Loan Officers can be sponsored by Loan Factory in 48 states (except Connecticut and New York)
LICENSED IN MULTIPLE STATES AND SPONSORED BY DIFFERENT MORTGAGE COMPANIES
DID YOU KNOW?
Loan Officers (even brokers) can be licensed in multiple states and be sponsored by different mortgage
companies.
General Rule:In each state, a Loan Officer can be sponsored by only one mortgage company.
Exceptions:In CO, DE, ME, MN, TX, and WA, a Loan Officer can have multiple sponsors.
Special States:
In GA, MT, OH, OR and PA, a Loan Officer can be sponsored by Loan Factory. The Loan Officer cannot be sponsored (in any 50 states) by any other mortgage company who has a license in these states.
In SC, a Loan Officer cannot be sponsored (in any 50 states) by any other mortgage company in any other state.
In VA, if a Loan Officer wants to get paid in 1099, LO must sign an Exclusive Agent Agreement with Loan Factory. The LO cannot work with any other mortgage company, in any state.
ADDING NEW STATE LICENSES
If you are CURRENTLY licensed and want to obtain license in more states, you DO NOT need to pass the exam again
Step 1
Pick an interested state
Select the state you want to obtain a license. You will see the number of hours of a state-specific
course that you must take in order to obtain a license. In general, you do not need to pass the exam
again
The following states do not require additional hours (You can skip to step 3 below):
Alabama
Delaware
Iowa
Louisiana
Missouri
Virginia
Alaska
Georgia (W-2)
Kansas
Maine
North Dakota
Wisconsin
Arkansas
Illinois (W-2)
Kentucky
Minnesota
South Dakota
Wyoming
For the state of Arizona, additional hours required:
4 hours
For the state of California, additional hours required:
2 hours
For the state of Colorado, additional hours required:
2 hours
For the state of Connecticut, additional hours required:
1 hours
For the state of District of Columbia, additional hours required:
3 hours
For the state of Florida, additional hours required:
2 hours
For the state of Hawaii, additional hours required:
3 hours
For the state of Idaho, additional hours required:
2 hours
For the state of Indiana, additional hours required:
2 hours
For the state of Maryland (W-2), additional hours required:
5 hours
For the state of Massachusetts (W-2), additional hours required:
3 hours
For the state of Michigan, additional hours required:
2 hours
For the state of Mississippi (W-2), additional hours required:
4 hours
For the state of Montana (W-2), additional hours required:
2 hours
For the state of Nebraska, additional hours required:
2 hours
For the state of Nevada (W-2), additional hours required:
4 hours
For the state of New Jersey (W-2), additional hours required:
4 hours
For the state of New Mexico, additional hours required:
3 hours
For the state of New York, additional hours required:
3 hours
For the state of North Carolina (W-2), additional hours required:
4 hours
For the state of New Hampshire, additional hours required:
2 hours
For the state of Ohio, additional hours required:
4 hours
For the state of Oklahoma, additional hours required:
1 hours
For the state of Oregon, additional hours required:
4 hours
For the state of Pennsylvania, additional hours required:
3 hours
For the state of Rhode Island (W-2), additional hours required:
3 hours
For the state of South Carolina (W-2), additional hours required:
3 hours
For the state of Tennessee, additional hours required:
2 hours
For the state of Texas, additional hours required:
3 hours
For the state of Utah, additional hours required:
15 hours
For the state of Vermont (W-2), additional hours required:
2 hours
For the state of Washington, additional hours required:
4 hours
For the state of West Virginia, additional hours required:
4 hours
Make sure to click on this button (see below) and select the state. Each hour will cost $15. Therefore,
if you need to take a 3-hour course, it will cost you $45
Step 3
Apply for the state license on NMLS
Login to NMLS and complete the individual form (MU4), pay
any associated fees, and submit application to NMLS
Step 4
Request sponsorship
See below for the steps to request NMLS Sponsorship from Loan
Factory
REQUEST NMLS SPONSORSHIP FROM LOAN FACTORY
These are steps to sign up with Loan Factory
Step 1
Log in to NMLS and Grant Access Right to Loan Factory.
