reglab/statecodes huggingface dataset:
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 2 - LICENSING › Section 3:15-2.7 - Late renewal of business and/or branch licenses; late filing fees; reinstatement fees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A person who
				submits a renewal application for a business license after the expiration of
				the license, but no later than the last day of February immediately thereafter
				may renew by paying a penalty for late filing of $ 600.00 per
				license.
(b) A person who submits a
				renewal application for a branch after the expiration of the branch license but
				no later than the last day of February immediately thereafter may renew by
				paying a penalty for late filing of $ 500.00 per branch license.
(c) A person who submits a renewal
				application after the last day of February immediately following the expiration
				of the license shall be treated as a new licensee and be required to submit an
				application with a fee as specified in N.J.A.C. 3:15-4.
(d) Payment of penalties for late renewal
				filing shall be collected on behalf of the Commissioner through the
				NMLSR.
(e) The date of submission
				for this section shall be the date on which the electronically submitted
				complete renewal application was accepted for processing by the
				NMLSR.
(f) The fact that a person
				submits an application for renewal of a license following the expiration of the
				licensing period does not authorize that person to engage in any activity
				subject to licensure without having a properly renewed license. The Department
				may take administrative action, imposing fines and penalties against anyone who
				engages in a licensed activity without being properly licensed.
(g) Application fees are
				nonrefundable.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 2 - LICENSING › Section 3:15-2.8 - Inactive license status; application fee

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A formerly
				licensed individual whose New Jersey license is not under suspension or revoked
				and who has not had a mortgage loan originator license or a qualified
				individual licensee license or its equivalent revoked in any other governmental
				jurisdiction may, for up to five years from the date on which the license was
				placed in inactive status, apply to reactivate the individual license pursuant
				to this chapter and in accordance with the format and standards of the NMLSR.
				The inactive individual licensee shall complete the continuing education
				requirements in effect for the last calendar year in which the individual was
				licensed as a requirement for reactivation.
(b) Application fees are
				nonrefundable.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 2 - LICENSING › Section 3:15-2.9 - Conversion of mortgage lender and mortgage broker licenses

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A person
				licensed, in good standing, as a mortgage lender shall submit the following to
				convert from a mortgage lender to a correspondent mortgage lender, and a person
				licensed, in good standing, as a correspondent mortgage lender shall submit the
				following to convert from a correspondent mortgage lender to a mortgage lender:
1. The original license, the licenses of all
				branch offices, and the licenses of all qualified licensed
				individuals;
2. A completed
				conversion form, which shall include the name and address of the licensee, the
				requested date of conversion and a copy of the licensee's most recent annual
				report of tangible net worth filed pursuant to
				3:15-6.1 2;
3. For a conversion from a mortgage lender to
				a correspondent mortgage lender, a signed affidavit from the president or other
				principal who owns, controls or votes 25 percent or more of the stock of the
				licensee, a general partner, a managing member or the sole proprietor stating
				that the licensee will not hold or service mortgage loans for more than 90 days
				in the regular course of business; and
4. For a conversion from a correspondent
				mortgage lender to a mortgage lender, an audited financial statement
				demonstrating the required tangible net worth.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 2 - LICENSING › Section 3:15-2.10 - Pre-licensing education requirements for mortgage loan originators and qualified individual licensees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) An applicant
				for a new license as a mortgage loan originator or a qualified individual
				licensee shall complete, as a pre-licensing requirement, at least 20 hours of
				education from a provider approved by the NMLSR.
(b) The approved education courses shall
				include at a minimum, but not be limited to:
1. Three hours of instruction on Federal
				statutes and regulations;
2. Three
				hours of instruction on ethics, including instruction on fraud, consumer
				protection and fair lending issues;
3. Two hours of training related to lending
				standards for the nontraditional mortgage product marketplace; and
4. Four hours of instruction on
				State-specific statutes and rules.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 2 - LICENSING › Section 3:15-2.11 - Licensing examination requirements for mortgage loan originators and qualified individual licensees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) An applicant
				for a new license as a mortgage loan originator or qualified individual
				licensee shall pass, as a pre-licensing requirement:
1. A national written test developed by the
				NMLSR and administered by a test provider approved by the NMLSR; and
2. A State-specific written test, developed
				by the NMLSR in consultation with the State, and administered by a test
				provider approved by the NMLSR.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 2 - LICENSING › Section 3:15-2.12 - Continuing education requirements for renewal as an mortgage loan originator or qualified individual licensee

