DEPARTMENT OF REGULATORY AGENCIES

DIVISION OF REAL ESTATE

MORTGAGE LOAN ORIGINATORS

4CCR 725-3

3-1-3 MAINTAINING CURRENT CONTACT INFORMATION AND ALL INFORMATION REQUIRED FOR LICENSING

Pursuant to and in compliance with Title 12, Article 61 and Title 24, Article 4, C.R.S. as amended, notice of proposed rulemaking is hereby given, including notice to the Colorado Attorney General, and to all persons who have requested to be advised of the intention of the Board of Mortgage Loan Originators to promulgate rules.

Section 1.	Authority
Section 2.	Scope and Purpose
Section 3.	Definitions
Section 4.	Applicability
Section 5.	3-1-3 Maintaining Current Contact Information and All Information Required for Licensing 
Section 6. 	Enforcement

Section 1.	Authority

The statutory basis for this rule, entitled Maintaining Current Contact Information and All Information Required for Licensing, is section 12-61-910.3, C.R.S.

This notice proposes to update rule 3-1-3.  The rule defines the requirement for mortgage loan originators and all other individuals required to be licensed to maintain contact information and all information required for licensing.

Section 2.	Scope and Purpose

In order to implement and enforce Colorado mortgage loan originator laws, the Board must have the ability to correspond or request documentation from licensees.  Furthermore, licensees are responsible for maintaining specific requirements for licensing.  These include, but are not limited to a surety bond and errors and omissions insurance.  All licensees are responsible for maintaining such requirements. 

The purpose of this rule is to ensure that licensees maintain current contact information and all information required for licensing to ensure the Board may adequately protect Colorado consumers.

Section 3.	Definitions

1.	“Address” means the street address, city, state, and postal code.

2.	“Physical Address” means the physical location of the property.

3.	“Business Name” means the company for which individuals who originate a mortgage, offer to originate a mortgage, act as a mortgage loan originator, or offer to act as a mortgage loan originator are officers, partners, members, managers, owners, exclusive agents, contractors, independent contractors, or employees. 

Section 4.	Applicability

This rule applies to all individuals required to be licensed pursuant to sections 12-61-902 and 12-61-903, C.R.S. 

Section 5.	3-1-3 Maintaining Current Contact Information and All Information Required for Licensing

1.	Individuals required to be licensed as state licensed loan originators shall maintain all current contact information and all information required for licensing, in a manner acceptable to the Board, including on the Division of Real Estate database and on the Nationwide Mortgage Licensing System and Registry.  Failure to maintain the information identified in this rule shall be grounds for disciplinary action.

2.	Contact information shall include, but is not limited to:

a.	E-mail address;

b.	Legal first, middle and last names;

c.	Physical home address;

d.	Home phone number;

e.	Business address; 

f.	Business phone number; and

g.	Business name.

3.	Information required for licensing includes, but is not limited to:

a.	Surety bond company;

b.	Surety bond number; 

c.	Surety bond effective date;

d.	Errors and omissions insurance provider;

e.	Errors and omissions policy number;

f.	Errors and omissions effective and expiration date; and

g.	Convictions, pleas of guilt or nolo contendere for all crimes.

4.	Individuals required to be licensed as a state licensed loan originator shall update the Board within thirty (30) days of any changes to the information defined in this rule on both the Division of Real Estate database and on the Nationwide Mortgage Licensing System and Registry.

5.	The Director has created the Mortgage Loan Originator Licensing Update Form to ensure this information is clearly and concisely disclosed.  This form may be found on the Division of Real Estate’s website at http://www.dora.state.co.us/real-estate/mortgage/MBForms.htm.  Mortgage loan originators shall use this form to ensure all information defined in this rule is current.  

a.	Mortgage loan originators shall forward this form by mail or personal delivery to the following address:

i.	Division of Real Estate – Attn: Mortgage Loan Originator  Licensing Department
1560 Broadway, Suite 925
Denver, CO 80202

6.	All individuals required to be licensed as state licensed loan originators shall maintain all information prescribed in this rule on the Nationwide Mortgage Licensing System and Registry and in conformance to procedures developed by the Nationwide Mortgage Licensing System and Registry.

7.	Additionally, mortgage loan originators may update all of the information required in this rule electronically.  They may access their information through the following website: https://eservices.psiexams.com/index_login.jsp.  After entering their password and username, mortgage loan originators may update all information without any fees or costs associated with such action.

Section 6.	Enforcement

1.	Noncompliance with this rule, whether defined or reasonably implied in the rule, may result in the imposition of any of the sanctions allowable under Colorado law, including, but not limited to:

a.	Revocation;

b.	Refusal to renew a license;

c.	Imposition of fines; and 

d.	Restitution for any financial loss. [REPEALED]