currently some MLO’s do not have to do the 20 hrs of education nor take the tests because they are under the umbrella of their bank, credit union, etc. From the new finalized LO compensation rules, it states:The rule also sets uniform standards for qualifying and screening loan originators. Under current rules loan originators have different sets of qualifying standards depending on whether they work for a bank, thrift, mortgage brokerage, or nonprofit organization. The new rule provides a more level playing field so consumers can be confident that originators are ethical and knowledgeable. The final rules generally require:
• That loan originators meet character, fitness, and financial responsibility reviews;
• That they be screened for felony convictions; and,
• That they are required to undertake training to ensure they have the knowledge about the rules governing the types of loans they originate. Does this mean that these “exempt” MLO’s will have to take the couse/exam?