Georgia Updates Mortgage-Related Regulations

The Georgia Department of Banking and Finance recently adopted amended regulations that, among other things, revise the language in the mortgage broker, mortgage lender, and mortgage loan originator provisions to align with amendments to the statute that passed earlier this year.  The statutory amendments, formerly discussed by WBK here, among other things, removed the registration requirement for certain mortgage brokers and lenders. 

Additional updates to the regulations include requiring that licensees maintain documentation related to transfer exemptions (allowable closed mortgage loan sales, purchases, or other transfers to certain unlicensed trusts that do not service, but purchase or hold closed loans for securitization or transfer into the secondary market), and setting a fine of $1,000 per loan for any licensee’s failure to maintain this required documentation.

The regulations become effective on August 1, 2024.