79R1467 DWS-D

By:  Raymond                                                      H.B. No. 2349


A BILL TO BE ENTITLED
AN ACT
relating to registration of a loan officer employed by a mortgage banker. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 157.003(c), Finance Code, is amended to read as follows: (c) Except as provided by Section 157.012, an [An] employee of a mortgage banker is not required to register under this chapter. SECTION 2. Chapter 157, Finance Code, is amended by adding Section 157.012 to read as follows: Sec. 157.012. REGISTRATION OF LOAN OFFICERS. (a) In this section, "loan officer" means an employee of a mortgage banker who takes an application to originate a mortgage loan. (b) A person must be registered under this section to act or attempt to act as a loan officer. To register, the person must file with the commissioner a statement containing the person's name, each mortgage banker for which the person will act as a loan officer, and any other information the commissioner requires. The commissioner shall register the applicant if the commissioner determines the applicant is eligible for registration. The registration is valid until withdrawn or revoked. A loan officer registered under this section shall update any information in the registration statement not later than the 30th day after the date the information changes. The commissioner may charge a loan officer a reasonable fee to cover the costs of filing the registration statement and administering this section. (c) A person is not eligible to register as a loan officer if the person: (1) has been convicted of a criminal offense that the commissioner determines directly relates to the occupation of a loan officer as provided by Chapter 53, Occupations Code; or (2) has had a license under Chapter 156 or a registration under this chapter revoked. (d) On receipt of a statement under Subsection (a), the commissioner shall conduct a criminal background check of the applicant in the same manner and subject to the same powers and requirements as provided under Section 156.206 for an applicant for a loan officer license under Chapter 156. (e) A loan officer may withdraw the loan officer's registration at any time. The commissioner may revoke the registration of a loan officer if the loan officer fails to pay a fee required by this section or if the commissioner concludes that the loan officer has engaged in an intentional course of conduct to violate federal or state law or has engaged in an intentional course of conduct that constitutes improper, fraudulent, or dishonest dealings. Revocation of a loan officer's registration is subject to the same procedures applicable to revocation of registration of a mortgage banker under Section 157.009. SECTION 3. This Act takes effect January 1, 2006.