Current through Register Vol. 56, No. 14, July 15, 2024
(a) An applicant
				for renewal as a mortgage loan originator or qualified individual licensee
				shall, during the license term preceding renewal, complete at least 12 hours of
				continuing education from a provider approved by the NMLSR.
(b) The approved continuing education
				course(s) shall include at a minimum, but not be limited to:
1. Three hours of instruction on Federal
				statutes and regulations;
2. Two
				hours of instruction on ethics, including instruction on fraud, consumer
				protection and fair lending issues;
3. Two hours of training related to lending
				standards for the non-traditional mortgage product marketplace; and
4. Two hours of instruction on State-specific
				statutes and rules.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 2 - LICENSING › Section 3:15-2.13 - Responsibilities and replacement of a business licensee$DQ$s qualified individual licensee

Current through Register Vol. 56, No. 14, July 15, 2024
(a) If a qualified
				individual licensee upon whom a corporation, partnership, association, limited
				liability company or other entity relies for its license has his or her
				qualified individual license revoked or suspended by any state, or allows the
				license to lapse, or for some other reason is no longer affiliated with the
				business licensee, the business licensee shall notify the Commissioner within
				10 days of the event. In addition, the business licensee shall appoint another
				qualified individual licensee within 90 days of the effective date of the
				termination of the former qualified individual licensee's affiliation with the
				business licensee for any reason. The Department may extend the 90-day period
				for good cause upon written request of the business licensee.
(b) A qualified individual licensee shall
				satisfy all applicable requirements and shall be responsible to perform the
				following:
1. Supervise the operations of the
				licensed office(s) to ensure that the business is being conducted in compliance
				with all applicable State and Federal laws and regulations;
2. Supervise the prompt review and response
				to Department communications relating to consumer complaints and inquiries
				regarding the licensee's licensed activities;
3. Supervise the prompt review and response
				to Department communications relating to on-site examinations, including, but
				not limited to, requests for scheduling, responses to examination findings and
				responses to directives arising from examinations;
4. Ensure the proper completion and timely
				submission of the required licensee annual report filing as well as any other
				special reports or surveys that may, from time to time, be requested by the
				Department;
5. Ensure that license
				renewals and other licensing matters such as new branch office applications,
				changes of address, changes of name, change of control, and requests for
				additional licenses are submitted to the Department or NMLSR as applicable and
				accompanied by the required documentation;
6. Have and maintain sufficient knowledge of
				all applicable Federal and State statutes and rules; and
7. Ensure that all employees operating as
				mortgage loan originators are duly licensed and that copies of the licenses
				issued for all mortgage loan originators are available for inspection at the
				licensed office from which the mortgage loan originator operates.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 2 - LICENSING › Section 3:15-2.14 - Requirements regarding licenses and renewal of the licenses of mortgage loan originators and qualified individual licensees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) When applying
				to renew a license pursuant to this section, a qualified individual licensee or
				mortgage loan originator in good standing shall submit a completed renewal
				application as may be required by the Commissioner or NMLSR and which shall
				include at a minimum the following:
1.
				Payment of any required fees to the NMLSR; and
2. Evidence of completion of continuing
				education requirements.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 2 - LICENSING › Section 3:15-2.15 - Late renewal of an individual license; late filing fees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) An individual
				who submits a renewal application after the expiration of the license, but no
				later than the last day of February immediately thereafter, may renew by paying
				a penalty for late filing as follows:
1.
				Qualified individual license - $ 250.00; and
2. Mortgage loan originator - $
				75.00.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 2 - LICENSING › Section 3:15-2.16 - Sale or transfer or change of control of business licensee

