New Jersey Administrative Code
Title 3 - BANKING
Chapter 18 - FORECLOSURE CONSULTANTS
Subchapter 2 - LICENSE REQUIREMENTS
Section 3:18-2.6 - Discontinuation of foreclosure consulting activity

Universal Citation: NJ Admin Code 3:18-2.6

Current through Register Vol. 56, No. 18, September 16, 2024

(a) When a foreclosure consultant business licensee discontinues foreclosure consultant activity in New Jersey, the business licensee shall surrender the entity's current license as well as the license of each individual licensee employed by the business licensee. The business licensee shall also provide written notice of the discontinuation of the business license to each individual licensee employed by the business licensee and to each consumer who is a party to an existing foreclosure consultant agreement with the business licensee. The written notice to such consumers shall identify any entity that has agreed to complete the providing of foreclosure consultant services to such consumers under the terms of the business licensee's pending foreclosure consultant contract and set forth the consumer's option to continue with the new designated entity or to terminate the agreement. The business licensee shall furnish proof to the Department of having made the notifications and also provide written notification to the Department of the following:

1. Any foreclosure consultant agreements being processed as of the date of the notice and provide the total number of any such agreements together with consumer names and addresses and the property address for each agreement;

2. The location of the files of pending foreclosure consultant agreements;

3. The location of records required to be maintained under New Jersey law and regulations;

4. Any arrangements that have been made to have other entities complete the providing of foreclosure consulting services on any such agreements, together with complete information on the name, address, telephone number, and contact person of entities involved in such arrangements;

5. Copies of any filed and unfiled discharges of recorded foreclosure consultant contracts that have been fully performed with an indication of whether the discharge has been received by the distressed property owner; and

6. The name and telephone number of person(s) within the licensee's operation designated to handle consumer inquiries and problems that may arise.

(b) A business licensee discontinuing foreclosure consultant activity shall also:

1. Satisfy all filing requirements including the final annual report for the portion of the calendar year in which the foreclosure consultant discontinues its licensed business operations in New Jersey;

2. Pay all assessments due and owing and prepay the base assessment for the year of the discontinuance by paying the amount of the most recently billed base assessment within 15 days after ceasing business or upon being acquired. In the event that the said amounts are not paid, the Department shall proceed against the bond. Adjustments to the base assessment, if any, and the final volume assessment for the year of discontinuance will be billed in the year following the discontinuance. In the event of an acquisition, the amount carried forward shall be paid by the acquiring entity; and

3. Identify, in writing, the name, address, and phone number of the person within the licensee's operation responsible for the payment of assessments and satisfying all outstanding obligations owed to the Department.

(c) An individual licensee whose relationship with a business licensee has been terminated, either by the individual licensee or the business licensee, shall not engage in foreclosure consulting activity until their application for licensure with another business licensee has been approved by the Department.

(d) When an individual licensee discontinues foreclosure consultant activity in New Jersey, the licensee shall notify the business licensee by which he or she is employed of the discontinuation in writing and shall forward to the Department proof of such written notification along with a certification attesting to their discontinuance of foreclosure consultant activity in New Jersey.

(e) To be licensed as a foreclosure consultant after termination of a relationship with an employing business licensee, an individual licensee shall complete an application that shall include the name of the new business licensee by whom they will be employed, a certification stating that their employment with their former business licensee has been terminated, and a certification from the new business licensee stating that it will employ the individual as a foreclosure consultant upon approval of the application.

Disclaimer: These regulations may not be the most recent version. New Jersey may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.