Montana Mortgage Loan Originator License

This license is required of any individual, who for compensation or gain, or in the expectation of compensation or gain, takes a residential mortgage loan application or offers or negotiates the terms of a residential mortgage loan, for any dwelling, or residential real estate, located in Montana.

Who Is Required to Have This License? • An individual who, for compensation or gain or in the expectation of compensation or gain: (i) takes a residential mortgage loan application; or (ii) offers or negotiates terms of a residential mortgage loan. The term includes an individual who represents to the public that the individual can or will perform the services described in the subsection (i) and (ii) above. • A loan processor or underwriter who is an independent contractor and acts as a mortgage loan originator as defined in Mont. Code Ann. § 32-9-103(23). • An individual who is designated by an independent contractor entity as the individual responsible for the operation of a particular location that is under the responsible individual's full management, supervision, and control. Who Does Not Need This License? • An employee of a federal, state, tribal, or local government or housing finance agency acting within the course and scope of his or her duties. • A registered mortgage loan originator working for a depository institution or a subsidiary that is wholly-owned and controlled by the depository institution and regulated by a federal banking agency. • An employee of a bona fide not for profit entity acting within the course and scope of his or her employment. • A person that performs only real estate brokerage activities and is licensed or registered pursuant to Mont. Code Ann. § 37-51-301, unless the person is compensated by a mortgage lender, mortgage broker, or mortgage loan originator or an agent of the mortgage lender, mortgage broker, or mortgage loan originator. • A licensed Montana attorney who performs activities within the definition of a mortgage loan originator if the activities are considered by the Montana Supreme Court to be part of authorized practice in this state and the activities are carried out in full compliance with all applicable statutes, rules, and standards for attorneys. • A person who is not regularly engaged in the business of being a mortgage loan originator. See Mont. Code Ann. § 32-9-103(39) for definition of regularly engaged. • An individual who is an employee of a retailer of manufactured or modular homes if the employee is performing only administrative or clerical tasks in connection with the sale or lease of a manufactured or modular home and if the individual receives no compensation or other gain from a mortgage lender or a mortgage broker for the performance of the administrative or clerical tasks. Temporary Authority to Operate Temporary Authority to Operate (TAO) is a section of the SAFE Act which allows applicants of the mortgage loan originator license who meet certain criteria the authority to act as a mortgage loan originator (MLO) for a 120day period while the State reviews their application. For more information about TAO, please visit our website. Remote Work A mortgage loan originator may work from a remote location if the following requirements are fully met: • the licensed mortgage entity's employees and independent contractors do not meet with the public at an unlicensed personal residence; • no physical or electronic business records are maintained at the remote location; • the licensed mortgage entity has written policies and procedures for working remotely and the entity supervises and enforces the policies and procedures; • no signage or advertising of the entity or the mortgage loan originator is displayed at any remote work location; • the licensed mortgage entity maintains the computer system and customer information in accordance with the entity's information technology security plan and all state and federal laws; • any device used to engage in mortgage business has appropriate security, encryption, and device management controls to ensure the security and confidentiality of customer information as required by rules and regulations adopted by the department; • the licensed mortgage entity's employees and independent contractors take reasonable precautions to protect confidential information in accordance with state and federal laws; • the NMLS record of a mortgage loan originator that works remotely designates a properly licensed location as the mortgage loan originator's official workstation and a designated manager as a supervisor; and • the licensed mortgage entity annually reviews and certifies that the employees and independent contractors engaged in mortgage business at a remote location meet the requirements of this section. Upon request, a licensee shall provide written documentation of the licensee's review to the department. Agency Contact Information Contact the Montana Division of Banking and Financial Institutions licensing staff by phone at (406) 841-2920 or send your questions via e-mail to mortgagelicensing@mt.gov for additional assistance. Timeline Mont. Code Ann. § 2-15-115 requires state agencies to place on an application form the estimated time it will take for an agency to process and act on a correctly completed application form. The agency average for all individual applications is 10 days to act on a correctly completed application form. The applicant must provide all items on this checklist within 60 days of submission of the application or the application will be deemed abandoned and withdrawn. Montana does not issue paper licenses for this license type License Fees Fees collected through NMLS are NOT REFUNDABLE OR TRANSFERABLE. Pre-licensure Education: Prior to submission of the application, complete at least 20 hours of NMLS-approved pre-licensure education (PE) courses which must include 2 hours of Montana-specific content. Note: Pre-licensure education is valid for three years from the date the education was completed or the last day you held a mortgage loan originator license or registration in any jurisdiction, whichever is later. Testing: Must satisfy one of the following three conditions: • Passing results on both the National and Montana State components of the SAFE Test, or • Passing results on both the National and Stand-alone UST components of the SAFE Test, or • Passing results on the National Test Component with Uniform State Content Note: Section 1505(d) of the S.A.F.E. Mortgage Licensing Act states, ““…[a] state licensed loan originator who fails to maintain a valid license for a period of 5 years or longer shall retake the test, not taking into account any time during which such individual is a registered loan originator