Announcement: New Required Loan Processing and Underwriting Log

Effective January 1, 2025, residential mortgage loan companies, especially independent contractor loan processor or underwriter companies, and mortgage bankers that have (or should have) a business activity of third-party mortgage loan processing or third-party loan underwriting listed in its NMLS record must maintain a new log. The requirement for this new log is found under 7 Texas Administrative Code §§ 56.204(d) and 57.204(d).

The new Loan Processing and Underwriting log must be maintained on a current basis and include the following information:

1. full name of each mortgage applicant (last name, first name);
2. application/loan identification number assigned by the mortgage company;
3. application/loan identification number assigned by the mortgage company or mortgage banker to which the mortgage company is providing loan processing or underwriting services, if different than paragraph (2) of this subsection;
4. loan identification number assigned by the lender, if different than paragraphs (2) or (3) of this subsection;
5. address of the subject property (street address, city, state, zip code);
6. full name and NMLS ID of the mortgage company or mortgage banker to which the mortgage company is providing loan processing or underwriting services;
7. the name, NMLS ID, and employment status (e.g., W-2 or 1099) of each individual loan processor or underwriter performing loan processing or underwriting services on behalf of the mortgage company;
8. closing date;
9. description of the owner’s or prospective owner’s intended occupancy of the real estate secured or designed to be secured by the loan (e.g., primary residence (including real estate (land lot) or a dwelling not suitable for occupancy at the time the loan is consummated but that the owner intends to occupy as their primary residence after consummation of the loan), secondary residence, or investment property (no intent to occupy as their residence));
10. description of the current status or disposition of the loan application (e.g., in-process, withdrawn, closed, or denied);
11. dollar amount invoiced, assessed, charged, collected, and/or paid by the mortgage applicant for the loan processing or underwriting services provided by the mortgage company; and
12. description of whether the fee for the loan processing or underwriting services was included on the Closing Disclosure as a fee paid directly to the mortgage company at closing (e.g., on CD, or not on CD).

Mortgage Examiners and Investigators may request this log as part of an examination/inspection of the mortgage company’s or mortgage banker’s books and records.

Any questions relating to this new log should be directed to *protected email*.