When we have new hires in our Financial Services Regulatory Compliance Group, I always set aside time to explain how essential complete and proper licensing is for non-depository institutions. For those entities that do not enjoy federal preemption from state licensing requirements, their state licensing efforts truly are their foundation; without the appropriate licenses, entities cannot conduct business. With this in mind, the advent of the NMLS, the system by which regulatory agencies now license mortgage institutions and a growing number of other financial services businesses, has brought significant and dramatic changes to state licensing efforts in the financial services space during the past several years. Each year, the Conference of State Bank Supervisors holds an annual User Conference and Training for industry and regulatory agencies that utilize the NMLS. This year, the sixth annual NMLS User Conference and Training, saw more than 500 individuals, both industry members and regulators alike, assembled to contribute their insight concerning the NMLS.
Read the complete article, “Why Licensing Matters” on Mortgage Compliance Magazine.