The Wisconsin legislature has enacted provisions for the temporary authority for registered mortgage loan originators who transition to a licensed mortgage broker or lender.  These provisions were effective November 28, 2019. The Pennsylvania Department of Banking and Securities has announced the 2020 base figure, effective January 1, 2020.

WISCONSIN SENATE BILL 457

An individual who is a registered mortgage loan originator immediately prior to becoming an employee of a mortgage banker or mortgage broker licensed in Wisconsin and who has applied for a mortgage loan originator license is considered to have temporary authority to act as a mortgage loan originator in Wisconsin if all of the following applies:

• The individual has not previously had an application for a mortgage loan originator license denied.
• The individual has not previously had a mortgage loan originator license suspended or revoked in any jurisdiction.
• The individual has not been subject to, or served with a cease and desist order in any jurisdiction or by the director of the CFPB.
• The individual has not been convicted of any crime that would disqualify the individual for licensure.
• The individual was registered with the NMLS as a loan originator during the one-year period immediately preceding the date when the individual applies for the license in the NMLS.

An individual who is licensed as a mortgage loan originator in another state, who is employed by a Wisconsin licensed mortgage banker or mortgage broker, and who has applied for a Wisconsin mortgage loan originator license is considered to have temporary authority to act as a Wisconsin mortgage loan originator if all of the following apply:

• The individual has not previously had an application for mortgage loan originator license denied.
• The individual has not previously had a mortgage loan originator license suspended or revoked in any jurisdiction.
• The individual has not been subject to, or served with a cease and desist order in any jurisdiction or by the director of the CFPB.
• The individual has not been convicted of any crime that would disqualify the individual for licensure.
• The individual was licensed in another state during the 30-day period immediately preceding the date the individual furnished all the license information required in the NMLS.

The temporary authority to act as a mortgage loan originator begins on the date when the individual furnishes to the NMLS the information required for licensure in Wisconsin.  The temporary authority ends at the earliest of the following:

• The date when the individual withdraws the mortgage loan originator license application.
• The date when the division denies, or issues a notice of intent to deny, the mortgage loan originator application.
• The date when the division grants the mortgage loan originator license.
• If the individual’s application is listed on the NMLS as incomplete, the date that is 120 days after the date when the individual applied for a mortgage loan originator license.

Any person employing an individual who has temporary authority to act as a mortgage loan originator is subject to the same requirements to the same extent as if the individual were a licensed mortgage loan originator.  Any individual who is considered to have temporary authority to act as a mortgage loan originator and takes a mortgage loan application or negotiates the terms of a mortgage loan is subject to the provisions of Wisconsin law to the same extent as if the individual were a licensed mortgage loan originator. 

49 PENNSYLVANIA BULLETIN 6554

The Pennsylvania Department of Banking and Securities recently announced that the inflation-adjusted base figure under the Loan Interest and Protection Law for the calendar year 2020 will be $260,404 (previously $256,023).