The Kentucky Department of Financial Institutions (DFI) has been a part of the Nationwide Mortgage Licensing System (NMLS) since its launch in 2008. NMLS is a collaborative effort among state regulators to bring greater efficiency and accountability to the supervision of the mortgage industry.
All mortgage entities and individuals must use the NMLS for licensing and registration. Exempt companies do not have to use NMLS, however the individuals working for exempt companies must use NMLS.
NMLS is a secured, Web-based system that allows state licensees, companies, branches, loan officers and processors to apply for, amend, update or renew licenses online in Kentucky as well as in other participating states 
.
Each licensed company has a single record in NMLS, regardless of the number of licenses it holds or the number of states in which it operates. Access is through a secure Web site, allowing the company to conveniently view license information, apply for new licenses, amend existing licenses and renew or surrender licenses throughout the year.
Licensees have access to the system 362 days a year, seven days a week with operational assistance available through a national call center. Applicants need a high-speed Internet connection to access the system.
(Click on the above logo to visit the NMLS Web site at: www.stateregulatoryregistry.com/nmls .)
For first-time applicants getting started is easy. The NMLS Getting Started page will walk you through the steps.
This involves creating an account for the company on NMLS, completing a company record (Form MU1); a record for each Control Person, such as an executive officer, qualified individual and branch manager (Form MU2); and a record for each licensed branch office (Form MU3).
Additionally, all individuals – loan originators and processors – must submit a Form MU4 through the NMLS.
If your company already has an account on the NMLS, then renewing or updating a license in Kentucky merely involves filing your company’s NMLS record (Form MU1) and relevant branch records (Form MU3) through NMLS and mailing in the required jurisdiction-specific requirements. The same is true for individuals’ registrations. The NMLS Getting Started page will walk you through the steps.
Review Kentucky DFI’s jurisdiction-specific items on the NMLS State Licensing Resource page or review the information below.
Click the links below to go directly to the appropriate section:
All loan originators (loan officers) of licensed entities and HUD-approved mortgage companies and/or mortgage brokers are required to be registered. Out-of-state loan officers and brokers assisting Kentucky clients must be registered with DFI. Also, processors must be registered in order to transact business.
How to Register a New Loan Officer/Originator or Processor:
- Read KRS 286.8. Many applicants’ questions are answered in the statutes. For more information on changes made to the law through HB 106/the S.A.F.E. Act, visit DFI's Mortgage Law Changes page.
- Submit an electronic background check through NMLS.
- Complete 20 hours of pre-licensing education. For annual renewal, 12 hours of continuing education are required during that calendar year. For more details, visit the Mortgage Law Changes page.
- Pass the written national and state tests.
- Submit the application form online via NMLS .
- All mortgage loan originators must be covered by a surety bond, either through their employer or independently, for their entire registration period. The bond cannot be terminated without 30 days prior written notice to DFI. Mortgage loan originators with an annual loan volume of less than $10 million must have a $15,000 surety bond. Those with an annual loan volume of greater than $10 million must have a $20,000 surety bond. For more information, read the order of the commissioner [PDF 42K] dated Dec. 18, 2009.
NOTE: Before June 30, 2010, all individuals will be required to submit an electronic FBI background check through NMLS and pass written national and state tests. By Nov. 30, 2010, all individuals must submit an independent credit report. For more details, visit the Mortgage Law Changes page.
The registration renewal period is now on a calendar-year basis. All individuals must renew by Nov. 30 each year.
The full registration fee is $50. For more information, read the following order. [PDF 459KB] Also there is an NMLS processing fee of $30.
If registrations are not renewed before the expiration, there will be a $250 reinstatement fee required.
You will receive a letter in the mail stating your initial registration is approved. Retain the letter for your records, as this is your proof of registration. The status of renewals is available online.
Documents:
Criminal Background Check Requirements [PDF 73KB]
NOTE: Criminal background checks take approximately 14 to 16 weeks for the FBI to process.
Affidavit for Criminal Background Check [DOC 21KB]
Surety Bond for Mortgage Loan Originator ($15,000) [PDF 65KB]
Surety Bond for Mortgage Loan Originator ($20,000) [PDF 65KB]
Privacy Act Waiver [PDF 53KB]
NOTE: Only submit this form if DFI notifies you it is required after reviewing your application.
For More Information:
Contact Emily Draper by e-mail or at 502-573-3390, ext. 254, with any questions regarding applications, licensing, registration or exemptions.
For additional information, please refer to KRS 286.8.
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NOTE: Beginning Nov. 1, 2009, all pre-licensing and continuing education providers and courses must be approved by the NMLS. For details go to the Course Providers page of the NMLS Web site.
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Department of Financial Institutions
1025 Capital Center Drive
Suite 200
Frankfort, KY 40601
Phone: 502-573-3390
Toll free: 800-223-2579
Fax: 502-573-0184
E-mail: kfi@ky.gov