SB62: Bill Text

SB62,252,24 (b) Bringing together parties interested in the sale, purchase, lease, rental, or exchange of real property.

SB62,253,3 (c) Negotiating, on behalf of any party, any portion of a contract relating to the sale, purchase, lease, rental, or exchange of real property, other than in connection with providing financing for the transaction.

SB62,253,5 (d) Engaging in any activity for which a person engaged in the activity is required to be licensed under s. 452.03.

SB62,253,7 (e) Offering to engage in any activity, or act in any capacity, described in pars. (a) to (d).

SB62, s. 592 Section 592. 224.71 (15) of the statutes is created to read:

SB62,253,10 224.71 (15) "Residential real property" means real property on which a dwelling is constructed or intended to be constructed.

SB62, s. 593 Section 593. 224.71 (16) of the statutes is created to read:

SB62,253,14 224.71 (16) "Services," with respect to a residential mortgage loan, means to receive payments on a note from the borrower and distribute these payments in accordance with the terms of the note or servicing agreement.

SB62, s. 594 Section 594. 224.71 (18) of the statutes is created to read:

SB62,253,17 224.71 (18) "Unique identifier" means a number or other identifier assigned by protocols established by the nationwide mortgage licensing system and registry.

SB62, s. 595 Section 595. 224.72 (title) of the statutes is amended to read:

SB62,253,20 224.72 (title) Registration Licensing of mortgage bankers, loan originators and mortgage brokers.

SB62, s. 596 Section 596. 224.72 (1) (intro.) of the statutes is repealed.

SB62, s. 597 Section 597. 224.72 (1) (a) of the statutes is renumbered 224.71 (9) and amended to read:

SB62,254,2 224.71 (9) "Net worth" means total tangible assets less total liabilities of a person, or, if the person is a natural person an individual, total tangible assets less total liabilities exclusive of the person's principal residence and its furnishings and personal use vehicles.

SB62, s. 598 Section 598. 224.72 (1) (b) of the statutes is repealed.

SB62, s. 599 Section 599. 224.72 (1m) of the statutes is amended to read:

SB62,254,10 224.72 (1m) Registration License required. A person may not conduct business or act as a mortgage banker, loan originator or mortgage broker, use the title "mortgage banker", "loan originator" or "mortgage broker",," or advertise or otherwise portray himself or, herself , or itself as a mortgage banker, loan originator or mortgage broker, unless the person has been issued a certificate of registration from mortgage banker or mortgage broker license by the division.

SB62, s. 600 Section 600. 224.72 (2) (title) of the statutes is repealed and recreated to read:

SB62,254,12 224.72 (2) (title) License applications.

SB62, s. 601 Section 601. 224.72 (2) (intro.) of the statutes is renumbered 224.72 (2) (am) and amended to read:

SB62,254,22 224.72 (2) (am) A person desiring to act as Applicants for a mortgage banker, loan originator or mortgage broker license shall apply for a certificate of registration to the division, on forms and in the manner prescribed by the division, and shall pay the fee specified in rules promulgated under sub. (8). An application shall satisfy all of the following: Forms prescribed by the division under this paragraph may contain any content or requirement that the division, in its discretion, determines necessary and these forms may be modified or updated as necessary by the division to carry out the purposes of this subchapter.

SB62, s. 602 Section 602. 224.72 (2) (a) and (b) of the statutes are repealed.

SB62, s. 603 Section 603. 224.72 (2) (c) (title) of the statutes is repealed.

SB62, s. 604 Section 604. 224.72 (2) (d) of the statutes is amended to read:

SB62,255,6 224.72 (2) (d) Social security number exceptions. 1. If an applicant who is an individual does not have a social security number, the applicant, as a condition of applying for or applying to renew a registration license under this section, shall submit a statement made or subscribed under oath or affirmation to the division that the applicant does not have a social security number. The form of the statement shall be prescribed by the department of children and families.

SB62,255,8 2. Any certificate of registration license issued or renewed in reliance upon a false statement submitted by an applicant under subd. 1. is invalid.

