Florida Senate - 2011                             CS for SB 1316
       
       
       
       By the Committee on Banking and Insurance; and Senator Detert
       
       
       
       
       597-02879-11                                          20111316c1
    1                        A bill to be entitled                      
    2         An act relating to loan processing; amending s.
    3         494.001, F.S.; creating and revising definitions;
    4         deleting a redundant definition; amending s. 494.0011,
    5         F.S.; specifying rulemaking powers of the Financial
    6         Services Commission; amending s. 494.0018, F.S.;
    7         revising cross-references; amending s. 494.0025, F.S.;
    8         prohibiting acting as an in-house loan processor
    9         without a specified license; amending s. 494.00255,
   10         F.S.; including licensed in-house loan processors in
   11         disciplinary provisions; amending s. 494.00312, F.S.;
   12         providing that a loan originator license may not be
   13         issued to a person who has had an in-house loan
   14         processor license or its equivalent revoked in any
   15         jurisdiction; creating s. 494.00314, F.S.; providing
   16         for licensing of in-house loan processors; providing
   17         application requirements; specifying when an
   18         application is considered received; providing grounds
   19         for denial of licensure; prohibiting issuance of
   20         licenses to applicants who have had certain licenses
   21         revoked in other jurisdictions; providing for
   22         annulment of licenses in certain circumstances;
   23         requiring annual renewal of licenses; prohibiting an
   24         in-house loan processor from acting as a loan
   25         originator without a loan originator license;
   26         authorizing a licensed loan originator to act as an
   27         in-house loan processor without an in-house loan
   28         processor license; creating s. 494.00315, F.S.;
   29         providing for license renewals; amending s. 494.00331,
   30         F.S.; providing that specified provisions do not apply
   31         to a licensed contract loan processor who has on file
   32         with the office a declaration of intent to act solely
   33         as a contract loan processor; deleting a definition;
   34         providing restrictions on employment of persons
   35         licensed as in-house loan processors; amending s.
   36         494.0035, F.S.; clarifying provisions concerning
   37         operation of mortgage brokers; amending s. 494.0038,
   38         F.S.; revising provisions relating to disclosure of
   39         settlement charges and loan terms; amending s.
   40         494.00421, F.S.; revising an agency reference in the
   41         mortgage broker agreement; providing that a borrower
   42         may contact the Office of Financial Regulation rather
   43         than the Department of Financial Services regarding
   44         any complaints against a loan originator; amending s.
   45         494.00611, F.S.; providing that a mortgage lender
   46         license may not be issued to an applicant if any of
   47         the applicant’s control persons has ever had an in
   48         house loan processor license or its equivalent revoked
   49         in any jurisdiction; amending s. 494.00612, F.S.;
   50         requiring that in order to renew a mortgage lender
   51         license a mortgage lender must authorize the
   52         Nationwide Mortgage Licensing System and Registry to
   53         obtain an independent credit report on each of the
   54         mortgage lender’s control persons; amending s.
   55         494.0067, F.S.; requiring each mortgage lender to
   56         submit certain reports to the registry as may be
   57         required; providing an effective date.
   58  
   59  Be It Enacted by the Legislature of the State of Florida:
   60  
   61         Section 1. Subsections (5) through (9), (10) through (14),
   62  (15) through (24), and (26) through (34) of section 494.001,
   63  Florida Statutes, are renumbered as subsections (6) through
   64  (10), (12) through (16), (18) through (27), and (28) through
   65  (36), respectively, new subsections (5), (11), and (17) are
   66  added to that section, and present subsections (14), (25), and
   67  (26) of that section are amended, to read:
   68         494.001 Definitions.—As used in ss. 494.001-494.0077, the
   69  term:
   70         (5) “Contract loan processor” means an individual who is
   71  licensed under part II of this chapter as a loan originator, who
   72  is an independent contractor for a mortgage broker or mortgage
   73  lender, and who engages only in loan processing.
   74         (11) “In-house loan processor” means an individual who is
   75  an employee of a mortgage broker or a mortgage lender who
   76  engages only in loan processing.
