Washington Administrative Code › Title 208 - Financial Institutions, Department of (See also Titles 50, 419, and 460) › Chapter 208-660 - Mortgage brokers and loan originators-Licensing › Section 208-660-007 - Good standing

Current through Register Vol. 24-14, July 15, 2024
(1)
What
					does good standing mean?
For the purposes of the act and these rules,
					good standing means that the applicant, licensee, or other person subject to
					the act demonstrates financial responsibility, character, and general fitness
					sufficient to command the confidence of the community and to warrant a belief
					that the business will be operated honestly, fairly, and efficiently within the
					purposes of the act and these rules. In determining good standing the director
					will consider the following factors, and any other evidence relevant to good
					standing as defined in this rule:
(a) Whether
					the applicant or licensee has paid all fees due to the director or the
					NMLS.
(b) Whether the mortgage
					broker licensee has filed quarterly and annual reports as prescribed by the
					director.
(c) Whether the mortgage
					broker licensee has filed and maintained the required surety bond or had its
					surety bond canceled or revoked for cause.
(d) Whether the mortgage broker licensee has
					maintained a designated broker in compliance with the act and these
					rules.
(e) Whether the applicant,
					licensee, or other person subject to the act has had any license, or any
					authorization or ability to do business under any similar statute of this or
					any other state, suspended, revoked, or restricted within the prior five
					years.
(f) Whether the applicant,
					licensee, or other person subject to the act has been convicted of, or pled
					guilty or nolo contendere to, in a domestic, foreign, or military court to:
(i) A gross misdemeanor involving dishonesty
					or financial misconduct within the prior seven years;
(ii) A felony within the prior seven years;
					or
(iii) A felony that involved an
					act of fraud, dishonesty, breach of trust, or money laundering at any time
					preceding the date of application.
(g) Whether the licensee or other person
					subject to the act, is, or has been subject to a cease and desist order or an
					injunction issued pursuant to the act, or the Consumer Protection Act, or has
					been found through an administrative, civil, or criminal proceeding to have
					violated the provisions of the act or rules, or the Consumer Protection Act,
					chapter
					19.86 RCW.
(h) Whether the director has filed a
					statement of charges, or there is an outstanding order by the director to cease
					and desist against the licensee or other person subject to the act.
(i) Whether there is documented evidence of
					serious or significant complaints filed against the licensee, or other person
					subject to the act, and the licensee or other person subject to the act has
					been notified of the complaints and been given the opportunity to
					respond.
(j) Whether the licensee
					has allowed the licensed mortgage broker business to deteriorate into a
					condition that would result in denial of a new application for a
					license.
(k) Whether the licensee,
					or other person subject to the act has failed to comply with an order,
					directive, subpoena, or requirement of the director or director's designee, or
					with an assurance of discontinuance entered into with the director or
					director's designee.
(l) Whether
					the licensee or other person subject to the act has interfered with an
					investigation or disciplinary proceeding by willful misrepresentation of facts
					before the director or director's designee, or by the use of threats or
					harassment against a client, witness, employee of the licensee, or
					representative of the director for the purpose of preventing them from
					discovering evidence for, or providing evidence in, any disciplinary proceeding
					or other legal action.