SB62, s. 605 Section 605. 224.72 (2m) of the statutes is created to read:

SB62,255,12 224.72 (2m) Licensed offices. Each mortgage banker or mortgage broker shall obtain and maintain a license for its principal office and a separate license for each branch office.

SB62, s. 606 Section 606. 224.72 (3) (title) of the statutes is repealed.

SB62, s. 607 Section 607. 224.72 (3) (a) of the statutes is renumbered 224.725 (2) (d) and amended to read:

SB62,255,19 224.725 (2) (d) In addition to the requirements of sub. (2), an Any applicant for registration as a residential mortgage loan originator license shall include in the application the name of the mortgage banker or mortgage broker who will employ the residential mortgage loan originator.

SB62, s. 608 Section 608. 224.72 (3) (b) and (c) of the statutes are repealed.

SB62, s. 609 Section 609. 224.72 (4) (title) of the statutes is amended to read:

SB62,255,23 224.72 (4) (title) Additional requirement for mortgage banker applicant requirements.

SB62, s. 610 Section 610. 224.72 (4) (a) (intro.) of the statutes is amended to read:

SB62,256,3 224.72 (4) (a) With a bona fide office. (intro.) In addition to the requirements of sub. (2), an applicant for registration as a mortgage banker who maintains a bona fide office or mortgage broker license shall do at least one all of the following:

SB62, s. 611 Section 611. 224.72 (4) (a) 1. of the statutes is repealed.

SB62, s. 612 Section 612. 224.72 (4) (a) 2. of the statutes is amended to read:

SB62,256,14 224.72 (4) (a) 2. `File a bond.' File with the division a commercial surety bond which is in the amount of $25,000 $300,000 for a mortgage banker or $120,000 for a mortgage broker, is issued by a surety company authorized to do business in this state, secures the applicant's faithful performance of all duties and obligations of a mortgage banker or mortgage broker, is payable to the division for the benefit of persons to whom the mortgage banker or mortgage broker provided services as a mortgage banker or mortgage broker, is issued on a form that is acceptable to the division and provides that the bond may not be terminated without at least 30 days' written notice to the division.

SB62, s. 613 Section 613. 224.72 (4) (a) 3. of the statutes is repealed.

SB62, s. 614 Section 614. 224.72 (4) (a) 4. of the statutes is amended to read:

SB62,256,24 224.72 (4) (a) 4. `Minimum net worth.' Submit evidence that establishes, to the division's satisfaction, a minimum net worth of $25,000 and a warehouse line of credit of not less than $250,000 or a minimum net worth of $100,000 $250,000 for a mortgage banker or $100,000 for a mortgage broker. Evidence of net worth shall include the submission of a balance sheet that is recent financial statements accompanied by a written statement by an independent certified public accountant attesting that he or she has reviewed the balance sheet financial statements in accordance with generally accepted accounting principles.

SB62, s. 615 Section 615. 224.72 (4) (d) of the statutes is repealed.

SB62, s. 616 Section 616. 224.72 (4m) of the statutes is repealed.

SB62, s. 617 Section 617. 224.72 (4n) (intro.) of the statutes is amended to read:

SB62,257,6 224.72 (4n) Security held by the division; release. (intro.) The division or its agent shall hold security filed under subs. (4) (a) 3. and (4m) (a) 2. s. 224.72 (4) (a) 3., 2007 stats., and s. 224.72 (4m) (a) 2., 2007 stats. The security shall remain in effect, and the division may not release it, until all of the following conditions are met:

SB62, s. 618 Section 618. 224.72 (4n) (a) 2. of the statutes is amended to read:

SB62,257,9 224.72 (4n) (a) 2. The date on which the mortgage banker's or mortgage broker's registration license expires or is revoked.

SB62, s. 619 Section 619. 224.72 (4r) of the statutes is repealed.

SB62, s. 620 Section 620. 224.72 (5) (title) of the statutes is renumbered 224.72 (5m) (title) and amended to read:

SB62,257,13 224.72 (5m) (title) Completion of registration licensing process.

