This Course Includes:
- OIL – 2 Hour Online SAFE PE – Loan Fundamentals (1691)
- OIL – 3 Hour Online HI SAFE PE – Hawaii State Law (4422)
- OIL – 3 Hour Online SAFE PE – Ethics, Fair Lending and Fraud (1646)
- OIL – 4 Hour Online SAFE PE – Federal Law – Credit and Information (1694)
- OIL – 4 Hour Online SAFE PE – Federal Law – TILA (1700)
- OIL – 4 Hour Online SAFE PE – Nontraditional Mortgages Overview (1699)
This course covers SAFE Pre-licensure Education Requirements for any state with state-specific education. Specifically, this course includes the required 3 Hours on Hawaii State Law, 4 Hours on Federal Law and Regulations, 3 Hours on Ethics, 4 Hours on Nontraditional Mortgages and other courses that will complete your 20 hour requirement. We emphasize federal law due to the rigor and focus on federal law in the National Exam.
Online Instructor Led (“OIL”). This education is delivered in the Online Instructor Led format as required by the NMLS for online Pre-Licensure (“PE”) education. It is available on our website through any internet connection.
Important NMLS specifications include:
• Defined start and end dates (See Course Calendar at top of page).
• Interaction with the instructor and students through forum activities
• Progression as a cohort. At times you will wait for instructor feedback before continuing.
(Note: This is not an “Self-Study” course and does not allow for study at any pace or without instructor/classmate interaction)
Our Unique Modular Lesson Plan. We offer a unique experience by breaking our course down into modules of 2 and 5 hours, each of which can be started at any of defined start times in the course calendar. A couple of example study plans may be:
• Example A: A person new to the industry decides to progress in the recommended order over a two week period.
• Example B: An industry veteran finishes all 20 hours in three days, taking the federal law courses first.
Description of Contents
Hawaii State Law. This course satisfies the 3 Hour Hawaii State Law component of the pre-licensing education requirement for the State of Hawaii. We cover Hawaii’s SAFE Act, Interest and Usury, the Fair Credit Extension Act, Unfair and Deceptive Practices Law , Land Court Dual System, Lava Zones, Hurricane Insurance and Fiduciary Duties.
Loan Fundamentals. This course provides the “key elements” a loan officer needs to understand as they enter the mortgage industry. It focuses on the most critical part of the business – qualifying a customer and making the right type of loan for the right client.We cover the “Three Cs” of Credit, Collateral and Capacity, various documentation required for loans and give an overview of some basic loan products.
Federal Law – RESPA and SAFE. This course covers two industry laws key to the conduct of all mortgage loan originators:
• RESPA – Real Estate Settlement Procedures Act (enacted in 1974 implemented by Reg X). Establishes specific disclosure requirements in the real estate settlement process and prohibits specific practices such as kickbacks.
• SAFE Act – Secure and Fair Enforcement Act for Mortgage Licensing (enacted in 2008). This act is a key component of the Housing and Economic Recovery Act of 2008 (Title V). The SAFE Act sets forth requirements for the licensing and registration of all mortgage loan originators and mandates the creation of a National Mortgage Licensing System and Registry (NMLSR).
Federal Law – TILA. In this course, we cover the Truth-in-Lending Act, generally known as TILA. Along with the discussion of TILA, there are several important amendments. One we will cover in depth is HOEPA. We also include the newest MDIA updates. Knowing TILA well will be critical for your business with regards to regulators, litigation and reputational challenges.
This course additionally details the Truth-In-Lending Disclosure, the Right to Rescission Form and the Section 32 Truth-In-Lending Disclosure
Federal Law – Credit and Information. In this course, we are going to cover a number of Federal Laws and regulations that deal with the extension of credit to borrowers based on information about the borrower and the handling and use of consumer information in the mortgage industry. Specifically, we will cover ECOA, FCRA/FACTA/Red Flag Rules, HMDA and the DNCIA as well as some of the key associated disclosures.
Ethics, Fair Lending and Fraud. This course provides an ethical foundation and summary for Fair Lending Laws, a summary of fraud schemes and preventative measures and, lastly, focuses on a couple of key topics in Fair Lending. Specifically, this course includes the following modules:
• How Laws Enforce Ethics – this module covers the ethical and economic basis for laws and discusses the purpose of various fair lending laws in the mortgage industry.
• More on HOEPA and Predatory Lending – this module details the topic of predatory lending, showing the various methods that have been used and the general prohibitions HOEPA outlines to protect consumers from these practices
• More on Yield Spread Premiums – this module delves deeper into the hot topic of Yield Spread Premiums
• Mortgage Fraud – this module covers the common mortgage schemes that have been practiced as well as some basic preventative measures
Nontraditional Mortgages Overview. This course summarizes a broad selection of non-traditional mortgages that have been introduced over the last 30 years. This course is taught in context of the 2007 housing meltdown and includes the features, pros/cons and pitfalls of each type of loan.
Specific loans covered include:
• Adjustable rate mortgages (ARMs)
• Interest Only mortgages (IOs)
• Negative Amortization mortgage
• Construction permanent mortgages
• Reverse Mortgages