Compilation of Rules and Regulations of the State of Georgia
Department 80 - RULES OF DEPARTMENT OF BANKING AND FINANCE
Chapter 80-11 - RESIDENTIAL MORTGAGE BROKERS, LENDERS AND ORIGINATORS
Subject 80-11-2 - BOOKS AND RECORDS
Rule 80-11-2-.02 - Minimum Requirements for Books and Records

(a) Copies of all disclosure documents required by Rule 80-11-1-.01;

(b) Samples of advertisements as required by Rule 80-11-1-.02;

(c) Copies of all written complaints by customers and written records of disposition;

(d) Copies of examination reports prepared by any agency, division or corporate instrumentality of the United States, the State of Georgia or any other state, which reports pertain to the mortgage brokerage and/or lending business of the licensee and are not prohibited from being disclosed to the Department of Banking and Finance by state or federal law;

(e) Copies of reports required to be prepared and/or submitted by the licensee to any agency, division, or corporate instrumentality of the United States, the State of Georgia or any other state, which reports pertain to the mortgage brokerage and/or lending business of the licensee and are not prohibited from being disclosed to the Department of Banking and Finance by state or federal law;

(f) Copies of all payroll records, including federal and state withholding tax forms, W-2's, and 1099 forms filed with the Internal Revenue Service by the licensee, or its agent on behalf of individuals employed by the licensee or on behalf of individuals acting as independent contractors in the mortgage brokerage and/or lending business of the licensee;

(g) A general ledger and subsidiary records sufficient to produce, when requested by the Department, an accurate monthly statement of assets and liabilities and a cumulative profit and loss statement for the current operating year;

(h) All checkbooks, bank statements, deposit slips and canceled checks which pertain to the mortgage brokerage and/or lending business of the licensee;

(i) Supporting documentation for all expenses and fees paid by the mortgage broker on behalf of the customer, which documentation indicates the amount paid and the date paid;

(j) Copies of all credit report bills received from all credit reporting agencies for the most recent five year period;

(k) Documentation to indicate a consumer had a choice of attorney, if attorneys' fees are intended to be excluded from a points and fees calculation under the Georgia Fair Lending Act;

(l) An indication of whether each loan has points and fees of 5% or more, as calculated under the Georgia Fair Lending Act;

(m) Documentation to support the source and purpose for each receipt of monies in any form in an amount greater than $100 and documentation to identify the recipient and purpose of each payment of monies in any form in an amount greater than $100 by the licensee in its mortgage brokerage and/or lending business in order that the receipts may be reconciled to bank deposits and to books of the licensee;

(n) Employee file for each employee. The employee file must contain all documents related to hiring the employee, including criminal background check, date employment began, and a print out or screenshot confirming that the Department's public records were reviewed on NMLS Consumer Access to verify eligibility for employment with such review taking place prior to the date of hire;

(o) Copies of all submitted mortgage call reports, including any amended reports, for the previous five (5) years and all related work papers and supporting documentation that support the accuracy of the information contained in the mortgage call reports;

(p) Documentation showing that a sale or other transfer to and purchase or other transfer of closed mortgage loans by an unlicensed entity who is not otherwise exempt from licensure is for the sole purpose of securitization of the loans in the secondary market and that the historical practices and documented intent of the unlicensed entity is to hold such loans for fourteen (14) days or less and that the loans are serviced by a person licensed as a mortgage lender or exempt from the licensing requirements of Article 13 of Chapter 1 of Title 7 as required by O.C.G.A. § 7-1-1001(a)(19). Examples of such documentation showing the sale or transfer to and purchase or transfer of mortgage loans was for the sole purpose of securitization of the loans in the secondary market may include, but are not limited to, a copy of the mortgage loan purchase agreement, evidence of the securitization into a secondary market, the dates of purchase and securitization, and a sworn document executed at or before purchase by an executive officer of the loan purchaser to the effect that the sole purpose of the loan purchase is securitization of the loan in the secondary market and the purchaser will not hold the loan for more than fourteen (14) days or service the loan; and

(q) Information security program materials maintained by the licensee in accordance with 16 C.F.R. Part 314, ("the Safeguards Rule") and Rule 80-3-1-.05, including, but not limited to, any risk assessment and incident response plan.

(r) Documentation showing that a sale or other transfer to and purchase or other transfer of closed mortgage loans by an unlicensed entity who is not otherwise exempt from licensure is for the sole purpose of securitization of the loans or otherwise transferring the loans into a secondary market, that the unlicensed entity is a trust, that the trustee is a bank that satisfies the exemption from licensure set forth at O.C.G.A. § 7-1-1001(a)(1), and that the loans held in the trust are serviced by a person licensed as a mortgage lender or exempt from the licensing requirements of Article 13 of Chapter 1 of Title 7 as required by O.C.G.A. § 7-1-1001(a)(20). Examples of such documentation showing the sale or transfer to and purchase or transfer of mortgage loans was for the sole purpose of securitization or transferring the loans into a secondary market may include, but are not limited to, a copy of the mortgage loan purchase agreement, evidence of the securitization into a secondary market, the dates of purchase and securitization, and a sworn document executed at or before purchase by an executive officer of the loan purchaser to the effect that the sole purpose of the loan purchase is securitization of the loan or transfer of the loan into the secondary market.