Lieutenant Governor Gregory R. Francis, Chairman of the Virgin Islands Banking Board, announced today that the Virgin Islands Division of Banking and Insurance will begin participating in the Nationwide Mortgage Licensing System (NMLS) on April 2, 2010.   Participation in the NMLS enables the territory to be in compliance with SAFE, the Secure and Fair Enforcement for Mortgage Licensing Act of 2008, which requires regulatory agencies to develop and maintain a system for registering residential mortgage loan originators. The NMLS streamlines the licensing process for both regulatory agencies and the mortgage industry by using a centralized and standardized system for mortgage licensing. 

According to Lt. Governor Francis, the new system is yet another component of the Division’s efforts to safeguard the public’s interest through regulation of the banking and financial industry. 

“The Division of Banking and Insurance is proud to be a part of the new regulatory framework being created for the improved supervision of the mortgage industry,” he said.  “The NMLS will allow our agency better access to information that will not only provide better supervision of the mortgage industry, but protect the consumers of the territory.”

Presently, forty-seven regulatory agencies are using the system to accept and process national, uniform license applications.  Licensees are able to electronically manage a single record in the Nationwide Mortgage Licensing System to apply for, amend, renew, and surrender licenses in one or more participating states. 

Beginning on April 2, 2010, the U.S. Virgin Islands Division of Banking and Insurance will require all companies holding Mortgage Lenders or Mortgage Brokers licenses to have a complete record in NMLS and submit it to the Virgin Islands Division of Banking and Insurance for approval by January 1st 2011.  Any company or individual wishing to apply for a license must do so through NMLS starting April 2, 2010.

The U.S. Virgin Islands Division of Banking and Insurance will be issuing a letter to each licensee this month with detailed instructions for transitioning their company, branches and individuals onto NMLS.

The National Mortgage Licensing System was developed by the Conference of State Bank Supervisors (CSBS) and the American Association of Residential Mortgage Regulators (AARMR).  Information about the CSBS/AARMR Nationwide Mortgage Licensing System can be found online at www.stateregulatoryregistry.org/NMLS.

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