What is the difference between a mortgage broker and a mortgage loan officer?
A mortgage loan officer works for one lender and can offer only that employer's loan products, while a mortgage broker works independently and matches borrowers across multiple lenders. Under the SAFE Act, both are mortgage loan originators and must hold a state MLO license, or a federal registration if they work for a bank or credit union. Brokers do not fund loans; the CFPB notes that borrowers pay brokers a loan-specific fee for finding lenders or loans.
A mortgage loan originator (MLO) is the individual who, for compensation, takes residential mortgage loan applications or offers or negotiates loan terms. A Mortgage Broker, in Alaska's usage, is a company license: an intermediary that brings borrowers and lenders together but does not use its own funds to originate loans. Loan originators work under a sponsoring company's Mortgage Broker/Lender license, and Alaska permits sponsorship by only one such licensee at a time.
Sources: Alaska DBS: Mortgage Loan Originator New Application Checklist (Rev. 05/2025); Alaska DBS: Mortgage Broker/Lender New Application Checklist (Rev. 05/2025).
A mortgage broker is a licensed company; a mortgage loan originator is a licensed individual. A loan originator takes residential mortgage loan applications and offers or negotiates loan terms for compensation, and must work under an employing mortgage broker, mortgage banker, consumer lender, or registered exempt person. The employer holds its own license and must deposit a surety bond of not less than $200,000 covering its loan originators.
Sources: A.R.S. 6-991.03: Loan originator licensing; renewal; qualifications; application; fees.
A mortgage broker is a company, while a loan officer is an individual. Under Arkansas rules, a loan officer solicits or accepts mortgage loan applications, or negotiates loan terms, for compensation from a mortgage broker or mortgage banker, and any person who directly employs or supervises such individuals must be licensed as a mortgage broker. Both licenses come from the Securities Commissioner under the Fair Mortgage Lending Act, but the surety bond and financial statement requirements attach to the company, not the individual loan officer.
Sources: 23 CAR 301: Rules of the Fair Mortgage Lending Act (Arkansas Securities Department).
A mortgage loan originator (MLO) is the licensed individual who, for compensation, takes a residential mortgage loan application or offers or negotiates the loan's terms. A mortgage broker is the licensed person or company that negotiates loans between borrowers and lenders. In California, a real estate broker acting under Business and Professions Code 10131(d) negotiates loans secured by real property, while a California Financing Law broker can only broker loans to licensed finance lenders. Loan officers who work under a broker must still hold their own MLO license or endorsement.
Sources: California DRE: MLO License Endorsement Information; California DRE: How to Obtain a Mortgage Loan Originator License (RE 19).
In Colorado, a mortgage broker is the business side: a "mortgage company" is an entity other than an individual that takes residential loan applications or negotiates loan terms, and it must register with NMLS. A mortgage loan officer is the individual who must hold a state mortgage loan originator license to originate loans for that company.
Sources: Colorado Division of Real Estate: MLO steps for initial licensure; Colorado DRE: MLO application instruction guide (incl. temporary authority).
A mortgage broker is a company that arranges loans between borrowers and lenders but does not lend its own funds, while a loan officer is an individual who works for a lender and handles loan applications. In Connecticut, any individual who takes a residential mortgage loan application or negotiates loan terms for compensation must hold a mortgage loan originator license from the Department of Banking.
Sources: Conn. Gen. Stat. Ch. 668 Part I (36a-485 to 36a-498h): mortgage lenders, brokers and loan originators; NMLS: Connecticut state-specific PE and CE requirements for MLOs.
A mortgage broker is a company, licensed in Delaware under Chapter 21 of Title 5, that arranges mortgage loans between borrowers and lenders. A mortgage loan officer is a licensed individual who solicits, negotiates, explains, or finalizes loan terms with customers. A loan officer may work for a broker, a licensed lender, or a bank, and must hold a Delaware mortgage loan originator license unless exempt.
Sources: 5 Del. C. Ch. 24: Mortgage Loan Originators (Delaware SAFE Act); 5 Del. Admin. Code § 2401-5.0: Fees (Regulation 2401).
A mortgage loan officer (formally, a mortgage loan originator or MLO) holds an individual license, while a mortgage broker holds a company license. In DC, an MLO takes residential mortgage loan applications and negotiates loan terms for compensation, and must be sponsored by a DC-licensed lender or broker. Running your own mortgage company requires the company-level broker license, not just the individual MLO license.
Sources: NMLS: District of Columbia State-Specific Education Requirements (PE and CE) for MLOs; D.C. Code § 26-1103: License Requirements.
