Alabama Mortgage Loan Originator License

Alabama Mortgage Education

EasyRealEstateSchool.com offers these Alabama mortgage education courses in conjunction with MortgageEducation.com. All the mortgage education courses are NMLS-approved and will satisfy all the required education hours for your state. Should you have any questions please feel free to contact MortgageEducation.com.

Alabama Mortgage Loan Originator License

Who is required to have this license?

Any individual who, for compensation or gain, or in the expectation of compensation or gain, takes a residential mortgage loan application or offers/negotiates terms of a residential mortgage loan. This will include any independent contract loan processors or underwriters.

Who does not need this license?

  • Individuals who are registered mortgage loan originators as defined in the Alabama SAFE Act.
  • Individuals who are engaged solely as a loan processor or underwriter, as those terms are defined in the Alabama SAFE Act and who are exclusively W-2 employees for one mortgage company.
  • Licensed real estate agents who do not receive compensation for mortgage loan origination activities performed incidental to their real estate brokerage activity.
  • A licensed attorney who negotiates the terms of a residential mortgage loan on behalf of a client as an ancillary matter to the attorney’s representation of the client, unless the attorney is compensated by a lender, a mortgage broker, or other mortgage loan originator or by any agent of such lender, mortgage broker, or other mortgage loan originator.
  • Loss mitigation specialist will not be required to meet the education, testing, background, and licensing standards until July 1, 2011 unless otherwise determined by the US Department of Housing and Urban Development.
  • Retail sellers of manufactured or modular homes unless otherwise determined by the US Department of Housing and Urban Development.

Pre-requisites for license applications:

  • Must be covered by a surety bond in favor of the State of Alabama through the company that you are working for or individually obtain a surety bond
  • Cannot have been convicted of any felony in the last 7 years
  • Can never have been convicted of a felony that involved an act of fraud, dishonesty, breach of trust or money laundering
  • Credit checks will be obtained and reviewed by the Department
  • 20 hours of pre-licensing education
  • 8 hours of continuing education prior to renewal
  • Must pass a test with a grade of 75% or higher which will be administered through the NMLS. The test will consist of a national component and a state component.

For more information about the actual course please visit Mortgage Education Course FAQ’s.

Alabama Mortgage Loan Originator License

 


Alabama State Requirments

SAFE ACT Requirements

  • SAFE MLO Test – All applicants who file an application prior to 6/1/2010 must pass the National Component of the SAFE MLO Test by 6/1/2010. All new applicants on or after 6/1/2010 must pass the National and State Components of the SAFE MLO Test before submitting their application to Alabama. The AL State Component of the SAFE MLO Test will be available as of 6/14/2010. All applicants are required to pass the State Component of the SAFE MLO Test before submitting their license renewal request in 2011.
  • Criminal Background Check – All licensees must submit fingerprints through NMLS for a criminal background check by 6/1/2010.All new applicants on or after 6/1/2010 must submit fingerprints through NMLS for a criminal background check at time of application.
  • Credit Report – All licensees must authorize a credit report by 6/1/2010. All licensees will be required to authorize a credit report through NMLS between October 2010 and March 1, 2011.

Alabama Mortgage Education Requirements

  • SAFE Act Pre-License (required courses – SAFE CORE 8 hours) – Applicants who file prior to 6/1/2010 must complete 20 hours of NMLS approved education pre-licensure by 6/1/2010. All new applicants on or after 6/1/2010 must have completed 20 hours of NMLS approved pre-licensure education. State approved courses will no longer be accepted after 12/31/2009.
  • SAFE Act Continuing Education (required courses – SAFE CORE 7 Hours) – All licensees must complete 8 hours of NMLS approved continuing education in 2010 in order to renew for 2011 unless PE was completed after June 1, 2010. This course should be taken Yearly by 12/31.

For more information about the actual course please visit Mortgage Education Course FAQ’s.

Alabama Mortgage Loan Originator License