Skip to main content

FDIC approves implementation of SAFE Act

NationalMortgageProfessional.com
Nov 13, 2009

The Federal Deposit Insurance Corporation (FDIC) Board of Directors has approved a final rule implementing the Secure and Fair Enforcement for Mortgage Licensing Act of 2008 (SAFE Act). The rule has been posted on the FDIC's Web site, but will not be published in the Federal Register until the other agencies involved in this rulemaking complete their review and approval of the rule. To the extent there are differences between the attached draft final rule and the version ultimately published by the agencies in the Federal Register, the FDIC will highlight those changes in a revised Financial Institutions Letter at the time of publication. Highlights: ► The SAFE Act improves the accountability and tracking of residential mortgage loan originators (MLOs), enhances consumer protection, reduces fraud, and provides consumers with easily accessible information regarding the professional background of MLOs. ► The rule will implement the requirements of Section 1507 of the SAFE Act and will apply to insured state non-member banks (including state-licensed insured branches of foreign banks), their subsidiaries and employees of such banks or subsidiaries who act as MLOs. The rule: ► Tracks the SAFE Act definition of an MLO and provides examples of when a person is or is not acting as an MLO; ► Requires employees of insured state nonmember banks and their subsidiaries who act as MLOs to register with the Nationwide Mortgage Licensing System and Registry (NMLSR); ► Requires institutions and MLOs to provide certain information to the NMLSR, including MLO fingerprints (to run a criminal background check); ► Allows de minimis exceptions to the registration requirements for low-volume MLOs; requires appropriate written policies and procedures for ensuring compliance with the rule and establishes minimum standards for such policies and procedures; and ► Explains how an MLO's unique identifier must be disclosed. The draft final rule is publicly available and has been posted on the FDIC's Web site. When finalized, this rule will be added as a new subpart B to Part 365 of the FDIC's Rules and Regulations (12 C.F.R. Part 365). Click here for more information and a copy of the draft. 
Published
Nov 13, 2009
CFPB Reports Trends In Financial Assistance

The latest developments from this study reveal that most consumers have exited the payment assistance they received at the start of the pandemic.

Analysis and Data
Jul 14, 2021
CFPB Orders GreenSky To Refund $9M In Unauthorized Loans

The consent order requires GreenSky to refund or cancel up to $9 million in loans for the customers harmed by this illegal conduct.

Regulation and Compliance
Jul 13, 2021
CFPB Warns Landlords And Consumer Reporting Agencies To Report Accurate Rental Information

Inaccurate rental or eviction information can unfairly block families and individuals from safe, affordable housing.

Regulation and Compliance
Jul 01, 2021
FHFA Mandates Quarterly Fair Lending Reports

FHFA issued orders for all enterprises to submit quarterly Fair Lending Reports with data and information to improve the FHFA’s capabilities. 

Regulation and Compliance
Jul 01, 2021
FHFA Follows CFPB To Protect Borrowers Once COVID-19 Foreclosure And Eviction Moratoriums End

The Federal Housing Finance Agency made it clear that Fannie Mae and Freddie Mac servicers are not permitted to make first notice or filing for foreclosure that would be prohibited by the CFPB protections for borrowers affected by COVID-19.

Regulation and Compliance
Jun 30, 2021
CFPB Finds Evidence Of Redlining And Deceptive Acts In 2020

Enforcement actions resulted in more than $124 million in consumer remediation and civil money penalties in 2020

Regulation and Compliance
Jun 29, 2021