What qualifications do you need to become a mortgage broker?

A mortgage broker needs a state company license obtained through NMLS, and any individual at the company who takes residential loan applications or negotiates terms must hold a state Mortgage Loan Originator license: 20 hours of NMLS-approved education, a score of at least 75% on the SAFE test, and passing criminal background and credit checks. States add company-level requirements such as a surety bond or minimum net worth, and some require the qualifying individual to show prior industry experience.

To qualify for an Alabama mortgage broker license, the applicant must file a written application under oath and show that at least one principal or executive officer has at least 2 years of mortgage industry experience within the previous 4 years. The application carries a $600 fee and must demonstrate $25,000 in tangible net worth, or a surety bond set by the department in its place. Any principal or executive officer who originates mortgage loans must also hold an individual mortgage loan originator license.

An Alaska mortgage broker needs a Mortgage Broker/Lender license from the Alaska Division of Banking and Securities. The company must have two control persons, an unaudited financial statement, a $75,000 surety bond, a registered agent and office in Alaska, and an Alaska business license. Control persons must also authorize $15 credit reports through the Nationwide Multistate Licensing System (NMLS).

An applicant must complete at least 20 hours of NMLS-approved pre-licensing education (3 hours federal law, 3 hours ethics, 2 hours nontraditional lending, 4 hours Arizona law, and 8 elective hours) and pass the loan originator exam with a score of at least 75%. The applicant must also obtain a unique Nationwide Multistate Licensing System (NMLS) identifier and submit fingerprints for a background investigation. Financial responsibility is shown either through an employer bond of not less than $200,000 or by paying $100 into the mortgage recovery fund.

A mortgage broker license in Arkansas is issued by the Securities Commissioner under the Fair Mortgage Lending Act. The company applies through NMLS, the Nationwide Mortgage Licensing System, by filing a company record (Form MU1), control-person records (Form MU2), and branch records (Form MU3). The applicant must carry a surety bond of at least $100,000, tiered up to $200,000 based on prior-year Arkansas loan volume.

In California you must be at least 18, complete 20 hours of NMLS-approved pre-licensing education, and pass the SAFE MLO Test with Uniform State Content with a score of 75% or higher. You also submit fingerprints through NMLS and authorize a credit report. Real estate licensees obtain the MLO endorsement from the Department of Real Estate (DRE), while originators working for a lender or broker licensed by the Department of Financial Protection and Innovation (DFPI) file an MU4 license application and must be sponsored by that company.

Colorado requires an applicant to complete 20 hours of NMLS-approved pre-licensing education, including 2 hours of Colorado-specific content, and pass the national SAFE test with Uniform State Content. You must submit fingerprints to the Colorado Bureau of Investigation for a state and national criminal history check, plus the NMLS background check and a credit report authorization. You must also obtain errors and omissions (E&O) insurance and post a surety bond before the license is issued.

To qualify, you must complete 21 hours of NMLS-approved prelicensing education (including 1 hour of Connecticut law), pass the SAFE test with at least 75%, and file an MU4 with fingerprints for the FBI background check and a credit report authorization. You must not have had a license revoked, or a felony conviction within the past 7 years, or at any time if it involved fraud, dishonesty, breach of trust, or money laundering. Your license also requires sponsorship by a Connecticut-licensed lender, correspondent lender, or broker.

The State Bank Commissioner will not issue a mortgage loan originator license unless the applicant has never had an MLO license revoked in any jurisdiction; has not been convicted of or pled guilty to a felony in the 7 years before applying, or at any time if the felony involved fraud, dishonesty, breach of trust, or money laundering; has demonstrated financial responsibility, character, and general fitness; has completed prelicensing education; has passed the written test; and has met the surety bond requirement.

In DC, a mortgage broker is a company license, so the qualifications apply at the company level: the company must register, file a surety bond in an amount set by rule, and pay its fees through NMLS. No pre-license course or test applies to the company license itself. Any individual who takes a residential mortgage loan application or negotiates loan terms for the company must hold a separate mortgage loan originator license, which requires 20 hours of education, the SAFE MLO test, and a sponsoring employer.

In Florida, a mortgage broker is an entity license under Chapter 494. The company must designate a principal loan originator who has been licensed as a loan originator for at least 1 year, or who can demonstrate at least 1 year of active mortgage business experience. Each control person, including executive officers and 10%-or-greater owners, must submit fingerprints for state and FBI criminal history checks and authorize an independent credit report. The application is filed through the NMLS with a $425 nonrefundable fee.