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A business
				licensee shall file a completed application for approval whenever a change of
				control of ownership of 25 percent or more of the licensee is planned. The
				change of control request shall be submitted at least 90 days prior to the
				anticipated sale date and shall include:
1. A
				fully executed change of control form as prescribed by the
				Commissioner;
2. A copy of the
				executed stock purchase agreement or other agreement evidencing the proposed
				sale;
3. A copy of the corporate
				resolution providing that existing officers and/or directors cease to hold
				positions and that new officers or directors are appointed, if applicable;
				and
4. Each new officer, partner,
				member or manager of an LLC, director and any other individual who, as a result
				of the sale, transfer, or change of control owns at least 10 percent of the
				business shall satisfy the requirements of
				3:15-2.2.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 2 - LICENSING › Section 3:15-2.17 - Discontinuation of lender or broker business activity

Current through Register Vol. 56, No. 14, July 15, 2024
(a) When a mortgage
				lender or mortgage broker discontinues its licensed business operations in New
				Jersey, the business licensee shall:
1.
				Surrender the entity's current license(s) as well as the license of each
				qualified individual licensee, branch office, and mortgage loan
				originator;
2. Identify, in
				writing, if there are any New Jersey residential mortgage loans being processed
				and provide the total number of any such loans together with the consumer's
				names and addresses and the property address for each loan;
3. Identify, in writing, the number of New
				Jersey residential mortgage loans being processed that have scheduled closing
				dates and such dates and provide the consumers' names and addresses and the
				property address for each loan;
4.
				Identify, in writing, the location of the loan files of pending New Jersey
				residential loan applications;
5.
				Identify, in writing, the location of other loan files required to be
				maintained under New Jersey law and regulations;
6. Identify, in writing, any arrangements
				that have been made to have other entities take over loan files together with
				complete information on the name, address, telephone number, and contact person
				of entities involved in such arrangements;
7. Identify, in writing, the name and
				telephone number of person(s) within the licensee's operation designated to
				handle consumer problems that may arise;
8. Satisfy all outstanding obligations owed
				to the Department;
9. Satisfy all
				filing requirements including the final annual report which report shall be for
				the year in which the licensed lender discontinues its licensed business
				operations in New Jersey;
10. Pay
				all assessments due and owing and prepay the base assessment for the year of
				the discontinuance by paying the amount of the most recently billed base
				assessment within 15 days after ceasing business or upon being acquired. In the
				event that the said amounts are not paid, the Department shall proceed against
				the bond. Adjustments to the base assessment, if any, and the final volume
				assessment for the year of discontinuance will be billed in the year following
				the discontinuance. In the event of an acquisition, the amount carried forward
				shall be paid by the acquiring entity; and
11. Identify, in writing, the name, address
				and phone number of the person within the licensee's operation responsible for
				the payment of assessments.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 2 - LICENSING › Section 3:15-2.18 - Licensee notification requirements