   77         (16)(14) “Loan originator” means an individual who,
   78  directly or indirectly, solicits or offers to solicit a mortgage
   79  loan, accepts or offers to accept an application for a mortgage
   80  loan, negotiates or offers to negotiate the terms or conditions
   81  of a new or existing mortgage loan on behalf of a borrower or
   82  lender, processes a mortgage loan application, or negotiates or
   83  offers to negotiate the sale of an existing mortgage loan to a
   84  noninstitutional investor for compensation or gain. The term
   85  includes an individual who is required to be licensed as a loan
   86  originator under the activities of a loan originator as that
   87  term is defined in the S.A.F.E. Mortgage Licensing Act of 2008,
   88  and an individual acting as a loan originator pursuant to that
   89  definition is acting as a loan originator for purposes of this
   90  definition. The term does not include an employee of a mortgage
   91  broker or mortgage lender whose duties are limited to who
   92  performs only administrative or clerical tasks, including
   93  quoting available interest rates, physically handling a
   94  completed application form, or transmitting a completed
   95  application form to a lender on behalf of a prospective
   96  borrower.
   97         (17) “Loan processing” means:
   98         (a) Receiving, collecting, distributing, and analyzing
   99  information common for the processing of a mortgage loan; or
  100         (b) Communicating with a consumer to obtain information
  101  necessary for the processing of a mortgage loan if such
  102  communication does not include offering or negotiating loan
  103  rates or terms, or counseling consumers about residential
  104  mortgage loan rates or terms.
  105         (25) “Person” has the same meaning as in s. 1.01.
  106         (28)(26) “Principal loan originator” means the licensed
  107  loan originator in charge of, and responsible for, the operation
  108  of a mortgage lender or mortgage broker, including all of the
  109  activities of the mortgage lender’s or mortgage broker’s loan
  110  originators, in-house loan processors, and branch managers,
  111  whether employees or independent contractors.
  112         Section 2. Subsection (2) of section 494.0011, Florida
  113  Statutes, is amended to read:
  114         494.0011 Powers and duties of the commission and office.—
  115         (2) To administer ss. 494.001-494.0077, The commission may
  116  adopt rules to administer parts I, II, and III of this chapter,
  117  including rules:
  118         (a) Requiring electronic submission of any forms,
  119  documents, or fees required by this act.
  120         (b) Relating to compliance with the S.A.F.E. Mortgage
  121  Licensing Act of 2008, including rules to:
  122         1. Require in-house loan processors, loan originators,
  123  mortgage brokers, mortgage lenders, and branch offices to
  124  register through the registry.
  125         2. Require the use of uniform forms that have been approved
  126  by the registry, and any subsequent amendments to such forms if
  127  the forms are substantially in compliance with the provisions of
  128  this chapter. Uniform forms that the commission may adopt
  129  include, but are not limited to:
  130         a. Uniform Mortgage Lender/Mortgage Broker Form, MU1.
  131         b. Uniform Mortgage Biographical Statement & Consent Form,
  132  MU2.
  133         c. Uniform Mortgage Branch Office Form, MU3.
  134         d. Uniform Individual Mortgage License/Registration &
  135  Consent Form, MU4.
  136         3. Require the filing of forms, documents, and fees in
  137  accordance with the requirements of the registry.
  138         4. Prescribe requirements for amending or surrendering a
  139  license or other activities as the commission deems necessary
  140  for the office’s participation in the registry.
  141         5. Prescribe procedures that allow a licensee to challenge
  142  information contained in the registry.
  143         6. Prescribe procedures for reporting violations of this
  144  chapter and disciplinary actions on licensees to the registry.
  145         (c) Establishing time periods during which an in-house
  146  processor, a loan originator, a mortgage broker, or a mortgage
  147  lender license applicant under part II or part III is barred
  148  from licensure due to prior criminal convictions of, or guilty
  149  or nolo contendere pleas by, any of the applicant’s control
  150  persons, regardless of adjudication.