A Georgia mortgage broker must hold the Mortgage Broker/Processor License, filed through the Nationwide Multistate Licensing System (NMLS). Georgia law requires a minimum tangible net worth as a continuing condition of licensure, and an on-site manager must cover the main office and any location where the company does business with consumers. The company must also have a Georgia-licensed mortgage loan originator in place before approval, unless it will act only as a processor.

To qualify, you must complete 20 hours of pre-licensing education approved by the Nationwide Multistate Licensing System & Registry (NMLS) and pass the national and Hawaii components of the written test. The commissioner must also find that you show financial responsibility, character, and general fitness, with no felony conviction in the past seven years, no felony at any time involving fraud, dishonesty, breach of trust, or money laundering, and no revoked loan originator license in any jurisdiction.

In Idaho, individuals who take residential mortgage applications or negotiate loan terms are licensed as mortgage loan originators, while broker and lender licenses sit at the company level. To qualify, you must complete at least 20 hours of NMLS-approved pre-licensure education, pass the SAFE MLO Test, and submit an MU4 application through NMLS with fingerprints and a credit report authorization. An employer must also file a sponsorship request before you can originate loans.

To qualify, you must complete 20 hours of NMLS-approved pre-license education, pass the SAFE MLO Test with Uniform State Content, and file an MU4 application through NMLS with a fingerprint-based criminal background check and a credit report. You pay a $200 state application fee plus a $35 NMLS processing fee. You must also be employed by an Illinois residential mortgage licensee, which submits a sponsorship request on your behalf.

To qualify as a mortgage loan originator in Indiana, you must reside in a U.S. state or territory, complete 20 hours of NMLS-approved pre-licensing education, pass the SAFE test with a score of at least 75%, and clear an FBI criminal background check and a credit report through NMLS. You must also be a W-2 employee of a sponsoring employer, and that sponsor's surety bond must cover you. A felony conviction in the 7 years before applying, or at any time for fraud, dishonesty, breach of trust, or money laundering, bars licensure unless pardoned or expunged with court documentation.

You must be at least 18 years old and complete 20 hours of NMLS-approved prelicensing education, then pass the SAFE test with a score of 75% or higher. You must submit fingerprints for an FBI criminal background check, authorize a credit report, pay a $50 nonrefundable application fee, and meet a surety bond requirement, which an employer's company bond can satisfy. You must not have had an MLO license revoked in any jurisdiction, and a felony conviction within the past 7 years, or at any time if it involved fraud, dishonesty, breach of trust, or money laundering, disqualifies you.

In Kansas, a mortgage broker operates as a Mortgage Company Licensee through the Office of the State Bank Commissioner (OSBC). The company must post a surety bond, maintain a positive net worth at all times, and sponsor the individuals who originate its loans. Any individual who takes a residential mortgage loan application or negotiates terms must separately register as a mortgage loan originator, which requires 20 hours of prelicensing education and a passing score on the national SAFE test.

A Kentucky mortgage loan broker needs a company application in NMLS with individual forms for all control persons, an audited financial statement (or a startup statement of condition), certified organizational documents, and a Kentucky Secretary of State Certificate of Authority dated within 60 days. The business must hold a surety bond of at least $50,000. Control persons who act as mortgage loan originators must also meet the individual registration standards, including a 7-year felony lookback and demonstrated financial responsibility, character, and general fitness.

To broker residential mortgage loans in Louisiana, you must meet the state's licensing standards: complete 20 hours of NMLS-approved pre-licensing education, pass the written test with at least 75% correct, and pass an FBI criminal background check. You cannot have a felony conviction in the 7 years before applying, or at any time if the felony involved fraud, dishonesty, breach of trust, or money laundering. You must also demonstrate financial responsibility and character, and furnish a surety bond ($25,000 or $50,000 depending on prior-year loan volume).

To obtain a Maine loan broker license, you file an application through the Nationwide Multistate Licensing System (NMLS), pay a $300 application fee per license, and post a $25,000 surety bond for each licensed location. Maine imposes no net worth or physical-office requirement, but you must demonstrate financial responsibility, and out-of-state companies must register as foreign corporations with the Maine Secretary of State. Loan officers you employ must each hold their own individual mortgage loan originator license.