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A licensee
				shall notify the Department in writing within 15 days of the occurrence of any
				of the following:
1. Upon each arrest,
				indictment or conviction of the licensee, or of any officer, director, partner,
				member, owner or substantial stockholder of the licensee in this State, in
				another state, or in any Federal jurisdiction for any offense, crime or
				misdemeanor, except for a motor vehicle violation;
2. Upon each revocation, denial, suspension
				or restraint of a business or professional license, registration, certificate
				or other right to engage in business issued to the licensee, or to any officer,
				director, partner, member, owner or substantial stockholder of the licensee, or
				to any affiliate thereof, by this State, by another state, by the Federal
				government, or by any agency or instrumentality thereof;
3. Upon filing a petition of bankruptcy or
				reorganization by the licensee, or by any officer, director, partner, member,
				owner or substantial stockholder of the licensee, or by any affiliate
				thereof;
4. Upon the fining,
				penalizing or disciplining of the licensee, or any affiliates, by this State,
				by another state, by the Federal government, or by any agency or
				instrumentality thereof;
5. Upon
				the involvement of the licensee, or any officer, director, partner, member,
				owner or substantial stockholder of the licensee, or any affiliate thereof, in
				any activity that may have a substantial impact on the ability of a licensee to
				engage in the licensed activity in a prudent or worthy manner;
6. The entry of any final judgment in a civil
				or administrative action against the licensee upon the grounds of fraud,
				misrepresentation or deceit; and
7.
				Failure to demonstrate financial responsibility through disregard in the
				management of the licensee's own financial condition. Occurrences which
				indicate a disregard in the management of the licensee's financial condition
				shall include, but not be limited to:
i. The
				entry of any civil judgment against the licensee which is not appealed and
				remains unsatisfied except judgments solely as a result of medical
				expenses;
ii. The issuance to the
				licensee of a tax lien or other government lien;
iii. The entry against the licensee of a
				judgment of foreclosure; or
iv. The
				receipt of notifications within a six-month period that two or more of the
				licensee's accounts with creditors are 90 or more days in arrears.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 3 - BONDING › Section 3:15-3.1 - Bond requirements

Current through Register Vol. 56, No. 14, July 15, 2024
(a) A person who
				seeks an initial license as a mortgage lender or mortgage broker shall obtain a
				surety bond in the amount of $ 150,000, which shall be applicable to the first
				$ 50,000,000 of closed loan volume.
(b) Following the submission of each annual
				report, a mortgage lender or mortgage broker shall, if necessary, increase the
				amount of the surety bond based on the following closed loan volumes and
				provide proof thereof to the Department within 30 days of the submission of the
				report.
1.
Closed loan volume: $ 0 to $
						  50,000,000
$ 150,000;
2.
Closed loan volume: $ 50,000,001 to $
						  75,000,000
$ 200,000;
3.
Closed loan volume: $ 75,000,001 to $
						  100,000,000
$ 250,000;
4.
Closed loan volume: $ 100,000,001 and
						  over
$ 300,000.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 3 - BONDING › Section 3:15-3.2 - Beneficiaries of bond coverage

Current through Register Vol. 56, No. 14, July 15, 2024
The bond shall run to the State, pro rata, for the benefit
				  of consumers injured by the wrongful act, omission, default, fraud or
				  misrepresentation of the mortgage lender, mortgage broker, qualified individual
				  licensee or mortgage loan originator in the course of activity authorized by
				  the license, and for the benefit of the Department for unpaid examination
				  bills, unpaid penalties, unpaid assessments and any other unpaid obligations of
				  the mortgage lender or mortgage broker to the Department, including, but not
				  limited to, returned items submitted to the Department in payment of bills,
				  penalties, charges, assessments or fees.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 3 - BONDING › Section 3:15-3.3 - Coverage of the bond; compensable claims

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The surety
				company shall pay consumers claims based on the damages directly incurred by
				the wrongful act, default, fraud or misrepresentation of the business licensee
				or any employee of such licensee.
(b) Attorney's fees, pre- or post-judgment
				interest, court costs and similar charges are not recoverable through the bond,
				unless such charges are included in a final judgment against the licensee and
				the surety company was given prior notice of the court action and an
				opportunity to respond.
(c) A
				consumer may not recover third party charges for services that are necessary
				and transferable for future mortgage loan applications.
(d) The bond shall not be payable for claims
				made by business creditors.
(e) The
				bond shall not be payable for treble damage claims pursuant to the Consumer
				Fraud Act or any other State or Federal law.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 3 - BONDING › Section 3:15-3.4 - Original bond or rider required; changes in surety companies or bonds

Current through Register Vol. 56, No. 14, July 15, 2024
A mortgage lender or broker shall submit to the Department
				  the original executed surety bond or the original rider to the original
				  executed surety bond. If the business licensee changes its surety company or
				  the bond is otherwise amended, the business licensee shall immediately provide
				  the Department with the amended original executed surety bond or the amended
				  original rider to the original executed surety bond.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 3 - BONDING › Section 3:15-3.5 - Notice to Department required before cancelling bond coverage

