Notice: Function _load_textdomain_just_in_time was called incorrectly. Translation loading for the wp-migrate-db domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /srv/app/gotoiba-dev/htdocs/web/wp-includes/functions.php on line 6121
Our mortgage loan originators (MLOs) are registered with the Nationwide Mortgage Licensing System (NMLS). Must they also register with the State of Illinois? We are aware that MLOs licensed in Illinois must complete eight hours of continuing education training before the end of the year to renew their licenses. Are our MLOs required to complete this training? – IBA Compliance Connection

IBA Compliance Connection

Your go to source for compliance!

Our mortgage loan originators (MLOs) are registered with the Nationwide Mortgage Licensing System (NMLS). Must they also register with the State of Illinois? We are aware that MLOs licensed in Illinois must complete eight hours of continuing education training before the end of the year to renew their licenses. Are our MLOs required to complete this training?

—

by

No, MLOs that are registered with the NMLS and employed by financial institutions are not required to register or obtain state-issued licenses in Illinois. Consequently, the NMLS-registered MLOs at your bank are not required to complete the continuing education requirements for Illinois-licensed MLOs.

Although the Illinois Residential Mortgage License Act of 1987 generally requires licensed MLOs to complete eight hours of continuing education each year, among other requirements, MLOs that are registered with the NMLS and employed by financial institutions are exempt from these requirements.

For resources related to our guidance, please see:

  • Illinois Residential Mortgage License Act of 1987, 205 ILCS 635/1-3(a) (“No provision of this Act shall apply to an exempt person or entity as defined in items (1) and (1.5) of subsection (d) of Section 1-4 of this Act.”)
  • Illinois Residential Mortgage License Act of 1987, 205 ILCS 635/1-4(d)(1) (“‘Exempt person or entity’ shall mean the following: (1) . . . any national bank, federally chartered savings and loan association, federal savings bank, federal credit union; . . . any bank, savings and loan association, savings bank, or credit union organized under the laws of this or any other state; . . .”)
  • Illinois Residential Mortgage License Act of 1987, 205 ILCS 635/1-4(d)(1.5) (“‘Exempt person or entity’ shall mean the following: (1.5) Any employee of a person or entity mentioned in item (1) of this subsection, when acting for such person or entity, or any registered mortgage loan originator when acting for an entity described in subsection (tt) of this Section.”)
  • Illinois Residential Mortgage License Act of 1987, 205 ILCS 635/7-7(a) (“In order to meet the annual continuing education requirements referred to in Section 7-6, a licensed mortgage loan originator shall complete at least 8 hours of education approved in accordance with subsection (b) of this Section, which shall include . . .”)