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FCA and the S.A.F.E. Act

FCA and five other financial regulatory agencies issued final rules on July 28, 2010, to implement the registration requirements of the Secure and Fair Enforcement for Mortgage Licensing Act (S.A.F.E. Act) of 2008. FCA’s final rule contains requirements that apply to both System employees and institutions.

The National Mortgage Licensing System and Registry (Registry) begins accepting registrations on January 31, 2011. All mortgage loan originators are to have registered by July 29, 2011.

For FCS Employees
Farm Credit System employees who act as residential mortgage loan originators are required to perform the following:

Residential mortgage loan originators at System institutions are exempt from the registration requirement if they meet the de minimis exception in the final rule.

For FCS Institutions
System institutions are required to perform the following:

Federally regulated financial institutions that originate residential mortgages must use RSSD numbers when they register with the Registry. The RSSD number of the parent ACA must be used during the registration process.   

At this time, some of the information in the NIC database is incorrect or inaccurate. FCA is working with the Board of Governors of the Federal Reserve System to correct these discrepancies.


About the S.A.F.E. Act
The S.A.F.E. Act, which is Title V of the Housing and Economic Recovery Act of 2008, is intended to accomplish the following:

  1. Increase uniformity in licensing and reporting requirements for State-licensed loan originators
  2. Establish a comprehensive licensing and supervisory database for residential mortgage loan originators
  3. Aggregate and improve the flow of information to and between regulators
  4. Reduce regulatory burden
  5. Protect consumers and prevent fraud
  6. Provide consumers, at no charge, information regarding residential mortgage loan originators
  7. Facilitate the collection and disbursement of consumer complaints on behalf of State and Federal regulators

The final rules implementing the S.A.F.E. Act’s registration requirements were issued by FCA and five other Federal regulators:

About the Registry
The Nationwide Mortgage Licensing System and Registry was developed by the Conference of State Bank Supervisors (CSBS) and the American Association of Residential Mortgage Regulators to support the licensing of mortgage loan originators by the States. FCA and the other Federal regulators are now working with the CSBS to adapt the Registry so it can accept registrations from the institutions they regulate.

The S.A.F.E. Act requires most residential mortgage loan originators to register with the Registry and to obtain a unique identifier. Consumers will have access to certain information in the Registry.

For more information about the Registry, go to the Nationwide Mortgage Licensing System (NMLS) Resource Center.

Because FCA retrieves personally identifiable information by name from the Registry, the Agency has conducted a Privacy Impact Assessment (PDF, 358 KB, 24 pages) for Registry data provided by Farm Credit System employees. FCA’s decision to conduct the assessment reflects the Agency’s commitment to protecting the privacy of individuals in the fulfillment of its mission. The assessment contains the following:

CSBS Seeks Comment on Proposed Federal Registry Fees
CSBS is inviting comment on proposed fees for the Federal Registry. More information can be found at Proposals for Comment. Comments on the proposed fees for the Federal Registry are due November 12, 2010.

Any Questions?
If you have a question about the S.A.F.E. Act, FCA’s final rule, or the registration requirements for System employees and institutions, please submit your question to SafeAct@fca.gov. If you are a mortgage loan originator with a question, please contact your employing institution first before contacting FCA.

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