Current through Register Vol. 56, No. 14, July 15, 2024
A surety company shall not cancel a bond for any cause
				  unless written notice of its intention to cancel is filed with the Department
				  at least 30 days before the day upon which cancellation shall take effect, and
				  cancellation without such notice shall not be effective.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 3 - BONDING › Section 3:15-3.6 - Surety companies to notify Department of claims; claims payable only at the direction of the Department

Current through Register Vol. 56, No. 14, July 15, 2024
When a person submits a claim with a surety company against
				  the bond of a business licensee, the surety company shall immediately notify
				  the Department and shall not pay any claim unless and until it receives
				  direction to do so from the Department.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 3 - BONDING › Section 3:15-3.7 - Publication of notices of bond claims by the Department

Current through Register Vol. 56, No. 14, July 15, 2024
When the Department receives notice from a surety company of
				  a claim against a business licensee that appears valid, a consumer is unable to
				  obtain payment of a court judgement that was obtained against the licensee, or
				  the Department in its sole discretion otherwise determines it is necessary and
				  proper to do so, the Department shall cause a notice to be published once a
				  week for three successive weeks in a newspaper having general circulation in
				  the area where the business licensee conducts or conducted business advising
				  consumers of their right to file claims against the bond. The Department is not
				  required to publish notice when it has a claim against the bond for an
				  examination charge, assessment or any other fee, charge or penalty if there are
				  no consumer claims or complaints that appear valid and that may require payment
				  from the bond. If the Department determines a notice is necessary, the notice
				  shall be in the following form:
NOTICE TO CONSUMERS
TO ANY CONSUMER HAVING CLAIMS AGAINST
(Name of Licensee), (Type of licensed
						  activity, i.e., residential mortgage lender, residential mortgage broker,
						  qualified individual licensee,mortgage loan originator)
TAKE NOTICE that in order to provide a
						  procedure for the orderly
resolution of claims against the bond
						  obtained by (Name of Business Licensee)
for the benefit of any consumer injured by
						  the wrongful act, default, fraud or misrepresentation of (Name of Licensee),
						  you are hereby required to present your claims against (Name of Licensee) at
						  the following address:
N.J. Department of Banking and
						  Insurance
Division of Banking
Office of Consumer Finance
20 West State Street, PO Box 040
Trenton, NJ 08625-0040
Each claim shall be presented in writing,
						  specifying the amount claimed and the particulars of the claim, and shall be
						  duly verified under oath or affirmation.
TAKE FURTHER NOTICE that each person having
						  claims against (Name of Licensee) should file a claim no later than (one month
						  after last notice) or risk losing the opportunity to file a claim.
_________________________________
Commissioner of Banking and Insurance
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 3 - BONDING › Section 3:15-3.8 - Priority of claims against bonds

Current through Register Vol. 56, No. 14, July 15, 2024
The Department shall review all timely claims made against
				  the bond of a business licensee and shall decide which claims are valid. All
				  consumers with timely valid claims shall share pro rata in their claims against
				  the bond. The Department shall then submit claims it has against the licensee
				  for unpaid examination charges or for other unpaid penalties, charges,
				  assessments or fees to the surety company for payment. Consumers submitting
				  claims after the filing date set forth in the published notice but before the
				  expiration of the applicable statute of limitations period shall recover next
				  against the bond in the order that the claims are submitted.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 4 - FEES › Section 3:15-4.1 - Fees associated with licensing

Current through Register Vol. 56, No. 14, July 15, 2024
(a) All fees
				associated with licensing shall be paid electronically to the NMLSR for
				administration of the nationwide database and collection of fees payable to the
				Department and the NMLSR according to the manner prescribed by the
				NMLSR.
(b) A person who is applying
				for an initial individual or business license under the Act shall pay a
				non-refundable application fee as follows:
1.
				Business license - $ 1,200;
2. Each
				branch office - $ 1,000;
3.
				Qualified individual licensee - $ 500.00;
4. Mortgage loan originator - $
				150.00;
5. Change of affiliation by
				mortgage loan originator - $ 50.00; and
6. Change of affiliation by qualified
				individual licensees - $ 250.00.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 5 - TANGIBLE NET WORTH, INSOLVENCY › Section 3:15-5.1 - Applicability of provisions