  151         1. The rules must provide:
  152         a. Permanent bars for felonies involving fraud, dishonesty,
  153  breach of trust, or money laundering;
  154         b. A 15-year disqualifying period for felonies involving
  155  moral turpitude;
  156         c. A 7-year disqualifying period for all other felonies;
  157  and
  158         d. A 5-year disqualifying period for misdemeanors involving
  159  fraud, dishonesty, or any other act of moral turpitude.
  160         2. The rules may provide for an additional waiting period
  161  due to dates of imprisonment or community supervision, the
  162  commitment of multiple crimes, and other factors reasonably
  163  related to the applicant’s criminal history.
  164         3. The rules may provide for mitigating factors for crimes
  165  identified in sub-subparagraph 1.b. However, the mitigation may
  166  not result in a period of disqualification less than 7 years.
  167  The rule may not mitigate the disqualifying periods in sub
  168  subparagraphs 1.a., 1.c., and 1.d.
  169         4. An applicant is not eligible for licensure until the
  170  expiration of the disqualifying period set by rule.
  171         5. Section 112.011 is not applicable to eligibility for
  172  licensure under this part.
  173         Section 3. Subsection (1) of section 494.0018, Florida
  174  Statutes, is amended to read:
  175         494.0018 Penalties.—
  176         (1) Whoever knowingly violates any provision of s.
  177  494.00255(1)(a), (b), or (c) or s. 494.0025(1), (3)(2), (4)(3),
  178  (5)(4), or (6)(5), except as provided in subsection (2) of this
  179  section, commits a felony of the third degree, punishable as
  180  provided in s. 775.082, s. 775.083, or s. 775.084. Each such
  181  violation constitutes a separate offense.
  182         Section 4. Subsections (2) through (10) of section
  183  494.0025, Florida Statutes, are renumbered as subsections (3)
  184  through (11), respectively, and a new subsection (2) is added to
  185  that section, to read:
  186         494.0025 Prohibited practices.—It is unlawful for any
  187  person:
  188         (2) To act as an in-house loan processor in this state
  189  without a current, active in-house processor license issued by
  190  the office pursuant to part II of this chapter.
  191         Section 5. Paragraphs (n) and (p) of subsection (1),
  192  paragraph (f) of subsection (2), and subsections (3), (4), (5),
  193  (6), and (8) of section 494.00255, Florida Statutes, are
  194  amended, and paragraph (m) of subsection (1) is reenacted, to
  195  read:
  196         494.00255 Administrative penalties and fines; license
  197  violations.—
  198         (1) Each of the following acts constitutes a ground for
  199  which the disciplinary actions specified in subsection (2) may
  200  be taken against a person licensed or required to be licensed
  201  under part II or part III of this chapter:
  202         (m) In any mortgage transaction, violating any provision of
  203  the federal Real Estate Settlement Procedures Act, as amended,
  204  12 U.S.C. ss. 2601 et seq.; the federal Truth in Lending Act, as
  205  amended, 15 U.S.C. ss. 1601 et seq.; or any regulations adopted
  206  under such acts.
  207         (n) Having a loan originator, an in-house loan processor, a
  208  mortgage broker, or a mortgage lender license, or the equivalent
  209  of such license, revoked in any jurisdiction.
  210         (p) Acting as a loan originator, an in-house loan
  211  processor, a mortgage broker, or a mortgage lender without a
  212  current license issued under part II or part III of this
  213  chapter.
  214         (2) If the office finds a person in violation of any act
  215  specified in this section, it may enter an order imposing one or
  216  more of the following penalties:
  217         (f) An administrative fine of up to $1,000 per day, but not
  218  to exceed $25,000 cumulatively, for each day that:
  219         1. A mortgage broker or mortgage lender conducts business
  220  at an unlicensed branch office.
  221         2. An unlicensed person acts as a loan originator, an in
  222  house loan processor, a mortgage broker, or a mortgage lender.