A mortgage broker is a company license; a mortgage loan originator (MLO) is an individual license. A broker is an entity that conducts loan origination activities through one or more licensed loan originators, while an MLO is the individual who solicits mortgage loans, accepts applications, and negotiates terms. Florida requires each loan originator to be employed by, or an independent contractor for, a mortgage broker or mortgage lender.
Sources: Fla. Stat. 494.00312: Loan originator license; Fla. Stat. 494.00313: Loan originator license renewal.
A mortgage broker is a company that solicits, processes, places, or negotiates mortgage loans for others. A mortgage loan officer, legally called a mortgage loan originator, is an individual who takes a residential loan application or offers or negotiates loan terms. In Georgia, a loan officer must be an exclusive W-2 employee of a licensed broker or lender, or hold a separate mortgage broker license.
Sources: Ga. Comp. R. & Regs. 80-11-5: Mortgage loan originator licensure and other requirements; Ga. Comp. R. & Regs. 80-5-1-.02: License and supervision fees (LII mirror).
A mortgage loan originator (MLO) is the individual who, for compensation, takes a residential mortgage loan application or offers or negotiates loan terms. A mortgage broker is the company side: in Hawaii it operates as a mortgage loan originator company (MLOC), which must hold a license, maintain a principal place of business in Hawaii, and sponsor each individual MLO it employs. An originator who runs his or her own broker business needs both an individual MLO license and a company MLOC license.
Sources: HRS 454F-22: Mortgage loan originator, MLOC, exempt sponsoring MLOC, nonprofit, and mortgage servicer company fees (DFI copy, amendments through 2014); HRS 454F-6: Pre-licensing and re-licensing; education of mortgage loan originators (DFI copy, amendments through 2014).
A mortgage broker is a company licensed by the Idaho Department of Finance to broker or make residential mortgage loans under the Idaho Residential Mortgage Practices Act. A mortgage loan originator (MLO) is an individual who takes residential mortgage applications or offers or negotiates loan terms on behalf of a broker or lender, and who must hold an individual MLO license. Loan originators work under a sponsoring company and cannot be sponsored by more than one Idaho broker or lender at a time.
Sources: NMLS: Idaho state-specific PE and CE requirements for MLOs; Idaho DOF Guidance Statement 2020-01-CFB: financial responsibility/fitness of MLOs and key individuals.
A mortgage loan originator (MLO) is the individual who takes a borrower's application and offers or negotiates loan terms; a mortgage broker is typically the company or entity that employs MLOs and arranges loans with lenders. In Indiana, the individual holds an MLO license processed through NMLS, while the company holds a lender or loan broker license from the Indiana Department of Financial Institutions or the Secretary of State. The MLO must be a W-2 employee of the sponsoring company.
Sources: Indiana DFI: MLO FAQ (updated 08/26/2025); NMLS: Indiana (IN - DFI) state-specific PE and CE requirements for MLOs.
A mortgage loan officer, called a mortgage loan originator (MLO) in Iowa law, is an individual who takes residential mortgage loan applications or offers or negotiates loan terms for compensation. A mortgage broker is a company: under Iowa Code 535B, a person who arranges or negotiates at least 4 mortgage loans in a calendar year secured by owner-occupied residential property must hold a mortgage broker license. Loan officers work for brokers or lenders, while the broker is the licensed company arranging the loans.
Sources: Iowa Code Chapter 535D: Mortgage Licensing Act (Iowa SAFE Act); Iowa Administrative Code 187—Chapter 19: Mortgage loan originators.
A mortgage broker is the licensed company; a mortgage loan officer is the individual who takes applications and negotiates terms on the company's behalf. In Kansas, the company holds the Mortgage Company License, carries the surety bond, and answers for all mortgage business its loan originators conduct, while the individual holds a separate loan originator registration. In a one-person shop, the broker performs the loan officer's work directly.
Sources: K.S.A. 9-2203: License required; loan originator registration; one company; remote locations; K.S.A. 9-2204: Application for mortgage company license and loan originator registration.
A mortgage loan officer, called a mortgage loan originator in Kentucky law, is an individual who discusses or negotiates the rates, terms, and conditions of a loan with a borrower. A mortgage broker is the company that holds the license under which that person works. In Kentucky, an individual registers with the Department of Financial Institutions for a $50 fee, while a mortgage loan broker company pays a $1,000 licensing fee and posts a surety bond of at least $50,000.
Sources: Kentucky DFI: Mortgage licensing and exemptions (companies, brokers, loan originators); KRS 286.8-060: Surety bonds required.