To qualify as a mortgage loan originator in Maryland, an applicant must complete at least 20 hours of NMLS-approved prelicensing education, pass the SAFE test with a score of at least 75%, and clear a federal criminal background check and credit review. The applicant must never have had an MLO license revoked in any jurisdiction, must not have been convicted of a felony in the 7 years before applying (or at any time if the felony involved fraud, dishonesty, breach of trust, or money laundering), and must meet the surety bond requirement.

A Massachusetts mortgage broker must be licensed by the Division of Banks, and the applicant must show 3 years of full-time experience (or the part-time equivalent) working for a licensed mortgage broker, a licensed mortgage lender, or an exempt financial institution; a mortgage lender must show 5 years. Experience gained while working for an unlicensed entity does not count. The application is filed online through NMLS, and the company must maintain a $75,000 surety bond.

Michigan requires an individual who brokers mortgage loans to complete 20 hours of NMLS-approved pre-licensure education including 2 hours of Michigan law, score at least 75% on the national SAFE test, pass FBI fingerprint and credit checks, hold a surety bond, and be sponsored by a licensed mortgage company. A felony conviction within the past 10 years, or any conviction involving fraud, dishonesty, or breach of trust, bars licensure.

To become a licensed mortgage loan originator in Minnesota, you must complete 20 hours of NMLS-approved prelicensing education, pass the National Test Component with Uniform State Content with at least a 75% score, and submit fingerprints and a credit authorization through NMLS. You must not have had an MLO license revoked, and no felony conviction in the past 7 years, or ever if it involved fraud, dishonesty, breach of trust, or money laundering. You must also work for a company licensed or exempt under chapter 58 and be covered by a surety bond, which your employer's bond can satisfy.

A Mississippi mortgage broker license is a company license issued by the Department of Banking and Consumer Finance. The company must have a qualifying individual who is an owner or employee with at least 2 years of experience directly related to mortgage activities. The application, filed through NMLS, also requires FBI criminal background checks, an organizational chart, a detailed business plan, compliance and operations policies, proof of commercial zoning for in-state offices, a $2,000 fee, and a $50,000 surety bond.

Missouri mortgage brokers must demonstrate financial responsibility, character, and general fitness. The state will not issue a license to anyone with a felony conviction or guilty plea in the 7 years before applying, or at any time if the felony involved fraud, dishonesty, breach of trust, or money laundering. Brokers must also complete 20 hours of approved prelicensing education, pass the SAFE test with at least 75%, register with NMLS, and work under a single Missouri-licensed residential mortgage broker.

A Montana mortgage broker entity must designate a manager who holds a mortgage loan originator (MLO) license and has at least 3 years of experience as a loan originator or in a related field. The MLO license itself requires 20 hours of prelicensing education including 2 hours of Montana-specific content, a passing score of at least 75% on the national test, and a background and credit review. The company must carry a surety bond of $25,000 to $100,000 based on loan volume; brokers have no net worth requirement.

To qualify as a Mortgage Loan Originator in Nebraska, you complete 22 hours of NMLS-approved pre-licensing education, including 2 hours of Nebraska law, and pass the SAFE test with a score of at least 75%. The Department of Banking and Finance must also find that you have never had an MLO license revoked, have no felony or disqualifying misdemeanor conviction, and demonstrate financial responsibility, character, and general fitness. Finally, you must be sponsored by a licensed company and covered by its surety bond.

To qualify for a Nevada mortgage loan originator license, you must be at least 18 years old, complete 30 hours of approved pre-licensing education, pass the SAFE MLO National Test with Uniform State Content with a score of 75% or more, and pass a credit, criminal, and background investigation. You must have no felony conviction within the past 7 years, or at any time if the felony involved fraud, dishonesty, breach of trust, money laundering, or moral turpitude. You also need employment or an offer from a Nevada mortgage company.

In New Hampshire, a Mortgage Broker license is a company license. The company must employ a Qualifying Individual who works full-time in a supervisory capacity at the principal office and has at least 3 of the preceding 5 years of supervisory mortgage experience. The company must also maintain a $25,000 positive net worth at all times, post an electronic surety bond, and have its control persons complete NMLS background checks.

