There is a new SC Lender/Servicer License that replaces the SC Supervised Lender and covers all mortgage lending - both 1st and 2nd mortgages - effective 1/1/2010 - As Commissioner Bratton states below: "If you hold a Supervised Lender License, this license will not allow you to make, service or originate any type of mortgage loan effective January 1, 2010."
August 14, 2009
All Mortgage Lenders / Servicers / Mortgage Loan Originators
ATTENTION: LICENSING DEPARTMENT
Dear Lender:
As you have probably heard, legislation (Bill S-673) was passed June 3, 2009 requiring the licensing for all types of (first and subordinate lien) mortgage lending. The legislation requires any employee that discusses mortgage loan applications, terms, or conditions with consumers be licensed and meet certain pre-licensing education and testing requirements pursuant to SAFE Legislation.
South Carolina passed this legislation for compliance with the Federal SAFE Act requirements regarding the licensing of all mortgage loan originators. This is the first time there has been a licensing requirement for first mortgage lending in South Carolina. There are requirements for companies to have surety bonds payable to the Commissioners, Office, Consumer Finance Division, SC Board of Financial Institutions in order to obtain licensing. You may view this legislation at
www.sc.gov and click on legislation and type in bill number S-673.If you hold a Supervised Lender License, this license will not allow you to make, service or originate any type of mortgage loan effective January 1, 2010. Application through the National Mortgage Licensing System and Registry (NMLS) is required effective January 1, 2010, to obtain a license to act as a mortgage lender, servicer, or mortgage loan originator in South Carolina.
The attached information should prove helpful in pursuing the proper license for mortgage lending activity in South Carolina. Please review this information carefully and contact our office should you have any questions.
Sincerely,
C. Dean Bratton
Commissioner
Enclosures