A mortgage broker is a company licensed by the Louisiana Office of Financial Institutions to arrange residential mortgage loans on behalf of lenders. A mortgage loan officer, called a mortgage loan originator in Louisiana law, is the individual who takes loan applications and offers or negotiates loan terms, typically working for a licensed broker or lender. The individual holds a separate originator license, while the company holds the broker, lender, or servicer license.
Sources: La. R.S. 6:1086: Licensure requirement; La. R.S. 6:1088: Application for licensure; surety bond.
A mortgage broker is a company; a mortgage loan officer is an individual. In Maine, the loan broker is the company-level license held by a business that, for compensation, arranges or obtains consumer credit. The mortgage loan originator (MLO) is the licensed individual who takes loan applications and negotiates terms for compensation. Loan officers employed by loan brokers and non-bank mortgage lenders must hold their own MLO licenses.
Sources: 9-A M.R.S. Article 13: Maine Secure and Fair Enforcement for Mortgage Licensing Act of 2009 (index); 9-A M.R.S. §13-104: State license and registration application and issuance.
A mortgage loan officer and a mortgage loan originator (MLO) are the same role: "loan originator" is the legal term and "loan officer" is the common title. A mortgage broker is different. A broker assists a borrower in obtaining a mortgage loan for a fee and is not named as the lender in the loan documents, and a broker typically coordinates with multiple lenders rather than funding loans itself. Individuals in any of these roles complete the same MLO licensing process.
Sources: Md. Code Fin. Inst. §11-606: Prelicensing education; Md. Code Fin. Inst. §11-604: License application and fees.
A mortgage loan officer (the licensed term is mortgage loan originator) is the individual who takes a residential mortgage loan application or offers and negotiates the terms of the loan for compensation. A mortgage broker is a company that does not lend money; it finds different lenders and mortgage loans for the borrower and charges a loan-specific fee. In Massachusetts, a loan originator works as a W2 employee of a licensed lender or broker.
Sources: Massachusetts Division of Banks: Apply for a Mortgage Loan Originator license; 209 CMR 41.00: The Licensing of Mortgage Loan Originators (full text, Final Amendments effective 1/10/20).
A mortgage broker is a company licensed to arrange or make mortgage loans, while a mortgage loan originator (MLO) is the individual who takes loan applications and offers or negotiates loan terms. In Michigan, a company's broker, lender, or servicer license does not by itself allow anyone to originate loans; each individual who originates mortgage loans must hold an MLO license.
Sources: Michigan DIFS: Mortgage Loan Originator licensing page; Michigan DIFS: Schedule of Fees — Mortgage Loan Originator (2026).
A mortgage broker in Minnesota is a residential mortgage originator company licensed under Statutes chapter 58, with a $1,000 initial license fee, a $125,000 surety bond, and a $500 renewal fee. A mortgage loan originator (MLO) is an individual licensed under chapter 58A who pays a $90 state fee. An MLO must be employed and supervised by a company licensed or exempt under chapter 58 before originating loans.
Sources: Minn. Stat. 58.10: Fees for residential mortgage originator and servicer licenses (companies); Minnesota Office of the Revisor of Statutes — Minnesota Statutes 2025, Section 58.08 (Bonds; Letters of Credit); Minn. Stat. 58A.045: Term of license and fees.
A mortgage broker is a company; a mortgage loan officer is a licensed individual. A Mississippi mortgage broker holds a company license from the state, with a $2,000 initial fee and a $50,000 surety bond for an initial applicant. A mortgage loan originator (MLO) is the individual who works with borrowers, and must complete 20 hours of education, pass the SAFE test, and be sponsored by a licensed company.
Sources: Mississippi Code of 1972 § 81-18-15, as amended by SB 2508 (Laws 2025, ch. 375, § 6), effective July 1, 2025 (corroborated by Mississippi DBCF 2025 Regular Session Legislative Update); Mississippi SB 2508 (2025), as sent to Governor: S.A.F.E. Mortgage Act amendments (full text of 81-18-9, -11, -14, -15, etc.).
A mortgage broker in Missouri is the licensed company that brokers, funds, services, or purchases residential mortgage loans; it holds the residential mortgage loan broker license and carries the surety bond. A mortgage loan officer, formally a mortgage loan originator (MLO), is the licensed individual who takes loan applications and negotiates terms, and must act under the supervision of a single Missouri-licensed residential mortgage broker. In a single-person shop, the broker performs the loan officer's work.
Sources: RSMo 443.706: Licensure required, exemptions; RSMo 443.711: MLO application form, NMLS, fees.
