How to Become a Mortgage Broker in North Carolina

Step-by-Step Guide

1. 1

   Step 1: Understand that it is the North Carolina Commissioner of Banks (NCCOB) that regulates North Carolina mortgages and lending.

   North Carolina law states that North Carolina lenders, originators and mortgage brokers must be licensed.
   
   In some cases, banks and credit unions can be exempt from licensing since they are overseen by the Federal Reserve and the National Credit Union Administration.
   
   You do not have to be licensed as a mortgage broker if you are already licensed as a North Carolina lender of mortgages.
2. 2

   Step 2: Present yourself as a North Carolina mortgage broker only if you are licensed or you meet one of the exempt categories.

   A mortgage broker is defined by North Carolina law as a person that will receive compensation from working with North Carolina mortgages. , Create an individual account at the NMLS website.
   
   New applicants must complete the MU4 paperwork.
   
   Pay appropriate NMLS application fees and a mortgage license fee.
   
   Notify the NCCOB within 30 days of any change to documents submitted for the application. , Check the results of the criminal background check at the NMLS website under your individual account. , Mortgage loan originators must have at least 24 hours of mortgage loan education approved by the NMLS.
   
   Education hours must include: 3 hours of ethics. 3 hours of federal regulations and law. 4 hours of North Carolina regulations and laws. 2 hours about lending standards. 12 hours in origination of mortgage loans. 8 hours of continuing education are required each year in laws, regulations, ethics and lending standards.
   
   See the website for the Commissioner of Banks in North Carolina (http://www.nccob.gov/public/) to find the most up-to-date list of approved schools for licensing education. , NMLS can provide you with a testing handbook and an outline of test content for test preparation.
   
   You can receive pass/fall information upon leaving the testing center.
   
   Official test results are emailed within 72 hours.
   
   Test retakes require a waiting period of 30 days. , Your credit report must be approved by the North Carolina state regulator. ,, The office should contain all necessary records and files. , The NMLS will change your status to Approved Inactive until your new employer submits a sponsorship request.
3. 3

   Step 3: Apply for a license as a North Carolina mortgage broker through the National Mortgage Licensing System (NMLS)at http://mortgage.nationwidelicensingsystem.org/.

4. 4

   Step 4: Request a criminal background check

5. 5

   Step 5: which will include presenting your fingerprints to the NMLS for processing by the FBI.

6. 6

   Step 6: Complete education requirements required by the 2008 Secure and Fair Enforcement for Mortgage Licensing Act (SAFE).

7. 7

   Step 7: Pass the national and North Carolina mortgage loan origination tests.

8. 8

   Step 8: Give authorization for a credit report through the NMLS.

9. 9

   Step 9: Provide a $75

10. 10

    Step 10: 000 Surety Bond.

11. 11

    Step 11: Establish a principal mortgage broker office in the state of North Carolina.

12. 12

    Step 12: Update your Form MU4 information with NMLS if you change employers after becoming a licensed mortgage broker.

Detailed Guide

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