Late CE 1 Hour KY SAFE: Kentucky Mortgage Continuing Education (14960)

​​​​​​​This course is approved for "Late CE" credit only.

The Commissioner of the Kentucky Department of Financial Institutions (DFI) requires mortgage licensees in this state to take a one-hour course on Kentucky mortgage lending rules as part of the licensees' annual continuing education requirement for license renewal. This course covers Kentucky mortgage topics for licensee continuing education.

The first module of this course outlines the branches within the DFI and reviews several definitions outlined in Kentucky Revised Statute (KRS) chapter 286, the regulation that defines mortgage lending services in this state. We'll review initial licensing requirements and the steps needed to maintain the authorized license.

The second module explains compliance requirements and disciplinary actions available to the commissioner. We'll outline prohibited conduct that licensees should avoid as well as explain conduct that are expected during the lending process. This course will also define the limitations on fees and the state usury regulations, actions that might result in license suspension, and the commissioner's available penalties that can be ordered against guilty licensees.

Licensees who do not complete their annual mortgage license training may be placed in a Reinstatement Period and are prohibited from practicing mortgage loan origination activities until their licenses are reactivated and their continuing education requirements have been completed. Licensees have until the end of February to bring their licenses up to date. A penalty Reinstatement Fee may apply when renewing your license. A license will expire if it is not renewed during the Reinstatement Period.

Not every state agency allows for reinstatement of a license. Check the Annual Renewal Information page on the NMLS website to verify if the agency you are licensed under allows for reinstatement, when the last date of reinstatement is, and what the applicable penalty fees may be.

• https://mortgage.nationwidelicensingsystem.org/slr/common/renewals/Pages/default.aspx

Topics and Learning Objectives

This course consists of two modules and a final exam:

1. Module 1: Kentucky DFI, State Law Definitions, and State License Law (15 minutes)
2. Module 2: Compliance and Disciplinary Actions (25 minutes)
3. Final exam (10 minutes)

Total study time: 1 credit hour (50 minutes)

This course will prepare Kentucky-licensed MLOs to:

• Generalize the structure of the Kentucky DFI
• Describe the powers and duties of the Commissioner of the DFI
• Review important term definitions, including those specific or unique to Kentucky regulations
• Identify the licensing and registration exemptions covered in Kentucky law
• Identify the requirements to obtain and maintain a license or registration
• Illustrate and avoid prohibited practices and conduct
• Summarize the Kentucky Residential Mortgage Fraud Act
• Define the required conduct that is expected in the course of day-to-day operations
• Give examples of appropriate - and inappropriate - fees and charges, including those for reverse mortgages
• Identify the criteria for usury in the Commonwealth of Kentucky
• Explain appraisal independence requirements through case study and review Kentucky-specific appraisal laws
• Recognize DFI disciplinary actions, including license denial, suspension or revocation, penalties and fines, and civil liability.

NMLS ID Required

You must have an NMLS ID to receive credit for this course. You will need this number before you begin the course.

If you already have an NMLS ID but don't remember what it is:

• Login into NMLS
• Click on the Composite View tab.
• Click View Individual on the sub-header row.
• The number that appears in parentheses after your name is your NMLS ID number.

If you do not have an NMLS ID and need to obtain one, use the instructions available in the NMLS Resource Center.