A mortgage loan officer is a licensed individual who originates residential mortgage loans. In Montana, the individual holds an MLO license, must be a W-2 employee, and may transact business for only one licensed broker or lender at a time. A mortgage broker is a company that arranges loans through multiple lending institutions and holds an entity license. A loan officer who starts a brokerage needs both the company license and an MLO license, plus 3 years of MLO experience.
Sources: Montana DBFI: Mortgage Loan Originators page.
A mortgage broker is a company-level business that arranges residential mortgage loans; in Nebraska the sponsoring company holds the license and posts a surety bond of at least $100,000 that covers its loan originators. A mortgage loan officer, formally a mortgage loan originator (MLO), is the individual who takes loan applications and offers or negotiates loan terms. The individual must hold a separate MLO license, be sponsored by a licensed company, and may only originate for that one company.
Sources: Nebraska Residential Mortgage Licensing Act, Neb. Rev. Stat. 45-701 to 45-754 (NDBF compilation as amended by LB717, 2026).
In New Hampshire, a mortgage broker is a company, while a mortgage loan officer is an individual. A broker company must hold a Mortgage Broker License from the state Banking Department, maintain a $25,000 net worth, and name a Qualifying Individual with 3 of the preceding 5 years in a supervisory mortgage role. The loan officer holds an individual Mortgage Loan Originator License, works under a sponsoring company, and may not represent more than one mortgage banker, broker, or servicer.
Sources: NMLS Checklist (NH - SBD): Mortgage Broker License (company) New Application Requirements.
A mortgage broker is a business entity licensed by the New Jersey Department of Banking and Insurance to broker residential mortgage loans. A mortgage loan originator (MLO) is the individual who, for compensation, takes a residential mortgage loan application or offers or negotiates loan terms. An MLO must be employed by one, and not more than one, licensed New Jersey Residential Mortgage Lender, Correspondent Residential Mortgage Lender, or Residential Mortgage Broker.
Sources: NJ DOBI: Mortgage Loan Originator license requirements; NJ DOBI: New Jersey-specific requirements for new MLO applicants.
A mortgage loan officer works for a single lender and can only offer that employer's loan products, while a mortgage broker is an independent entity that works with multiple lenders and matches borrowers to loan options. Both are treated as mortgage loan originators (MLOs) under federal law and must be licensed through the NMLS. Brokers must disclose their fees upfront, and origination fees commonly run 1% to 2% of the loan amount.
Sources: NMLS: New Mexico state-specific PE and CE requirements for MLOs; New Mexico FID: FAQs (mortgage loan companies and originators).
A mortgage broker operates independently and places loans with multiple lenders, while a loan officer works for one financial institution and can only offer that employer's products. Brokers may negotiate with lenders to waive application, appraisal, or origination fees, and their compensation, called an origination fee, is commonly 1%-2% of the loan amount. Both are considered mortgage loan originators (MLOs) under federal requirements, and both must be licensed.
Sources: N.Y. Banking Law § 590: Definitions; registration required; N.Y. Banking Law § 591-a: Application to register as a mortgage broker; fees.
A mortgage broker is a company licensed to arrange residential mortgage loans between borrowers and lenders, while a mortgage loan officer (a mortgage loan originator) is the individual who takes applications and offers or negotiates loan terms for compensation. In North Carolina, the company holds the broker license, surety bond, and fees, while the originator holds an individual MLO license and must work as a W-2 employee of a licensed company.
Sources: North Carolina Commissioner of Banks: MLO licensing requirements; NCCOB: NC prelicensing education requirements.
A mortgage broker is a licensed company that arranges mortgage loans, while a mortgage loan officer is an individually licensed person who takes loan applications and offers or negotiates loan terms on behalf of such a company. In Oregon, the Division of Financial Regulation licenses both levels: companies hold a mortgage broker or lender license, and each individual who originates loans must also hold a personal mortgage loan originator license obtained through NMLS.
Sources: Oregon DFR: Mortgage loan originator licensing FAQ; NMLS: Oregon state-specific PE and CE requirements for MLOs.
A mortgage loan originator is an individual who takes mortgage loan applications or offers or negotiates loan terms for compensation. A mortgage broker is the licensed company that employs or sponsors the loan originator and intermediates between borrowers and lenders. In a single-person shop, the broker does the loan officer's work.
Sources: 7 Pa.C.S. Chapter 61: Mortgage Loan Industry Licensing and Consumer Protection (Pennsylvania Mortgage Licensing Act); NMLS: Pennsylvania State-Specific Education Requirements (PE and CE) for MLOs.