Current through Register Vol. 56, No. 14, July 15, 2024
The requirements of this subchapter shall apply to each
				  business licensee or applicant for a business license, and shall not apply to
				  qualified individual licensees or mortgage loan originators.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 5 - TANGIBLE NET WORTH, INSOLVENCY › Section 3:15-5.2 - Accounting method for determining tangible net worth

Current through Register Vol. 56, No. 14, July 15, 2024
Tangible net worth shall be computed on the accrual basis of
				  accounting.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 5 - TANGIBLE NET WORTH, INSOLVENCY › Section 3:15-5.3 - Requirement to demonstrate and maintain tangible net worth

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Each applicant
				for a business license as a mortgage lender or mortgage broker shall
				demonstrate tangible net worth of at least the following amounts:
1. Residential mortgage lender - $
				250,000;
2. Correspondent mortgage
				lender - $ 150,000; and
3.
				Residential mortgage broker - $ 50,000.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 5 - TANGIBLE NET WORTH, INSOLVENCY › Section 3:15-5.4 - Failure to maintain tangible net worth; action by the Department

Current through Register Vol. 56, No. 14, July 15, 2024
(a) If the tangible
				net worth of a business licensee falls below the amounts required by
				3:15-5.3 or if the business
				licensee is insolvent, the Department may take such action as it deems
				appropriate and necessary to protect the public. The action may include
				requiring the business licensee to operate pursuant to a Memorandum of
				Understanding, or directing the business licensee to submit and comply with a
				capital plan within a time frame established by the Department to attain the
				tangible net worth required by
				3:15-5.3.
(b) When considering whether to suspend,
				revoke or refuse to renew the license of a business licensee who does not have
				the required tangible net worth, the Commissioner shall consider the following
				factors:
1. How far the business licensee is
				below the required level of tangible net worth;
2. The size of any warehouse line or table
				funding agreement, the institution(s) providing this credit, and any
				correspondent relationship that a business licensee may have with another
				financial institution;
3. The
				number and amount of loans typically made or brokered by the business
				licensee;
4. The history of
				consumer complaints received by the Department concerning the business
				licensee;
5. Whether the mortgage
				lender has committed to make loans that it has been unable to fund;
				and
6. Any other factors reflecting
				on the ability and fitness of the business licensee to transact business in its
				licensed capacity.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.1 - Methods and accounting for business licensees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Each licensee
				shall maintain books and records in accordance with recognized accounting
				principles.
(b) If a person
				licensed to act as a mortgage lender or mortgage broker maintains books and
				records on a basis other than the accrual method of accounting, that licensee
				shall also maintain books and records on the accrual basis of accounting which
				states the tangible net worth of the licensee.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.2 - Reproduction of documents

Current through Register Vol. 56, No. 14, July 15, 2024
A licensee may reproduce documents and records relating to
				  the operation of its business for the purpose of complying with this subchapter
				  and may substitute the copy for the original.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.3 - Location of books, records, accounts and other documents pertaining to a business; records retention