  223         (3) A mortgage broker or mortgage lender, as applicable, is
  224  subject to the disciplinary actions specified in subsection (2)
  225  for a violation of subsection (1) by:
  226         (a) A control person of the mortgage broker or mortgage
  227  lender; or
  228         (b) A loan originator employed by or contracting with the
  229  mortgage broker or mortgage lender; or
  230         (c) An in-house loan processor who is an employee of the
  231  mortgage broker or mortgage lender.
  232         (4) A principal loan originator of a mortgage broker is
  233  subject to the disciplinary actions specified in subsection (2)
  234  for violations of subsection (1) by a loan originator or an in
  235  house loan processor in the course of an association with the
  236  mortgage broker if there is a pattern of repeated violations by
  237  the loan originator or in-house loan processor or if the
  238  principal loan originator has knowledge of the violations.
  239         (5) A principal loan originator of a mortgage lender is
  240  subject to the disciplinary actions specified in subsection (2)
  241  for violations of subsection (1) by a loan originator or an in
  242  house loan processor in the course of an association with a
  243  mortgage lender if there is a pattern of repeated violations by
  244  the loan originator or in-house loan processor or if the
  245  principal loan originator has knowledge of the violations.
  246         (6) A branch manager is subject to the disciplinary actions
  247  specified in subsection (2) for violations of subsection (1) by
  248  a loan originator or an in-house loan processor in the course of
  249  an association with the mortgage broker or mortgage lender if
  250  there is a pattern of repeated violations by the loan originator
  251  or in-house loan processor or if the branch manager has
  252  knowledge of the violations.
  253         (8) Pursuant to s. 120.60(6), the office may summarily
  254  suspend the license of a loan originator, an in-house loan
  255  processor, a mortgage broker, or a mortgage lender if the office
  256  has reason to believe that a licensee poses an immediate,
  257  serious danger to the public’s health, safety, or welfare. The
  258  arrest of the licensee, or the mortgage broker or the mortgage
  259  lender’s control person, for any felony or any crime involving
  260  fraud, dishonesty, breach of trust, money laundering, or any
  261  other act of moral turpitude is deemed sufficient to constitute
  262  an immediate danger to the public’s health, safety, or welfare.
  263  Any proceeding for the summary suspension of a license must be
  264  conducted by the commissioner of the office, or designee, who
  265  shall issue the final summary order.
  266         Section 6. Subsection (5) of section 494.00312, Florida
  267  Statutes, is amended to read:
  268         494.00312 Loan originator license.—
  269         (5) The office may not issue a license to an applicant who
  270  has had a loan originator or an in-house loan processor license
  271  or its equivalent revoked in any jurisdiction.
  272         Section 7. Section 494.00314, Florida Statutes, is created
  273  to read:
  274         494.00314 In-house loan processor license.—
  275         (1) An individual acting as an in-house loan processor must
  276  be licensed under this section.
  277         (2) In order to apply for an in-house loan processor
  278  license, an applicant must:
  279         (a) Be at least 18 years of age and have a high school
  280  diploma or its equivalent.
  281         (b) Submit a completed license application form as
  282  prescribed by commission rule.
  283         (c) Submit a nonrefundable application fee of $100.
  284  Application fees may not be prorated for partial years of
  285  licensure.
  286         (d) Submit fingerprints in accordance with rules adopted by
  287  the commission.
  288         1. The fingerprints must be submitted to a live-scan vendor
  289  authorized by the Department of Law Enforcement.
  290         2. A state criminal history background check must be
  291  conducted through the Department of Law Enforcement, and a
  292  federal criminal history check must be conducted through the
  293  Federal Bureau of Investigation.
  294         3. All fingerprints submitted to the Department of Law
  295  Enforcement must be submitted electronically and entered into
  296  the statewide automated fingerprint identification system
  297  established in s. 943.05(2)(b) and available for use in
  298  accordance with s. 943.05(2)(g) and (h). The office shall pay an
  299  annual fee to the department to participate in the system and
  300  inform the department of any person whose fingerprints are no
  301  longer required to be retained.
  302         4. The costs of fingerprint processing, including the cost
  303  of retaining fingerprints, shall be borne by the person subject
  304  to the background check.