To qualify as a mortgage broker in New Jersey, you meet the same criteria as a mortgage loan originator: 20 hours of Nationwide Multistate Licensing System (NMLS) approved pre-licensure education including 4 hours of New Jersey law, a passing score on the SAFE Test National Component with Uniform State Content, FBI and New Jersey State Police background checks, a credit report authorization, and character and fitness approval. A mortgage broker business entity must also post a $150,000 surety bond and employ a Qualified Individual.

New Mexico requires you to complete 20 hours of NMLS-approved pre-licensing education, including 3 hours of New Mexico law, and pass the SAFE test's national and state components. You must file an MU4 application, authorize a credit report and fingerprint background check, and show financial responsibility and character. You must also be covered by a surety bond, either your own or your sponsoring company's, and may work for only one licensed mortgage loan company.

To register as a New York mortgage broker, an applicant must have, or employ, a qualifying individual with two years of verifiable experience in credit analysis or underwriting of residential mortgage loans. New York-licensed attorneys and licensed real estate brokers are exempt from the experience requirement. The state Department of Financial Services must also find the applicant's financial responsibility, character, and general fitness sufficient to warrant belief that the business will be operated honestly and fairly.

To broker residential mortgage loans in North Carolina, a company must be licensed by the Office of the Commissioner of Banks unless exempt. The requirements are a $1,250 application fee, a surety bond of at least $75,000, and a qualifying individual with at least 3 years of residential mortgage lending experience. Every branch manager must meet the same standard. A broker without branch offices must have a qualifying individual who is also a licensed mortgage loan originator, which requires being at least 18, completing 24 hours of NMLS-approved education, and passing the SAFE test.

North Dakota will not issue an MLO license unless you have never had an MLO license revoked in any jurisdiction; have no felony conviction in the preceding 7 years, or at any time if the felony involved fraud, dishonesty, breach of trust, or money laundering; show financial responsibility; complete at least 20 hours of NMLS-approved education; and pass the SAFE test with a score of at least 75%. Each MLO must also be covered by a surety bond and maintain $25,000 in net worth, though an employer's bond and net worth can be used in lieu.

Ohio requires you to complete at least 24 hours of NMLS-approved pre-licensure education, including 4 hours of Ohio law, and pass the SAFE MLO test. You must submit an MU4 application with fingerprints for an FBI background check and a credit report authorization. You must show financial responsibility and general fitness, and you must not have disqualifying felony or misdemeanor-theft convictions. A company licensed by the Division must sponsor your license.

In Oklahoma, the mortgage broker license is a company-level license issued by the Department of Consumer Credit, and the state lists no education or testing pre-requisites for it. The company must designate a licensed mortgage loan originator (MLO) to oversee operations, and anyone who acts as an MLO must hold an individual MLO license, which requires 20 hours of pre-licensure education, passing the SAFE test, fingerprints, and a credit report.

Oregon sets no degree or prior-experience requirement. You must complete 20 hours of NMLS-approved pre-licensure education including 4 hours of Oregon law, pass the national test with uniform state content, clear an FBI background check and credit review, and file Form MU4 through NMLS. You are ineligible if convicted of a felony within the past 7 years, if ever convicted of a felony involving fraud, dishonesty, breach of trust, or money laundering, or if any state has revoked a mortgage license.

A Pennsylvania mortgage broker is a company licensed by the Department of Banking and Securities, and it must designate a qualifying individual: a management-level officer at the principal place of business who has completed 20 hours of NMLS-approved education, including 3 hours of Pennsylvania law, and passed the SAFE test. The company must carry a surety bond of $50,000 to $150,000 based on Pennsylvania origination volume. A felony conviction in the 7 years before applying, or at any time for one involving fraud, dishonesty, breach of trust, or money laundering, bars licensure.

A Rhode Island loan broker must appoint a Qualifying Individual for each licensed location who holds an active Rhode Island MLO license, is a W-2 employee, is physically present at the location for the majority of operating hours, personally oversees operations, and lives within a reasonable commuting distance. The company must also post a $20,000 surety bond, maintain minimum net worth, and upload financial statements covering the 90 days before filing.

To qualify for a South Carolina mortgage broker license, you need at least 3 years of experience in financial services, or 3 years with a federally insured depository institution or a VA/FHA/HUD-approved mortgagee; qualifying college coursework can substitute for 1 year. You must post a surety bond of at least $25,000 and apply through NMLS, paying a $550 initial fee plus a one-time $200 processing fee. If you plan to originate loans yourself, you also need the individual loan originator license, which requires 20 hours of education and a passing SAFE test score.