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Each business
				licensee shall notify the Department of the place of business in which the
				books, records, accounts and other business documents of its activity as a
				mortgage lender or mortgage broker are kept. If the licensee moves the books,
				records, accounts or other business documents, the licensee shall notify the
				Department prior to the move.
(b) A
				business licensee may keep its records at:
1.
				A licensed office in this State;
2.
				An unlicensed site in or out of this State, provided that the licensee secures
				the prior approval of the Department pursuant to (c) below; or
3. A licensed office outside of this State,
				provided that the licensee secures the prior approval of the Department
				pursuant to (c) below.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.4 - Loan application recordkeeping requirements for business licensees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Each person
				licensed as a business licensee shall maintain a loan application system
				containing the following information for each application for a first mortgage
				loan:
1. The case number;
2. The application date;
3. The applicant's name;
4. The property address;
5. The disposition;
6. The type of loan; and
7. The amount of the loan.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.5 - Loan documentation file requirements for business licensees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Each person
				licensed as a business licensee shall maintain for each first mortgage loan
				application the following data, if utilized by the licensee in connection with
				the first mortgage loan application:
1. The
				loan application;
2. The loan
				commitment;
3. The Truth-in-Lending
				disclosure statement;
4. All
				disclosures required by RESPA;
5.
				All other written disclosures required in connection with the loan transaction
				by State or Federal law;
6. The
				loan closing statement;
7. A copy
				of mortgage note or bond;
8. The
				adverse action or rejection of application letter;
9. The appraisal report; and
10. The credit report.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.6 - Documentation requirement related to the charging of certain fees by business licensees

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Each person
				licensed as a business licensee shall maintain a recordkeeping system that
				shall document each of the following fees if charged to first mortgage loan
				applicants by the licensee:
1. Appraisal
				fees;
2. Credit report
				fees;
3. Application
				fees;
4. Commitment fees;
5. Warehouse fees; and
6. Third party charges.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.7 - Ledger card and document retention requirement for mortgage lenders making secondary mortgage loans

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Each mortgage
				lender shall maintain an individual record or ledger card for each secondary
				mortgage loan, which shall include the following information:
1. The account number;
2. The name and address of borrower
				(mortgagor);
3. The address and
				physical description of mortgaged property;
4. The date of the secondary mortgage
				loan;
5. The amount of the
				secondary mortgage loan;
6. The
				appraisal or inspection fee;
7. The
				credit investigation fee;
8. The
				title search fee;
9. Legal
				fees;
10. Recording and filing
				fees;
11. Insurance premiums and
				types of coverage;
12. The interest
				charge;
13. The full amount of the
				secondary mortgage loan;
14. The
				terms by which the secondary mortgage loan is to be repaid;
15. The amount and to whom any commissions,
				fees or points, if any, were paid by the licensee and the form of disbursement
				(for example, cash or check);
16. A
				record of the computation of any rebate upon prepayment of the secondary
				mortgage loan in full before maturity;
17. A record of the computation of any refund
				of unearned insurance premium charge upon prepayment of the secondary mortgage
				loan in full before maturity; and
18. The name and address of any subsequent
				holder of the secondary mortgage loan obligation if it is sold or
				assigned.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.8 - Documentation

Current through Register Vol. 56, No. 14, July 15, 2024
(a) The borrower,
				or an agent applying on behalf of a borrower, shall sign each loan application.
				If more than one borrower applies, each borrower and each agent applying on
				behalf of a borrower shall sign the application.
(b) Each credit report for which an applicant
				is charged a separate fee shall be memorialized in a written memorandum or
				other written documentation. The memorandum or documentation shall indicate
				that the credit history of the applicant was investigated and by
				whom.
(c) Each appraisal report for
				which an applicant for a first mortgage loan or a second mortgage loan is
				charged a separate fee shall be memorialized in a written memorandum or other
				written documentation. The memorandum or documentation shall indicate that the
				value of the property was evaluated and by whom.
(d) Each person licensed as a mortgage lender
				shall maintain a trustee account and ledger detailing receipts and disbursement
				of all funds deposited by the borrower or seller with the licensee in
				connection with the origination or closing of any loan. The funds shall be held
				in accordance with the terms of a written agreement between the mortgage lender
				and such borrower or seller, which provides that upon the occurrence of a
				specific condition or event, the funds or a portion thereof shall be disbursed
				to the borrower or seller. All such trust accounts shall be reconciled at least
				quarterly. This subsection shall not apply to escrows collected or held by the
				mortgage lender for taxes or insurance.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.9 - Retention of advertisements