  305         5. The office is responsible for reviewing the results of
  306  the state and federal criminal history checks and determining
  307  whether the applicant meets licensure requirements.
  308         (e) Submit additional information or documentation
  309  requested by the office and required by rule concerning the
  310  applicant. Additional information may include documentation of
  311  pending or prior disciplinary or criminal history events,
  312  including arrest reports and certified copies of charging
  313  documents, plea agreements, judgments and sentencing documents,
  314  documents relating to pretrial intervention, orders terminating
  315  probation or supervised release, final administrative agency
  316  orders, or other comparable documents that may provide the
  317  office with the appropriate information to determine eligibility
  318  for licensure.
  319         (f) Submit any other information required by the registry
  320  for processing the application.
  321         (3) An application is considered received for the purposes
  322  of s. 120.60 upon the office’s receipt of all documentation from
  323  the registry, including the completed application form, criminal
  324  history information, and license application fee.
  325         (4) The office shall issue an in-house loan processor
  326  license to each person who is not otherwise ineligible and who
  327  meets the requirements of this section. However, it is a ground
  328  for denial of licensure if the applicant:
  329         (a) Has committed any violation specified in ss. 494.001
  330  494.0077; or
  331         (b) Is the subject of a pending felony criminal prosecution
  332  or a prosecution or an administrative enforcement action in any
  333  jurisdiction which involves fraud, dishonesty, breach of trust,
  334  money laundering, or any other act of moral turpitude.
  335         (5) The office may not issue a license to an applicant who
  336  has had an in-house loan processor or loan originator license or
  337  its equivalent revoked in any jurisdiction.
  338         (6) An in-house loan processor license shall be annulled
  339  pursuant to s. 120.60 if it was issued by the office by mistake.
  340  A license must be reinstated if the applicant demonstrates that
  341  the requirements for obtaining the license have been satisfied.
  342         (7) All in-house loan processor licenses must be renewed
  343  annually by December 31, pursuant to s. 494.00315. If a person
  344  holding an active license has not applied to renew the license
  345  on or before December 31, the license expires on December 31. If
  346  a person holding an active license has applied to renew on or
  347  before December 31, the license remains active until the renewal
  348  application is approved or denied. An in-house loan processor is
  349  not precluded from reapplying for licensure upon expiration of a
  350  previous license.
  351         (8) An in-house loan processor licensed under this section
  352  may not act as a loan originator without a loan originator
  353  license issued under this part.
  354         (9) A loan originator licensed under this part may also act
  355  as an in-house loan processor without an in-house loan processor
  356  license.
  357         Section 8. Section 494.00315, Florida Statutes, is created
  358  to read:
  359         494.00315 In-house loan processor license renewal.—In order
  360  to renew an in-house loan processor license, an in-house loan
  361  processor must:
  362         (1) Submit a completed license renewal form as prescribed
  363  by commission rule.
  364         (2) Submit a nonrefundable renewal fee of $75 and
  365  nonrefundable fees to cover the costs of further fingerprint
  366  processing and retention as set forth in commission rule.
  367         (3) Submit any additional information or documentation
  368  requested by the office and required by rule concerning the
  369  licensee. Additional information may include documentation of
  370  pending and prior disciplinary and criminal history events,
  371  including arrest reports and certified copies of charging
  372  documents, plea agreements, judgments and sentencing documents,
  373  documents relating to pretrial intervention, orders terminating
  374  probation or supervised release, final administrative agency
  375  orders, or other comparable documents that may provide the
  376  office with the appropriate information to determine eligibility
  377  for renewal of licensure.
  378         Section 9. Section 494.00331, Florida Statutes, is amended
  379  to read:
  380         494.00331 Loan originator and loan processor employment.—
  381         (1) LOAN ORIGINATORS.—An individual may not act as a loan
  382  originator unless he or she is an employee of, or an independent
  383  contractor for, a mortgage broker or a mortgage lender, and may
  384  not be employed by or contract with more than one mortgage
  385  broker or mortgage lender, or either simultaneously.