Step 2
Remove your relationship with your current employer, put an
end date to your prior employment and submit a new MU4 to add
Loan Factory as your employer.
Step 3
Request NMLS Sponsorship from Loan Factory (NMLS #:
320841). Loan Factory will be notified and proceed to sponsor you.
Step 4
Resolve any Active License Items that the state will ask
you. (You must log in and check NMLS regularly and clear the
requests from the state. Once complete, it will take the
regulator around 5-7 days to approve.)
HOW LONG WOULD IT TAKE FOR LOAN FACTORY TO SPONSOR MY LICENSED?
Alaska: 16 calendar days
Alabama: 17 calendar days
Arkansas: 15 calendar days
Arizona: 21 calendar days
California: 25 calendar days
Colorado: 10 calendar days
Connecticut: 3 calendar days
District of Columbia: 38 calendar days
Florida: 8 calendar days
Georgia: 20 calendar days
Hawaii: 10 calendar days
Idaho: 11 calendar days
Illinois: 9 calendar days
Indiana: 2 calendar days
Kentucky: 28 calendar days
Louisiana: 15 calendar days
Massachusetts: 11 calendar days
Maryland: 17 calendar days
Michigan: 40 calendar days
Minnesota: 10 calendar days
Missouri: 9 calendar days
North Carolina: 12 calendar days
Nebraska: 3 calendar days
New Hampshire: 14 calendar days
New Jersey: 31 calendar days
New Mexico: 26 calendar days
Nevada: 19 calendar days
Ohio: 11 calendar days
Oklahoma: 4 calendar days
Oregon: 13 calendar days
Pennsylvania: 11 calendar days
Tennessee: 10 calendar days
Texas: 17 calendar days
Utah: 13 calendar days
Virginia: 11 calendar days
Washington: 14 calendar days
Wisconsin: 21 calendar days
Temporary Authority Checklist
Have you been state-licensed for 30 days or federal-registered for 1 year prior?
Do you have a current W2 classification status showing in your NMLS record?
Your license has not been revoked, suspended, denied, or cease and desist.
Basically, if you are currently a W-2 loan officer (with Loan Factory or with another broker/lender) with good standing, you can apply to have a license in another state. As long as you complete the license application with the NMLS, you are likely able to originate right away. You do not have to wait for the state to approve your license (normally take 3-20 business days).
SUPERVISORY DISTANCE REQUIREMENTS
There are a few states require supervisory distance
between MLO's residence and current sponsoring office location (our office):
Mississippi: 125 miles
South Carolina: 75 miles
Wisconsin: 100 miles
Wyoming: 100 miles
Nebraska: The Department does have a commutable distance requirement in place.
While there is no specific mileage figure, the Department requires that all commutable distances be
reasonable in nature.
Where a commute distance could lead to potential issues, the mortgage banker and/or MLO should be prepared
to answer any questions or
provide explanations or clarification regarding the commute to and from the associated licensed location.
New Jersey: The Department considers a reasonable commuting distance to be 2.5 hours of the assigned
location
Rhode Island: The remote location is the employee’s residence or other location identified in the
records of the licensee and is within
a reasonable distance of a place of business named in the licensee’s license or branch certificate, as
established by regulations adopted
by the director or the director’s designee.
COMPENSATION TYPES
A loan officer must be classified as either W-2 or 1099
(cannot be both).
In these 12 states, the Loan Officer must be classified as W-2 Loan Officer: GA (Georgia), IL (Illinois), MA (Massachusetts), MD (Maryland), MS (Mississippi), MT(Montana), NV (Nevada), NJ (New Jersey), NC (North Carolina), SC (South Carolina), RI (Rhode Island), and VT (Vermont).
1099 Compensation
A Loan Officer will receive 100% of the commission from every
deal they close. Loan Factory will charge a flat fee of $595 for
each deal, in addition to a processing fee of $500.
W2 Compensation
A Loan Officer will receive 90% of the commission from every
deal they close, but first, they need to pay a flat fee of
$595 and a processing fee of $500.
Remember, loan officers must also pay any payroll taxes
themselves.