MBA Call to Action Urges Support for Transitional License for MLOs

The Mortgage Bankers Association Mortgage Action Alliance issued a Call to Action urging members to contact their Senators to support the SAFE Transitional Licensing Act, S. 1753. 

Last week the SAFE Transitional License Act–which would amend the SAFE Mortgage License Act to provide a temporary license for loan originators transitioning between federally insured depositories and non-depositories as well as across state lines–was introduced in the Senate.

Sens. Dean Heller, R-Nev., and Bob Menendez, D-N.J., introduced S. 1753, which would require states to issue a transitional license to experienced registered loan originators currently employed by a financial institution. These individuals would be able to continue originating loans for 120 days when they move from one type of lender to another or move to a new state.

This bill is the Senate companion bill to H.R. 2948, which the Mortgage Action Alliance supports following Rep. Steve Stivers’ announcement of the bill’s introduction at the 2017 MBA National Advocacy Conference.

Both the House and Senate bills are substantially similar to H.R. 2121, introduced during the 114th Congress, which the full House of Representatives passed unanimously. A similar provision was also included within H.R. 10, the Financial CHOICE Act, which passed the full House of Representatives in June, and is also present in the Financial Services and General Government appropriations bill, which passed the House Appropriations Committee last month.

To persuade congressional leaders to quickly advance this important proposal through the Senate Banking Committee and to the Senate floor, we must increase bipartisan support for the proposal.

Click here to contact your Senator to encourage him or her to cosponsor the SAFE Transitional License Act.

For more information contact Peter Shapiro at 202-557-2933 or pshapiro@mba.org.