Texas Net Branch – Loan Officer and Branch Licensing Update

Net Branch  Update for Texas – Big changes for mortgage loan officers and branch managers As Texas completes the transition to the NMLS.

The Texas Department of Savings and Mortgage Lending issued a statement about the departments new rules for considering information in a loan officers credit report as part of the application process.

The department could deny a loan officer license if you have any of the following on your credit report.

  • Bankruptcies filed within the last 10 years;
  • Current outstanding judgments (except judgments solely as a result of medical expenses);
  • Current outstanding tax liens or other government liens;
  • History of and current collection accounts;
  • Foreclosures within the past three years;
  • Three or more accounts more than 90 days past due;
  • Multiple Social Security Numbers attached to the individual’s name;
  • Consumer provided comments;
  • No credit history for the individual;
  • Credit items the individual is appealing, if noted in the report; and
  • Outstanding child support.

According to the memo credit scores will not be part of the decision but the department “may look at systemic, long-term financial irresponsibility as a reason to further investigate the information received before a final licensing decision is made. No single item listed above will serve as grounds for ineligibility, but several will cause further investigation and each decision will be made on a case by case basis.

To read the memo CLICK HERE and read “Credit Check Processing through the NMLS – February 2010”

I always welcome comments, questions, and subscribers!

If you would  like to know more about our net branch partner program visit our Frequently Asked Questions page.

Texas Mortgage Net Branch Opportunity

One Comment

  1. Greg says:

    Where can I find the rules governing how banks are supposed to pay for branch expenses. I run a FHA call center for a bank and I was told that FHA requires the corporate head quarters to pay the rent, phone, utilities, etc. I’ve tried looking in http://www.HUD.gov but can’t locate it.


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