Hello Everyone! I found out that i have to take the NMLS test by september 15 and I need some advise. I am sure that there are many books out there and i need to find the one that can help me pass the test. Where do you go to find the comprehensive book for natioanl and state exam? i am in sacramento california. I really appreciate it if anyone can give me some advise on this. thanks

The true deadline is August 31st to pass both exams. You may wish to register at brokeroutpost.com where there is a thread on the California requirements. In the meantime, I am posting information I received from Duane Gomer Seminars which you may find very useful. Time is running out if you have not already started the process, and be prepared to be fleeced approx. $790 in classes, registrations, fees, fees, fees. Then you have to do this all over again every year.

From Duane's Newsletter:

As we have told you many times, California DRE licensees do not have to complete the 20-hour pre-licensure course because the DRE commissioner got it waived for you. However, you have to complete this waiver procedure by August 31, 2010.

How do you do it?

First, you go to the NMLS website at http://mortgage.nationwidelicensingsystem.org/Pages/default.aspx and register yourself if you have not already done so. Once you log-in to your account, complete the MU4 form and pay the cost of $360. All loan originators including salespersons, broker associates, responsible brokers, company officers have to complete the MU4 so do it now. You can do it before you take your tests.

Effective July 1st, NMLS started the process of education certification. They will send an email to DRE that you completed your MU4. DRE will send an email back to them certifying that you are licensed in good standing.

Next, NMLS will send you an email telling you that you have been certified and they would like a fee of $15. Detailed instructions on how to pay the $15 will be in the email. By the way, there will be a statement in your email about a $5 fee. Ignore it.

Pay the money at once so you don’t forget. Forgetting will cost you three days of time and about $500. Want to know more about the process? Click here.

Want to read the NMLS Certification FAQ? Click here.

Want to take our lauded Mortgage Loan Origination Crash Course? Check our schedule at the end of this newsletter or online at www.


MLO STUDENT TESTING

The latest statistics from NMLS show only 55% are passing the National Exam. Earlier this year the passing rate was around 68%. Why are California licensees not performing as well? Other states required the testers to complete 20-hours of education before they tested. Taking 20-hours of course work will beat 30 years of experience in almost all cases when it comes to test-taking.

The exam is divided into four parts. Students who are experienced are doing well on the 25% of the exam covering General Mortgage Knowledge and the 25% covering Mortgage Loan Activities.

Where are they failing? Federal Mortgage Regulations (35%) and Ethics (15%) are causing people to fail.

Two topics that they are testing hard – Appraisal and ECOA (Equal Credit Opportunity Act). If you have not taken the exams yet, that is a word of caution.

Some test-takers seem to be of the opinion that they have been in business for a long time and that the test will be a breeze. I want to ask those agents “How long has it been since you’ve taken a difficult Government Test?” This is not one of our continuing education exams.

Our passing rate from our live classes is in the high 90% bracket, but of course some of our students have failed. When I ask them how they studied, they say that they kept taking our practice exams over and over. You will not be taking the National test over and over.

There are 41,000 plus questions in the NMLS base so you have got to read the text book we give you and understand the concepts. Please read the books, they are costing me thousands of dollars. Also, you should study the flash cards, cliff notes, the Hondros glossary, math exams, etc.

Quote of the Day from John Wooden: “Never mistake activity for achievement”.

Quote from another Scholar – George Carlin: “Some people see things that are and ask, why? Some people dream of things that never were and ask, why not? Some people have to go to work and don’t have time for all that.”

Thank you so much for your input, Calif Dreaming. where do you get the text book to understand the concept. I am thinking about taking the duane gomer cram course that is going to be held in sacramento in Augutst. do you know if he provides the book you are talking about? or will the cram course itself be enough to take the test? you menetioned something about yearly test. do we have to go through this every year?

I used the Hondross College Compucram. I passed the test back in March. 1st try and with flying colors.

Something that helped me was associating Reg Letters with abbreviations.

For example Truth in Lending is TIL and is Reg Z so I called it TILZ

Or RESPA is Reg X so I called it REXPA

Wow, Calif Dreaming hit the nail right on the head. And he/she seems to know more about the California-specific process than I.

Anyway here are a couple of things that might help you:

MLO Handbook (PDF):
MLO Handbook

Know what to expect on test day (video):
What to expect on NMLS test day.


And when you are ready to register:
NMLS Registration

Good luck!!!!!

Well I certainly failed at "fixing" the links, didn't I?

Just read this on Duane Gomer's latest newsletter.

TRAGIC STORY:

I did a seminar in Walnut Creek earlier this month and it was really a pleasure. One of the students who was the life of the party was Stan Lockhart.

A few days ago I got an email from a friend of his, Toby Roebuck, who was also at the seminar. He said that Stan had passed the National test (Stan said our materials were most helpful) but failed the Ethics portion. Toby said to Stan, “Of course you failed Ethics. You’re an attorney.” That was the type of banter we had all day in Walnut Creek.

The tragic part: Stan went to take the State Exam and at one point he laid his head down on his desk. He suffered a massive heart attack and passed away there. A shocking, shocking, story and it sure makes you think about how fragile life can be. I only met Stan once at the seminar, but he was the type of person whom you would remember as a friend from only one meeting.

Peace, shalom and prayers to you Stan, wherever you may be.

Fixed it

Hey Dreaming - I am in CA and "transitioned" my License to the DRE months ago. I have heard nothing. Have you heard of anyone in CA getting the "rider" from the DRE?

Go to the DRE's website and click on the MLO tab. After filling in the required information, you will receive an update on your licensing MLO endorsement. Did you fill out the DRE's initial DE866 before registering with NMLO?

CA DRE's MLO endorsements were delayed because they did not have the system in place to process the licensees' credit reports. Now they do.

Yes I did DE866 at the beginning of the year and filed the NMLS transition 8 Months ago. Just held for the DRE for 30 Minutes for them to say that they had not yet reviewed the information for my company (I am the officer, but it too has been in for 8 months). They then said, quite cavalierly, if I don't get the endorsement then I am out of business (even though I met their deadlines by 4 months). Any one else out there in this spot? Anyone else want to sue the DRE on Jan 3 if they have not done their job?

CA DRE is understaffed and overworked. I am surprised that you even spoke to a live person after a 30 minute wait. I don't have the time or patience to hold that long. If you speak with any one at NMLS Customer Service, you will be told that your filings are all in order and you are good to go as far as they are concerned.

CA DRE is the big delay. They must have us all NMLS endorsed by the end of this year if you have already met all their filing deadlines which are documented with NMLS.

Those licensees just going through the initial processing right now will probably not be able to originate loans on/after January 2, 2011 and are looking at a delay of several months into the coming year.

The tough parts are the 30 day wait to retake tests if you fail, or if there are federal/state related dings on your credit report.

FINALLY!!!!

After a process started in September, myself and my corp received the coveted/mandated MLO Endorsement on our DRE licenses today.

We are now good to go for 2011 and beyond.

Good for you!

I sent in all my stuff for myself and my company on March 31 and just on Saturday I got the endorsement for my brokers license. It shows that I am inactive. I called (god bless head sets because I can return E-mail and write on this posting board while I hold) and they said it is because they have not approved the company yet. Aggrrrrr!!

Progress but not all the way there. I am sure I did all that I am suppose to and my company is clean so it is only a matter of time, but 8 months!

Still waiting....

Better late than Never.

DRE finally approved my Company so I am all done.

Nothing to do now, but plan on some useless CE for next year!

Once again this really has nothing to do with actually doing home loans

Oh well at least this may thin out the herd.

Last man standing !