Every state-licensed loan officer in the country clears the same federal floor, set by the SAFE Act and its regulation. States build on top of it, but the floor tells you what the job asks of you before you ever take an application. The manual calls it special trust; this is the paperwork version.
Including at least 3 hours of federal law and regulations, 3 hours of ethics covering fraud, consumer protection and fair lending, and 2 hours on nontraditional mortgage lending standards. NMLS approves the courses.
On the NMLS-developed written test. You can take it three times in a row, at least 30 days apart. Fail three times and you wait at least 6 months.
Fingerprints for an FBI and state criminal history check, and a credit report and personal history through NMLS.
The state must find you have the financial responsibility, character and general fitness to command the community's confidence. States also require a net worth, surety bond or state fund.
A loan originator license revoked anywhere, unless the revocation was formally vacated.
Any felony conviction or plea in the 7 years before applying.
Any felony involving fraud, dishonesty, breach of trust or money laundering, however old.
Expunged and pardoned convictions do not, by themselves, affect eligibility.
Renewal is annual, and each year requires at least 8 hours of continuing education: 3 hours of federal law, 2 of ethics and 2 on nontraditional lending. Credit counts only in the year you take the course, and repeating the same course in the same or the next year does not count.
Let a license lapse for 5 years or more and you retake the test. That rule rewards staying in the business, which is the same thing the manual argues for from a different direction. Once licensed, how you can be paid is its own federal rule, covered on how loan officers can be paid.
Federal minimums from 12 U.S.C. 5104 and Regulation H, 12 CFR 1008.105 (license requirements) and 1008.107 (annual renewal). States can and do require more; check your state regulator through NMLS. Not legal advice.
Jason gives this away the way other people hand out business cards. Download the PDF and read it on any device - and if you'd rather talk through your own situation, his calendar is one click away.