  386         (2) CONTRACT LOAN PROCESSORS.—Subsection (1) However, this
  387  provision does not apply to a contract loan processor who has a
  388  declaration of intent to act solely as a contract loan processor
  389  on file with the office. The declaration of intent must be on a
  390  form as prescribed by commission rule any licensed loan
  391  originator who acts solely as a loan processor and contracts
  392  with more than one mortgage broker or mortgage lender, or either
  393  simultaneously.
  394         (2) For purposes of this section, the term “loan processor”
  395  means an individual who is licensed as a loan originator who
  396  engages only in:
  397         (a) The receipt, collection, distribution, and analysis of
  398  information common for the processing or underwriting of a
  399  residential mortgage loan; or
  400         (b) Communication with consumers to obtain the information
  401  necessary for the processing or underwriting of a loan, to the
  402  extent that such communication does not include offering or
  403  negotiating loan rates or terms or does not include counseling
  404  consumers about residential mortgage loan rates or terms.
  405         (3) A person may not act as a loan processor unless the
  406  person is licensed as a loan originator under this chapter and
  407  has on file with the office a declaration of intent to engage
  408  solely in loan processing. The declaration of intent must be on
  409  such form as prescribed by the commission by rule.
  410         (a)(4) A loan originator that currently has a declaration
  411  of intent to engage solely in loan processing on file with the
  412  office may withdraw his or her declaration of intent to engage
  413  solely in loan processing. The withdrawal of declaration of
  414  intent must be on such form as prescribed by commission rule.
  415         (b)(5) A declaration of intent or a withdrawal of
  416  declaration of intent is effective upon receipt by the office.
  417         (c)(6) The fee earned by a contract loan processor may be
  418  paid to the company that employs the loan processor without
  419  violating the restriction in s. 494.0025(8)(7) requiring fees or
  420  commissions to be paid to a licensed mortgage broker or mortgage
  421  lender or a person exempt from licensure under this chapter.
  422         (3) IN-HOUSE LOAN PROCESSORS.—An individual may not act as
  423  an in-house loan processor unless he or she is an employee of a
  424  mortgage broker or a mortgage lender and may not be employed by
  425  more than one mortgage broker or mortgage lender, or either,
  426  simultaneously. An in-house loan processor must work at the
  427  direction of and be subject to the supervision and instruction
  428  of a loan originator licensed under this part.
  429         Section 10. Subsection (1) of section 494.0035, Florida
  430  Statutes, is amended to read:
  431         494.0035 Principal loan originator and branch manager for
  432  mortgage broker.—
  433         (1) Each mortgage broker must be operated by a principal
  434  loan originator who shall have full charge, control, and
  435  supervision of the mortgage broker business. The principal loan
  436  originator must have been licensed as a loan originator for at
  437  least 1 year before being designated as the principal loan
  438  originator, or must demonstrate to the satisfaction of the
  439  office that he or she has been actively engaged as in a
  440  mortgage-related mortgage broker-related business for at least 1
  441  year before being designated as a principal loan originator.
  442  Each mortgage broker must keep the office informed of the person
  443  designated as the principal loan originator as prescribed by
  444  commission rule. If the designation is inaccurate, the mortgage
  445  broker business shall be deemed to be operated under the full
  446  charge, control, and supervision of each officer, director, or
  447  ultimate equitable owner of a 10-percent or greater interest in
  448  the mortgage broker, or any other person in a similar capacity.
  449  A loan originator may not be a principal loan originator for
  450  more than one mortgage broker at any given time.