You must be licensed by the Division of Banking and maintain a unique identifier through the Nationwide Multistate Licensing System (NMLS). The director may not issue a license to anyone who has had an MLO license revoked in any jurisdiction or was convicted of a felony in the past seven years, or ever if it involved fraud, dishonesty, breach of trust, or money laundering. You must show financial responsibility, character, and general fitness; complete the pre-licensing education set by rule; pass a written test; and maintain a surety bond of at least $25,000.

For an individual mortgage loan originator license, you must complete 20 hours of NMLS-approved pre-licensure education including 2 hours of Tennessee law, pass the SAFE test with a score of 75% or better, submit fingerprints for an FBI criminal background check, and authorize a credit report. Federal standards also bar applicants with a felony in the past 7 years or a prior loan originator license revocation. A company mortgage loan broker license is separate: it requires a managing principal with at least 3 years of mortgage industry experience within the past 5 years, plus a surety bond.

To qualify as a residential mortgage loan originator in Texas, you must be a U.S. citizen or lawfully admitted alien, complete 23 hours of NMLS-approved pre-licensing education (20 national hours plus 3 hours of Texas law), pass the national test, and clear a criminal background and credit check. The Texas SAFE Act bars licensure for anyone convicted of a felony in the 7 years before applying, or at any time if the felony involved fraud, dishonesty, breach of trust, or money laundering. You must also be sponsored by a licensed company to originate loans.

In Utah you must show honesty, integrity, competency, and financial responsibility; obtain an NMLS unique identifier; complete the 20-hour national prelicensing education plus the Utah-specific education; and pass the national exam with the Uniform State Test component. You must also authorize a criminal background check and credit report, and work under the sponsorship of a Lending Manager.

A mortgage broker license covers any company or person that, for compensation or gain, negotiates, places, assists in placement of, or finds mortgage loans on Vermont real property for others. You need a surety bond of at least $25,000.00 (rising with origination volume), a registered agent recorded with the Vermont Secretary of State, a financial statement, and a Commissioner-approved broker-borrower contract. An individual sole proprietor must also hold a mortgage loan originator license before originating.

A Virginia mortgage loan originator must complete at least 20 hours of NMLS-approved pre-licensing education (3 hours federal law, 3 hours ethics, 2 hours nontraditional mortgage products) and pass the SAFE MLO test. The applicant must never have had an MLO license revoked, and must have no felony conviction in the past 7 years, or at any time if the felony involved fraud, dishonesty, breach of trust, or money laundering. The applicant must also meet financial responsibility standards and be covered by a surety bond of at least $25,000, which an employer's bond can provide.

A Washington Mortgage Broker license is a company credential. The company must appoint a Designated Broker who has passed the Washington Designated Broker Test and documented mortgage-related experience before applying. The company also needs a $20,000 electronic surety bond issued through NMLS, a Washington Secretary of State registration (unless a sole proprietorship), and a Washington Business License. The application fee is $1,001. Any individual who originates loans for the company must separately hold an MLO license.

A West Virginia mortgage broker applicant must pay a $350 license fee plus fingerprint costs and fees assessed by the Nationwide Mortgage Licensing System and Registry (NMLS), demonstrate tangible net worth of at least $10,000, and file a surety bond starting at $50,000 and tiered by annual origination volume. Loan originators the broker employs must hold individual mortgage loan originator licenses, which require 24 hours of prelicensing education, a test score of at least 75%, and satisfaction of state character and financial responsibility standards.

In Wisconsin, the Mortgage Broker License is a company license from the Department of Financial Institutions (DFI), requiring a $750 fee and a minimum net worth of $100,000 maintained at all times. The individual who takes applications and negotiates loan terms needs the Mortgage Loan Originator License instead, which requires 20 hours of NMLS-approved education, a SAFE test score of at least 75%, a satisfactory criminal and credit history, and sponsorship by a licensed mortgage banker or mortgage broker.

An individual qualifies by completing 20 hours of NMLS-approved pre-licensure education, passing the SAFE test (the National Test Component with Uniform State Content), filing Form MU4 with fingerprints for an FBI background check, authorizing a credit report, and being sponsored by a licensed mortgage company. Wyoming adds disqualifiers: outstanding judgments (except medical), outstanding tax liens, a foreclosure within the past 3 years, or living more than 100 miles from a licensed location.