This Course Includes:
- Late CE – 2 Hour Online OR SAFE CE – Oregon Law – Key Topics (6086) (6578) – E
- Late CE – 8 Hour Online SAFE Comprehensive Requirement (2920) (6584) – E
This course satisfies the SAFE Continuing Education requirements for all Mortgage Loan Originators (MLOs) in the State of Oregon. Specifically, this course includes the required 3 hours of instruction on Federal Law and Regulations, 2 hours on Ethics, 2 hours on Nontraditional Mortgages and 1 hour of Elective education as well as 2 hours of instruction on Oregon State Law.
Oregon State Law. This 2 hour course covers Oregon law and regulations pertaining to mortgage lending, loan servicing and loan brokering, in addition to rules regarding high-cost home loans.
The following laws will be covered in the course:
Federal Law – TILA
In this course, we are going to cover the Truth-in-Lending Act, generally known as TILA. Along with any discussion of TILA, there are several important amendments. One that we will spend a fair amount of time on is HOEPA. We have also included the newest updates resulting from MDIA. 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
TILA – Truth-in-Lending Act “Reg Z” including MDIA updates. TILA is the most important US consumer protection law with regard to borrowing. It protects consumers’ interest by requiring correct and sufficient disclosure of lending terms and costs on most types of consumer credit including mortgage loans.
HOEPA – Home Ownership and Equity Protection Act “Reg Z.” Amidst the rapid growth of subprime lending, the Congress in 1994 passed the Home Ownership and Equity Protection Act (HOEPA), an amendment to TILA, to help curb predatory lending. HOEPA is a key protection for consumers with regards to predatory lending.
Module Learning Objectives. Upon successful completion of this course you will have a strong understanding of TILA (Reg Z) and its major amendments. You will have a detailed understanding of the TILA standard and section 32 disclosures. You should be able to articulate the reasons these laws exist from a consumer protection standpoint. You will also have a general understanding of what kind of standards each law and regulation aims to create.
Ethics, Fair Lending and Fraud – Moving Forward
This course explores several aspects of ethical mortgage lending. We will present a simple ethics framework for guiding individual decisions. We will define and illustrate good ethical practices in the lending industry. We will reinforce the need to correct poor behaviors and prevent fraud and misrepresentation in order to protect the borrower. Finally, we discuss the critical integration between fair lending laws and ethical behavior.
Chapter 1. We discuss Ethical Action and a couple potential frameworks
Chapter 2. We generally discuss common ethical failures of MLOs and how to detect and avoid misrepresentation and fraud by monitoring industry participants
Chapter 3. We focus on best practices MLOs should pursue to avoid misrepresentation and fraudulent practices
Chapter 4. We tie back to our initial chapter by discussing fair lending laws
Module Learning Objectives. Upon successful completion of this course you will have a review of how MLOs should view ethical action and what they can do to prevent missteps and misrepresentation and to avoid and to detect fraudulent actions. You will also review Fair Lending Laws and apply those to the basics of ethical action that we introduce early in the course.
Nontraditional Mortgages – FHA Overview
This course discusses the Federal Housing Administration’s Insurance Program, generally called “FHA.” FHA was mandated by the National Housing Act in 1934. The loan programs that evolved out of that Act and its consequent regulation have been a cornerstone for many Americans pursuing the American Dream. We will introduce FHA, from its concept to the systems involved in starting the FHA loan origination process. We will also discuss many of the different loan programs offered through FHA.
The concepts included in this lesson are:
- Background. Discusses the concept of FHA and how the program works
- Key FHA Underwriting Guidelines, Primary FHA Loan Programs, Specialty FHA Loan Programs, HECMs and Enhancements to FHA Loan Programs. Gives an overview of FHA loan programs, including who is eligible, special conditions related to each program and any mechanics associated with the implantation of an FHA insured loan under that specific program
- FHA Systems. Lays out, from a practical viewpoint, what tools a loan originator would use when originating an FHA loan, including FHA Connection, CAIVRS and the case number assignment workflow.
Module Learning Objectives. Upon successful completion of this course you will be able to explain the concepts behind the FHA Insurance Program, know some of the key loan programs your client may qualify for and be able to work with some of the “tools of the trade” when originating an FHA insured loan
1 Hour of Elective Education on Nontraditional Mortgages – FHA 300 – Borrower Credit and Eligibility
This course discusses who is eligible and who is ineligible for the Federal Housing Administration (FHA) mortgage insurance. We will discuss eligibility of borrowers, Co-Borrowers, Co-Signers, non-purchasing Spouse and Living Trusts, to state and local government agencies, and approved nonprofit organizations. We will also discuss potential remedies for persons with eligibility issues.
Eligibility. Details the basic factors that make for an ineligible borrower.
Types of Borrowers and FHA Requirements. Discusses different borrowers that are eligible for FHA insurance.
Credit Issues of Borrowers, Co-Borrowers and Co-Signers. Looks at the issues affecting credit. This includes learning about judgments, bankruptcies, collections and foreclosures. We discuss a number of problematic borrowers and also the various ways to remedy the situation to help your client obtain an FHA loan.
FHA Application Form (Declarations). Lastly, we go through the section on the loan application that this entire lesson leads up to – the declarations section for an FHA loan application