Sec. 3 AAC 14.020 - Mortgage loan originator license or exemption required

§ 3 AAC 14.020. Mortgage loan originator license or exemption required

(a) A person, including a sole proprietor or control person of a mortgage licensee or a registered depository institution, and an individual who works under a mortgage licensee or a registered depository institution, may not operate in the state as· a mortgage loan originator with respect to a dwelling or residential real estate in the state unless licensed by the department as a mortgage loan originator.

(b) An individual covered under AS 06.60.015(b) is exempt from the licensing requirements of this section

(c) A bona fide nonprofit organization referenced in AS 06.60.015(a)(5) and (c) may submit an application for an exemption registration to the department through the registry to determine if the organization qualifies for an exemption. In addition to the information required under AS 06.60.015(c), an application for an exemption must contain

(1) a complete Form MUl;

(2) a current business license issued under AS 43.70;

(3) documentation of the status of a tax-exempt organization under 26 U.S.C. 501(c)(3) (Internal Revenue Code);

(4) complete and current articles of incorporation and bylaws, and a certificate of good standing issued by the domestic state; and if the corporation is not organized in this state, a copy of the corporation's certificate of authority to transact business in this state;

(5) policies and procedures detailing how the organization ensures that the organization and the organization's mortgage loan originators meet the requirements of AS 06.60.330;

(6) a list of other trade names if the organization is operating under a name that is different from the organization's legal name;

(7) details of each mortgage loan program that is available to consumers; the details of each program must include the interest rate, terms, underwriting guidelines, flyers, websites where the program is advertised, and funding source;

(8) a list of mortgage loan originators that are currently under contract with the organization; for each mortgage loan originator who is currently under contract with the organization, the organization shall provide

(A) a list of the originator's training and education;

(B) the date of the originator's most recent criminalhistory background check and independent credit report; and

(C) details of the originator's compensation plan;

(9) documentation or an explanation of affordable housing promotion or homeownership education;

(10) organization and management charts;

(11) a business plan related to mortgage origination activities;

(12) a list of any consumer complaints received, resolution of those complaints, and management response; and

(13) any other information that the department reasonably requires with respect to the organization.

(Eff. 7/1/2008, Register 186; am 12/4/2010, Register 196; am 1/1/2017, Register 220, January 2017; am 2/6/2020, Register 233, April 2020)

Authority:AS 06.60.010

AS 06.60.012

AS 06.60.015

AS 06.60.910

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