SB62, s. 621 Section 621. 224.72 (5) (a) of the statutes is renumbered 224.725 (3) (intro.) and amended to read:

SB62,257,22 224.725 (3) Loan originator Issuance of license. (intro.) Except as provided in sub. (7m) (6), upon receiving a properly completed the filing of an application for registration as a mortgage loan originator and license and the payment of the fee specified in rules promulgated under sub. (8) and upon an applicant's compliance with sub. (3) (a) and, if required, sub. (3) (b), the division may issue to the applicant a certificate of registration as a mortgage loan originator. license if the division finds that all of the following apply:

SB62, s. 622 Section 622. 224.72 (5) (b) of the statutes is renumbered 224.72 (5m) and amended to read:

SB62,258,14 224.72 (5m) Mortgage banker and mortgage broker. Except as provided in sub. (7m), upon receiving a properly completed the filing of an application for registration as a mortgage banker or a mortgage broker, license and the payment of the fee specified in rules promulgated under sub. (8) and satisfactory evidence of compliance with subs. (4) and (4m), the division may shall make an investigation of the applicant including, if the applicant is a partnership, limited liability company, association, or corporation, the members or officers and directors, respectively, of the applicant. If the division finds that the character, general fitness, and financial responsibility of the applicant, including its members or officers and directors if the applicant is a partnership, limited liability company, association, or corporation, warrant the belief that the business will be operated in compliance with this subchapter, the division shall issue to the applicant a certificate of registration as a mortgage banker or mortgage broker license. A mortgage banker or mortgage broker license is not assignable or transferable.

SB62, s. 623 Section 623. 224.72 (7) (title) of the statutes is repealed and recreated to read:

SB62,258,16 224.72 (7) (title) License renewal.

SB62, s. 624 Section 624. 224.72 (7) (a) of the statutes is renumbered 224.72 (7) (am) and amended to read:

SB62,259,2 224.72 (7) (am) A loan originator, mortgage broker or mortgage banker shall may apply to renew a certificate of registration license issued under this section by timely submitting to, on forms and in the manner prescribed by the division, a completed renewal application and the all required renewal fee specified in rules promulgated under sub. (8) on or before the renewal date specified in rules promulgated under sub. (8) fees. The division may not renew a license issued under this section unless the division finds that the mortgage broker or mortgage banker continues to meet the minimum standards for license issuance under this section.

SB62, s. 625 Section 625. 224.72 (7) (b) of the statutes is repealed.

SB62, s. 626 Section 626. 224.72 (7) (bm) of the statutes is created to read:

SB62,259,8 224.72 (7) (bm) The license of a mortgage broker or mortgage banker who fails to satisfy the minimum standards for license renewal shall expire. The division may, by rule, provide for the reinstatement of expired licenses consistent with the standards established by the nationwide mortgage licensing system and registry.

SB62, s. 627 Section 627. 224.72 (7) (c), (d) and (e) of the statutes are repealed.

SB62, s. 628 Section 628. 224.72 (7m) (intro.) of the statutes is amended to read:

SB62,259,13 224.72 (7m) Denial of application for issuance or renewal of registration certain reasons. (intro.) The division may not issue or renew a certificate of registration license under this section if any of the following applies:

SB62, s. 629 Section 629. 224.72 (7m) (am) of the statutes is repealed.

SB62, s. 630 Section 630. 224.72 (7m) (b) of the statutes is amended to read:

SB62,259,21 224.72 (7m) (b) The department of revenue has certified under s. 73.0301 that the applicant is liable for delinquent taxes. An applicant whose application for issuance or renewal of a certificate of registration license is denied under this paragraph for delinquent taxes is entitled to a notice under s. 73.0301 (2) (b) 1. b. and hearing under s. 73.0301 (5) (a) but is not entitled to any other notice or hearing under this section.

SB62, s. 631 Section 631. 224.72 (7m) (c) of the statutes is amended to read:

SB62,260,7 224.72 (7m) (c) The applicant for the issuance or renewal is an individual who fails to comply, after appropriate notice, with a subpoena or warrant issued by the department of children and families or a county child support agency under s. 59.53 (5) and related to paternity or child support proceedings or who is delinquent in making court-ordered payments of child or family support, maintenance, birth expenses, medical expenses or other expenses related to the support of a child or former spouse, as provided in a memorandum of understanding entered into under s. 49.857. An applicant whose registration license is not issued or renewed under this paragraph for delinquent payments is entitled to a notice and hearing under s. 49.857 but is not entitled to any other notice or hearing under this section.