  451         Section 11. Paragraph (c) of subsection (3) of section
  452  494.0038, Florida Statutes, is amended to read:
  453         494.0038 Loan origination and mortgage broker fees and
  454  disclosures.—
  455         (3) At the time a written mortgage broker agreement is
  456  signed by the borrower or forwarded to the borrower for
  457  signature, or at the time the mortgage broker business accepts
  458  an application fee, credit report fee, property appraisal fee,
  459  or any other third-party fee, but at least 3 business days
  460  before execution of the closing or settlement statement, the
  461  mortgage broker shall disclose in writing to any applicant for a
  462  mortgage loan the following information:
  463         (c) A good faith estimate that discloses settlement charges
  464  and loan terms, signed and dated by the borrower, which
  465  discloses the total amount of each of the fees the borrower may
  466  reasonably expect to pay if the loan is closed, including, but
  467  not limited to, fees earned by the mortgage broker, lender fees,
  468  third-party fees, and official fees, together with the terms and
  469  conditions for obtaining a refund of such fees, if any.
  470         1. Any amount collected in excess of the actual cost shall
  471  be returned within 60 days after rejection, withdrawal, or
  472  closing.
  473         2. At the time a good faith estimate is provided to the
  474  borrower, the loan originator must identify in writing an
  475  itemized list that provides the recipient of all payments
  476  charged the borrower, which, except for all fees to be received
  477  by the mortgage broker, may be disclosed in generic terms, such
  478  as, but not limited to, paid to lender, appraiser, officials,
  479  title company, or any other third-party service provider. This
  480  requirement does not supplant or is not a substitute for the
  481  written mortgage broker agreement described in subsection (1).
  482  The disclosure required under this subparagraph must be signed
  483  and dated by the borrower.
  484         Section 12. Paragraph (a) of subsection (7) of section
  485  494.00421, Florida Statutes, is amended to read:
  486         494.00421 Fees earned upon obtaining a bona fide
  487  commitment.—Notwithstanding the provisions of ss. 494.001
  488  494.0077, any mortgage broker which contracts to receive a loan
  489  origination fee from a borrower upon obtaining a bona fide
  490  commitment shall accurately disclose in the mortgage broker
  491  agreement:
  492         (7)(a) The following statement, in at least 12-point
  493  boldface type immediately above the signature lines for the
  494  borrowers:
  495         “You are entering into a contract with a mortgage broker to
  496  obtain a bona fide mortgage loan commitment under the same terms
  497  and conditions as stated hereinabove or in a separate executed
  498  good faith estimate form. If the mortgage broker obtains a bona
  499  fide commitment under the same terms and conditions, you will be
  500  obligated to pay the loan origination fees even if you choose
  501  not to complete the loan transaction. If the provisions of s.
  502  494.00421, Florida Statutes, are not met, the loan origination
  503  fee can only be earned upon the funding of the mortgage loan.
  504  The borrower may contact the Office of Financial Regulation
  505  Department of Financial Services, Tallahassee, Florida,
  506  regarding any complaints that the borrower may have against the
  507  loan originator. The telephone number of the office department
  508  is: ...(insert telephone number)....”
  509         Section 13. Subsection (5) of section 494.00611, Florida
  510  Statutes, is amended to read:
  511         494.00611 Mortgage lender license.—
  512         (5) The office may not issue a license if the applicant has
  513  had a mortgage lender license or its equivalent revoked in any
  514  jurisdiction, or any of the applicant’s control persons has ever
  515  had a loan originator or an in-house loan processor license or
  516  its equivalent revoked in any jurisdiction.
  517         Section 14. Paragraph (e) of subsection (1) of section
  518  494.00612, Florida Statutes, is amended to read:
  519         494.00612 Mortgage lender license renewal.—
  520         (1) In order to renew a mortgage lender license, a mortgage
  521  lender must:
  522         (e) Authorize the registry to obtain an independent credit
  523  report on each of the mortgage lender’s control persons lender
  524  from a consumer reporting agency, and transmit or provide access
  525  to the report to the office. The cost of the credit report shall
  526  be borne by the licensee.
  527         Section 15. Subsection (13) is added to section 494.0067,
  528  Florida Statutes, to read:
  529         494.0067 Requirements of mortgage lenders.—
  530         (13) Each mortgage lender shall submit to the registry
  531  reports of condition which are in a form and which contain such
  532  information as the registry may require.
  533         Section 16. This act shall take effect January 1, 2012.