Current through Register Vol. 63, No. 9, September 1, 2024
(1) The director may cancel the license of a
mortgage banker or mortgage broker for failing to maintain a corporate surety
bond or irrevocable letter of credit as required by ORS
86A.106 and OAR
441-860-0090 or ORS
86A.227 and OAR
441-860-0085. The procedure for
canceling a mortgage banker or mortgage broker license under this rule is as
follows:
(a) Upon notification from the
surety of notice of intent to cancel the corporate surety bond, or upon
notification from the financial institution of notice of intent to cancel the
irrevocable letter of credit, the director shall notify the mortgage banker or
mortgage broker. This notice may be sent by setting a deficiency on the
company's license in the Nationwide Mortgage Licensing System and Registry
(b) If an effective corporate
surety bond is not submitted through the Nationwide Mortgage Licensing System
and Registry or an irrevocable letter of credit filed with the director by 5
p.m. Pacific Time within thirty (30) calendar days after receiving the notice
in subsection (a) of this rule the director shall cancel the license of the
mortgage banker or mortgage broker. The cancellation of the mortgage banker or
mortgage broker license shall be effective as of the corporate surety bond or
irrevocable letter of credit cancellation date. For purposes of this rule, an
effective corporate surety bond or irrevocable letter of credit is one that
commences no later than the cancellation date of the previous corporate surety
bond or irrevocable letter of credit.
(2) A mortgage banker or mortgage broker
whose license has been cancelled may obtain a mortgage banker or mortgage
broker license in Oregon by submitting a new application.
(3) Upon cancellation of a mortgage banker or
mortgage broker license all rights under the license are terminated, except
that the director shall retain jurisdiction to investigate the professional
activities pursuant to ORS
86A.124.
(4)
(a) The
director may change the mortgage loan originator's license status to inactive
if the director finds that the mortgage loan originator is not covered by a
corporate surety bond or the corporate surety bond covering the mortgage loan
originator is maintained in an insufficient amount under OAR
441-860-0085.
(b) The director may change the mortgage loan
originator's license status to approved if the mortgage loan originator
provides evidence acceptable to the director that the mortgage loan originator
is covered by a corporate surety bond or the corporate surety bond covering the
mortgage loan originator is maintained in a sufficient amount under OAR
441-860-0085.
Stat. Auth.: ORS
86A.106,
86A.242
Stats. Implemented: ORS
86A.121,
86A.227