SB62, s. 632 Section 632. 224.72 (7p) of the statutes is repealed.

SB62, s. 633 Section 633. 224.72 (8) of the statutes is amended to read:

SB62,260,12 224.72 (8) Registration License period; fees. The division shall promulgate rules establishing the registration license period and the registration license fees for loan originators, mortgage bankers and mortgage brokers.

SB62, s. 634 Section 634. 224.725 of the statutes is created to read:

SB62,260,21 224.725 Licensing of mortgage loan originators. (1) License required. Except as provided in s. 224.726, an individual may not engage in the business of a mortgage loan originator with respect to a residential mortgage loan, or use the title "mortgage loan originator," advertise, or otherwise portray himself or herself as a mortgage loan originator in this state, unless the individual has been issued by the division, and thereafter maintains, a license under this section. Each licensed mortgage loan originator shall register with, and maintain a valid unique identifier issued by, the nationwide mortgage licensing system and registry.

SB62,261,4 (2) License applications. (a) Applicants for a mortgage loan originator license shall apply to the division, on forms and in the manner prescribed by the division, and shall pay the fee specified in rules promulgated under sub. (8). The division shall require mortgage loan originators to be licensed and registered through the nationwide mortgage licensing system and registry. Forms prescribed by the division under this paragraph may contain any content or requirement that the division, in its discretion, determines necessary and these forms may be modified or updated as necessary by the division to carry out the purposes of this subchapter.

SB62,261,7 (b) 1. Except as provided in subd. 2., an application shall include the individual's social security number. The division may not disclose the individual's social security number to any person except as follows:

SB62,261,9 a. The division may disclose the social security number to the department of revenue for the sole purpose of requesting certifications under s. 73.0301.

SB62,261,12 b. The division may disclose the social security number to the department of children and families in accordance with a memorandum of understanding under s. 49.857.

SB62,261,19 2. If an individual does not have a social security number, the individual, as a condition of applying for, or applying to renew, a license under this section, shall submit a statement made or subscribed under oath or affirmation to the division that the individual does not have a social security number. The form of the statement shall be prescribed by the department of children and families. Any license issued or renewed in reliance upon a false statement submitted by an applicant under this subdivision is invalid.

SB62,261,22 (c) Any applicant for a license under this section shall furnish to the nationwide mortgage licensing system and registry information concerning the applicant's identity, including all of the following:

SB62,261,25 1. Fingerprints for submission to the federal bureau of investigation and to any governmental agency or entity authorized to receive this information, for purposes of a state, national, and international criminal history background check.

SB62,262,4 2. Personal history and experience in a form prescribed by the nationwide mortgage licensing system and registry, including the submission of authorization for the nationwide mortgage licensing system and registry and the division to obtain all of the following:

SB62,262,6 a. An independent credit report from a consumer reporting agency, as defined in s. 100.54 (1) (c).

SB62,262,8 b. Any information related to any administrative, civil, or criminal findings by any governmental jurisdiction.

SB62,262,11 (3) (a) The applicant has never had a mortgage loan originator license revoked in any governmental jurisdiction, unless the revocation was subsequently and formally vacated.

SB62,262,17 (b) The applicant has not been convicted of, or pled guilty or no contest to, a felony in a domestic, foreign, or military court during the 7-year period preceding the date of the application or, for a felony involving an act of fraud, dishonesty, breach of trust, or money laundering, at any time preceding the date of the application. This paragraph does not apply with respect to any conviction for which the applicant has received a pardon.

SB62,263,2 (c) The applicant has demonstrated financial responsibility, character, and general fitness such as to command the confidence of the community and to warrant a determination that the mortgage loan originator will operate honestly, fairly, and efficiently within the purposes of this subchapter. For purposes of this paragraph, an individual has shown that he or she is not financially responsible if he or she has shown a disregard in the management of his or her own financial condition, including having current outstanding judgments other than those resulting from medical expenses, having current outstanding tax liens or other government liens and filings, or having, within the past 3 years, foreclosures or any pattern of seriously delinquent accounts.