Hawaii has Amended the SAFE Act Compliance Legislation and extended the Deadline for Mortgage Loan Originator Registration. On May 7, the Governor of Hawaii, Linda Lingle, signed into law legislation (S.B. 2603) to amend Hawaii’s Secure and Fair Enforcement for Mortgage Licensing Act (SAFE Act) compliance law, which was passed last year.
The new law delays the deadline for licensure of mortgage loan originators via the Nationwide Mortgage Licensing System (NMLS) until January 1, 2011. Also, mortgage loan originators who are licensed with Hawaii as of December 31, 2010 have until November 30, 2011 to be licensed via NMLS. Additionally, The law requires certain independent contractors (including mortgage loan originators, processors and underwriters) to be licensed as “mortgage loan originators.” Finally, the law replaces an existing surety bond requirement with the Mortgage Loan Recovery Fund, which assesses a fee to licensees based on the number of registered offices and mortgage loan originators. For a copy of the bill, please see <href=”http: www.capitol.hawaii.gov=”” session2010=”” bills=”” sb2603_cd1_.pdf”=”” target=”_blank”>http://www.capitol.hawaii.gov/session2010/bills/SB2603_CD1_.pdf.