Current through Register Vol. 56, No. 14, July 15, 2024
One copy of each advertisement, including radio and
				  television scripts, and any materials disseminated over the Internet or by any
				  other electronic means, shall be kept on file in the business licensee's office
				  for at least two years after the last date on which any such advertisement was
				  utilized, said date to be noted on each such advertisement.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.10 - Copy of examination reports to licensee

Current through Register Vol. 56, No. 14, July 15, 2024
The official report of examination shall be submitted to the
				  business licensee or to a representative of the licensee which has been
				  designated by the licensee for such purpose.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.11 - Charges for investigations

Current through Register Vol. 56, No. 14, July 15, 2024
For any person not licensed by the Department, the
				  Department may charge for investigations at the rate of $ 50.00 per hour. For
				  the purposes of this section, investigations for which the Department may
				  charge shall not include routine efforts by the consumer services unit to
				  research or resolve consumer complaints.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.12 - Reports to the Department

Current through Register Vol. 56, No. 14, July 15, 2024
Each business licensee under the Act shall file a report
				  with the Department annually on or before May 1 of each year. The report shall
				  be submitted on forms provided by the Department and shall indicate the
				  tangible net worth of the licensee. The report shall indicate the warehousing
				  lines available and outstanding. In accordance with
				  3:1-7.6, the Department shall
				  assess a penalty against any business licensee for each annual report filed
				  late.
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.13 - Reserved

Current through Register Vol. 56, No. 14, July 15, 2024
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.14 - Reserved

Current through Register Vol. 56, No. 14, July 15, 2024
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.15 - Reserved

Current through Register Vol. 56, No. 14, July 15, 2024
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 6 - BOOKS AND RECORDS; EXAMINATIONS; ANNUAL REPORTS › Section 3:15-6.16 - Reserved

Current through Register Vol. 56, No. 14, July 15, 2024
New Jersey Administrative Code › Title 3 - BANKING › Chapter 15 - RESIDENTIAL MORTGAGE LENDERS; CORRESPONDENT MORTGAGE LENDERS; MORTGAGE BROKERS; QUALIFIED INDIVIDUAL LICENSEES; MORTGAGE LOAN ORIGINATORS › Subchapter 7 - INSURANCE › Section 3:15-7.1 - Insurance matters for mortgage lenders

Current through Register Vol. 56, No. 14, July 15, 2024
(a) Mortgage
				lenders are subject to the provisions concerning insurance set forth in
				17:11C-73.
(b) If insurance is lawfully required or
				obtained in connection with a loan, the insurance shall be written or obtained
				by or through an insurance producer who is licensed in good standing in this
				State, and written by an insurance company authorized to do business in this
				State.
(c) It shall be the
				responsibility of the mortgage lender to explain clearly to each borrower the
				benefits and limitations of any credit life insurance, credit health or
				disability insurance, or credit involuntary unemployment insurance which the
				borrower contemplates getting in connection with a loan.
(d) Each mortgage lender shall keep a record
				of all policies for credit life insurance, credit health or disability
				insurance, or credit involuntary unemployment insurance sold to a borrower in
				connection with a loan, all premiums collected in connections with such loans,
				all refunds of unearned premiums caused by payment in full of an amount or by
				renewal, and a detailed record of all claims paid by the insurer.
(e) If a mortgage lender collects a premium
				from a borrower for credit life insurance, credit health or disability
				insurance, or credit involuntary unemployment insurance, and such insurance
				does not become effective, the mortgage lender shall immediately give written
				notice to the borrower and shall promptly refund to or credit to the account of
				the borrower the amount collected from him or charged to him for such
				insurance.
(f) If a credit life
				policy issued in connection with a loan contains no provision for designation
				of a second beneficiary, it shall be handled under the usual procedure
				contained in a facility of payment clause authorizing the insurance company to
				pay any insurance in excess of the unpaid balance of the indebtedness to the
				estate, wife, husband, children or other blood relative or person equitably
				entitled thereto as determined by the insurance company.