 application fees for Mortgage Loan Originators who file for their license before March 31, 2010.