The mortgage broker involves his profession as an intermediary between the borrowers and the lender’s Mortgages. In addition, he presents to the lender all the documentation required for the loan and also acts as a third party. Although there are lots of mortgage brokers available in the market, only some of them can get the authenticity certificate from the various regulating bodies.
Mortgage Broker Certification Mean
This is the certificate that proves the broker has undergone the training and has undergone the examinations. To get the authenticity certificate, the broker must go through the examinations that have been arranged by the regulatory body and should also complete the specific training in the field of finance and accounting to be able to clear the test.
The test consists of three papers: (a) Financial Statements and Certificate of Registration; (b) Broker’s Counsel Form and (c) Brokerage under the Real Estate Settlement Procedures Act 1985. The financial statements and certificate of registration must be signed on behalf of the client by the principal and the broker by an agent on behalf of the principal. The other two papers are required by the Real Estate Settlement Procedures Act 1985. After attaining the mortgage broker certification, one can become self-regulating. This means that he can decide on his own the supervision or certifications he wants.
The loan originator shall be the one who provides the certification to the customer. There is no need to appoint an accountant or a planner, although such experts would prove beneficial. The examiners for the mortgage broker certification have to be qualified and appointed by the Secretary of State. Once the examiners are appointed, they will send the application to the National Association of Boards of Mortgage and Brokers.