Oregon - Lending and Servicing Guide

This is a lending and servicing guide for the state of Oregon for mortgage bankers, mortgage brokers and mortgage servicers. This a separate policy guide. Once purchased this guide will be customized for branding purposes only. You will receive an immediate invoice receipt with a download link to a questionnaire with some simple questions to answer and receive your customized guide within 24-48 hours.

This guide includes:

Licenses Held:

• Mortgage Lender License (includes Mortgage Brokers)
• Mortgage Servicer License
• Mortgage Loan Originator License

Exempt Mortgage Company registrations and Non-Profit Organizations are not covered in this policy.

This document is based on the following laws and regulations:

• Oregon Revised Statutes, Chapter 86 (Mortgages; Trust Deeds)
• Oregon Revised Statutes, Chapter 86A (Oregon Mortgage Lender Law)
• Oregon Revised Statutes, Chapter 87 (Oregon Statutory Liens)
• Oregon Revised Statutes, Chapter 88 (Oregon Foreclosure of Mortgages and other Liens)
• Oregon Administrative Rules, Chapter 441
  • Division 850
  • Division 860
  • Division 865
  • Division 870
  • Division 875
  • Division 880
  • Division 885
• Bulletins issued by the Department of Financial Regulation, as applicable

Table of Contents

• Purpose
• Scope

Lending and Servicing Requirements

• Advertising
• Annual Reporting
• Client Trust Accounts
  • Branch Trust Accounts
  • Trust Account Disbursements
• Disclosures/Notices
  • Mortgage Loan Originators
  • Mortgage Bankers and Mortgage Brokers
  • Mortgage Servicers
• Examination Charges
• Negative Amortization Loans
• Office Requirements
• Mortgage Servicing Requirements
  • Requests for Information
  • Consumer Complaints
  • Agency Remedies
  • Suspension or Removal of Director or Officer
• Prohibited Acts and Practices
  • Mortgage Bankers and Mortgage Brokers
  • Mortgage Loan Originators
  • Mortgage Servicers
• Quarterly Mortgage Call Reports
• Record Retention
  • Advertising
  • Consumer or Investor Complaints
  • Criminal Records Checks for MLO’s
  • Personnel Files
  • Loan Files
  • Investor Files
• Supervision of Branch Offices
• Supervision of Mortgage Loan Originators

Appendix A – Licensed Entities Defined

• Mortgage Banker
• Mortgage Broker
• Mortgage Originator
• Mortgage Servicer
• Private Money Loan

Appendix B – Mortgage Banker & Mortgage Broker Licensing Requirements

• License Required
• Initial Licensing Fees
• Experience Requirements
• Biographical Information
• Corporate Surety Bond
• Assumed Business Names
• Application Requirements
• Correcting Deficiencies
• Branch Office Licensing
• License Renewal
• Licensing Renewal Fees
• Notifications to the Department of Financial Regulation
• License Cancellation
• Denied, Suspended or Revoked License
• Cancellation or Surrender of License

Appendix C – Mortgage Loan Originator Licensing Requirements

• License Required
• Application Requirements
• Sponsorship
• Initial Education Requirements
• Uniform State Testing
• Exemption for Commercial Construction Lending
• Financial Responsibility
• Criminal Records Check
• Denial of License
• Initial Licensing Fees
• Correcting License Application Information
• Challenging NMLSR Information
• Denied, Suspended or Revoked License
• License Renewal
• Continuing Education
• License Renewal Fees
• Notifications to the Department of Financial Regulation
• License Cancellation

Appendix D – Mortgage Servicer Licensing Requirements

• Licensed Required
• Application Requirements
• Required Liquidity, Reserves and Net Worth
• Denied, Suspended or Revoked License
• License Renewal
• License Reinstatement
• License Display
• Out of State Principal Office
• Notifications to Department of Financial Regulation

Appendix E (Definitions)

• Advertising (OAR 441-850-0005(1))
• Branch Office (OAR 441-850-0005(3))
• Clients’ Trust Account (OAR 441-850-0005(4))
• Compensation or Gain (OAR 441-850-0005(5))
• Contract or Agreement for Servicing the Residential Mortgage Loan (OAR 441-850-0005(6))
• Control Person (OAR 441-850-0005(7))
• Employee (OAR 441-850-0005(11))
• Loan Processor or Underwriter (ORS 86A.200(3)(a))
• Loan Terms (OAR 441-850-0005(21))
• Lock Agreement (OAR 441-850-0005(23))
• Material Litigation (OAR 441-850-0005(24))
• Mortgage Banking Loan (ORS 86A.100(4))
• Mortgage Loan (ORS 86A.100(6))
• Mortgage Loan Originator (ORS 86A.200(4)(a))
• Mortgage Loan Originator Employed by the Mortgage Banker or Mortgage Broker (OAR 441-850-0005(19))
• Negative Amortization Loan (ORS 86A.195(1))
• Non-Traditional Mortgage (ORS 86A.200(6))
• Residential Mortgage Loan Modification Service (ORS 86A.300(11))
• Residential Mortgage Transaction (ORS 86A.100(8))
• Reverse Mortgage Loan (ORS 86A.196)
• Savings Statement (OAR 441-850-0005(30))
• Service a Residential Mortgage Loan (ORS 86A.300(12))
• Service or Collect any Mortgage Banking Loan or Mortgage Loan (ORS 86A.175(3)(e))
• Supervisor (OAR 441-850-0005(31))
• Tangible Net Worth (OAR 441-850-0005(32))
• Trust Funds (OAR 441-850-0005(33))

Appendix F – Notice of Client’s Trust Account

• NOTICE OF CLIENTS’ TRUST ACCOUNT