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Title 12, Banks and BankingRelease 119-102

§5101 Purposes and Methods for Establishing a Mortgage Licensing System and Registry

Title 12 › CHAPTER 51 — SECURE AND FAIR ENFORCEMENT FOR MORTGAGE LICENSING › § 5101

Last updated Aug 21, 2026|Official source

Summary

States are encouraged, through the Conference of State Bank Supervisors and the American Association of Residential Mortgage Regulators, to create a Nationwide Mortgage Licensing System and Registry for the residential mortgage industry. The registry should do ten things: make uniform license forms and reports for state-licensed loan originators; keep a full licensing and supervision database; share information among regulators; track and hold originators accountable; simplify licensing; boost consumer protections and anti-fraud work; give consumers free, easy online access to originators’ job histories and public disciplinary actions; require originators to act in consumers’ best interests as much as possible; support responsible subprime lending with training and testing; and collect and route consumer complaints for state and federal regulators.

Full Legal Text

Title 12, §5101

Banks and Banking, Source: USLM XML via OLRC

In order to increase uniformity, reduce regulatory burden, enhance consumer protection, and reduce fraud, the States, through the Conference of State Bank Supervisors and the American Association of Residential Mortgage Regulators, are hereby encouraged to establish a Nationwide Mortgage Licensing System and Registry for the residential mortgage industry that accomplishes all of the following objectives:
(1)Provides uniform license applications and reporting requirements for State-licensed loan originators.
(2)Provides a comprehensive licensing and supervisory database.
(3)Aggregates and improves the flow of information to and between regulators.
(4)Provides increased accountability and tracking of loan originators.
(5)Streamlines the licensing process and reduces the regulatory burden.
(6)Enhances consumer protections and supports anti-fraud measures.
(7)Provides consumers with easily accessible information, offered at no charge, utilizing electronic media, including the Internet, regarding the employment history of, and publicly adjudicated disciplinary and enforcement actions against, loan originators.
(8)Establishes a means by which residential mortgage loan originators would, to the greatest extent possible, be required to act in the best interests of the consumer.
(9)Facilitates responsible behavior in the subprime mortgage market place and provides comprehensive training and examination requirements related to subprime mortgage lending.
(10)Facilitates the collection and disbursement of consumer complaints on behalf of State and Federal mortgage regulators.

Legislative History

Notes & Related Subsidiaries

Statutory Notes and Related Subsidiaries

Short Title

of 2015 Amendment Pub. L. 114–94, div. G, title LXXXVIII, § 88001, Dec. 4, 2015, 129 Stat. 1799, provided that: “This title [amending section 5110 of this title] may be cited as the ‘State Licensing Efficiency Act of 2015’.”

Short Title

Pub. L. 110–289, div. A, title V, § 1501, July 30, 2008, 122 Stat. 2810, provided that: “This title [enacting this chapter] may be cited as the ‘Secure and Fair

Enforcement

for Mortgage Licensing Act of 2008’ or ‘S.A.F.E. Mortgage Licensing Act of 2008’.”

Reference

Citations & Metadata

Citation

12 U.S.C. § 5101

Title 12, Banks and Banking

Last Updated

Aug 21, 2026

Release point: 119-102