BILL NUMBER: SB 923	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Cogdill

                        FEBRUARY 1, 2010

   An act to amend Section 22100 of the Financial Code, relating to
financial institutions.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 923, as introduced, Cogdill. Finance lenders.
   The California Finance Lenders Law provides for the licensing and
regulation of finance lenders and brokers and mortgage loan
originators by the Department of Corporations. Existing law provides
that a finance lender or broker is prohibited from employing a
mortgage loan originator whose license or license endorsement has
lapsed.
   This bill would make a nonsubstantive change to this provision.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 22100 of the Financial Code is amended to read:

   22100.  (a) No person shall engage in the business of a finance
lender or broker without obtaining a license from the commissioner.
   (b) Every licensee engaging in the business of making or brokering
residential mortgage loans shall require that every mortgage loan
originator employed or compensated by that licensee obtains and
maintains a mortgage loan originator license from the commissioner
under this division or Division 20 (commencing with Section 50000),
or has first obtained a license endorsement from the Commissioner of
Real Estate pursuant to Article 2.1 (commencing with Section
10166.01) of Chapter 3 of Part 1 of Division 4 of the Business and
Professions Code.
   (c) A finance lender or broker  shall   may
 not employ a mortgage loan originator whose license or license
endorsement has lapsed.
   (d) A finance lender or broker may not make or broker a
residential mortgage loan unless that loan is offered by, negotiated
by, or applied for through a licensed mortgage loan originator.
   (e) Every licensee engaged in the business of making or brokering
residential mortgage loans and every mortgage loan originator
licensed under this division shall register with and maintain a valid
unique identifier issued by the Nationwide Mortgage Licensing System
and Registry.