Over three-quarters of the states also currently manage additional license types through the System in the money services business, debt and consumer finance industries.
[1] The system provides for all mortgage originators to be assigned a unique identifying number that would be associated with them as they moved between companies, and between states, thus helping to prevent problematic individuals from escaping the consequences of their past activities.
NMLS was created in January 2008 by the Conference of State Bank Supervisors (CSBS) and the American Association of Residential Mortgage Regulators (AARMR),[2] both based in Washington, DC.
It began operations as a voluntary system among seven states cooperating to improve regulation of the mortgage and other non-depository industries through better supervision, streamlined licensing procedures, and enhanced consumer protection.
[3] The SAFE Act requires originators to complete pre-licensing education approved by NMLS.