Most mortgage loan originators (MLOs) are now aware that they have a requirement to take 20 hours of pre-licensing education in order to get a new license. Many of you are unaware that the SAFE Act requires that you also take 8 hours of continuing education each year in order to renew your license. The continuing education must be comprised of 3 hours of federal laws and regulations, 2 hours of ethics, 2 hours of training related to lending standards for the nontraditional mortgage product market, and 1 hour of undefined instruction on mortgage origination. Each state has the obligation to refine these requirements. If you are licensed in a state that required you to take the 20 hours of pre-licensing education in 2009, then in order to renew your license in November, 2010, you will need to complete your continuing education hours by December 31, 2010. If you are licensed in more than one state, you should check with each state’s regulatory agency to make sure that you complete that state’s continuing education requirements. If you are an MLO who is licensed in multiple states, you will find that you need to take a few hours of state-specific education in each state in which you are licensed. This means that you are taking more than 8 hours of continuing education. If you took your 20 hours of pre-licensing education in 2010, you do not need to take continuing education until 2011.
The sooner that you take your continuing education classes, the sooner your license will be renewed. Don't be caught without a 2011 license in January - you won't be able to close loans.