A mortgage loan officer, called a mortgage loan originator (MLO) in licensing, is an individual who advises borrowers on loan products, helps complete applications, and negotiates mortgage loans. A mortgage broker is a company that arranges loans between borrowers and lenders for compensation. In Rhode Island, the individual holds an MLO license while the company holds a Loan Broker License, and MLOs must be W-2 employees of one licensed broker or lender at a time.
Sources: NMLS: Rhode Island state-specific PE and CE requirements for MLOs; 230-RICR-40-10-2: Lenders, Loan Brokers, Small Loan Lenders, Third-Party Loan Servicers and Mortgage Loan Originators (RI DBR regulation).
A mortgage broker is a company that arranges mortgage loans for borrowers; a mortgage loan officer is the individual who works for a broker and solicits or negotiates loan applications. In South Carolina the company holds the broker license, carries the surety bond, and needs at least 3 years of financial services experience, while each loan originator holds a separate individual license and must be employed by a licensed broker or lender. Both operate under different licenses at different levels of the same business.
Sources: S.C. Code Title 40 Ch. 58: Licensing of Mortgage Brokers Act.
In South Dakota, a mortgage loan originator is an individual who, for compensation, takes a mortgage loan application or offers or negotiates the terms of a mortgage loan. A mortgage broker is a separate license category the state regulates alongside lenders and brokerages, with an initial license fee capped at $500 versus $250 for an MLO. A licensed broker or lender may use MLOs who operate under its direct control and supervision.
Sources: SDCL Chapter 54-14: Mortgage Lender Business; SDCL 54-14-16: Fees (initial license statutory caps).
A mortgage broker is a company licensed by the Tennessee Department of Financial Institutions to arrange residential mortgage loans, and the company carries the surety bond, which ranges from $45,000 to $135,000 for brokers depending on loan volume. A mortgage loan officer, called a mortgage loan originator (MLO) in Tennessee law, is an individual who takes loan applications or offers or negotiates loan terms and holds an individual MLO license. MLOs work under a sponsoring company, and individual MLOs do not carry a surety bond in Tennessee.
Sources: Tenn. Comp. R. & Regs. ch. 0180-17: Rules pertaining to mortgage lending, loan servicing and loan brokering.
A mortgage loan originator (MLO) is an individual who takes residential mortgage loan applications and offers or negotiates loan terms; a mortgage broker is a company (or licensed individual) that negotiates and places mortgage loans for others. In Vermont, an MLO must be a W-2 employee sponsored by one licensed broker, lender, or loan servicer, while a broker holds its own company license, which requires a $1,100 initial application fee and a surety bond of at least $25,000.
Sources: Vermont DFR: Mortgage Broker license (fees, bond); 8 V.S.A. 2203: Bond; liquid assets required.
In Virginia, a mortgage broker is a company licensed under Chapter 16 of Title 6.2, while a mortgage loan originator (MLO) is an individual licensed under Chapter 17. The MLO takes applications for, or offers or negotiates the terms of, residential mortgage loans. Most MLOs work as employees or exclusive agents of a licensed lender or broker, and the company's bond covers its MLO employees.
Sources: Va. Code § 6.2-1702. Application for license; form; content; fee; Va. Code § 6.2-1707. Other conditions for mortgage loan originator licensing.
A mortgage broker is a company credential: a brokerage is a licensed business that acts as an intermediary with access to multiple lenders. A mortgage loan officer, called a mortgage loan originator (MLO) in Washington licensing, is an individual who originates loans as an employee of a single institution. To work for a brokerage, the individual holds a separate MLO license, and the sponsoring company files the sponsorship request through NMLS.
Sources: Washington DFI: Mortgage Loan Originators Licensing; Washington DFI: MLO Pre-Application Requirements (testing, education).
A mortgage broker is a company licensed under W. Va. Code chapter 31-17, with a $350 license fee and at least $10,000 in tangible net worth. A mortgage loan officer, called a loan originator in the statute, is an individual licensed under chapter 31-17A who takes residential mortgage loan applications and offers or negotiates loan terms for compensation. Loan originators work under a sponsoring lender or broker.
Sources: W. Va. Code 31-17-4: Lender/broker applications, net worth, bonds, fees.
A mortgage broker is a company licensed by the Wyoming Division of Banking to arrange residential mortgage loans; a mortgage loan originator is the individual who, for compensation, takes loan applications or offers or negotiates loan terms. In Wyoming, the individual must hold an MLO license and be sponsored by a licensed lender or broker company. The sponsoring company, not the individual, also holds the surety bond that covers the loan originator.
Sources: Wyoming Division of Banking: Mortgage Loan Originators (Residential Mortgage Practices Act); Wyoming Division of Banking: UCCC Mortgage Loan Originators (consumer lending).